FXstreet.com (Barcelona) - The U.S. housing slump does not seem to have the end of the tunnel at sight, sales of new homes are going from bad to worse tumbling well above expectations in December to close the weakest year since 1982, according to data released by the U.S. Commerce Department.
Sales of new homes plunged 14.7% in December, to an annual rate of 331,000 units. December's decline beats the analysts' expectations of a 1% slide to a rate of about 390,000 units. Yea on year new home sales have dropped 44.8% from the 600,000 units annual rate posted in December 2007.
The median home price has dropped in December to $206,500, while the average price has dropped to $246,900. The seasonally adjusted stock of houses for sale was 357,000 at the end of December, which represents 12.9 months of supply at December's sales pace.