I think the number of answers you have received to this question speaks to the complexities of our current situation. If you consider that the government has not been terribly successful in stimulating participation in programs that would help troubled borrowers and also the fact that we are hearing a lot about a new wave of foreclosures as the banks feel more pressure to show their stakeholders good results, it gets really hard to predict what will happen based on any single factor such as lower indebtedness.
It really does boggle the mind, which may be part of what is happening to our politicians who seem to have retreated to the simple answers of specific ideologies. The situation has simply become to complex. I fear improvement will only come when the politicians really get to work putting out all the fires, small, medium and large.
Prudential Real Estate of the Rockies