Lowest New Home Sales in 7 Years

by John O'Leary

Rex Nutting of MarketWatch reported today that sales of new homes fell in February to a 7 year low.

clipped from www.marketwatch.com ECONOMIC REPORT February's inventories of unsold houses at a 16-year high New-home sales fall to seven-year low WASHINGTON (MarketWatch) -- Sales of new homes unexpectedly dropped in February to the lowest level seen in nearly seven years, while inventories of unsold homes rose to a 16-year high, suggesting that the nation's housing market was softening heading into the vital spring buying season. Sales of newly constructed single-family houses unexpectedly slowed again in February, falling 3.9% to a seasonally adjusted annual rate of 848,000, the lowest level since June 2000, the Commerce Department reported Monday. Sales were down 18.3% compared with February 2006.  Read the full report. "Housing still has some distance to fall," wrote Phillip Neuhart, an economist for Wachovia, in a research note.