December Home Sales Jump 6.5%

Sales of existing homes posted an unexpected increase in December 2008 according to the latest figures from the National Association of Realtors. Buyers have been taking advantage of dramatically lower prices, particularly in distressed areas of California, Florida, and Nevada, where foreclosures have swamped the market.

The median sale price nationwide dropped to $175,400 in December, down 15% from the year before. The December figure is the lowest since May 2003, and the 15% decrease is the largest year-over-year drop since record-keeping began in 1968.