It seems that a lot of the talking heads are saying that we are still heading down hill. I'm not sure if that's the case. My view of the current real estate economy in Southern California is a bit more positive. More specifically the Santa Clarita Valley (Valencia, Saugus, Newhall, Castaic, Canyon Country, Stevenson Ranch and West Ridge) and the San Fernando Valley. While we all realize that the real estate market in both the Santa Clarita Valley and the San Fernando Valley has declined 20% to 25% over the past year or two. Our office Vintage Sotheby's International Real Estate in Valencia, California is starting to see a glimmer of hope. While the real estate market is saturated with short sales and foreclosures (REO - real estate owned). We are starting to see a tremendous amount of activity with multiple offer being common place. We could be experiencing a small flurry of activity or we could be approaching the bottom of the market. We probably won't know for 6-8 months. At any rate it is still a very good time to buy. Prices are low, interest rate are low and the supply of housing is better than it's been in years.