Boom's over,Soft landing seen for housing market

The Chicago Tribune reports:

America's historic real estate boom is cresting, and the rate at which home prices appreciate should begin to slow significantly next year, according to the chief economic forecaster for the National Association of Realtors.

It was the closest statement yet to an admission by the real estate industry that the bull market for housing may have run its course.

"It's the peak of the boom," David Lereah said at the Chicago-based trade group's annual meeting, which ended here Monday. "But we're looking at a soft landing next year. I can't guarantee that there won't be some hard landings in some markets, where prices will actually decline. In fact, there will probably be two or three over the next two years that do pop."

If Lereah's prediction is correct, the national economic impact of what is to come will be significant.

Since much of the buying of late is beening done by speculators, who's going to prop up prices when they stop going up?