"The American consumer is not stupid," and that's why housing hasn't bottomed, Mort Zuckerman...

"The American consumer is not stupid," and that's why housing hasn't bottomed, Mort Zuckerman (BXP) says. There's "no confidence"; until that changes, historically low rates and affordable prices won't matter. But commercial real estate remains a good buy in many locations; small-town shopping centers are hurting, but demand for higher end properties is strong.

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Comments (4)
  • Ricardo Espinosa
    , contributor
    Comments (458) | Send Message
    Yeah...of course they're not stupid.
    29 Sep 2011, 05:21 PM Reply Like
  • apberusdisvet
    , contributor
    Comments (3099) | Send Message
    Mort is right; he doesn't have an agenda, unlike many of the author's of today's S/A articles that proclaim a "bottom", or even more rediculously, a "recovery".
    29 Sep 2011, 05:22 PM Reply Like
  • untrusting investor
    , contributor
    Comments (9903) | Send Message
    Those that have housing don't need more and can afford what they have. Those that don't have housing can't afford it anyway, even it they could get loans. So won't be any changes in housing until those who can't afford it somehow get some jobs or income increases. Would not expect that to happen anytime soon.
    29 Sep 2011, 05:37 PM Reply Like
  • Hendershott
    , contributor
    Comments (1758) | Send Message
    Since the mortgage business now uses loan standards to gauge the borrowers ability to pay the loan, real estate prices now will reflect personal income. Either personal income rises to meet today's prices or the prices fall. We're not there yet.
    29 Sep 2011, 05:41 PM Reply Like
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