The Boston Globe reports from Massachusetts. "Massachusetts single-family housing sales had their worst December since 1991, and the median sale price for a single family home fell 8.1 percent to $310,000 in December 2006. Those are among the conclusions of a report issued today by the Warren Group."

"On a volume basis, December single-family home sales fell 8.4 percent from December 2005 to 4,037, the lowest level for December since 1991, the report said."

"'We’re still in the midst of a market correction which began in the latter stages of 2005,' said CEO Timothy Warren, Jr.. 'Sales are still falling below year-before levels, and prices are still under pressure, as buyers and sellers are sorting out the market.'"

"The median sale price for a single-family home dropped to $325,000 in 2006, down 5.8 percent from $345,000 in 2005. The 5.8 percent drop was the first since 1993 and the biggest since 1990, when prices fell by 5.9 percent. The annual median sale price for single-family homes had risen 12 straight years, from 1994 through 2005, after falling five straight years from 1989 through 1993."

"Condominium sales in 2006 fell 12.9 percent, with 30,203 units being sold compared to 34,672 in 2005. The median sale price for Massachusetts condominiums fell 1.2 percent in 2006, to $275,000 from $278,379 in 2005. The drop was the first since 1992."

"It's a word that instills fear in homeowners, foreclosure. Hundreds of property owners south of Boston experienced this last year when the housing market cooled and foreclosure notice filings increased at a rapid pace."

"In Bristol, Norfolk, and Plymouth counties, the total number of filings in 2006 is likely to be more than double that in 2004, according to ForeclosuresMass.com. Foreclosure notice filings in the first 10 months of last year increased 129 percent compared with the same period in 2004. From January through October last year, there were 1,453 filings in Bristol County, 1,130 in Norfolk County, and 1,780 in Plymouth County."

"There's no doubt the number of foreclosure notices filed in Massachusetts has increased dramatically in the past two years. The escalation, said Peter Ruffini, who is president of the Plymouth and South Shore Association of Realtors, reflects the conditions of the real estate market as it slumped."

"One reason for the increase in filings was that properties were staying on the market longer, which prevented some homeowners from selling their property as an alternative to foreclosure, he said. 'The average market time skyrocketed, to 120 to 180 days. If you're in that situation and you need to sell, it puts you in a tough spot,' he said."

"Sheila Farragher-Gemma, founder of ForeclosuresMass.com, predicted the total statewide foreclosure figures from last year will break the previous record set in 1991. The 2006 figures are still being compiled, but it appears the Bay State will have had upward of 17,000 foreclosure notice filings, surpassing the previous high 15 years earlier."

"Foreclosures 'have been steadily increasing since 2004," Farragher-Gemma said. And there's no sign this trend is slowing down -- at least not yet. 'I think it's going to continue this year, and possibly into 2008,' she said."

The Intelligencer from Pennsylvania. "Area home prices rebounded in December after falling for three straight months. Some homeowners continue to do well. Marianne and Chris Zoto sold their Doylestown Township townhouse in June for $475,000."

"The Zotos may have caught the tail end of the housing price wave that drove values higher throughout the area in recent years. Houses in the same Doylestown Township neighborhood are now going for as little as $375,000, said Marianne Zoto, who's also a part-time real estate agent."

"'It's a buyer's market right now, not a seller's market,' said Stacy Gallagher, who has been trying to sell her Warwick townhouse for three months. Gallagher has already cut her asking price for the three bedroom, 11/2 bath house from $229,000 to $219,000, and says she's very close to accepting an offer for $206,000."

"'I pretty much have to get out of it, so we're settling for whatever we can get,' said Gallagher."

"'Frustrating' is how Bill Turner describes the real estate market. Turner and his wife have been trying to sell their three bedroom, two bath Warminster ranch house since October. 'We've had a lot of people come through, but so far no one's made an offer,' Turner said."

"The Turners have cut their price once, from $265,000 to $254,900, and may do so again. They're moving next month to a 55-and-older community. 'I don't know what the problem is, other than it's just a bad time to sell,' Turner said."

"It's clear that at the moment, as through much of 2006, that is taking longer. 'Now, it's almost like a stalemate ... in the game of real estate chess,' said Herman Petrecca, a real estate agent in Warminster."