The size-adjusted median resale price was absolutely crushed in December:

http://piggington.com/images/dec07prsqft.gif
By this metric, single family home prices were down 4.6%, condos were down 5.8%, and a volume-weighted aggregate of the two was down 5.0%.
Here's a longer term view, from the peak of this series in September 2005. Since that time, the size-adjusted median price has dropped 19.7 percent for single family homes, 23.1 percent for condos, and 20.9 percent in aggregate.
http://piggington.com/images/dec07prsqftlt.gif


Here, as a public service to my fellow Piggs, is a quick and easy four-point rejoinder to the next permabull who tells you this is the bottom:

There is an enormous inventory overhang.
Much of the inventory is of the "must sell" variety.
Many more foreclosures (aka must-sell inventory) are known to be in the pipeline.
Prices are still far too high in relation to local rents and incomes.For busy executive Piggs and coffee achievers here's a shorter version:

In a market that is both overpriced and oversupplied, prices will decline.
http://piggington.com/december_housing_data


---

and please welcome our special guest, Mr. Recession.

and please welcome our special guest, Mr. Recession.

uh oh, no good.

Great...Another recession.

and please welcome our special guest, Mr. Recession.


This happened last time I was supposed to get out of the Navy. The job market went to shit and I had to re-enlist.

Shitty, we've slowed down at work too.

and with today's acknowledgement by the gov't, we'll move full steam ahead into slower times.

We seem to be full speed ahead. We outsource IT services to education, corporate and small businesses. Route/switch/security and Windows AD/Exchange primarily. A lot of stuff we do is paid for by government funded programs ( HOMESEC, e-rate etc ) so that's probably why.

Do you work in the real estate industry Doug? How fucked am I? I bought a 1368 foot house in Santee for $448k in January, 2005! The good news is, I have no plans to move, and am happy here. ( house upgraded etc ). Has curb appeal, 14,000 foot lot, backed up onto a hill so private etc.

No, I don't work in the real estate industry (thankfully), however have been researching the industry and trends for quite some time.

As far as your situation, if you have a fixed rate (which if I remember correctly you do) and you don't plan to move, then the value of your house is irrelevant. You may end up with a few new neighbors who paid less for their house than you did, however they may end up with a much higher interest rate as they are expected to rise over the next few years.

The ones who end up in a bad situation are those that cannot afford payments, want/have to move, and of course those with adjustable or neg am loans who clearly bought more than they could afford.

Doug for President!! :postwhorebanana:

It's only going to get worst. 2 more homes were repo-ed on my parents street.

It definately isn't getting better, that's for sure.

it is repo-land up here.

i'm not sure what is worse. houses being repod or people who think 20k off "market" is a deal.

No, I don't work in the real estate industry (thankfully), however have been researching the industry and trends for quite some time.

As far as your situation, if you have a fixed rate (which if I remember correctly you do) and you don't plan to move, then the value of your house is irrelevant. You may end up with a few new neighbors who paid less for their house than you did, however they may end up with a much higher interest rate as they are expected to rise over the next few years.

The ones who end up in a bad situation are those that cannot afford payments, want/have to move, and of course those with adjustable or neg am loans who clearly bought more than they could afford.

Well, our payment is 33% of our NET pay so we are in no danger, it's just depressing. Rate 5.75% locked, 30 years.

You'll live! You have a nice house from the pics you've posted.

There will no longer be any home purchasing for us, til at least end of 08. Its a clusterfuck out there and it needs to sort itself out. No industry is recession proof, but we haven't seen it affect commercial projects at all. My company concentrates mainly on federal/state work. The Feds continue to dump money into military installations and correctional facilities. I'm in the midst of my most successful year, since 1999.

The wife and I are thinking of looking at houses after I get back in November. We figure the houses will be fairly low priced and we should be out of all debt by then.