I did some research about previous housing downturns as I began observing this market, so I was mentally prepared to watch ice cream melt. The slow process did not surprise me. As many posters have pointed out the credit crunch was probably the most profound event that resembled a true POP. To me that’s the point that it really hit home this was a credit bubble, housing just happened to be the asset of the day. I knew that people couldn’t make these mortgage payments but I hadn’t connected in my mind exactly what that would look like in the financial markets. In that regard the credit bubble is far worse with greater reaching consequences than I had anticipated. We are not at a post mortem on this event just yet.
