New Home Sales Plunged in July

Home Buyers

Sales of new U.S. homes declined 12.8% in July, according to the Commerce Department, but sales are still up 4.1% for the year. July posted a seasonally adjusted annual rate of 635,000, down from an upwardly revised 728,000 in June. The median sales price fell to $312,800, a 4.5% decrease from last year. Experts say that a lack of less expensive homes is holding back sales, as half of all home buyers are looking for homes under $300,000.