Home Sales Plunge by 8 Percent

Wednesday October 24, 6:24 pm ET
By Martin Crutsinger, AP Economics Writer Sales of Existing Homes Fall by Largest Amount on Record in September WASHINGTON (AP) -- Sales of existing homes had a record decline in September while median home prices fell by the largest amount in nearly a year, reflecting deepening problems in the troubled housing market.

Analysts said the current downturn is already more severe than the housing slump of the 1990s. They predicted that before it is resolved, it will rival the 1980-82 housing slump. Back then, the industry was battered by double-digit mortgage rates and the economy was in a steep recession.