03-23-2018  3:34 pm      •     
  • 1
  • 2
  • 3
  • 4


Prof. Timothy Snyder to Speak at PSU April 25

Snyder will speak on “Resisting Tyranny: Lessons from the European 20th Century” for 11th Annual Cogan Lecture ...

County Creates New Fund to Diversify Construction Trades

The Construction Diversity and Equity Fund will draw 1% from county remodeling projects with budgets above 0,000 ...

Yohlunda Mosley Named PSU’s New Assistant VP for Enrollment

New Assistant VP for Enrollment gets started at PSU on March 19 ...



Remember (The Truth) About The Alamo

In 1829, the Afro-Mexican president of Mexico outlawed slavery at a time when the southern U.S. was deeply in thrall to slave labor ...

Black Women You Should Know

Julianne Malveaux on the next generation of Black women leaders ...

Access to Safe, Decent and Affordable Housing Threatened

Trump era rollbacks in lending regulations could make life harder for Blacks in the housing market ...

Civility on Social Media Is Dead

Bill Fletcher discusses the lack of penalties for obnoxious behavior on social media ...



Derek Kravitz AP Real Estate Writer

WASHINGTON (AP) -- Americans bought slightly more new homes in October, a hopeful sign for the troubled housing market. But the median sales price fell to its lowest level of the year, and the overall sales pace is trailing last year's - the worst in half a century.

The report suggests housing continues to drag on the U.S. economy and is a long way from recovering.

New-home sales increased 1.3 percent last month to a seasonally adjusted annual rate of 307,000, the Commerce Department said Monday. That's less than half the 700,000 that economists say must be sold to sustain a healthy housing market.

September's figures were also revised down significantly to show a weaker pace than first estimated.

Last year's 323,000 new homes sold were the fewest since the government began keeping records in 1963. This year isn't faring much better.

While new homes sales represent a fraction of the housing market, they have an outsize impact on the economy. Each home built creates an average of three jobs for a year and generates about $90,000 in tax revenue, according to the National Association of Home Builders.

Many builders have stopped working on new projects because they can't obtain financing. The number of new homes for sale in the United States fell in October to a record low of 162,000.

They are also struggling to compete against cheaper re-sales, even as they lower their own prices. The median sales price of a new home fell 0.4 percent in October from September, to $212,300.

Steven Wood, chief economist at Insight Economics, said the small number of new homes for sale should help the housing market recover quicker when prices begin to rise. But he said: "A sustained rebound in new home sales appears unlikely."

For many Americans, buying a home is too big a risk more than four years after the housing bubble burst.

Home prices have tumbled, the job market remains weak and unemployment has been stuck near 9 percent for more two years. Some people who want to buy can't qualify for a loan or make the higher down payments that banks are demanding.

Sales are slumping even though mortgage rates are hovering above historic lows.

Yet sales of previously owned homes are also dismal. They rose slightly last month to a seasonally adjusted annual rate of 4.97 million units, the National Association of Realtors said last week. That's below the 6 million that economists say is consistent with sales in a healthy market and barely ahead of last year's totals, which were the fewest since 1997.

In October, sales were uneven across the country. They increased 22.2 percent in the Midwest and 14.9 percent in the West. But they were unchanged in the Northeast and fell 9.5 percent in the South.

© 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Learn more about our Privacy Policy and Terms of Use.

Oregon Lottery
Everybody Reads Exit West

Photo Gallery

Photos and slide shows of local events

WSDOT SR 520 Montlake Phase

Portland Deltas Women of Excellence