Existing Home Sales Drop for Seventh Straight Month

The mounting glut of unsold homes might be a bigger concern for economists. The housing inventory in March increased 1%, to 4.06 million homes available for sale. That represented a 9.9-month supply at the current sales pace (up from 9.6 months in February), the report said. In March last year, before the credit crunch gripped the nation, the market had 7.5 months of inventory.
"Given both that the inventory overhang increased a bit and that recessionary job losses could lead to more foreclosures, the outlook is not good at all," said Anirvan Banerji, director of research for the Economic Cycle Research Institute. "It's likely that we'll see many more months of price declines."
"House prices are dropping in more places and dropping at an accelerating rate," said Global Insight economist Patrick Newport. "If you buy a house today, there's a good chance it will be worth less a year from today The economy is losing jobs. And credit is tight. You add those things together, and the home-selling season this year is going to be another bad one."
Existing Home Sales Drop for Seventh Straight Month - Yahoo! News

Crap, what happened to the American Dream?