Lets just hope things do not bounce in the spring transplant. What we have right now is a pretty large move in prices over the last 18 months coupled with a squeeze on inventory and massive subsidy in the form of credits. Now we are seeing an adjustment caused by the removal of the subsidy and pricing that simply is to high once again given a much warier buyer pool. Unfortunately I expect continued inventory manipulation or perhaps an ugly return of the subsidy in the form of some housing credit. Hopefully not.

What we did have and I have posted about it are many sellers who felt the hope of a premium once more try to sell at an unrealistic price and now they are forced to reprice as they simply missed the boat of the 2009 and early 2010. We will see how long this continues but it is zip code dependent as well.