Home Sales Post Another Gain

Sales of previously owned homes edged up in November, the third increase in four months after a dismal summer for home-buying.

According to the National Association of Realtors (NAR), buyers bought homes at a seasonally adjusted annual rate of 4.68 million. Even with the rise, this year is shaping up to be the worst for home sales since 1997.

The median price of a home sold in November was $170,600.

The housing market is still struggling to recover from a boom-bust cycle which helped trigger a severe economic recession. Home prices have tumbled in most markets and many potential buyers worry that prices could fall further.

Some people can’t sell their current homes to upgrade to a larger home, either because they have lost equity or they can’t find a prospective buyer.

The NAR is forecasting sales for 2010 will be 4.8 million. Analysts consider a 5.2 million sales pace healthy for housing.