re: Home prices are now contracting at levels only seen 2 times

quote:

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2008 had a spike but it was more gradual and over a few years. 2004-2007 there was a spike.

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I’d be curious to see the same data with a bit more smoothing applied.

The graph doesn’t say, but it looks like it’s something like quarterly YoY changes. So we’re talking about.. ~7 quarters of very high price growth followed by 1 quarter of very high price decline? At first glance that strikes me more as volatility than a true correction, but I realize there are other metrics pointing in the same direction.

I don’t think predicting recession at this point is exactly going out on a limb, in any case. It seems likely that the bubble has to burst at some point.