Rate cuts will definitely help, but consumer confidence in the market has still not recovered yet.

Quoted: Consumers trying to buy a house or finance a car loan could be the big winners as a result of the Federal Reserve's decision to slash its target interest rate to nearly zero and take other steps to battle the financial crisis and worsening recession

Quadrant is the biggest and one of the most well-known builders in the state. They typically make basic-looking houses in good locations and priced in the lower to middle price range. Affordable prices and good service attracted lots of buyers in the strong times of the RE market.

Like most other builders, though, they are going through harder times. Too much unsold inventory has lead to reduced housing starts and less demand for labor.

This was in the paper yesterday. I sold several units here nearly 2 years ago. The remaiining units have been around for ages. Problems are: layout of the units, prices and where they are situated within the building. BUT, for the new prices, they are a steal.

What people should remember is that one or two units sellig this way will not adversely affect comps on the prices. In this economic climate, it's not going to be uncommon to see some unit owners of large condo buildings get foreclosed on, meaning good deals there as well.

Quoted: A year ago, the condominiums at Press on Capitol Hill were selling in the $300,000s or $400,000s, but at an auction later this month, some of them will start at roughly half their original price.

The release of federal money to help the credit crunch may provide some relief, but it alone may not be enough.

Quoted: With nationwide sales of existing homes falling more than expected last month and the median sales price plunging to $183,000, the U.S. housing market keeps ...

The city's budget is being hurt most by a decline in housing sale revenues, AKA excise tax. At sale, every owner pays 1.78% tax, based upon the sales price of the property. Part of the funds goes to the state, part of it goes to the city.

Decreased property tax revenues from homes that are losing value or will be re-assessed at a lower figure will lead to reduced revenues in the future.

Quoted: In addition, the city is facing a $14 million shortfall in the real estate excise tax. The money comes largely from single-family home sales, which ...

As the corrections continue, Seattle begins to feel more of the economic effects. Thankfully, as Leslie Williams remarked, we have many projects that did not get started. Otherwise, oversupply would be an even bigger problem that would affect housing prices and rental rates.

Quoted: Finally, Portland economist Joe Cortright agreed that the Seattle area was lagging 12 to 15 months behind the national cycle but also noted that its run-up was notably smaller. "You were late to the party, you didn't get as drunk and you're less hung over," he said.

According to the Urban Land Institute's survey, Seattle is #1 on the list for a real estate rebound.

The problem? They polled people within the industry. Howevre, it's a good sign that pros in other cities think so highly of our cities resiliency.

Quoted: Seattle is "a diversified market, has a good base of business and is becoming a 24-hour city," says Stephen Blank, senior resident fellow, finance, of the Urban Land Institute. "It's going to be in a good position to come back."

Quoted: On an eight-point scale reflecting investment value, Seattle was ranked 6.2, according to the 30th annual study of emerging trends in real estate from PricewaterhouseCoopers and the Urban Land Institute.

Some big retail development projects are stalling in the area. Among the most notable is the giant hole by Green Lake, long rumored to be a new site for a very welcome Metropolitan Market. Unfortunately, it seems that the lease situation with Metropolitan Market did not work out and the developer is busy trying to find a new anchor grocery store for the site before development continues.

With few grocery stores close by, one would think that a grocery chain like QFC or Metropolitan Market would jump at the chance to build in this affluent neighborhood. However, the location is prime and I bet the cost to lease such a large space would be astronomical