Just finished reading Homebuilders Less Confident in Economic Recovery. It's useful to note: The National Association of Home Builders said Tuesday its housing market index fell to 17 in June, sinking five points after two straight months of increases. It was the lowest level since March. Some of this is due to the fact that the National Tax Credit wasn't thought to be extended. Just this week we find out that it will. Even still, with so much existing Louisville homes for sale inventory, it's a safe bet that new construction will continue to see their start numbers slide.

Louisville follows the same real estate trends as other cities in our nation, only to a much lesser degree. But like I posted earlier this month, Louisville hasn't seen a drop in home values since before 1978. That changed in 2008 and 2009. How does the market respond? For the most part, the same as the rest of the country. For starters, new homes are designed smaller. Here's a snippet from Home Sizes Fall as Builders, Buyers Embrace Economic Reality. Data recently released by the National Association of Home Builders (NAHB) found the average size of a new home that was completed in