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In 2005, David Lereah, the chief economist of the National Association of Realtors, published a book extolling the expected continuation of US real estate boom-times until "the end of the decade", titled Are You Missing the Real Estate Boom? The title of the book was later adjusted to Why the Real Estate Boom Will Not Bust, in February 2006.

Now stories are being published which make predictions like this story, courtesy of Kenneth Heebner, manager of a top-performing real-estate fund over the past decade:

`It will be the biggest housing-price decline since the Great Depression,'' Heebner, 66, said today in an interview in Boston. Prices may fall by a fifth in some markets, he said.

That would leave home prices at levels last seen in 2003 and 2004, the middle of boom that lifted prices to a record in 2005.

What happened since 2005 to cause such a turnaround of opinion which is now reported matter of factly by a major financial news agency?

Well, when hot air inside a balloon begins to cool, we all know what happens. The balloon sinks back to earth.

Looking at Lereah's Floating House, it is obvious from the graphic there is no foundation under it.

So if people involved with real estate in Victoria pile on the reasons why real estate can't go down here, maybe send them a link to this article.