The sales have definitely caught up again but this is expected. This is the last phase of idiot buyers who think the correction has happened and it’s now time to get back into the market. These are the people who have succumbed to the Realtors pitch. However, the tsunami of foreclosures are on the horizon so this minor uptick in activity is soon going to be washed away.
I mean how incredibly stupid do you have to be to believe that a 5 year 120% price runup is corrected with a 1 year 5% depreciation? It has not been clearer in the news that this frenzy has been fueled by exotic lending, subprime lending and speculative madness, anyone who knowingly buys in this market is downright foolish and will pay dearly.
