MEDIA BITS

Have you noticed how the media is quick to jump on every gloom and doom fragment of real estate news. You hear the "bubble is bursting!". "Sales are down a gazillion per cent!" "Real estate prices are rising." They don't report that serious buyers are still out there and spring is just around the corner.

The reality is that while sales of homes are off, there are several factors to consider. One it's winter in Cheyenne. Historically this is a slow time of the year. Yes, buyers have been some what reluctant to commit, but that may be because they have been listening to the media and being cautious. Interest rates have recently risen. This may or may not inspire buyers to get out and find that perfect home while interest rates are still low.

Freddie Mac reports that the average 30-year fixed mortgage rate rose to 6.34 percent this week from 6.25 a week ago. Meanwhile, the average interest on a 15-year fixed loan climbed to 6.06 percent from 5.98 percent, and five-year hybrid adjustable-rate mortgages drifted up to 6.04 percent from 6 percent during that same time span. "Interest rates moved higher following the latest upbeat economic news," says Frank Nothaft, Freddie Mac chief economist. He added that while 2006 saw measurable declines in most housing activities, it still ranked as one of the top three years for total home sales on record.