UPDATE

Focus on Finance

By Yvonne Chilik Wollenburg

European cars lose their luster

Mercedes-Benz and Volvo are no longer the stalwarts of reliability, says a new J.D. Power and Associates study. These European 2000 models earned below average ratings for dependability over the past three years. The industry average was 273 problems per 100 vehicles after three years of ownership. On average, American cars bested European models, with 49 fewer problems per 100 cars.

Home sales could soon cool off

The housing market should stay strong for the rest of this year, but will probably slow down in 2004, says the Mortgage Bankers Association of America. The group expects a record 6.8 million homes to be sold in 2003, a 4.4 percent increase over 2002. Meanwhile, the national median price for an existing home is projected to rise 6 percent to $167,800, according to the National Association of Realtors, and the median price of a new home should increase by 3.8 percent to $194,700.