Strongly disagree. Income is a key fundamental (limitations of the median notwithstanding)to housing valuation. The credit crunch is much more transitory-Credit will no doubt be tighter than in the past, but there will be an active and vibrant secondary market for loans…likely even those of the Jumbo or subprime variety at appropriate risk-reward valuations.
Listen to what you wrote: “The fundamentals have undergone a seismic shift.” Fundamentals don’t undergo seismic shifts, that’s why they are fundamentals.
