WASHINGTON — The U.S. housing market is rebounding faster than expected. The question is, can it last?

Home resales in July posted the largest monthly increase in at least 10 years as first-time buyers rushed to take advantage of a tax credit that expires Nov. 30. Sales jumped 7.2 percent and beat expectations, the National Association of Realtors said yesterday.

"We've got tens of thousands of homes perfect for the first-time homebuyer, and we've taken advantage of that," said George Hackett, president of Coldwell Banker Real Estate in Pittsburgh.

Sales hit a seasonally adjusted annual rate of 5.24 million in July, from a pace of 4.89 million in June. It was the fourth-straight monthly increase and the strongest month since August 2007. Sales had been expected to rise to an annual pace of 5 million, according to economists surveyed by Thomson Reuters.

The risks to that healthy pace, however, are job cuts, mortgage rates and the looming end to the homebuyer tax credit. And the last one could be a doozy because first-time buyers are snapping up one out of every three homes.

GM WALKED AWAY FROM CLEANUP DUTY

DETROIT — When General Motors Co. emerged from bankruptcy, it was freed of obligations for polluted properties at discarded plant sites that will require millions of dollars to clean up.

GM's unusual, government-engineered bankruptcy allowed the Detroit automaker to emerge as a new company — and to shed billions in liabilities, including claims that governments had against GM for polluting.

Environmental liabilities estimated at $530 million were left with the old GM, which has only $1.2 billion to wind down.

Administrative fees and other claims will soak up that money, and state and local officials told the Detroit Free Press they fear the cleanups will be shortchanged.

In Flint, uncertainty over cleaning up Buick City threatens a three-year redevelopment effort. "We can't lose this opportunity to create more jobs," said Tim Herman, chief executive officer of the Genesee Regional Chamber of Commerce.

GM said the issue rested with Motors Liquidation Co. — what's left of the old GM — which would not comment.

FORD TAURUS TRYING TO POLISH REPUTATION

The Ford Taurus, once the country's best-selling car before being overrun by Honda and Toyota, is trying to stage a comeback.

Ford Motor Co. is in the midst of launching the new, redesigned Taurus, which has been making its way to dealerships in the past two weeks. It marks the resurgence of a Ford brand once regarded as the domestic auto industry's answer to the fuel-efficient and cheap Japanese imports.

"It's an unbelievable car, the kind that we should expect from Ford in terms of styling, quality, safety and pricing," said Brad Hewlett, dealer principal at Bob Allen Ford in Overland Park, Kan. "They should've never done away with the Taurus name in the first place."

SOUTHWEST AIRLINES WI-FI PROVES A HIT

DALLAS — Southwest Airlines Co. says it's finished testing Wi-Fi Internet access on four aircraft and plans to expand the service to all its planes beginning early next year.

The airline said yesterday that the test has generated raves among passengers.

Southwest said it would continue testing prices for the service through the end of the year.

Dave Ridley, the discount carrier's senior vice president of marketing, said the company is happy with the technical performance of the in-flight service and the response of customers.