Median Home Prices Hit Rock Bottom

 

Purchases of new homes jumped in April to a two-year high. New-home sales increased 15 percent to an annual pace of 504,000 last month, the highest level since May 2008.

The median price of a new home decreased to $198,400, the lowest level since December 2003. The jump in sales was concentrated in houses costing less than $300,000, perhaps reflecting demand from first-time buyers.

Home sales increased in three of four U.S. regions last month, led by a 32 percent jump in the Midwest. Purchases in the Northeast were little changed.

– Courtesy of Bloomberg Businessweek