Home sales continue to struggle - KWWL - Eastern Iowa Breaking News, Weather, Closings

Home sales continue to struggle

Posted:
WASHINGTON, D.C. (KWWL) -

The number of people who bought new homes has fallen for a third straight month.  Sales this year are now on track to finish as the worst on records dating back half a century.  Housing remains the weakest part of the economy.

The US Commerce Department says sales of new homes fell nearly one percent in July to a seasonally adjusted annual rate of 298,000.  That's less than half the 700,000 that economists say represent a healthy market.

While new homes represent less than one-fifth of the housing market, they have an outsize impact on the economy.  Each home built creates an average of three jobs and $90,000 in taxes, according to the National Association of Home Builders.

Powered by Frankly