Resales Fall 4.3%

Existing-home sales fell 4.3% in February from a record high of 6.1 million in January, according to the National Association of Realtors.The drop in existing single-family home sales to a seasonally adjusted annual rate of 5.84 million was expected, according NAR chief economist David Lereah. The February sales pace still represented the fourth-best month ever. The housing market continues to benefit from low mortgage rates, Mr. Lereah said, adding that the 30-year mortgage rate averaged 5.84% in February -- a new monthly low. House prices rose 8.2% on an annual basis. The fragile economy combined with the war in Iraq "clouds the outlook," Mr. Lereah told reporters. But he said he still expects 2003 to be the second-best year for resales -- coming close to last year's record of 5.57 million existing homes sold.