This is a fantastic article if you are a person who believes in trends! As I read it, we are currently in phase II but depending upon the market next spring we could easily move into phase III. Not only do we have the potential for hyper supply; look around you, do you see a lot of new construction? We are also almost assured of rising interest rates. Those are 2 of the 3 signs with a recession being the 3rd sign. Any significant event on the global stage could trigger the recession which would put us right back where we were in 2008. Maybe not as drastic, but far too many homeowners are 1 paycheck away from a missed mortgage payment.
As I have the opportunity to look at borrower's balance sheets and assets regularly, there simply is NOT enough saving happening. Too many people are trying to live the life of a wealthy person or if not wealthy, at least the life of someone they see on television. Those that stop trying to keep up with the Joneses and live frugally will be prepared for when the next housing crash comes.
-Chris
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