“I just sense that folks are a bit too anxious to reap some sort of reward for recognizing the bubble which reminds me of the folks who were too anxious to reap some reward not recognizing the bubble. Human psychology is fascinating.”
Well, I’ve tried to take a moderate outlook on this thing as much as possible.
I can’t find fault with the celebrations though, after listening to years of “real estate only goes up”, “they aren’t making any more land” and “buy now or be priced out!”; I’ll say its somewhat deserved.
Remember, as the market corrects itself and returns to fundamentals, the only folks buying homes will be those with good credit, cash and stable employment that hasn’t been fueled by the equity liquidity of the past few years. A large portion of the folks that would ‘move up’ have HELOC’ed themselves into a corner and won’t be able to.
