MIAMI, Florida - April 19, 2010 - Fannie Mae's economists say the housing market still faces headwinds.

In its April Economic Outlook, Fannie Mae says excess inventory and foreclosure sales are hindering the housing market. New home sales are at record lows and will be slow to recover until inventory of existing homes and foreclosure overhang are worked off, Fannie Mae says.

It notes some positive signs for housing, particularly rising existing home sales, including pending sales and purchase applications.

Last week, Irvine, Kalifornia-based RealtyTrac reported that Florida posted the nation’s third-highest foreclosure rate in the first quarter, with one in every 57 properties receiving a foreclosure filing between January and March.