NAR's Housing Market Reports (10/15/05, Bubble Meter)
NAR Releases Local Anti-Bubble Research (10/02/05, Bubble Meter)
For metropolitan Sacramento, CA their anti bubble report (pdf) stated that
The local housing market will experience a price decline of 5% only under extreme unlikely scenarios. For example, mortgage rates rising to 7.8% in combination with 25,000 job losses could lead to a price decline.However, according to data from DataQuick:
The new survey shows that median sales prices for new and resale homes and condominiums in Sacramento County fell 5 percent below July 2005 levels.According to Freddie Mac interest rates on 30yr fixed averaged 6.52 . Jobs are still plentiful in Sacramento as it "showed strong growth in online want ads." [Monster.com] The 'extremely unlikely scenario' where mortgage rates hit 7.8% in conjunction with 25,000 job losses in Sacramento area has not yet happened. Yet, median prices have already declined 5% (YoY) in Sacramento county.
The National Association of Realtors' anti bubble reports will quickly become a laughing matter just like the book Dow 36,000. The National Association of Realtors is losing its credibility.