Thursday, September 2, 2010
Will house prices fall further?
Fears of a second house price crash. All we've seen recently is a mild 22.6% correction followed by a 9.6% sucker rally. The real crash that will take us down to well below the long-term average PE, as in the mid-1990s, is still to come. That's how long-term averages are formed. Unless you think it's all different this time.