2007 home sales had a record drop

WASHINGTON -- The Commerce Department reported Monday sales of new homes dropped by 26.4 percent in 2007 to 774,000. That marked the biggest decline on record, surpassing the old mark of a 23.1 percent plunge in 1980. The government reported the median price of a new home barely budged last year, edging up a slight 0.2 percent to $246,900, the poorest showing since prices fell by 2.4 percent during the 1991 housing downturn.