US home sales fall to 26 year low

Further evidence of the crumbling US housing market was revealed, with the news that total new home sales in the United States in 2008 dropped to the lowest level in over a quarter of a century.

According to final year-end figures from The Commerce Department, new home sales fell to an annualised figure of 331,000 in December 2008, 14.7% below the 388,000 recorded in November 2008.

Total sales reached 482,000 for the year, the weakest result since 1982 and almost 40% down on total sales in 2007.