REAL Trends Housing Market Report - October 2007 vs. October 2006...

National
Closed Sales Units - Down 21.7%
Average Sales Price - DOWN 0.9%


Northeast
Closed Sales Units - Down 17.7%
Average Sales Price - Up 3.5%
South
Closed Sales Units - Down 27.2%
Average Sales Price - Up 0.8%
Midwest
Closed Sales Units - Down 14.3%
Average Sales Price - Down 2.1%
West
Closed Sales Units - Down 52.2%
Average Sales Price - Up 1.6%

Existing-home sales are projected to trend up in 2008, with pending home sales showing a slight near-term rise, according to the latest forecast by the National Association of REALTORS. However, a recovery for new-home sales is unlikely before 2009.


Existing-home sales are likely to total 5.67 million this year, the fifth highest on record, rising to 5.70 million in 2008, in contrast with 6.48 million in 2006. Existing-home prices should be down 1.9 percent to a median of $217,600 for all of 2007, and then rise 0.3 percent to $218,300 in 2008. Areas showing healthy price gains include disparate markets such as Gary-Hammond (IN), Binghamton (NY), Corpus Christi (TX) and Spokane (WA).


New-home sales are forecast at 788,000 this year and 693,000 in 2008, down from 1.05 million in 2006; no sustained improvement is seen for new homes until 2009. Because builders have correctly adjusted production, housing starts, including multi-family units, will probably total 1.36 million this year and 1.16 million in 2008, down from 1.80 million last year. The median new-home price is projected to drop 3.0 percent to $239,100 for 2007, and then decline another 0.2 percent to $236,600 in 2008.