Welcome to 2008..... This year is going to be of particular interest as it is also an election year. These always seem to bring the "water cooler" discusstions to a full boil. Here in San Diego the "only" thing other than Real Estate on peoples minds is Politics. But let's take a look back at how 2007 ended and then try to see what 2008 may look like. 2007 really didn't end on such a bad note. The "sales" figures (acutal sold properties) were down considerably, however the "PRICES" held up much better than many had predicted. The OVERALL change in "all" houses and condos was only -4.8% for the year 2007 vs 2006... This was far from some of the predictions I have been hearing from "the street" and various blogs that I have been involved with. So, how about 2008 ?? Well, with interest rates BELOW 6% and the Federal Government getting very aggressive about keeping the economy and housing in particular from sliding into recession territory, things may be looking better in the next 3 to 6 months. There are still a great number of homes to choose from and sellers are more than willing to cooperate with terms and conditions. I think some of the inventory will evaporate and help stabalize the decline in prices. Will they go up any time soon ?? I doubt it. But, if they only level off, that would be a big help and show a sign of normalcy. What we need to do is get some of the 'short sales" and "foreclosures" off the market and get the "regular" properties sold at realistic prices. The current administration and congress has NO interest in letting the economy getting out of hand during an election year so, I think there will be some very bold moves to keep things in line. I want all of you to know that I watch ALL aspects of this very closely. I would like any of you to contact me if you have any questions or concerns that you would like some input on. Please feel free to contact me at any time if you should have the need. Kevin Bacon, GRI, SRES, Century 21 AWARD 619-540-8154