Sales of existing homes rose to their highest level in more than two years In November, signaling to many analysts that housing and the U.S. economy overall are gaining strength that will carry over well into 2010.
Lower interest rates, lower home prices and a homebuyer tax credit all helped to boost the housing market, reported Bloomberg.com.
AP credited, "an extraordinary level of federal support" for bringing the housing market back from, "the worst downturn since the Great Depression."
Existing home sales grew 7.4% in November to an annual rate of 6.54 million homes, according to figures from the National Association of Realtors (NAR). The median sales price fell 4.3% versus November 2008. This was the smallest price decline since November 2007, NAR said.
The U.S. Commerce Department report on new home sales tomorrow is expected to show modest gains in November.