Remember That Double Dip I Mentioned?

From CNBC:


"It's official.

Home prices have double dipped nationwide, now lower than their March 2009 trough, according to a new report from Clear Capital.

Sales of bank-owned (REO) properties hit 34.5 percent of the market, according to the survey, resulting in a national price drop of 4.9 percent quarterly and 5 percent year-over-year. National home prices have fallen 11.5 percent in the past nine months, a rate not seen since 2008. Add short sales, where the bank allows the borrower to sell for less than the value of the mortgage, and prices have nowhere to go but down."

If you bought a house after the market collapsed, thinking you were getting a good deal, you didn't. Prices will continue to decline for some time, and housing must be treated as a consumable good; much like an automobile or any other depreciating asset.