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Sales of existing homes last month pulled back from the level it achieved in February, according to National Association of Realtors (NAR). The organization announced today that total existing home sales fell 8.4 percent in March after spiking 3.9 percent the previous month. It is the largest month-over-month drop in 18 years, following an increase in February that was the largest monthly rise in three years.

Quicken Loans Chief Economist, Bob Walters, feels much of the drop is simply the housing market responding to February’s unexpected uptick, but feels the economy is still doing its part to spur housing.

“The recent tightening of lending guidelines has certainly taken some consumers out of the housing market, and there are fewer speculators these days,” says Walters. “However, long-term interest rates are still in the mid to low six percent range, the economy continues to support expansion and hiring, and until the sizable inventory of unsold homes burns off, there will be home sellers looking to make deals in order to move their home as quickly as possible. These are all factors which should drive home sales going forward.”

Walters also noted that home values appreciated slightly for the second consecutive month.

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