Just passing on the reasoned analysis of those who think we are about half-way through the national real estate correction, which may well mean the Charlotte region is but one-third the way home considering our late start.
Henry Blodget relates that T2 Partners says that housing prices still have another 15-20 percent left to fall and will not bottom out until the middle of next year. I think this analysis is onto something as it starts with the explosive growth in buying power that entered the real estate market starting in the 2000s. Much of that was via “exotic” mortgages and lax to non-existent lending standards.
It stands to reason that if we return to something approaching “normal” lending patterns, then there will much less money chasing after housing. In that environment prices must fall. Or we merely re-inflate the bubble and crash again. Harder. Don’t take my word for it. Check out all 152 slides.
