Many people are stymied about this current real estate melt down. A possible key to understanding this current state of affairs is expressed well by an early 20th century, Russian economist by the name of Nickolai Kondratieff and his THE KONDRATIEFF WAVE.

We are seeing the Kondratieff long wave theory of economics making itself clear in the deleveraging of our economy. In short order, it is interesting in the fact you have to wonder how people actually afford to live. Professor Kondratieff theorized how excesses in prices actually will collapse price structure. His charts are representative through today and offer revealing findings.

I have attrached an interesting web site devoted to his work that some may find illuminating: http://www.kwaves.com/kond_overview.htm This theory makes huge sense if you think how a forest fire sometimes needs to occur to clear brush so seedlings can sprout.