The Outlook for Financials January 1, 2008 Dear Investor: The collapse of real estate looks long and deep. Mean estimates for the bottom are mid-2008, but many of these rosy predictions come from biased sources, such as real estate trade groups—who until earlier this year were still maintaining there was no such thing as a real estate bubble. We feel that housing prices won’t reach bottom until 2009-2010, with a slow recovery matching the...