This correction isn’t going to happen over a couple of years but rather something that could take place over a few months.
There is nothing more I’d like to see than a rapid decline in home prices, but I’m not sure that is in anyone’s interests, or even possible given the illiquid nature of real estate. I am not an economist, but it seems we are having severe problems just keeping up with the current decline rate. A massive and sudden leap in foreclosures is just going to exacerbate bank losses, without giving them a chance to recover. I personally would like to see a slow, more manageable decline with minimal impact on the economy.
