Although the declining values have slowed to .5% per month, prices continue to drop and inventory remains high. The buyers for our local real estate market evidently are sitting on the side-lines waiting for either the right price, right property or both. And since most of our homeowners reside in Southern California, many have been affected by the devastating fires and property loss. We have already seen canceled escrows from buyers who have experienced this loss and cannot close the transaction because of a change in circumstance.

My current recommendation for buyers is based on your wants and needs. If you are looking for an investment property, you have time to wait for the market to level out and pick a property with a good price to value ratio. On the other hand, if your interest in Mammoth continues, or has returned with the drop in prices, then it is probably more important for you to find the property that fits you and your family. Prices will continue to drop, but the selection will not be the same. So if you find a property you like and the price is right, I would not suggest waiting for the price on that property to drop. Make an offer and you may be pleasantly surprised at what we can negotiate in a purchase for you.

There is much to much major investment, both recently and still in process, for the market not to rebound the question remains 'how long?'. We were in need of a correction and I think everyone saw this coming. Real estate is still a good long term investment. It's my belief that buyers today should be ready to hold their property for at least 5 years before planning to upgrade or sell for a profit. We are far from the day of 'flipping'.

Also, this past week, Cypress Equities announced their official partnership with Ritz Carlton to brand the 7 acre hillside resort property with their five-star flag. The press announcement projects opening in 2010 with prices for whole ownership starting at $2,000,000. We expect more information to be available in December or January.

Construction continues on the Snowcreek hilltop (Snowcreek VII) model homes. Reservations are currently being taken for these properties. Floorplans are available upon request.

If you'd like to discuss any specific questions with me, please feel free to call or email at your convenience and I'm happy to reply in the same manner.

LAS VEGAS, November 13, 2007 - What a difference five years makes. That's the point made by NAR economists and practitioners in today's Economic Issues and Residential Real Estate Business Trends Forum at the National Association of Realtors® 2007 REALTORS® Conference & Expo. In 2002, home sales set a new record at just over 5.5 million, and three-quarters of metro areas showed price gains over the previous year. At the time, home buyers were confident that the real estate market was strong and healthy. In 2007, existing-home sales are forecast to be about 5.5 million, and two-thirds of metro areas showed price gains last quarter. Both 2002 and 2007 show strong sales, and homes continue to prove a good long-term investment. But this year, public perceptions are different.

In a region where the economy is strongly dependent on snow, we lie in wait for the powder to fall. The holiday was far from sold out (occupancy was in the 40% range) and so the arrival of winter enthusiasts, both buyer and sellers, is delayed.

While local appraisers estimate the decrease in value each month to be about .5% (down from 1% per month earlier this year), that has stabilized but not slowed.

When we look at last year this time in units and dollar volume sold, we're down 44% in units sold (24.24% down in all local areas). And we're also down over 36% in dollar volume (57.25% down in all local areas). October was the first month this year we saw a slight decline in inventory.

In looking back just one month, we're up 32% in units sold (21.43% up in all local areas). And we're also up over 37% in dollar volume (18.54% up in all local areas). A small move in a positive direction but I'll be tracking the activity on-going and reporting as such.

* Progress is still being made on the EIS for the airport. The schedule calls for release of the Draft EIS on November 24th, a community workshop on December 18th, a community workshop and public hearing on January 8th , and the close of public comments on January 11th. There will be a newsletter and newspaper advertisements provided as part of a public outreach effort.

Terminal Remodeling and Runway Maintenance: The plans for conversion of an existing maintenance building into a small commercial air service terminal were approved by the planning commission earlier in the year, and are currently in building plan check. The project will be advertised for bid starting in December, and construction will start at the beginning of June. The FAA has also provided funding to resurface the airport runway which may be done in two phases. There will be no change to the length or width of the runway as a result of this project, which will also be advertised for bid early in 2008.

* The Town anticipates meeting budget projections for the Document Transfer Tax also known as the Real Property Transfer Tax. The Document Transfer Tax is not a major source of revenue for the Town, but can be used as an indicator that measures real estate transactions. The tax is collected by Mono County and is imposed in proportion to the consideration or value of the property or interest conveyed. The Town's share of the tax is 27.5 cents for every $500 of property value that has changed ownership. There are certain transactions that are exempt from the tax, but an estimation of the real estate value that has changed ownership can be calculated from the tax that the Town receives. Based on the $24,307.63 in revenue received for July through September; $44,195,690 in real estate value changed ownership in Mammoth Lakes during the July through September period. This is a dramatic 44% decrease compared to the same period in the prior year. Fortunately, the 230 units in the Westin Monache will be changing ownership over the next several months and that activity should keep the Town on track to meeting budget projections for the Document Transfer Tax.

* Kick off the holiday season at the 4th Annual Festival of Trees on Friday, December 7, at the Mammoth Ski Museum from 6:00 - 9:00 p.m.

* The Inyo National Forest has announced that it will extend by thirty days the period during which the public can comment on the Proposed Action for Motorized Travel Management, also known as Route Designation. Comments on the proposal may be submitted until December 15, 2007.

* The 2008 Mammoth Lakes Vacation Planner is available. If you would like a copy, please email me your name and mailing address (Stacie@OwnMammoth.com).

*NPG cable is making excellent progress in its effort to expand local internet capacity. They obtained their Forest Service permit on October 1 and are in process of completing construction of a relay station on Casa Diablo. Their Bishop School site is completed as well as our head-end site in Mammoth Lakes. All construction should be completed by the week of November 19, 2007. Verizon is also completing their installation of a DS3 line in Bishop.

* The Forest Service and Mammoth Mountain Ski Area propose the construction of a ski back trail to provide a skiable return route from Mammoth Mountain to the North Village complex at SR 203 and Forest Trail. The proposed trail would be for the upper beginner/lower intermediate skier and snowboarder level. It would be approximately 8,000 ft. long with a trail width of approximately 22 ft., to accommodate snowcat grooming. The trail would begin adjacent to the MMSA garage facility and terminate on an Intrawest-owned parcel on Forest Trail Road, immediately downhill of the Val d'Isere condominiums.

* New this winter, the Town Trolley will be operating on the same summer route from The Village at Mammoth, to Snowcreek Athletic Club, 7-days a week from 6:00 p.m. thru 1:00 a.m., with stops every 15 minutes beginning Friday, November 16, 2007. The new evening "Red Line" Trolley will compliment the Mammoth Area Shuttle (MAS) daytime Red Line service providing a combined 18-hours of free, public transit around Mammoth from 7:00 a.m. to 1:00 a.m.