Nationally, sales declined by 10.1 percent in the fourth quarter compared with the same period a year ago. The national median price – the point where half sell for more and half sell for less — fell to $219,300, down 2.7 percent from the fourth quarter of 2005.
While there is no agreed upon definition of bubble bursting, a almost 3% decline certainly can’t be seen as a “bursting bubble” can it?
In all, median home prices fell in 49 percent of the 149 metropolitan areas surveyed, the largest percentage of areas showing price declines in the 27-year history of the Realtors’ price survey.
Again hardly data of bubble bursting proportions.