NEW YORK (CNNMoney.com) — The steep slide in home price accelerated at a record pace during the first three months of 2009, according to an industry report issued Tuesday.

The national median home price of single family homes sold during the first quarter fell 13.8% to $169,000 year over year, and 6.2% compared with the last quarter 2008, according to the National Association of Realtors (NAR). That was the largest year-over-year decline in the 30-year history of the report.

NAR attributed much of the loss to two factors: First-time homebuyers, who are often entry-level buyers, accounted for about half of all purchases during the quarter. And many buyers took advantage of the deeply discounted prices of foreclosed properties and short sales. These “distressed properties” typically sell for 20% less than traditional homes, according to NAR. These homes also accounted for about half of all transactions.

“Traditional homes in good condition have held their value much better, so owners shouldn’t be overly concerned about median prices,” said NAR president Charles McMillan, in a prepared statement.

Sales volume was weak as well. Homes sold at a 4.59 million annualized rate during the quarter, off 3.2% from the last three months of 2008 and down 6.8% from first quarter 2008.

NAR’s chief economist, Lawrence Yun, characterized it as a lull before an upturn. “Housing affordability conditions are at record high levels, ” he said, “and we expect a measurable increase in home sales during the second half of the year, which would help stabilize prices in most areas.”  

Re-posted by : Joseph Sloboda