New-Home Sales Fall; 2011 Could Be Worst

Summary


Sales of new homes fell for the third consecutive month in July, a sign that housing remains a drag on the economy.

If the current pace continues, 2011 would be the worst year for new-home sales in nearly half a century. Sales fell nearly 1 percent in July to a seasonally adjusted annual rate of 298,000, the Commerce Department said Tuesday. That's less than half the 700,000 that economists say represent a healthy market. Last year, 323,000 homes were sold -- the worst year on records that go back to 1963.

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New-Home Sales Fall; 2011 Could Be Worst

While new home...

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