Sales are down nationwide -- including in the new home sector, which has experienced a 2.9 percent decline.

According to the Commerce Department -- this is the slowest pace since January 1991.

"The fact that new-home sales continue to decline even in the face of substantial builder incentives, very favorable mortgage rates and improved housing affordability shows how fearful consumers have become about making a home purchase in the current economic environment. That's why it is absolutely necessary for the government to take action that will reassure home buyers and stimulate demand in order to help revive home sales and economic growth," said National Association of Home Builders (NAHB) Chairman Sandy Dunn, a home builder from Point Pleasant, W.Va.

The NAHB reports that regionally, new-home sales were mixed in November, with two regions posting gains and two posting declines. The Northeast and West each regained some ground, with 14.3 percent and 11 percent gains, respectively, while the Midwest and South posted declines of 16.4 percent and 7.1 percent, respectively. All four regions were down by more than 25 percent on a year-over-year basis.

Click here to view current Market Conditions in your location.

Published: January 6, 2009

Use of this article without permission is a violation of federal copyright laws.