
As always, my (very late) list of favorite albums I heard in 2007 is limited to just that, which includes albums I missed the first go-round. (This is why none of these albums are actually from 2007.)
The three runners-up, in alphabetical order:

1. Eluvium, Talk amongst the Trees (2005).
Ghostly, static haze lingering at the portals of perception.
Amazon link.
Official website.
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2. Simon Dawes, Carnivore (2006)
Brash, immensely enjoyable power pop.
Amazon link.
Promo video on YouTube.
The Simon Dawes blog.
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3. Some Tweetlove, Cafard Mondial (2006)
If only for the shivering beauty of "La Nostalgie Des Hauts-Fourneaux".
Album link (on Matamore).
Official website.