It is my belief that different regions of the country will be affected by the popping of the housing bubble in different ways and to different degrees. I believe that the lower cost housing will get readjusted lower by 10 to 20%. The highest priced housing including second homes and vacation property will most likely get pounded as the rising unemployment and foreclosures ripple through the economy. People will let go their second homes but fight like hell to preserve their homesteads. With so many people overextended using two incomes just to barely cover one mortgage I don't think that it will take very long for this bubble to pop. I wish I was wrong but with the housing market looking like it wants to crack and the outrageous property valuations out there I don't think that I would be looking to make any real estate purchases over the new two years. I think that the prices have a long way to fall in the overextended markets.
I saw the average price list of homes around America and liked to hit the floor!!!! Seattle average 320000 Boston SanFrancico and a world of others the same. Wow! Unreasonable. and the jobs aint paying that good. Give me rural Wyoming or Arkansas.