Home Prices Back to Fair Value

It's taken over 2 years of declines and a 50% drop for home prices to finally come back to earth after reaching bubble territory in 2007. Prices can easily overshoot to the downside becoming undervalued but it is fair to say that the bubble has popped and much of the overvaluation has been worked off. Prices have returned to long-term trends and stabilization at these levels would be justified.

Source: My Back Pages