What went down, must come up

Would you believe that housing prices are on the rise? 

Believe it or not, in the third quarter of 2008 according to the National Association of Realtors, "28 out of 152 metropolitan statistical areas showed increases in median existing single-family home prices." That is over 18%. Said another way, one in five major metropolitan areas are experiencing a rise in the value of their homes.

If you don't believe me. Read the whole story here.

And, as the chart to the left suggests, the national decline in home values is beginning to level off.

Further evidence of a this housing market turn-around was reported on Wednesday (12/3).  Mortgage applications surged by the largest amount on record in the last week of November as a new Federal Reserve program pushed interest rates down to their lowest level in more than 3 years. The Mortgage Bankers Association said its seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, for the week ended November 28 "soared a by a record 112.1%"

You heard that right my friend. Mortgage applications are soaring. I doubt they are sub-prime.

It's December 2008, Ho, ho, ho.