2007 Forecast

Having taken a break for Christmas and for nursing of a very sick pet, it's time to get back in the swing of things in the real estate world!

I know many of you are wondering what the new year will bring for the real estate market. I don't claim to have a crystal ball and make no guarantees. Remember the old saying, "I don't make the news, I just report it!" That's how it works with the market as well.

There was an radio interview with Nicholas Retsinas from Harvard University's Joint Center for Housing Studies. The interview was to ask him about the outlook for 2007. Bear in mind that Mr. Retsinas has been pretty bearish on the markets overall and that no doubt remains true as he looks forward. He does agree that the market appears to have bottomed out. However, he sees it staying at the bottom for most, if not all, of 2007. He sees a year of continued slower sales and no increase in prices. According to his projections there may be a few overheated markets where we'll still see additional small price reductions. But for most of us, it will be status quo in the new year.

I don't know how accurate Mr. Retsinas' forecast is, but I don't see any economic factors or real estate market developments that would tell me he's dead wrong.

So, it's your turn to play prognosticator! What do you project for the year ahead?  Are you bullish or bearish? More sales? Higher prices, lower prices, or more of the same? What will 2007 bring for the No. VA housing market? I look forward to your input!