Sales of existing homes in the U.S. fell "below the bottom»

Nedvizhimost25-04-2007 In the U.S., falling sales in the secondary housing market is hitting record lows. Thus, the assumption is not justified by the majority of experts on the restoration of this market segment, which in some respects, already hit bottom. Sales of existing homes in the U.S. in March fell by 8,4% - to 6.12 million homes at an annual rate, has reported Bloomberg, citing data from the National Association of Realtors. According to revised data, in February sales totaled 6.68 million homes at an annual rate, not 6.69 million, as previously reported. Analysts had expected sales decline to 6.4 million homes with the earlier announced the February level. Current level is minimal in nearly four years. Thus, the data fell short of predictions of most experts to restore the housing market, which in some respects, has already hit the bottom. Home sales in April compared to the same month last year decreased by 11.3%, according to Interfax. Drop in sales can restore fears of recession in the real estate market, and jeopardizes the Federal Reserve's forecast of "moderate" economic growth. "Recovery is not a fast process - said Moody's economist Zoltan Pozsar. - Problems with the loans will be deterrent to recovery." March sales were minimal since June 2003 and was the largest monthly fall since January 1989. The average home price in the secondary market fell in March compared with the same month last year to 0,3% - to 217 thousand dollars. Oleg Zolotov