Prices, Sales Tumble, But That's 'Getting Back To Normal'

Phoenix: Prices, sales tumble, but that's 'getting back to normal', from the USA TODAY, reports that asking prices in the Phoenix area have dropped about 25% this year, says David Khalaj, an agent at Realty Executives. Existing single-family home sales tumbled 34% in the first nine months of this year compared with the same period last year, and condo sales were off 24%. New home permits for single family homes were down 23% through August. The declines appear so dramatic because Phoenix's housing market last year was so hyperinflated. "Last year was just one of those atrocities that happens rarely", in terms of bidding wars and soaring prices, said Camille Sullivan, also an agent at Realty Executives. "I've never seen it before, and I've been doing this for 25 years. It was a very difficult time." Sullivan said the market is "stabilizing and getting back to normal". There area now about 47,000 homes for sale. That's about an eight-month supply, about the national average.



http://www.usatoday.com/money/economy/housing/2006-10-16-close-phoenix_x.htm