Here's an article about the current state of real estate ...
July 11, 2006
Reuters News
Despite all the warnings about a housing bubble about to burst, 2006 still will be the third-strongest year on record, according to mortgage finance company Freddie Mac."
Although the direction of housing activity is unambiguously heading cooler, we remain confident that the climate is still temperate,” Freddie Mac says in its monthly economic outlook.
Freddie Mac expects 30-year mortgage rates to average 6.8 percent for the remainder of 2006, and for gross domestic product to grow 3.5 percent this year, slowing to 3.3 percent growth in 2007. Consumer prices are expected to rise 3.1 percent in 2006 before downshifting to a 2.5 percent increase the following year.
Freddie Mac predicts the economy will generate 1.6 million to 1.8 million new jobs this year. It forecasts that the unemployment rate will rise to 4.8 percent by the final quarter of this year and climb to 4.9 percent in 2007.
Freddie Mac also forecast housing starts to fall 7 percent from 2005 to 1.92 million units in 2006 and drop another 9 percent in 2007 due to rising home prices and mortgage rates.
Labels: Corona, Foreclosure, Home Prices, Inland Empire, Loan Modification, Moreno Valley, Murrieta, Real Estate, Riverside, Short Sales, Statistics, Temecula
