Housing Worries Linger Despite Jump

Surprisingly strong January home sales seem to foreshadow an imminent market bottom, but economists say housing's not home free yet

Things weren't looking too sunny for the housing market on the morning of Feb. 27. Continuing troubles in the subprime lending sector pushed government-sponsored mortgage clearinghouse Freddie Mac (FRE) to declare it would tighten its standards on subprime loan purchases. The announcement came on the heels of profit warnings from several subprime lenders that have suffered from recent foreclosure increases among their customers.

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