Cue the happy twittering birds and the singing, smiling Mr. Sunshine- We’ve got Bank of America’s CEO Kenneth Lewis and none other than the Treasury Secretary himself, Henry Paulson, assuring us that after a long hard road, the housing slump is nearly over:
The worst U.S. housing slump in 16 years will begin to ease in the next month or two, and job growth will lift home prices and spur construction early next year, Bank of America Corp. Chief Executive Officer Kenneth Lewis said.
“The drag stops in the next few months,” Lewis said in an interview yesterday in New York. “It’s just about to be over. We’re seeing the worst of it.”
If that reassurance doesn’t fill you with the desire to run out and get a couple of wonky loans to do some house flipping, maybe this will: [Hat tip C.K.!]
WASHINGTON – The major slump in the housing market is nearing an end and should not have a significant impact on the overall economy, Treasury Secretary Henry Paulson said Wednesday.
"We have had a major housing correction in this country," Paulson said in an interview with a small group of reporters at the Treasury Department. "I do believe we are at or near the bottom."
Paulson said he realized there would be losses along the way but said he believed those losses have been "largely contained."
"It doesn’t pose a risk to the economy overall," he said.
My opinion on Lewis’ and Paulson’s opinions? I’m going to let Chris Rea say it- here’s his 1978 song Fool if you think it’s over: