What are New Home Sales Doing?

Well the report is out, New Home sales have increased nearly 5% in the last month which is a direct correlation to the drastic decrease in price homes have taken over the last few months. Currently, the median price of a new home is just short of 18% YTD. This is significant data because it shows that the real estate market has seen the worst of times or is bottoming out and is slowly starting to show signs of recovery. I don't predict we will see new or resale homes decrease much more in price especially in the Atlanta market barring the government makes the right financial decisions in its attempt to free up lending. This $8,000 first time home buyer income tax deduction iontroduced was a step in the right direction, but the key now is to get lenders to unlock their vaults and allow some of the credit to flow.