As for 2008, I see the market very similar to 2007. There will be lots of foreclosures as many adjustable rates hike up. It will have to be seen as to what effect the governor and the current administration's plan to help those in need and to freeze many of these troubled loans will have on the real estate market. I think it is safe to say this will help the market by slowing down the glut of foreclosures and to keep the inventory down a little. It is also an election year as well. 2008 will be an interesting year and I feel we will reach the bottom of the market as far as prices go. Taking all the variables into account, I think 2008 will be one of the best times to buy if the market follows the historic California trend data. But as we know, there is no way to be 100% sure. One thing I do know is there is a lot of pent up demand out there with thousands of buyers who will need homes in the near future which is a good healthy sign for our local market. Any thoughts anyone? 

As we come to the end of the year the market has continued to be in a down cycle for the year of 2007 as most of you know. Currently rates are good, and prices have come way down. It is definitely a good time to buy and a very tough time to sell.