Home sales drop in June

Home sales drop in June

Americans bought fewer new homes in June, after May's two-year high.

The Commerce Department said Wednesday that sales of new homes fell 8.4 percent last month from May to a seasonally adjusted annual rate of 350,000. That's the biggest drop since February 2011.

One trend that is holding back sales has been low inventories. There were 144,000 new homes for sale in June, just above May's 143,000 — the lowest on records dating back to 1963. At the current sales pace, it would take 4.9 months to exhaust the June supply. A six-month supply is generally considered healthy by economists.

Read more at OregonLive.com.

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