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NAR revises 2008 forecast

Real estate roundup

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Resale prices, sales expected to drop 6% this year The National Association of Realtors trade group forecasts that resale home prices and sales will both fall about 6 percent this year compared to 2007. After peaking at a record 6.48 million resale home sales in 2006, this pace dropped 12.8 percent to 5.65 million in 2007 and is projected to drop to 5.31 million this year and then rise 5 percent to 5.58 million in 2009, according to the forecast report. The median price of resale homes is expected to fall from $218,900 last year to $205,300 this year, and to rise 4.3 percent to $214,100 next year. The previous NAR forecast report, released in June, anticipated a 6.4 percent drop in the median resale home price and a 4.5 percent annual drop in resale home sales this year compared to last year. Single-family new-home sales are expected to plunge 32.3 percent this year and 3.4 percent next year, following a 26.3 percent slide in 2007 and an 18.1 percent drop in 2006, with n...