[quote] I actually think they will let rates rise a bit to cool things off, (now this is where I put on my tin foil hat), I think things are starting to take off a little sooner than the current administration wants as it kind of puts some of their plans (spread the wealth type of stuff) in a light as not being necessary maybe.[/quote]
Actually, rates are going up independent of what Bernanke wants, because at this point there is very little he can do other than continue to purchase US securities. As for the overall real estate market nationwide, well, it sucks. Unlike in California, most of the country has excessive inventory that continues to put downward pressure on housing prices.
[quote]On another note looks like TG and a few others are in good company as this Sam Zell guy seems to think we are at or close to a bottom in Residential RE as well (although he is not quite as local as TG).[/quote]
Depending on the market, what currently exists is a temporary stabilization of the market at the low end due to government intervention which has artificially reduced inventory. This is true throughout Southern California, but NOT true in markets like South Florida, where prices continue to drop significantly. As far as I know, the state of Florida did not impose any moratoriums as did California.
