A Washington Post from the Washington Post. "A dramatically slowed housing market has disappointed home sellers and left real estate agents waiting for the phone to ring. The Washington area remains one of the most expensive places in the nation to buy a home. Still, over the past year, as the number of available homes for sale has climbed, prices have flattened or fallen."

"The decline in prices is most evident in the District and Northern Virginia, according to figures released last week. The median price of all types of houses and condominiums sold in the District dropped 12 percent in October from the same month a year earlier, dropping from $425,000 to $375,000, according to the region's MLS."

"Prices fell 6 percent in the same period in the close-in Northern Virginia suburbs, dropping to $458,850 from $490,000, according to MRIS. 'The shoe is on a different foot,' said Diana Whitfield, an agent in Burke. 'Buyers are realizing they are more in control.'"

"Daniel Moshinsky still can't afford the home he would like. Now, though, he is 'hopeful,' he said. 'I hope prices keep falling a little bit longer. So far they haven't fallen enough to be affordable.'"

"The decline in prices is making other buyers wary. Scott McCrimmon has been studying the market for a year, since he and his wife moved to the Washington area from Miami. They are renting a house in Germantown and will wait to see what happens in the spring. 'I have a strong suspicion the market is still a bit overpriced,' McCrimmon said. 'There may be some basis for why others are not buying, so I'm holding back, too.'"

The Baltimore Examiner. "Data from MRIS show the number of houses sold in the region fell 22.29 percent. 'Carroll and Howard counties showed a downturn,' said John McClain, an economist at George Mason University. That downward movement, he said, is 'most likely due to the fact that those areas feature higher-priced homes.'"

"'High-priced homes are taking longer to sell, as buyers proceed cautiously in light of the softening market nationwide,' McClain said."

"In the region, the number of days a house stayed on the market climbed to 70, a 79.49 percent jump from the same month in 2005, according to MRIS data. In Anne Arundel County, it’s 81 days, up 97.56 percent."

"The average selling price in Carroll County in October was $352,995, down 4.76 percent from October 2005. In Howard, it was $416,736, down 2.11 percent for the same month a year ago."

"In the popular Baltimore City neighborhood of Federal Hill, the numbers are staggering. The average sale price of a home fell 3.11 percent in October, to $246,261 from $254,163 the same month a year ago."

"The total number of homes sold during the month — 71 — was down 26.04 percent from October 2005. And the average number of days on the market skyrocketed 238.24 percent to 115 days."

"Local governments across the region are considering cutting spending or raising taxes in the coming year because of a decline in revenue growth caused by the housing downturn. Officials in Arlington and Prince William counties and Alexandria said yesterday that they are projecting budget shortfalls."

"Maryland officials said they are seeing sharp declines in recordation and other tax revenue connected to the housing market."

"Local governments in Virginia by law cannot run budget deficits, so to balance their budgets for the fiscal year that begins July 1, officials must make up millions of dollars in shortfalls by cutting spending or raising taxes."

"In Loudoun, officials are warning of spending cuts, likely in schools, or an increase in the tax rate...for such public projects as schools, firehouses and roads. Loudoun led the region this year in the growth of property assessments at 28 percent, but housing assessments are forecast to plummet to negative figures during the 2008 budget year, officials said."

"'The situation has deteriorated a little bit and is expected to deteriorate further,' said Loudoun budget manager Ari Sky."

"Houses are taking more than twice as long to sell, and the average price of a home in Northern Virginia last month was $524,236, a 4.7 percent drop from the previous year."

"Because of the steep drop in taxes linked to home sales, council member Marilyn Praisner said she warned the school system and the public works department to be 'cautious about asking for anything new' in next year's capital budget."