Economic conditions led to the layoff of 29 employees Friday at Muncy Homes Inc., 1567 Route 442 Highway.

Michael J. Clementoni, executive vice president, said they have been considering the lay offs for the last three years, but held off until now because he said he does not see a sign of improvement in the foreseeable future.

Financing is the biggest problem for prospective homebuyers because people cannot get loans, which started the poor housing market, Clementoni said.

“(The banks are) advertising low …