Existing home sales in February down more than forecast

Washington

SALES of previously owned US homes dropped more than forecast in February after reaching the second-highest level since 2007 as low inventory levels continue to limit progress in housing.

Closings on existing homes, which usually take place a month or two after a contract is signed, decreased 7.1 per cent to a three-month low 5.08 million annual rate after a 5.47 million pace in January, the National Association of Realtors (NAR) said on Monday.