[Wayne07]

The first chart is based on Case-Shiller data. They have their own methodology on the calculation (Single family homes only; measuring repeat sales over a long period). I think it is more representative than just a straight median, but opinions will vary.

We can probably both agree that prices we appreciating at a much higher rate than the historical 4-5%, that it was unsustainable, and that there is more drop ahead to get bring things back into line.

[spunkets]

"The first chart is based on Case-Shiller data. They have their own methodology"

It's a specialty plot that doesn't represent gross US home sale prices.

"We can probably both agree that prices we appreciating at a much higher rate than the historical 4-5%, that it was unsustainable, and that there is more drop ahead to get bring things back into line.

The historical is less than that 4.5% avg. I think the correction point is near that ~3% historical line, which represents the true value of the housing being priced. Unsustainable yes. There's not much demand for exorbitantly priced housing and those holding the notes for it are in for some losses. Of course the losses will and are being passed on.