Mortgage Bankers Association

Your local real estate ® is to be believed, is a stabilization of housing prices and the slowing housing market is good for society as a whole. But how can such a slowdown may be a good thing? Homeowners who used to see double-digit gains in home values are involved in selling their home in a few days with multiple offers, like houses made until the end of 2005.

Surprisingly, the market more stable and better for everyone, and a slowdownnot stop. David Lereah, NAR's chief economist said, "in 2006 should remain the third strongest on record. In this case, suffered a delay of a hot market is a good thing, because we have an area of permanent residence to provide a basis for Fund for the economy, and slower appreciation will help to safeguard the long-term sustainability.

In general, the prevailing view of those who know, this decline will translate into a stable housing market by the end of 2006. PreviousFederal Reserve chairman, Alan Greenspan, May 18, 2006 stated that the consumption of the United States could slow down a bit 'now that the housing market in the United States for "extraordinary boom" is over. Greenspan, in his first public speech after the American withdrawal in January, provided there is no danger of a total collapse of the housing market.

UCLA Anderson Forecast Director Edward Leam not expect housing prices did not fall significantly, notes that the sale is going down in general, andfall more precipitously than prices, as the price cycle lags behind the volume cycle. Locally, we saw these homes on the market have had more, although prices have remained stable.

According to the NAR (National Association of Realtors), "Two factors are crucial to soft prices in a given area: an oversupply of homes for sale, and adverse economic conditions – generally a weak local market. Fortunately, our local market remainsstrong, with the unemployment rate in Florida to 3.2 percent in May, just a little 'from 3.0 in April. Florida, starting in May 2006 was 1.4 percentage points below the national rate of 4.6 percent.

We are lucky in the Tampa Bay area in Florida, which remains the target of aging baby boomers and others in their search for vacation properties and second homes. With a strong economic outlook and the desired destination, Tampa Bay should be able to overcome the housing bubble and rumorsthrough the rest of the property market in 2006-safe.