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The Headline or the Facts?

Same story different headline..

WSJ:
“New homes Sales, Prices Decline”

The median price of a new home dropped 12.2% to $201,400 in March from $229,300 in March 2008. The average price fell 10.3% to $258,000 from $287,600 a year earlier. In February 2009, the median price was $208,700 and the average was $255,100.

Foreclosures and a glut of unsold houses on the market have forced prices lower. At the end of March, there were an estimated 311,000 homes for sale. That’s down the 328,000 for sale at the end of February. But the ratio of houses for sale to houses sold remained high, at 10.7. It was 11.2 in February.

OR

Bloomberg:
“Sales of New Homes In March Better than Expected”

Purchases of new homes in the U.S. last month were higher than anticipated, providing further evidence the market may be stabilizing.

Sales decreased 0.6 percent to an annual pace of 356,000 after a 358,000 rate in February that was stronger than previously estimated, the Commerce Department said today in Washington. The median sales price decreased 12 percent from March 2008, while inventories of unsold homes fell to a seven- year low.

Bottom line? Housing is still falling and has not stabilized… not even close yet..

Why not? It should be going up this time of year…not down. When we get to the typical downtime, look out below..


Disclosure (“none” means no position):