Most of the mainstream financial medial have been calling a bottom on residential real estate. Consider this blog post in The Wall Street Journal. But others are urging continued caution. They point out that the recent good news is mild and there are reasons to believe it is temporary. Potential investors and buyers are urged to consider other problems that already are in the pipeline, such as the inability to many to obtain mortgages and the likely increase in inventory for sale in coming months. One source of skepticism is Radar Logic. You can read a summary of their latest report here.
Michael Feder, Radar Logic’s CEO, observed “Those people looking at current results and calling a bottom are being dangerously short sighted. Not only are the immediate signs inconclusive, but the broad dynamics are still quite scary. We think housing is still a short.”