Another post from Powayseller saying the same thing she has been saying for the last 6 months, with little more insight than any other post. Doesn’t anyone else get tired of hearing the exact same thing from her? I do.

The best thing about this post is it brought out a nice litttle analysis by SD Realtor on the lower bounds of house pricing, based on the rental market, which by the way is not in a bubble condition and thus not prone to collapse.

Powayseller said “Besides, how many people have got 100K to put down on a house?” Well, lets see.

– Everyone who sold in the last two years. Even those who moved out of the state.

– Thousands of people who are ready to buy, can afford to buy, and are waiting for the market to fall. I know several personally.

– Seasoned investors and alot of institutional money waiting to pounce, per SD Realtor’s post.

While many think we are early in the bubble deflation cycle, it may be possible that we are actually well into the third year and have already experienced the first-year flatness AND the subtle price reductios of the second year. This could mean – we ARE IN the free-fall right now, which makes sdrealtor’s observations less surprising. Something to think about.

This and 2007 maybe the big drop years (all those resets coming), with slowing depreciation in 2008 and little depreciation in 2009 and bottomed out flatness in 2010.