This story in USNews further supports the general indication that there is a real estate bubble about to pop. The data is pretty conclusive. I've been amazed in talking to people about how much blind optimism there is in the market!
Add those numbers to the chart shown here, which I got from this article at the InvestmentU.com, and you will see a correction in progress.
For full disclosure, I do own shares of real estate companies - Toll Brothers and MDC Holdings, despite my confidence in an impending crash. I am still trying to determine what an appropriate metric might be to determine when to sell them, but for now they are profitable and successful companies that seem undervalued.