A precipitous drop in sales of new homes and signs of weakening business investment yesterday reinforced rising anxiety about the US economy’s wavering recovery.
Growing uncertainty is keeping both buyers and sellers on the sidelines of the housing market and fading government stimulus efforts have washed away demand for new homes.
New home sales fell by 32.4 per cent in July year-on-year to a record low adjusted annual rate of 276,000, commerce department figures showed. Median house prices also fell, declining by 4.8 per cent to $204,000 in July.
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