Summary Box: Sales of previously occupied homes down 5.1 pct; housing remains weak
HOME SALES SINK: Sales of previously occupied homes fell 5.1 percent in June, indicating that the housing market remains an especially weak part of the economy.
INVENTORY GROWS: The supply of unsold homes on the market has risen to almost 4 million. That's a nearly nine-month supply at the current sales pace, the highest level since August. It compares with a healthy level of about six months.
MORE SALES DROPS LIKELY: Sales are expected to fall further. If that happens, it could boost supply of unsold homes to more than 10 months, which could push down home prices.
Copyright 2010 AP News
