Is the Housing Bust Really Over?

[Corey Dutton]

The Wall Street Journal reported today that, “the housing market has turned – at last.” It says that the Case/Shiller housing price index is finally showing the first monthly increase in house price data, after 7 months of decline.

But is this report a little premature? Some economists will say it’s on a slow upturn while others say it’s not over yet. No one really knows how much shadow inventory is still out there and many only speculate on plans for releasing this inventory.

Although this report from the Wall St. Journal is indeed positive, is it too premature? Personally I think bubbles come from speculation, and I think this “upturn” is just more speculation. Please share your opinions.