Sales of existing homes fell again last month, while the number of homes languishing on the market hit a 15-year high. The median price sank to $223,700, the AP reports, and thanks in part to the woes of the subprime mortgage sector, overall sales were 10.3% below last year's numbers. Says one analyst: "Don't look for a bottom anytime soon."
The numbers came as a relief to Wall Street, where there had been fears of an even sharper decline. Experts say the only way to reduce inventory of existing homes, which make up about 85% of the market, is for sellers to embrace price cuts—which hasn't happened so far.