Goldman Sachs Update

Goldman Sachs just told us the obvious.  In a ‘bombshell’ report to clients recently, Goldman Sachs wrote they expect Austin, and three other cities, would experience a drastic market decrease of more than 25% from their recent peaks.  They compared it to 2008 when prices nationwide fell 27%.  I have one word for Goldman Sachs:  Duh!  We’ve been tracking this for quite a while.  The Austin area real estate prices for resale homes peaked last May and have fallen since then.  How much?  22.5%.  So congratulations Goldman Sachs for making the bold prediction that prices will fall another 2.5% in Austin.  Maybe if they’d made that prediction a year ago, I’d be more impressed.