We’ve been watching this market very closely for many, many years, and have a good grasp of what’s going on. This is the weakest spring we’ve seen in over a decade — even weaker than during the “financial crisis.”
Prices are heading down, borrowing standards are beginning to normalize (tighten even more), and foreclosures are backlogged. The only things that made prices look like they were stabilizing over the past couple of years were the tax credits, foreclosure moratoriums, artificially low interest rates and government takeover of the mortgage market. I would hardly call that a “healthy” or “stabilizing” market. How anyone thinks prices are going up from here is beyond me.
