NAR Issues Housing Forecast: “Stable Existing-Home Sales Expected in Early 2008, then Gradual Rise” Over the next few months, existing-home sales are expected to hold fairly steady as indicated by pending sales activity, then rise later in the year and continue to improve in 2009, according to the latest forecast by the National Association of … Continue reading N.A.R. Housing Forecast
Category: Economy
Wells Fargo Analysis of Money and Markets
Not too much in the way of a rosy picture painted in this article, but we thank our source for the link nonetheless. Some highlights: -Residential drag diminishes by 2H08, but commercial joins the slowdown -Weaker profit and tighter business credit slow business spending -Stagflationary Feel -Misery Index Oh, just read the report: Wells Fargo … Continue reading Wells Fargo Analysis of Money and Markets
California Association of Realtors Housing Outlook 2008
Rather than giving excerpts, we thought we’d give you the whole thing. Found via the San Francisco Association of Realtors Advantage Online Publication: “California experienced another year of weak home sales in 2007. Sales of existing detached single-family homes, which declined 23.6 percent for the year 2006, were projected to decrease another 26.0 percent to … Continue reading California Association of Realtors Housing Outlook 2008
…and Here they Come: Foreigners Buying San Francisco Real Estate is Next
It all starts with a vacation, then turns into an impulsive need to buy. We’re already seeing more Europeans purchasing New York property, so if San Francisco can get past the extra 5-6 hours spent on a plane for most Europeans, we will certainly begin to see more of them pouring some of their hard … Continue reading …and Here they Come: Foreigners Buying San Francisco Real Estate is Next
In His Own Words: Warren Buffett and the Mortgage Crisis
On the issue of the securitized mortgages, Buffett said one can make more money “selling toxic waste to customers,” but that doesn’t mean it’s a good idea. “Wall Street started believing its own PR on this – they started holding this stuff themselves, maybe because they couldn’t sell it. It worked wonderfully until it didn’t … Continue reading In His Own Words: Warren Buffett and the Mortgage Crisis
The Wall Street Journal Front Page Story
US Mortgage Crisis Rivals S&L Meltdown Make sure you get to the very end of that scare the sh*t out of us article to read this: In spite of the gloom, the economy may avoid recession. Housing comprises a much smaller share of the economy than business investment, which dragged the U.S. into recession in … Continue reading The Wall Street Journal Front Page Story
Grave Dancing, Cheering, Puke, Our Market, and the Bandwagon
This article from Delaware Online is a perfect example of how some people can see the other side and capitalize on it. We’re not denying the market has changed, but we’re certainly not going to change our tune that real estate is a bad investment, and at the very least a great place to call … Continue reading Grave Dancing, Cheering, Puke, Our Market, and the Bandwagon
Verbatim: “Why is housing in some cities still booming?”
Real Estate: Last of the red-hot markets Why is housing in some cities still booming? The answers may help you navigate your own market. For the most part, the iron laws of supply and demand explain what’s going on… The basics haven’t changed. Job growth and rising incomes boost demand for, and prices of, housing… … Continue reading Verbatim: “Why is housing in some cities still booming?”
Headlines versus Reality, Volume Down, Median Up…again.
Headlines: “Bay Area median prices rise, but overall home sales news grim. Reality: “As Homeowners, Volume is not Very Relevant. For what it’s worth, we’re happy to see our little report was right on the money as far as the decline in volume at around 41%. Guess we’re not so mathematically challenged after all. And … Continue reading Headlines versus Reality, Volume Down, Median Up…again.
Let’s fix this mess, says Shiller
From a reader, “This is the same person who publishes the Case/Schiller housing index which is so widely cited…”: We have to consider the possibility that the housing price downturn will eventually be as big as that of the last truly big decline, from 1925 to 1933, when prices fell by a total of 30 … Continue reading Let’s fix this mess, says Shiller
More mortgage fiasco reporting
From today’s San Francisco Chronicle: The subprime mortgage fiasco stands to cost the Bay Area economy more than $5.4 billion next year, according to the latest report intending to put a dollar figure on the rising wave of real estate foreclosures. The lending crisis will cost the national economy $166 billion and 524,000 potential jobs, … Continue reading More mortgage fiasco reporting
Is Help on the Way?
“Countrywide, GMAC, Litton and HomeEq – which collectively service more than one quarter of subprime loans to people with poor credit – agreed to maintain the initial, lower interest rate for some subprime borrowers whose rates are scheduled to jump significantly higher. To qualify, borrowers must occupy their homes, have made their payments on time … Continue reading Is Help on the Way?
Not such a pretty picture for Bay Area housing
Is that why this guy is so smiley? His predictions are coming true? For those wondering, that is “[e]conomist Ken Rosen, a notorious bear on housing who has called for a correction for several years, [who] said home prices in the urban core of the Bay Area could drop 5 to 10 percent – but … Continue reading Not such a pretty picture for Bay Area housing
“What Market Slump”-NY Times
A reader recently forwarded us this article from the New York Times, and thought it might paint a comparative picture of what is going on here, or what could come to be. We’d tend to agree, however, on a much smaller scale (so far). Everybody, ourselves included, likes to keep a watch on other markets … Continue reading “What Market Slump”-NY Times
Is SocketSite Growing Bull Horns?
Maybe it’s a Halloween prank, maybe a treat, and we have yet to get the trick, but yesterday on SocketSite, they (we know it’s you Adam, but we’ll play along) had a decidedly confused tone: The Federal Reserve Cuts Benchmark/Discount Rates By 0.25% The known: the Federal Reserve has cut both its benchmark interest rate … Continue reading Is SocketSite Growing Bull Horns?
Point, counter point, more Sub Prime mortgage blaming
We’re not ones to only tell one side of the story (although continually blamed for it, and admitadly a bit bullish). We’re certainly not ones to always point to roses, and we’re definitely not afraid of helpful comments and good articles to keep us thinking, so keep sending them, and please discuss. At the heart … Continue reading Point, counter point, more Sub Prime mortgage blaming