The good news continues. Housing starts in July, 2007 were 1,381,000, down 6.1 percent from June.

The bigger news is that housing starts are down nearly 21 percent from last July.

Permits (which is what developers have to pull before they can actually start building) were 1,373,000, down 2.8 percent from June and down 22.6 percent from July 2006.

Of course, 20 percent fewer homes being built means 20 percent fewer mortgages needed.

Aug. 16, 2007.