Summary Box: Home sales fell in May to 2011 low

AP News
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Posted: Jun 21, 2011 4:46 PM
Summary Box: Home sales fell in May to 2011 low

HOME SALES SINK: Sales of previously occupied homes fell 3.8 percent last month to an annual pace of 4.81 million homes. That's the lowest level in six months and far below the roughly 6 million annual sales rate typical in healthy housing markets.

LEVELING OFF: Analysts expect sales to level off at about 5 million homes sold this year. That's slightly above last year's 4.9 million, the weakest sales level in 13 years.

HURTING ECONOMY: Declining home prices are keeping people from moving to growing areas where jobs are aplenty. They have also made people feel less wealthy, which is reducing consumer spending.