As I noted last month, although prices are still up from last year, the indicators point to a slowing market.  The table below shows inventory levels for July in different price markets, which have worsened since last month.

Inventory Levels Based on Home Price in the Austin Area for July 2008

Home  Prices	Sales	Listings	Inventory	Last Mo.Inventory
100K-200K	941	3446	3.7 months	3.5 months
200K-300K	495	2499	5.0 months	4.7 months
300K-500K	346	2431	7.0 months	5.9 months
500K-1M	143	1527	10.7 months	11.4 months

The other area of our market that varies is in location. Central and East Austin are the strongest markets with price growth of 10% to 19% over the last year. Additionally, Bastrop shows strong growth with prices up 16% from last year. The rest of the market has not been as strong with growths of 2% in the southwest.  The weakest areas have been west of the city with prices in Dripping Springs at -12%, Wimberly at -14%, and Blanco County at -16%. Despite the weakening in our market, Austin is still a much stronger area in which to buy a home than most areas of the nation.