Steven R. Smith

Not Enough Ado About Real Estate Lately

There are many who try to spin real estate data to make things look good, rather than simply report on what is happening.

The classic example is the Economists from NAR or BIA, or MBAA. Any positive spin they can give data, helps their members do more business.

All who report, only report on Prices, not Values. The low end pricing is being propped up by the Stilts of Concessions.

Low end buyers that have not saved a down payment, can be packed into deals at Prices beyond their Value. The classic example of this is the FHA buyer.

The only party that has any real concern for Market Value in the sales transaction is the Appraiser. And, god forbid they miss the Sales Price. If they do, do you think the other players will tell the Buyer the home is not worth the Sales Price?

Or, will the Appraiser be pressured to inflate the Value to make the deal work?

Pending Home Sales: July 2009

Great that the numbers of sales are up, what about the Prices?

There must be a reason NAR does not like to make a correlation between the good news of sales volumes increasing And price trends or changes.

Housing's the Key to Economic Recovery

What if another Crash in residential real estate was in the offing, spurred by the huge volume of current sales to buyers who had no down payment except what the government gave them, that purchased with 97% FHA loans, with help from the Sellers that was hidden from the Appraisers?

Seriously, is it possible that the Housing Market has been shored up artificially? And, what role in it has the Appraiser played?