The National Association of Realtors' Pending March home sales index was lower by one percent. The miracle is that it wasn't worse.

March homebuyers were rattled by news that we might finally be in a recession. Employers cut jobs for the third month straight, and production slowed. Complicating the economy, were credit bottlenecks brought on by banks reluctant to lend mortgage money, despite incredible support from the Feds, including raising conforming loan limits.

March was also the period when investment bank Bear Stearns was brought down by its subprime loan portfolio, and the stock market began shedding its gains in earnest. The Senate Banking Committee, the Financial Services Committee of the House, the Office of Thrift Supervision and other government agencies hammered out programs to save foreclosed homeowners, but Bear Stearns was bailed out instead.

Add to that toxic brew the steady drumbeat of pundits that housing sales haven't bottomed yet, and it's amazing that pending sales held up as well as they did. Mortgage interest rates dropped on the glum news, although it will be a while before we know whether or not rates were tempting enough.

We're talking one percent down, folks, which is hardly worth jumping off the ledge.

In fact, things are already on the upswing again. Just this week, the Mortgage Bankers Association announced that mortgage applications were up for the week ending May 2, 2008 by 15.6 compared to the week before. While that's still down 4.4 percent from a year ago, it's better than expected, considering that adjustable rate mortgages and other non-prime products are out and conforming loans are in.

Purchase applications were up 12 percent, and refinancings also rose. Rates averaged 5.91 percent for 30 year fixed term loans.

Sales will most likely remain flat, say the NAR.

Published: May 8, 2008

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Blanche Evans is the award-winning senior editor of Realty Times, the Internet's leading independent real estate news service. She is featured daily on the Realty Times Video Network in the "Realty Viewpoint" segment. Blanche has been named one of the "25 Most Influential People In Real Estate" by REALTOR Magazine, and has been twice recognized as a "notable." In 2005, she was named "Top Reporter Covering the NAR" by Delahaye-Bacon's. Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68. Order Now Review - Honors In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.       Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans. Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR "The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors Coverage from WSMV, Nashville - 8-14-2007 2007 AE Institute Session - To purchase 2006 AE Institute Session - Parts 1 2 3 4 5 6 7 8 9 HouseValues Mastermind call - Parts 1 2 Blanche's fireside chat with Jeremy Conaway, HAR - Click here. To contact Blanche, email her at . For more articles by Blanche, click here.