National Housing Report - thebubblebuster.com

SUMMARY HISTORY PEAKS & TROUGHS FORECASTS

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The prior five years saw good nominal and real price growth. However, despite strong job gains and historically low mortgage rates, price growth began generating concern in the middle of 2005. (This is determined by removing the period of the late 1970s and early 1980s which had abnormally high mortgage rates) This resulted in a nearly stagnate market in 2006 with nominal prices actually falling for the first time ever. In 2007 nominal prices should continue to decline as the mortgage debt servicing cost heads towards recent historical levels.

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Year	Nominal Price History	Nominal Price Growth	Real Price History	Real Price Growth	National Mortgage-Debt-to-Income Ratio
2002	$149,500	7.4%	$166,500	4.7%	16.8%
2003	$161,200	7.8%	$176,300	5.9%	17.5%
2004	$180,200	11.8%	$192,300	9.1%	18.8%
2005	$204,100	13.2%	$211,900	10.2%	21.5%
2006	$216,100	5.9%	$217,800	2.8%	21.6%
2007	$212,300	-1.8%	$212,300	-2.5%	21.1%

NATIONAL REPORT - Q1:2007