Like I said, I am willing to wait for the numbers to come in. So far, I see clear indications of a correction- somenting I have been saying for many months. I still se no indications of a bubble- at least the way many define a bubble in that it must burst. No bursting gong on here yet; the market is simply on a diet.
Brad,
I don't follow your assertion about the market. You agree that market is in diet and needs correction but you don't see any bubble.
I am going to ask you a direct question and I hope I get a direct answer about the market correction and market diet that you have used.
You can say market correction is needed when you believe that something went wrong in the market. So, by agreeing to needed market correction, I assume you agree that the past market increase was unwarranted. If that is what you mean by market correction, then could you please tell me what rate of market correction is needed and why and how the market got out of control in the past and why it needs a correction.
Now, lets get to the market diet. When a person gains extra weight to the point of crisis, the doctor puts that person on diet and tells the patient, you either have to lose certain amount of weight or you are going to get heart attack, diabetes, stroke or death.
Based on the doctor diagnosis, the patient needs to lose certain amount of weight in order to escape a fatal disease or death. So, if you are a real estate doctor, what is your diagnosis about the market weight? How much extra weight market has gained and why and how much needs to lose in order to become balance and healthy market again?
If the gained weight is to the point that the patient cannot walk anymore, or has a minor heart attack, or has developed type 2 diabetes, can we equate it to a bubble. Can a patient with 400 pounds weight be considered at the point of weight bubble if that patient should have a healthy, normal and balance weight of 180 pounds? The bubble point is the ultimate point, the end of the line, the point that cannot go any further. It is not the point of burst but if it goes an inch further, the burst or death may happen so, the good doctor does a crisis intervention and saves the patient either by surgery or diet and get the patient back to the healthy balance weight.