By GAY MARSH
Real Estate Broker/Salesman
St. Augustine, Florida

(ST. AUGUSTINE) - In light of the recent events in New York, Washington D.C., and Pennsylvania, there have been revised expectations in the housing market. Economists Case, Shiller, and Weiss have looked at home prices in 20 major markets and revised projections for the next 12 months. This report is based on recorded sales, employment prospects, and the number of people setting up households.

Places such as Boston and Philadelphia will have some decline in the projected increase in pricing of housing but will have a relative stable local economy because supply and demand are said to be in balance.

Los Angeles, San Diego, and New York, will be hit the hardest. Local economies in northeast Florida will be undermined by declines in tourism, flight activity, and stocks‹and consequently some of the big growth in the price of homes will not meet the forecast.

In the midwest, Chicago, Cleveland, Detroit, and Minneapolis will not be affected as much because of a stable local economy.

One city projected to have a growth rate is Washington D.C. While the attack on the Pentagon will reduce tourism, this will be offset by increased defense and research spending.

The Real Estate Journal provides continuous updating from the Wall Street Journal. For more go to www.realestatejournal.com.

Again, before last week, real estate was one of the brightest spots in the fading economy but now, with the recent terrorist attacks, there are signs of broad and varied impacts on the housing prices.

Marla Martin, Communication Manager of the Florida Association of Realtors (FAR) says that different Realtors said that during the first week of the attacks people were very cautious, but that inquiries are up again in recent days. Any works in process are proceeding and people are expressing confidence in the real estate market here in the northeast section of Florida. This had been the trend before the attacks, so for now, things basically are back to normal.

Marion Blanchard of the St. Augustine and St. John's County Board of Realtors said that most information indicates that the local real estate market will continue to be strong.

Personally, my web page has been receiving more hits and those hits are coming from the northeast sector. From all indications it looks like local housing demand will continue. Gay Marsh, Realtor/Broker, is with Premier Properties Realty Group in St. Augustine.