The Sun Sentinel reports on the reaction to one economists speech yesterday. "Florida's housing market probably won't improve in 2006, but the long-term outlook remains promising, the chief economist for the National Association of Realtors said Thursday. 'Is this a bad year? Yes,' David Lereah told more than 400 people in West Palm Beach. 'Are you going to bust? No.'"

"Lereah predicted that price increases for existing homes in South Florida will fall to about 5 percent and that sales declines in many markets will continue at double-digit clips. The state's housing industry should pick up in the middle of 2007, Lereah said. 'Particular markets may not, depending on inventory levels,' he said."

"Listings have more than doubled in Palm Beach County. The situation is even worse in Broward, where listings have more than tripled."

"Lereah blamed Wall Street analysts and the media for perpetuating negative hype regarding the housing slowdown. 'They're telling us we're in a bubble and that we're going to come crashing down,' he said. 'There is nothing that could be further from the truth.'"

"Some question the economist's alliance with the Realtors trade group and the fact that he wrote a book titled 'Why the Real Estate Boom Will Not Bust; And How You Can Profit From It.' But Lereah insists he's not being unfairly optimistic. Although he remains positive about Florida, other areas, such as San Diego, could face sustained slowdowns because of flawed market fundamentals, he said."

"Mike Morgan, a Stuart broker with clients in Palm Beach County, said it could be two years before the housing market rebounds. He said it's so slow that builders are paying buyers' mortgages for six months and giving agents double commissions. Individual sellers also are offering incentives. Lereah is not preparing the industry for rough times ahead, Morgan said. 'It was more of a pep-rally speech than anything else.'"