The LA Times reports from California. "If all you have ever wanted for Christmas was a second home in Mammoth Lakes, this may be the season Santa delivers. The current market is so glutted with unsold units that even St. Nick might pounce if prices start to melt. The numbers tell the Mammoth Lakes story: There are 217 condos listed for sale and 220 licensed realty agents trying to sell them."

"The 2006 fall buying season was as flat as a dying aspen leaf. Only 124 condos and 20 homes were sold from June 1 to Nov. 1. That compares with 214 condos and 53 homes in the same period last year."

The Press Enterprise. "The cooling housing market finally caught up with Inland builders last month, as the construction sector posted some of its biggest job losses of the year, according to a report. Though economists have predicted construction-job losses for most of the year, this was the first time the losses were reflected in the state's job numbers."

"'While sales of houses had slowed considerably, many of the construction companies already had projects on the books and continued working,' said John Husing, a Redlands-based economist."

The Press Democrat. "The jobless rate in Sonoma County unexpectedly rose in November as retailers kept a tight grip on hiring while construction companies and manufacturers continued to lay off workers, the state reported Friday."

"'It is a signal that in general the economy is slowing down,' said Robert Eyler, director of the Center for Regional Economic Analysis at Sonoma State University. 'This is the bread and butter stuff that happens at the end of a recovery and beginning of a recession.'"

The Record.net. "The median home price in San Joaquin County has dropped 13 percent since January, as free-market gravity took hold of the Valley's once-booming real estate industry. But that still is not enough to make owning a home affordable to thousands of San Joaquin County residents."

"Fred Sheil believes 2006 is just a prelude to an even greater decline that will bring real estate back on par with the county's wages. 'They've run out of people that can afford to buy a $500,000 home,' said said Sheil, who builds and rehabilitates homes for local low-income families. 'Who else are they going to sell to?'"

The Gilroy Dispatch. "Home prices in Gilroy have been steadily declining during the past year, but that doesn't necessarily mean now is the right time to buy. From November 2005 to November 2006 the median price for a home has dropped from $739,000 to $687,000, a 7 percent slide, according to REInfoLink database."

"The lower prices and good interest rates have local real estate agents advising those looking for a home to take advantage of what they are calling a buyer's market. 'There is no reason not to buy,' said (realtor) Susan Jacobsen. 'There is more supply and less demand than there was a year ago and this is a great time for buyers to negotiate.'"

"Despite claims by real estate agents that the time to buy is now, John Mark Brady, an economist at San Jose State University, said that buyers will be better off waiting a few months. 'Prices have gone down, but they will continue to go down,' Brady said. 'In my opinion, buyers - if they can - should try renting for a while as prices come down farther.'"

"Buyers like Gilroy resident Juan Biruetta said that it is still too expensive to buy a home. 'It's not a good time to buy. The prices are too high,' said Biruetta, 19, who was told by lenders and real estate agents that right now is a good time to buy. He is in the process of buying a home in Madera, six rooms on two acres, for $400,000."

"But the question remains how real-estate agents believe most people will be able to afford homes. Yahoo Real Estate lists the median annual family income in Gilroy at $65,330 a year, not enough to afford a monthly mortgage on a median-priced $687,000 home. In Morgan Hill the median home price is $775,000."

"To afford a median price home in Gilroy, a household would need to earn an annual income $162,099 to afford a 30-year, 6-percent fixed-rate mortgage, according to Interest.com."