1) Lower home prices - yes, prices are going down, especially here in the west, and specifically, Phoenix, Scottsdale, Fountain Hills and other East Valley cities where we saw one of the biggest national drop. Inventories remain high. However, lower prices are creating buying opportunities which we haven't seen in several years

2) Easing of interest rates - simple. Lower interest rates allow one to buy the same home with a more affordable monthly payment. Although, credit is a little more difficult to come by. Stricter lending terms, larger down payment requirements make the likelihood of future foreclosures less and a prolonged housing recession less likely

3) Buyer confidence is returning - Buyers dictate pricing. Period! Lower home prices and better interest rates make buyers more eager to dip a toe in what has been a scary real estate pool. Buying can have a positive effect on consumer and home buyer sentiment pushing this housing negativity further back in our rear view mirror.

we may not be here yet, but I will venture to say we are close