It has been no secret that there are certain areas of the country that are at a high risk for falling prices. Those areas that are considered a great risk are the once booming regions are California and Florida.

Also in this category are states that are in the Mountain West and Northeast region. According to the Chief Economist at National City Corp., Richard Dekaser, 39 percent of the single family home market is extremely overvalued.

There are predictions that the sales slowdown is about to bottom out. According to David Lereah, chief economist for the National Association of Realtors, stubborn homeowners are starting to realize that in order to sell their homes they will have to list with more reasonable prices to attract buyers.

Lereah says, "We are going from a seller's market to a buyer's market and it looks like the worst is behind us and sales are starting to level off".

Statistics show that the economic growth has slowed down almost 3 percent in the last quarter of the year. Many local analysts contribute this to a fall in residential construction and they see no increase in the near future.

This is making those analysts who play the numbers game very concerned.

However some analysts are optimistic that Las Vegas will pull out of its slump and that this years numbers will be some of the best that they have seen in recent years.