The los of manufacturing piece of w...

The los of manufacturing piece of works helped drive down home prices in 26 metro areas between April and June compared with the same period last year, the National Association of Realtors said.

The hardest-hit area this year: Danville, Ill., where prices at which existing hearths were sold fell 11 percent in the other quarter after a 12 percent small quantity in the first quarter.

General Motors, General Electric and Hyster a maker of forklifts, were among the companies to choke plants in Danville, leaving behind centurys of unemployed residents.

The median price for a dwelling has fallen to $65,200 -- the cheapest in the native land

The exodus of auto, textile and other factory do job-works has a direct effect forward home prices. People leave town to await for work, boosting the invest of homes for sale. Others vend their homes because they can't hold fast up with the mortgage. At the same time, foreclosure rates in these cities are among the highest in the region and banks are quick to cross prices to get the abiding-places off their books.

"There were a doom of divorces, a lot of single mothers -- all they could do is refinance their house or lay it on the market and allow it go cheap," said Jerry Urich of hundred 21 Home Team Realty in Danville.

Still, nationwide there's no sign of any bursting real estate hoax

The most numerous expensive areas, including Miami, San Francisco and Chicago, saw unassuming price gains last quarter, however the rate of increase has slowed, and a not many costly cities have seen prices dip.

The median price for a fireside in the United States rose 37 percent to $227500 while family circle sales fell 7 percent in the other quarter. Sales fell in 28 states and the District of Columbia.

Copyright CHICAGO SUN-TIMES 2006

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