Unfortunately, his index is not quite reliable, for it generates sell/buy signals at wrong times, and did not generate a buy signal for the current bubble until January 2003.

Is this a national “buy signal” or is this for the San Diego market specifically? I ask because I bought a property in Seattle in Sep of 2003 and sold in Sep of 2005. Two years, and price of house went up about 30%. In-laws bought in Dec of 2003 and sold early this year. Their house went up about 40%, although they did spend about 5-10K in upgrades (windows, etc).