HOUSING FACTOIDS

These two spell plenty of bad news for Southern Arizona.

From The Economist:

By most measures, prices are still above the levels implied by the fundamentals. Using a model that ties house prices to disposable incomes and long-term interest rates, analysts at Goldman Sachs reckon that the correction in national house prices is only halfway through. They expect an 18-20% correction overall, or another 11-13% decline from today's levels. But their models suggest that six states—Arizona, Florida, Virginia, Maryland, California and New Jersey, could see further price declines of 25% or more.

From CNN Money:

In January, 2006 new homes were coming on the market at an annually adjusted rate of 2.3 million units. The pace of new home construction has now fallen nearly 60% since then, to 947,000 a year.