The Register Guard reports from Oregon. "The Register-Guard's Board of Economists predicts that 2007 will be a year of continued, albeit slow, growth in Lane County. Board member Bill Conerly sounded a note of caution, however, saying he is telling his business clients they need to plan for a worsening scenario."

"A year ago Conerly, an economics consultant based in Portland, put the chance of a nationwide recession at one in 10. Now, he is putting it at between one in 10 and one in five. Conerly cites a housing market that he says is overbuilt nationally and the volatility of the economy locally as the causes for his concerns this year."

"(Economist) Ed Whitelaw in Eugene, said he, too, was concerned about the housing market, particularly the growing percentage of people's wealth, or savings, that is in their homes. Foreclosures in Oregon are increasing, Whitelaw said, which he found troubling."

"Brian Rooney, regional economist with the state Employment Department, said he expects construction in Lane County to slow down in 2007, 'but I don't expect it to drop off the face of the Earth.'"

"Financial services, Rooney predicted, 'will be flat as a pancake' in terms of hiring, because of a slower residential market."

The Daily World from Washington. "Home prices in Grays Harbor County rose again in 2006, but the total number of homes sold dropped. The beach and East County markets, which had been booming, saw the biggest decline. Real estate agents are now describing those areas as 'buyer’s markets' for the first time in several years."

"The trend toward more expensive homes began in 2004, when county-wide prices started to rise at a faster-than-usual clip. Prices at the beaches and in East County rose far faster than in Aberdeen and Hoquiam, buoyed by second home buyers and overflow from Thurston County."

"Russ Hutchinson, an agent in Ocean Shores, said the market 'is definitely trending toward a buyer’s market. We’re a little flooded with houses, so there’s a big supply and not that high of a demand.'"

"'People are listing their homes on last year’s market, and things have changed,' said Don Cheli, an agent in Elma. 'It’s hard for us to sell those properties at the prices people want to sell them.'"

"Cheli said what’s happening here is happening everywhere. 'It’s definitely a trend right now, so it could change. But people will have to start lowering their asking prices if they want to sell.'"

"'The new building that’s going on has hurt us,' he said. New home building doesn’t appear to have slowed down like the existing home market. Grays Harbor County issued 177 permits for new homes in 2006, compared to the 179 it issued in 2005, which nearly doubled the 2004 number."