[quote=esmith]On the other hand, foreclosures continued strong through 1997, when the housing market was already recovering.[/quote]

The housing market was just beginning to recover in 1997. I’m looking at inflation-adjusted numbers, of course. Foreclosures were declining at that point.

That foreclosure surge lasted about seven years. No reason to expect this to last any less time, no? Barring, of course, some sort of extraordinary surge in the local, domestic, or global economies.

Esmith, thank you for your localized HPI blog. Along with everyone else here, I am stumped by the relative strength of Carmel Valley and other areas. Perhaps a significant part of it is the delayed wave of Alt-A and Option ARM resets.