Existing home sales down in November

According to the National Association of Realtors®, existing-home sales weakened against a backdrop of an eroding economy.

Existing-home sales -- including single-family, townhomes, condominiums and co-ops -- fell 8.6 percent to a seasonally adjusted annual rate of 4.49 millionunits in November from a downwardly revised level of 4.91 million in October, and are 10.6 percent below the 5.02 million-unit pace in November 2007."The quickly deteriorating conditions in the job market, stock market, and consumer confidence in October and November have knocked down home sales toanother level," said NAR Chief Economist Lawrence Yun, who expected a decline. "We hope the home sales impact from the stock market crash turns out to beshort-lived, as was the case in 1987 and 2001.""It is, therefore, imperative to provide incentives for home buyers to get back into the market. It also depends on how effectively Congress and the newadministration can help facilitate the short sales process and unclog the mortgage pipeline -- impediments remain for some buyers with good credit."According to Freddie Mac, the national average commitment rate for a 30-year, conventional, fixed-rate mortgage fell to 6.09 percent in November from 6.20percent in October; the rate was 6.21 percent in November 2007. As of late November, Freddie Mac reported the 30-year rate fell to 5.19 percent -- the lowest on record since the series began in 1971.