January and February home sales started the year off well but March was flat. "Sales of both new and existing homes are flat to down," said David Blitzer, spokesman for S&P. "The recovery in housing starts is faltering. Home prices nationally have not made it back to 2005 [levels]. Mortgage interest rates, which jumped last May, are blamed by some analysts for the weakness. Others cite difficulties in qualifying for loans and concerns about consumer confidence. The result is less demand and fewer homes being built."