There's many differences between rising housing prices and rising food prices though. The food market does not freeze up when prices are falling-- people buy food whether prices are rising or falling. But the housing market did freeze up when prices fell, because people did not want to buy an asset that would lose value, lenders did not want to lend on an asset that would lose value. Further, nobody is helped out of an "underwater" condition on the food in their pantry when food prices rise. Even a slow rate of increase in house prices will on the other hand eventually help out a lot of people-- enabling people who at present want to sell but simply can't to eventually sell.
Falling house prices have been a big factor in foreclosures because it erodes equity. If you have equity in your home, if you get sick or lose your job and can't make your mortgage payments, it would often be possible to simply sell your house to satisfy the mortgage. If you have negative equity due to falling house prices, you cant have a normal sale unless you can make up the deficit with cash.
Secondly, the article specifically says that the "recovery" in housing prices is likely to be like the economic recovery-- in other words, slow growth for a long time. I would call that realistic, not overly chipper and cheerful. For a true example overly chipper and cheerful commentary on housing, see Lawrence Yun at the NAR.
The bottoming of housing prices, if it indeed has occurred, is good news for the economy, and good news for our industry as well.
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