2007 Residential Real Estate Forecast

In many ways 2006 was the non-year for realnon-seller's markets. Homes that are priced right and
estate. The National Association of Realtors(R)are in good condition which offer features and
reported that sales will be down in 2006 about 9finishes that buyers demand, will sell close to list price
percent from 2005, a record setting year.Manyin moderate market times. Flat or negative
markets waited for spring market which wasappreciation.Florida, Arizona, California and Washington
disappointing. Markets then believed buyers wouldD.C., will have unstable markets. Until sellers get a
re-group in summer,and buyers were a no-show. Fallreality-oriented wake-up call markets in these locales
and last market hopes were dashed when fall camewill sputter and hiccup.Ten states posted solid sales
and went, with plenty of traffic at open houses, butgains in the second quarter of 2006 versus 2005.
few contracts.Pent-up demand from a lacklusterReported the National Association of Realtors(R). The
2006 should drive buyers back to market. But, thesegains ranged from an impressive 48% in Alaska to a
savvy buyers will be on the lookout for realisticlow of 5.3 percent in Georgia. The other eight states
prices and seller give-backs. Most buyers will tell youincluded Arkansas, Texas, North and South Carolina,
point-blank that their income gains in the last fiveVermont, Tennessee, New Mexico, and
years have not matched rises in home home prices.Wyoming.Residential real estate will return to being
Real estate markets won't bounce back until homeviewed as shelter and housing and trend away from
sellers realize as prices go up, the pool of buyersbeing viewed as a speculative investment.What about
shrinks proportionately. Buyers with a home to sell will2008? Stable, pre-frenzy market with appreciation at
include a home-sale contingency, so sellers should be1% annually.Mark Nash, is a residential real estate
prepared to accept one.Inventory levels will remain inauthor, broker, columnist and writer based in Chicago.
the six to seven moth range. Listing leftover's fromHis fourth book 1001 Tips for Buying and Selling a
2006, will roll into 2007. The leftovers are eitherHome received eighteen five star reviews on His
un-realistic sellers whose pricing is from the "frothlatest book; Real Estate A-Z for Buying & Selling a
years" or thier homes haven't been updated to keepHome will be published in December 2006. Mark
up with the stiff competition and time-starvedpublishes a free monthly ezine for real estate
buyers.Mortgage rates will remain in the 5.5% to 7%professionals. Agent to Agent features ten articles
range. Historically low, but low rates by themselvesthat offer free reprints for agents, home buyers and
haven't motivated buyers to write real estatesellers through . Real estate news and book reviews,
contracts in 2006.Foreclosures will rise. Risky loansCelebrity Homestyles, Home selling and buying tips
such as Interest-Only, Option ARM's and 100%and advice, Joke-of-the-Month, Help this Agent, and
financing will tap out buyers whose used theseagent marketing tips. Over 5000 subscribers in the
"appreciation-oriented" mortgages.Prices will dropU.S. & Canada.
4-10% before leveling off in the majority of