Is it possible that home prices have already come down to a real sustainable level? Homes are affordable pretty much everywhere in this country now. If we didnt have tons of upside down homeowners now we would be fine going forward. The issue now is what to do with all the people who overpaid and are upside down? If we quickly liquidate them all we crash the market and overshoot to the down side which no doubt is what sideline sitters want but is that what is best for the market and the economy. I dont know but to be so sure it is, well I think thats a bit presumptive.
