The housing industry continued to struggle in April as the number of Americans purchasing previously owned homes declined more than expected, Bloomberg reported.

The index of pending home resales fell 12 percent after a revised 3.5 percent increase in March, the National Association of Realtors said today.

Economists polled by Bloomberg News expected a 1 percent decline, according to the results of a survey.

Potential buyers may adopt a wait-and-see approach as they consider the possibility of more foreclosures driving down property values.

“This makes me believe it will take longer to clear the excess inventory,” said Michelle Meyer, a senior economist at Bank of America Merrill Lynch in New York. “It pushes the housing recovery even further out into the future.”

Previously owned homes sold at a 5.05 million annual rate in April, a 0.8 percent drop from the prior month. Distressed properties, including foreclosures and short sales, accounted for 37 percent of the transactions.

Sales in the Midwest decreased by 10 percent in April from March, Bloomberg said.