Market-by-Market Home Price Analysis Reports-How does your city rank?

Market-by-Market Home Price Analysis Reports

These downloadable 10-page reports show that the facts simply do not support the possibility of a housing bust -- not for these 135 markets and not for the nation.

http://www.realtor.org/research.nsf/pages/Anti-BubbleReports?OpenDocument

Catching Our Breath

Catching Our Breath by David Lereah, Chief Economist

For the past five years (2001 to 2005) the real estate boom gave us as much as we asked for – and more. Home sales registered record numbers for four consecutive years. Inventories were lean and price appreciation was running at high levels. The collective wealth of property owners grew by over $4 trillion during this period. Those in the real estate industry also fared well: REALTORS®, homebuilders and mortgage lenders all shared in a growing revenue pie. You could say that “everything was coming our way” during the boom. But I remember what my father said to me when he taught me how to drive a car. He said: "When everything is coming your way, you are probably in the wrong lane!"

We can apply my dad’s lesson to today’s real estate markets. We got fat and some of us got too confident. With housing markets running wild, discipline was in short supply. Some of us moved away from the fundamentals that keep housing on track. The hot housing market attracted a high number of speculators; flipping became a fad; and pre-construction deals were in high demand. Overconfidence also led to loose credit standards, as lenders offered a heavy dose of interest only mortgages, option adjustable-rate mortgages (negative amortization) and low down payment and low documentation mortgage loans to virtually anyone who wanted to purchase property. Boomers purchased second homes without a second thought and condominium conversions were in vogue.

Everything Has Limits

Almost everything has limits, even real estate markets. You cannot sustain a record-setting sales pace forever. Double-digit price appreciation may be a boon for sellers, but eventually a market becomes unaffordable. So the party is now over, and the punch bowl is empty. Officially, I would say the boom ended in August 2005, and real estate markets have been cooling ever since. Price appreciation, which was 13 percent in 2005, has slowed to a 7 percent pace as of this writing. The - metros of the past several years are now experiencing 5 to 10 to 20 percent declines in home sales during the first half of this year. Days-on-market has been lengthening and housing inventories building.

The Bright Side

But there is a silver lining to the new real estate marketplace. Not all local markets are cooling, just markets that boomed in the past. The non-boom markets, like Houston and Cincinnati are gaining momentum, having registered double-digit home sales gains during the past several months. The non-boom markets are also losing inventory, not adding to it. Another positive outcome is that the cooling boom markets are shedding themselves of speculators. Both investors and speculators are exiting local markets, permitting basic fundamental investing to come back. Once-hot real estate markets are undergoing a cleansing and becoming more affordable.Looking forward, my best guess is that the non-boom housing markets will continue to grow for the remainder of this year, while the boom housing markets will continue to cool, but under a soft landing scenario – sales will fall and price appreciation will remain positive but slow. The U.S. economy promises to provide a favorable backdrop for housing activity, generating both job gains and income gains. Under an optimistic but likely scenario, home sales bounce back in 2007 with most metro markets across the nation posting modest increases.

Depends on the Fed

There is another influence to watch, and that is the Federal Reserve Board. The health of the housing sector is more dependent on Federal Reserve monetary policy than it was a year ago. Some metro housing markets are now vulnerable to rising interest rates due to the high concentration of interest-only loans in those mortgage markets and a relatively high number of interest-sensitive investors holding properties. Thirty-year mortgage rates are approaching 6.75 percent and if rates go beyond 7 percent, some metros could experience some price softening. Higher rates could also result in higher delinquency and foreclosure rates.So, except for a few local markets softening, the rest of the nation’s real estate markets are expected to survive this year of contraction rather nicely. By early 2007,we could actually be in a healthier market environment compared with 2005. All it takes is some time to correct and catch our breath in 2006.

Prices Begin to Cool

Metro Home Prices Begin to Cool but Appreciation Remains Strong

WASHINGTON (May 15, 2006) – The growth in single-family home prices continued to cool in the first quarter, but many metropolitan areas are still showing double-digit annual gains, according to the latest survey by National Association of Realtors®. At the same time, metro area condo price appreciation has generally cooled to normal levels.The association’s first-quarter metro area single-family home price report, covering changes in 149 metropolitan statistical areas,* shows 60 areas with double-digit annual increases and 16 metros experiencing price declines.The national median existing single-family home price was $217,900 in the first quarter, up 10.3 percent from a year earlier when the median price was $197,600. The median is a typical market price where half of the homes sold for more and half sold for less. In the fourth quarter of 2005, the annual rate of home-price appreciation was 13.6 percent.David Lereah, NAR’s chief economist, said the market is responding to the improvements in inventory. “With the supply of homes picking up very nicely in many areas of the country, pressure is coming off of home prices,” he said. “By the time we report second quarter data, I expect most areas will be returning to normal rates of price growth in the single-digit range. Consumers generally can expect normal price appreciation for the foreseeable future, providing solid returns over time.”Metro area condominium and cooperative prices, covering changes in 56 markets, show the national median existing condo price was $224,100 in the first quarter, up 5.2 percent from a year earlier. Twenty-seven metros showed double-digit annual gains in the median condo price, and five areas had declines.NAR President Thomas M. Stevens said inventories have picked up more strongly in the condo sector. “Although we continue to have areas of hot growth, we’re finding more broadly balanced conditions across the country in the condo market,” said Stevens, senior vice president of NRT Inc. “Condos have good fundamentals given the demographics of buyers, with baby boomers focused on the high end and their kids on more affordable units. However, in a handful of areas where there may be an oversupply, prices may level-out, so the longer your time horizon the better your investment,” Stevens said.The national condo price is higher than the median single-family home price because there is a high concentration of condos in the most expensive metropolitan areas. Within a given area, the typical single-family home costs more than the median condo price.The largest single-family home price increase was in the Phoenix-Mesa-Scottsdale area of Arizona, where the first quarter price of $268,300 rose 38.4 percent from a year ago. Next was Orlando, Fla., at $260,500, up 34.0 percent from the first quarter of 2005. Gainesville, Fla., with a first quarter median price of $210,100, increased 31.9 percent in the last year. Median first-quarter metro area single-family prices ranged from $52,500 in Danville, Ill., to 14 times that amount in the San Jose-Sunnyvale-Santa Clara area of California, where the median price was $746,800. The second most expensive area was the San Francisco-Oakland-Fremont area at $720,400, followed by the Anaheim-Santa Ana-Irvine area (Orange Co., Calif.), at $712,600.Other low-cost markets include, Decatur, Ill., the second least-costly metro, at $80,000, and the Youngstown-Warren-Boardman area of Ohio and Pennsylvania, with a first-quarter typical resale home price of $81,100.In the condo sector, the strongest gains were in the Phoenix-Mesa-Scottsdale area, where the first quarter price of $179,600 rose 38.0 percent from a year ago. In the Honolulu area, the median condo price of $309,000 rose 34.9 percent from the first quarter of 2005, while Miami-Fort Lauderdale-Miami Beach, at $221,500, increased 31.4 percent. The condo price series will be expanded in the future as more data becomes available.Metro area median existing condo prices ranged from $97,400 in Bismark, N.D., to $615,300 in San Francisco-Oakland-Fremont. The second most expensive reported condo market was Los Angeles-Long Beach-Santa Ana, at $404,600, followed by the San Diego-Carlsbad-San Marcos area of California at $382,200.Other low cost condo markets include Greensboro-High Point, N.C., at $108,000, and Dallas-Fort Worth-Arlington, at $112,800.Regionally, the strongest increase in the median existing single-family home price was in the West, where the price rose 12.0 percent to $344,000 during the first quarter. After Phoenix-Mesa-Scottsdale, the strongest increase in the West was in Spokane, Wash., at $172,100, up 26.3 percent, followed by Eugene-Springfield, Ore., at $223,600, up 25.3 percent from the first quarter of 2005, and the Tucson area, at $248,600, up 24.9 percent. In the Midwest, the first-quarter median existing single-family home price of $158,800 rose 6.7 percent from a year earlier. The strongest metro increase in the Midwest was in Waterloo-Cedar Falls, Iowa, where the median price of $109,700 was 26.8 percent higher than the first quarter of 2005. Next was Decatur, Ill., up 14.3 percent, and Cedar Rapids, Iowa, at $134,600, up 13.4 percent in the last year.In the Northeast, the median resale single-family home price during the first quarter was $285,200, up 6.6 percent from a year ago. The strongest increase in the region was in Elmira, N.Y., at $88,500, up 18.8 percent from the first quarter of 2005, followed by Trenton-Ewing, N.J., with a median price of $264,900, up 17.5 percent, and Atlantic City, N.J., at $251,700, up 15.8 percent.In the South, the median existing single-family home price was $179,700 in the first quarter, up 6.6 percent from a year earlier. After the Orlando and Gainesville areas of Florida, the strongest increase in the South was in Ocala, Fla., at $159,800, up 30.8 percent from the first quarter of 2005. Next was the Virginia Beach-Norfolk-Newport News area of Virginia and North Carolina, where the first quarter median price of $221,100 was 27.1 percent higher than a year ago, and Deltona-Daytona Beach-Ormond Beach area of Florida, at $212,600, up 25.4 percent.View Charts.The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing more than 1.2 million members involved in all aspects of the residential and commercial real estate industries.
# # #*Areas are generally metropolitan statistical areas as defined by the U.S. Office of Management and Budget. A list of counties included in MSA definitions is available at: http://www.census.gov/population/estimates/metro-city/0312msa.txtNational and regional quarterly prices have been revised back through 1989; the only revision to the metro price series is the normal annual revision for 2005 with revised fourth quarter data. The fixed reporting sample of representative multiple listing services for national and regional data has been updated to reflect geographic changes over time. In addition, regional weights have been updated and aligned to the 2000 Census, but changes in price patterns are consistent with previously reported data.Regional median home prices include rural areas and samples of many smaller metros that are not included in this report; the regional percentage changes do not necessarily parallel changes in the larger metro areas. The only valid comparisons for median prices are with the same period a year earlier due to seasonality in buying patterns. Quarter-to-quarter comparisons do not compensate for seasonal changes, especially for the timing of family buying patterns.NAR began publication of metropolitan area median single-family home prices in 1982; the metro area condo price series was launched earlier this year when fourth quarter 2005 data was reported.Because there is a concentration of condos in high-cost metro areas, the national median condo price is higher than the median single-family price. In a given market area, condos typically cost less than single-family homes. As the reporting sample expands in the future, additional area will be included in the condo price report.Tables of metropolitan area median prices, percent changes and some historic data are available at the site below – under Research, click on Existing Home Sales, then Metropolitan Area Prices.

FHA Reforms

NAR: FHA Reforms Would Open Doors To Homeownership For Millions of Hard-Working Families

WASHINGTON (May 24, 2006) – The National Association of Realtors® strongly supports the passage of the Federal Housing Administration reform package approved today in a mark-up vote by the House Financial Services Committee led by Congressman Bob Ney (R- Ohio) and Congresswoman Maxine Waters (D-Calif.). H.R. 5121, the Expanding American Homeownership Act of 2006, would raise FHA loan limits, eliminate restrictive down payment requirements, provide risk based mortgage insurance premium flexibility, and extend the possible terms of FHA loans from 30 years to 40 years. All of these changes will help make homeownership more attainable.“The Expanding American Homeownership Act will make FHA a more viable tool for first-time home buyers and lower and moderate income families and many others pursuing the dream of homeownership. It is also the most substantive FHA reform legislation undertaken by Congress in over 15 years. Not only will hundreds of thousands of additional families have the opportunity to own their own home, but this legislation will improve FHA’s relevance and competitiveness in the housing market,” said Congressman Ney following today’s successful committee mark-up. “On a typical loan, these changes will save many families hundreds of dollars per month – opening the door to the American Dream for thousands,” said NAR President Thomas M. Stevens. “We commend the House Financial Services Committee for taking this important step to make FHA once again competitive in the home mortgage arena. With interest rates climbing and housing prices at all time highs, it is imperative to have a modernized, effective FHA product.” NAR also announced the formation of a coalition designed to help move this legislation ahead in Congress. The Coalition for a Strong FHA, led by NAR, is made up housing industry leaders including the National Association of Home Builders, National Council of State Housing Agencies, National Alliance of Independent Mortgage Bankers/Lenders One, National Association of Hispanic Real Estate Professionals, National Association of Real Estate Brokers, National Association of Local Housing Finance Agencies, Asian Real Estate Association of America, and the Strategic Alliance for Mortgage Subsidiaries.The coalition is expected to become an advocacy force for the housing market. The coalition’s mission is to ensure FHA reform is enacted and that it becomes a competitive option. Additional information regarding the coalition is available at www.strongfha.org.“For over 70 years, the Federal Housing Administration has made homeownership possible for millions of Americans at no cost to taxpayers. With the proposed reform legislation, FHA will continue to make homeownership available for millions,” said Stevens.NAR and its Coalition for a Strong FHA partners urge House Members to cosponsor this legislation and urge the House leadership to schedule time for House floor consideration as quickly as possible following the Memorial Day recess.The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.3 million members involved in all aspects of the residential and commercial real estate industries.

Commercial Real Estate

Commercial Real Estate Continues Uptrend

WASHINGTON (May 18, 2006) – The expanding economy is pulling commercial real estate along with it, creating strong demand for space. At the same time, institutional investors are returning to the market, according to a commercial market update and forecast presented here at the National Association of Realtors® Midyear Legislative Meetings & Trade Expo. David Lereah, NAR’s chief economist, said the market fundamentals are improving. “Commercial real estate vacancy rates are falling and rents are rising as the economy expands and jobs are created,” he said. “Growth in the Gross Domestic Product is fairly strong and consumer spending remains healthy. Business spending is on the rebound, and the completion of new commercial buildings has shown positive growth over the last two years.”Government spending is providing support to the commercial sector, increasing over 2 percent in the first quarter of the year. Strong corporate profits mean businesses are in the position to expand, wages are growing and 2 million jobs have been created in the last year. Imports and exports remain at high levels, fueling port business and industrial activity.“Unemployment is near a ‘natural’ rate for the U.S. economy, so it doesn’t get a lot better than this in terms of factors that drive the commercial real estate market,” Lereah said.Several factors could curtail growth: Oil prices are exerting inflationary pressure, interest rates have been rising and construction costs are increasing. “The Consumer Price Index has been trending up over the last two years with relatively higher inflation,” Lereah said. “As a consequence, the Fed has had to raise interest rates to keep inflation in check. Fortunately, it appears the Fed is near the end of its cycle of raising interest rates.”Construction costs have been rising faster than the rate of inflation due to global economic expansion. “It really gets down to the law of supply and demand, and right now, construction materials are in high demand in Asian and other overseas markets,” Lereah said.On the upside, capital is continuing to flow into commercial real estate at strong levels, and delinquencies have fallen. The hospitality sector is the best it’s been since September 11, 2001. With the exception of retail space, new supply is being held in check.According to the Mortgage Bankers Association, commercial mortgage originations totaled $201.7 billion in 2005, which is a 48.2 percent increase over 2004. Much of the funds, 35.8 percent, flowed into the multifamily sector; this was followed by office real estate, 24.1 percent; retail, 16.5 percent; industrial, 7.4 percent; and hotel, 6.4 percent.Data from the Federal Reserve shows commercial loan delinquency rates have trended down since peaking around 1.9 percent in 2001 and now are close to 1.0 percent.Since bottoming-out in the first quarter of 2002, the rate of return on commercial property had trended up and is now in excess of 5 percent, according to Haver Analytics and NCREIF (National Council of Real Estate Investment Fiduciaries). The apartment, industrial, office and retail sectors are converging, with the rate of return varying about 1 percent.In terms of the overall commercial market, Lereah said migration patterns affect demand. “Migration favors warm weather and low taxes, so states with the biggest net migration are seeing commercial growth,” he said. These include Florida, Arizona, Nevada, Georgia and North Carolina.NAR projections for five major commercial sectors, including the office, industrial, retail, multifamily and hospitality markets, are based on data provided by Torto Wheaton Research and Real Capital Analytics.Office MarketOffice vacancy rates are the lowest since 2001, with rent gaining traction in almost every major market. Investment volume in office real estate grew by 34 percent in 2005 to $99.7 billion, and institutional investors have returned to office acquisition.Approximately 350,000 office jobs will be created in 2006. Net absorption of office space in 56 markets tracked, including the lease of new space coming on the market as well as space in existing properties, is projected at 22 million square feet in the first quarter of this year. For all of 2006, NAR expects 90 million to 95 million square feet will be absorbed.Vacancy rates in the first quarter should average 12.6 percent; two years ago office vacancies were close to 17.0 percent. Overall office rents are expected to rise 5.0 percent this year.Industrial Market Trade and distribution are driving the industrial market, with greater demand in the West and Southeast, and institutions have increased investment in industrial property – up 65 percent in 2005 to $34.5 billion. There is strong build-to-suit activity, and urban industrial properties are being redeveloped for mixed-use and residential purposes.With a low inventory-to-sales ratio, businesses need to restock and add space. There is a similar pattern with wholesale inventories, and orders for durable goods have risen strongly – up about 18 percent from a year ago.Net absorption of industrial space in 54 markets tracked is forecast at about 51.0 million square feet in the first quarter. For all of this year, net absorption is likely to be 265 million to 270 million square feet.Industrial vacancy rates are projected to drop to 9.1 percent in the first quarter of 2006; two years ago the rate was 11.7 percent. Industrial rents should grow an average of 3.8 percent.Retail MarketThe retail sector has an abundance of space in areas such as Indianapolis, Cincinnati and St. Louis, but drastic shortages existing in other markets like San Francisco and Las Vegas. Los Angeles topped the list of attractive retail markets for investors last year.Consumer confidence appears to be a bit “iffy,” but retail sales have risen about 7.5 percent. On the downside, savings rates have turned slightly negative this year.Net absorption of retail space is seen at 30 to 32 million square feet this year. Retail rents in 54 tracked markets are forecast to increase to an average of 4.0 percent in 2006.Multifamily MarketThe apartment rental market – multifamily housing – has benefited from rising mortgage interest rates, which are boosting renter demand. Job growth and in-migration are driving demand, primarily in the West and Southeast. Conversion of apartments into condos is waning.Multifamily net absorption is expected to be about 80,000 units in 59 tracked metro areas during the first quarter, while vacancy rates are likely to ease to 5.0 percent. For all of 2006, NAR projects a net absorption of 285,000 to 290,000 units. Rent growth is seen at 5.3 percent this year.Hospitality MarketHotel occupancies are projected at 68.7 percent by the end the year, the highest since September 11, 2001. Markets such as Honolulu and New York City have occupancies greater than 80 percent. Revenue per available room (RevPAR) should be $76 this year – an increase of 6.3 percent from 2005. The greatest increase in RevPAR is expected in Atlanta and Houston.The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing more than 1.2 million members involved in all aspects of the residential and commercial real estate industries.

Baby Boomer Survey

Baby Boomer Survey Shows Big Appetite For Real Estate

WASHINGTON (May 18, 2006) – Baby boomers have a higher rate of homeownership than the national average and one out of four own more than one property, according to a new study of the largest generation in U.S. history commissioned by the National Association of Realtors®. Initial results were released here today at NAR’s Midyear Legislative Meetings & Trade Expo.The comprehensive study of nearly 2,000 Americans born between 1946 and 1964, conducted for NAR by Harris Interactive®, also shows boomers are optimistic about the future, but many are not adequately prepared for retirement.David Lereah, NAR’s chief economist, said marketing to this generation has been and can be a challenge. “As a group, boomers are in their peak earning years and continue to wield great influence in the U.S. economy, but they are not homogeneous – there are significant variances in needs, behavior, attitudes and resources,” he said. “On one hand is an almost insatiable desire for real estate, with some owning multiple properties, and on the other, many have not adequately planned for retirement. What should not be overlooked are the discretionary spending interests of this generation, and their appreciation of housing as a great investment.”Nearly eight in ten boomers own their own homes and almost nine out of ten have owned at some point in their lives; 96 percent believe owning a home is a good financial investment – evidenced by their actions. According to the U.S. Census Bureau, the overall rate of home ownership is 69 percent.For the portion of baby boomers who have never owned a home, 85 percent cited financial reasons but 38 percent simply didn’t want the responsibility of homeownership.One-quarter of respondents own one or more other kinds of real estate in addition to a primary residence: 13 percent own land, 8 percent own rental property, 7 percent a vacation home or seasonally occupied property, 2 percent commercial real estate and 3 percent some other kind of real estate.In addition to a higher rate of homeownership, analysis by NAR shows baby boomers are proportionately more active in the second home market, owning 57 percent of all vacation/seasonal homes and 58 percent of rental property.For the segment of boomers who own rental investment property, 34 percent own multiple properties: 14 percent own two rentals, 5 percent own three and a small number own four properties; however, 14 percent own five or more rental units.Of the portion who own vacation homes or seasonally occupied property, 13 percent said they own two or more vacation or seasonal homes.Four out of ten respondents who own a vacation home or seasonal property intend to eventually make that property a primary residence. Historically, other NAR survey data shows only one in five vacation-home buyers had such intentions when they first purchased the property.Lereah said this has emerged as an investment strategy. “Some boomers will take advantage of generous capital gains exclusions from their taxes when they sell their primary residence, and then place themselves in the position of being able to convert a vacation home into their new primary residence which would later become eligible for the same tax treatment,” he said. “Then, if their needs change in the future, they’ll be able to take the capital gains tax break after they have lived in that home as their primary residence for two out the five previous years. It becomes a great way to build and protect a nest egg.”For the portion of respondents who own land, the median holding was 5 acres. Half of those with commercial property had an ownership interest in only one property and 29 percent have two holdings.NAR President Thomas M. Stevens from Vienna, Va., said the survey shows one-quarter of all boomers are not satisfied with their present homes. “That means a good portion of baby boomers may be considering a move, so it’s important for the industry to understand their preferences and needs,” said Stevens, senior vice president of NRT Inc.Ten percent of all boomers said they are likely to buy additional real estate in the next 12 months; two-thirds of those respondents said they were considering a primary residence but 26 percent were interested in land, 19 percent rental property, 15 percent a vacation or seasonal home and 14 commercial property.Eight out of ten boomers used a real estate agent the last time they sold a home. The things they value most in a real estate agent when they buy a home are representation of interests and coordinating with other parties in the process; explaining all contracts, forms and agreements; and management of the closing process from start to finish.In selling a home, they also want agents to establish the right asking price, show the home and negotiate all offers received on their behalf. “This tells us the Internet is great for information, but baby boomers want real estate agents to provide services, whether they’re buying or selling,” Stevens said.Typical boomers have lived in their present home for a median of nine years, and plan to stay there for another five years. Two-thirds think it’s important to pay off a mortgage quickly, but at the same time 58 percent are comfortable in purchasing with a small downpayment.In deciding whether to buy a primary residence in the future, nearly half of the respondents that were considering a purchase said having sufficient wealth or favorable mortgage financing were factors.In terms of their current financial condition, 43 percent say they are financially comfortable but 37 percent say they have just enough to make ends meet. Only 4 percent said they were well-off, and 17 percent said they are having financial difficulty. “That clouds the retirement options for many baby boomers,” Stevens said.Nearly two-thirds say it costs too much today to truly retire and never work again, and four out of ten expect they will pay for at least some college expenses for children or grandchildren; 38 percent said current financial needs mean they give little attention to financial planning for retirement. “Many baby boomers are simply too busy to give much thought to planning for retirement, but they really need to develop strategies now,” Stevens said. “Many just see themselves ‘going’ for as long as they can.”Only 14 percent expect to receive a sizeable inheritance that will be a critical help during retirement. Half of all boomers believe it is important to diversify savings for retirement into different types of investments.In describing how they would like to retire, many boomers might be described as “dreamers.” One in ten said they already are retired but only 26 percent said they would never want to work for pay again. A third see themselves as going back and forth between periods of work and leisure, 17 percent would work part time, 11 percent would start a business and 7 percent would work full time. Even so, 59 percent said it was not likely that they’d work beyond the time they become eligible for full Social Security benefits. The average respondent expects to stop working at age 65.Three out of five say their idea of the perfect location to retire is in a rural area or small town, with only 12 percent saying an urban or city setting, and nearly half would consider living in an age-restricted community; 38 percent want to be close to family.If money were no object, access to quality health care is important to more bombers than being on a golf course (38 percent vs. 4 percent). Ideally, they would like to live in a rural area with access to quality health care. “One question is how many areas actually offer those kinds of amenities in that kind of environment,” Stevens said.Half said they have a 401(k) or similar retirement plan, 39 percent a pension, 39 percent an IRA or Roth IRA, 11 percent a SEP (Simplified Employee Pension Plan), and 6 percent have investments in a REIT (real estate investment trust).Most, 83 percent, do not plan to withdraw funds from an eligible retirement account starting at age 59½. For those who are very likely to withdraw, 75 percent said they’d use the funds for personal living expenses, and 51 percent said they’d travel; 39 percent would consider investment in some form of real estate.The 2006 National Association of Realtors® study, BABY BOOMERS AND REAL ESTATE: Today and Tomorrow, was conducted online by Harris Interactive® between March 31 and April 6, 2006, among a nationwide cross section of 1,969 U.S. adults born between 1946 and 1964. Figures for age, sex, race, education, region and household income were weighted where necessary to bring them into line with their actual proportions in the population. Propensity score weighting was also used to adjust for respondents’ inclination to be online. With 95 percent certainty, overall results have a sampling error of plus or minus 2.2 percentage points; the sampling error for various sub-sample results is higher and varies.The study, expected to be ready for publication in late June, can be ordered in advance by calling 800/874-6500. The cost is $50 for NAR members and $125 for non-members.Harris Interactive Inc. (www.harrisinteractive.com), based in Rochester, N.Y., is the 13th largest and the fastest-growing market research firm in the world, most widely known for The Harris Poll® and for its pioneering leadership in the online market research industry.The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing more than 1.2 million members involved in all aspects of the residential and commercial real estate industries.