Existing-home sales and home prices continued to fall in January, indicating that would-be buyers are waiting for the market to bottom out, the Wall Street Journal reports. "Inventories are high, so it's not surprising prices are declining," said one economist, who described home sales as "soft but fairly stable." The resale number actually beat economists' projections.
New, tighter standards on loans are making purchasing a home a bigger obstacle for borrowers, the Journal reports. "Subprime loan and other risky mortgage products have virtually disappeared from the marketplace, and over the past five months, this has been reflected in soft but fairly stable home sales," said the economist.