According to reports released by the National Association of Realtors, sales of existing homes showed a modest increase but were otherwise stable. Experts say that this is another indication that the housing market is transitioning into a more stable market, rather than an unsustainable market.

Last years market would qualify for as an unsustainable market experts say. The report showed that the total existing home sales rose 0.5 percent to a seasonally adjusted annual rate of 6.24 million units in October.

This number is up from the 6.21 million that were moved in September. The stats show that while things are stable and look well, the numbers are far below those being posted this time last year when October 2005 boasted 7.05 million.

The numbers show all existing home sales including single family, townhouses, condos, and co-ops.

According to David Lereah, the National Association of Realtors chief economists, "The present level of home sales demonstrates some confidence in the market, but sales are lower than sustainable due to psychological factors".

Lereah is saying that even though jobs are up and on the rise and mortgage interest rates are down, many potential buyers aren't ready to get their feet wet. Lereah predicts that once the period of price adjustment is over, consumers will have more confidence and the real estate market will see an increase in sales in the first quarter of 2007.