Sales of new U.S. homes fell by the largest amount in nearly nine years in February while the median price of a new home dropped for the fourth straight month.
The declines provide fresh evidence that once-booming U.S. housing market is cooling off.
The U.S. Commerce Department reported that sales of new single-family homes dropped by 10.5% last month to a seasonally adjusted annual sales pace of 1.08 million homes.
It was the second straight monthly decline and was much bigger than the small 2% dip that economists were expecting.
The drop in new home sales followed news Thursday that sales of previously owned homes actually rose by a stronger-than-expected 5.2% last month following five straight monthly declines.
U.S. new-home sales drop in February
- By: IE Staff
- March 24, 2006 March 24, 2006
- 11:45