Realtors are expecting a turnaround in 2009. During the last recession people started to buy homes even with high unemployement because the combination of price drops in real estate coupled with very low rates moved people off the sidelines. Expectations are the same will hold true for now. Rates are now below 5% for a 30 year fixed and price decreases have made housing very affordable for many buyers.

Larry Schottenstein, Broker of Revealty

Below is a report from the Columbus Board of Realtors

Central Ohio REALTORS® are hopeful that tumbling mortgage rates and action by the Federal Reserve will help stimulate the local housing market during the winter months, typically a slower home sales period. Rates have fallen to under 5 percent for a 30-year fixed rate mortgage, and rates on mortgages through Freddie Mac and Fannie Mae are at their lowest point since the early 1970s. As these truly historic rates continue, we're optimistic that consumers will see the amazing values available in today's housing market, and decide that now is as good a time to buy as we've seen in decades, says Greg Hrabcak, president of the Columbus Board of REALTORS®.

 "This the lowest mortgage rate on record for an entire generation of homebuyers and it's only a matter of time before these rates have a positive affect on consumer confidence."

There were 1,153 single-family homes and condominiums sold during November,  down from 1,565 in November 2007. Although home sales were sluggish in November, the historically low interest rates should help drive investment buyers, and those first-time and move-up purchasers back into the market in 2009.

"National economic pressure is continuing to impact the local housing market, but we're still fairing much better than elsewhere in the country and I'm confident that a lot of qualified buyers have been waiting on the sidelines," Hrabcak says. 

With 14,418 homes on the market in November, the number for sale dropped to the lowest level since 2005, supporting the return to a balanced market.

The average sale price in November was $164,658.