Buyers are reluctant to purchase a home with home prices still falling sharply and even those buyers who are ready to commit are having trouble qualifying for loans, as lenders tighten standards in response to soaring mortgage delinquencies.

Banks and other financial institutions are struggling to cope with billions of dollars of losses on bad mortgages.

The Bush administration and the Federal Reserve recently announced a support program for Fannie Mae and Freddie Mac to try to stave off serious troubles for the two mortgage giants, which hold or guarantee more than $5 trillion of the nation's mortgages — nearly half the total.

Treasury Secretary Henry Paulson is lobbying Congress for quick approval of a plan that would temporarily empower the government to extend unlimited lines of credit to Fannie Mae and Freddie Mac and to buy their stock, if needed, to bolster their reserves against losses. The companies' shares have plummeted because of fears about their financial stability.

"I urge Congress to swiftly enact this plan into law," Bush said.

All the housing and financial market turmoil has raised fears that the country could be pushed into a recession.

Bush worked to ally those fears, saying the U.S. economy has demonstrated resilience.

"Exports have continued to grow, productivity growth has remained strong, and while economic growth in the first quarter of this year was slower than we would have liked, it was growth, nonetheless," he said.