The Associated Press reports that new home sales have dropped to the lowest rate since 1991.
The sales decreased 5.3 percent in October, according to the Commerce Department.
In addition, the median price for new home sales dropped relative to a year ago, down 7 percent.
The average price for a new home sold in October was $218,000, the lowest level since 2004.
One example of the slow down can be seen in home builder D.R. Horton Inc.
The Texas based company reported a loss of nearly $800 million in the fourth fiscal quarter alone.
Sales of existing homes suffered as well, falling 3.1 percent in October.
Across the nation the midpoint sale price for existing homes dropped 11.3 percent from last year, landing at $183,000.
Three million jobs have been lost in construction related industries and some home builders are looking to Congress for aid.
