Yesterday's striking downturn in new home sales was attributed to uncertainty over the extension...

|By:, SA News Editor

Yesterday's striking downturn in new home sales was attributed to uncertainty over the extension of the first-time homebuyer tax credit, which kicked-in in November. With the credit now having been extended, sales could regain momentum in coming months, which may be why the data made few waves on Wall Street. Still, the reading exposes how dependent the housing recovery is on Uncle Sam.