US existing home sales down 2.8% but still firm

Sales of existing US

Sales of existing US

homes fell 2.8 per cent in February but still posted the second-best showing on record, a national real estate trade association said today.

Sales of previously owned homes, the largest category of home sales, fell slightly to a seasonally adjusted annual rate of 5.88 million last month from an upwardly revised annual rate of 6.05 million in January, the National Association of Realtors said.

February's pace exceeded the forecasts of analysts polled by Reuters, who had expected a rate of 5.52 million. And the data showed that housing activity, which has remained vigorous throughout the US economic slump that started a year ago, was still on firm footing.

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"I don't think the housing sector disappointed in this report," NAR chief economist David Lereah said at a briefing.