The last paragraph (above) might be the worst misread in the history of forecasting. I’m not sure why they are sticking with it.

Mortgage servicers have stated that they will modify the delinquent mortgages and extend them for another 40 years if necessary – making it a great time to be a deadbeat.

Wouldn’t any of their “plummeting sales volume”, be supportive for pricing?

If we had fewer sellers than we have today, then prices would go up.  Demand would have to evaporate for both sales volume and prices to go down.

As for their revisionist history about the 2008 recession, real estate market performed better in the higher-end areas during the last crisis.  We’ve had a 10-year trend of buyers purchasing their forever home since then, which will deter any wholesale dumping of properties.

So who is going to dump now?  Seniors?  Their heirs?  Nothing suggests that today.

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