Wednesday, July 29, 2009

"We've Found the Bottom"

So says Mark Fleming, chief economists for First American CoreLogic, a data firm according to the NY Times this morning. The big news is that the Case-Shiller housing price index showed a one-half percent increase for the the month of May. Though down 17.1 percent since May of 2008, the index had its first monthly increase in 34 months. This is definitely good news.

Denver, Cleveland, San Francisco, Boston and Dallas all showed price gains. Cleveland homes were up an average of 4.1 percent in May.

Now, will their be a real recovery. If the Obama programs are defeated in Congress, the answer is yes. Otherwise, look for another leg down.