Existing Home Prices Have Record Drop

Marketwatch reports:

"As expected, existing-home sales appear to be stabilizing, fingers and toes crossed," said David Lereah, chief economist for the Realtors. Market fundamentals are improving, he said. Read the full report.
Median sales prices fell a record 3.5% year-over-year to $221,000, the third decline in a row. Since 1968, when the Realtors began collecting the data, prices had never fallen three months in a row on a year-over-year basis.
Falling prices are "a good thing," Lereah said. "Sellers are cutting their price enough to encourage sales," said Pat Vredevoogd Combs, a Realtor from Grand Rapids, Mich., and president of the NAR.

Mr. Lereah would probably say rising homes are a good thing.Now we hear from him falling prices are a good thing.That's the real estate lobby for you:everything is a good thing.