A national trade organization for real estate agents is lowering its expectations for the housing market this year to reflect stricter lending standards and the decline in mortgage loans to borrowers with poor credit, the Associated Press reported.

The National Association of Realtors said Tuesday it expects existing home sales of 6.29 million in 2007 and 6.49 million next year, compared with sales of 6.48 million in 2006. The median price for existing homes is also forecast to dip 1 percent to $219,800 this year, but to rebound 1.4 percent in 2008.

The group anticipates new-home sales of 864,000 in 2007 and 936,000 next year, down from 1.05 million last year. The median new home sales price is forecast to remain unchanged at $246,400 in 2007 and then rise 2.2 percent next year.

Housing starts will also drop, the group predicts, to 1.46 million units this year and 1.52 million in 2008 from 1.80 million in 2006.