The Reno Gazette Journal has this report from Nevada. "For the first time since the housing boom began, Reno, Sparks and the North Valleys showed year-to-year declines in the median price, according to the latest sales data. And the resale value for existing homes in Reno showed a second consecutive month of declines in May."

"Donna and Robert Kizer of Sparks have been trying to sell their three-bedroom Springland Drive home for three weeks and haven't been encouraged by the limited traffic. 'It's only been three weeks, but there's just been nothing,' Donna Kizer."

"Robert Kizer is waiting to take a job in Anchorage and every day the house goes unsold is another day the Kizers take money out of their savings. 'It's really scary what's happening here,' Donna Kizer said. 'The market's flooded. You drive down the street and there's like three houses on every street.'"

"A glut of homes for sale have taken its toll on the once-booming local real estate market, said Nancy Fennell, president of the largest residential real estate firm in Northern Nevada. 'We're looking at parts of our market with seven months to over a year in inventory,' Fennell said."

"But sellers seem to be adjusting to the 'buyer's' market. The listing price for existing homes fell, year over year, in May in all three areas, the first time this year that has happened."

"The declines surprised Brian Kaiser, analyst at the University of Nevada, Reno. 'I wasn't predicting a drop,' he said. 'I know over the last couple months we knew it was slowing dramatically. I would have guessed intuitively, based on the rest of the economy, that (increases) would have stayed in the single digits, maybe 2 or 3 percent.'"

"'But given the astronomical rate of increase that we saw in previous years, this sort of adjustment isn't that shocking,' he said."