With unemployment mired at 9.8 percent, the housing market is hinged upon the job market. "The economy has to recover for the housing market to recover, not the other way around," said Patrick Newport, an economist with IHS Global Insight.
Homes remain a major part of many Americans' wealth -- households held $6.4 trillion of home equity at the end of the third quarter, according to a Federal Reserve report.
"It's unfortunate because a lot of families have all their wealth in their house, all their savings," said Sinai. "Household spending in general is hurt. There's a restraint on consumer spending."
The latest data has led some to predict that home prices are headed for a double-dip.
"The double-dip is almost here [...] There is no good news in October's report,"
David M. Blitzer, the Chairman of the Index Committee at S&P said in a press release. "Home prices across the country continue to fall. The trends we have seen over the past few months have not changed."
David M. Blitzer, the Chairman of the Index Committee at S&P said in a press release. "Home prices across the country continue to fall. The trends we have seen over the past few months have not changed."
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