Home sales: Worst drop in 18 years

What are the "real issues" behind past and current real estate market fluxion in the U.S... Is there an obvious characteristic that lends to the delivery of potential failure? Are we willing to examine the grass roots of "hot spots" - that ultimately play a significant role in the ignition of the fires that are in retrospect, more costly to put out than the benefit of speculated "green field" gains...

Housing is hurting.  This will impact the economy as the "housing ATM machine" disappears. We are not even in the middle of this downturn. 

The author suggests that since there is a greater than reported downturn in housing, the Fed should act soon and cut rates.

Housing is Falling Much Faster than Reported