Physical Economy: Housing Crisis Got Worse in January Even As Mortgage Rates Fell

New home sales in America plunged in January by 11.3% from a year earlier—the month-to-month drop from December was worse, 17.4%, according to the National Association of Realtors. While it was cold and snowy, that doesn’t explain the fact that new home median prices fell nationally by nearly 7% from the previous January, down to $400,000 per new home.