I think the keyword here is ‘glut’. There may very well be more housing than there are jobs to put people in them, as owners or renters. Especially once the recession is in full swing.
I’ve suggested before that some of the worst areas (condo conversions and the IE) may end up having properties demolished or purchased by HUD.
I would personally stay out of RE as an investment vehicle until it is *clear* we’ve hit the bottom. Pick a zip code and make it a habit to check it once a month or so. When there the number of foreclosed properties goes down for at least a few months strait, then we’ve hit bottom.
