As recently as last month, Lereah was assuring the public that the market had hit bottom and prices would rise 1.4 percent in 2007.
(snip)
This wasn’t the first time Lereah said the market had hit bottom. In fact, each month last year, he said the market was bottoming out. And he said it again the next month after the market somehow discovered a new bottom.
September: “The price drop has stopped the bleeding for housing sales. We think the housing market has now hit bottom.”
October: “The worst is behind us as far as a market correction. This is likely the trough for sales.”
November: “We don’t expect to see any changes of note until early next year when we’re likely to see a modest lift to home sales.”
December: “Most of the correction in home prices is behind us. . . . By the fourth quarter of 2007, existing-home sales will be 4.6 percent higher than the current quarter.”
