" If you use a 20-year time horizon, and assume prices will return to the trend line, then our residential property bubble will bottom after values fall over 40% from current levels (see above (c) aka “(Y) – (Z)” aka “Loss Today to Bottom”). I make no predictions. I do watch numbers. The chart shows a catastrophe of falling real estate values loaded up on top of our current catastrophe in real estate values."


tvsterling at 08:35 2009-11-02 said:
This is the legacy of offshoring & predatory banks. The average American can no longer afford a house. The country hasn't generated good jobs in several decades. Now we are caught between a rock & a hard place. When the real estate values fall to a level that citizens can afford the wealth destruction will finish what's left of the economy. This is the end game of Voodoo Economics. Permalink

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