I completely agree with Mr. Mortgage. Look at the Median Resale PPsqft graph on Piggington. Right now reminds me of 2007. Prices were coming down, people were excited and ready to jump in.
First the median price went down -10% and then actually went back up to -5% in 2007. I remember thinking people were getting great deals and some great bank owned property. And them BAM! Winter hit and the prices started dropping like a brick. If you look at the graph it drops almost straight down about -15%-20% in 2008.
I am betting on a 2007 repeat where we have a slight 5% uptick on the curve during the summer selling season and everyone is amazed at the great deals. Then BAM! Fall and winter bring a shock that ppsqft can still continue to drop 10%-15%. I predict the graph will be steep and shocking. We all want it to be over but I think we are far from it.
