Industry News

How this housing slide compares with past cycles

Part 2: Dissecting the downturn

Editor's note: With the end of a year marked by weakening housing markets drawing to a close, the question on many industry professionals' minds is "When will this market hit bottom and when will it start to recover?" In this three-part series, Inman News seeks insight from housing analysts who go deep to paint a picture of housing in 2008, compares this downturn to past cycles and seeks input from agents on how they are reacting with their business plans. Read Part 1, "When will market hit bottom?")  The housing market has always been cyclical, with varying elevation in the peaks and valleys. This time around, the market climbed to Mt. Everest-like heights. And the fear among market analysts is that we may be staring down at a drop of Grand Canyon proportions. Some are calling this the worst housing market downturn since the Great Depression, while others are drawing parallels to the tech bubble, and to housing slumps in the 1980s and 1990s. History may not be a f...