LiquidSoapDispenser

Scary Foreclosure Numbers, Scarier Prospects

Yeah, it's an adjusting process, yeah what goes up must come down. But come on, this process will be really painful -- you comments (short & aby) make it sound like a pleasant process. People losing houses, nest eggs, jobs, all of which compound each other. You guys act like it's not going to get very ugly (as if it's not already pretty ugly).

Historic Financial Collapse Underway?

Very interesting article. One thing I wonder about is how you (and others) think high mortgage rates and very low housing prices are such a good thing (makes housing affordable). But there's no mention of the problems this would cause. If the value of most people's homes fall far below what they owe on them, we will see people walk away from them at a scale that makes today's foreclosure rate look like nothing. You think that won't be it's own catastrophe? You're gonna have to explain to me how this could possibly be a good thing, rather than just seeing the "affordable housing" side of that equation.

Calling a Housing Bottom

Regarding #3 -- Widespread speculation would have been much more difficult with better lending practices (which is tied to the subprime lending).

BTW, I think many (reasonable) people were able to call the market top fairly accurately here in Los Angeles. I believe my next door neighbor sold at the perfect peak, as I would have too, had I seen my home merely as an investment. Maybe this has lead to a false sense of ability on my part, but I do hope to be able to see when the market is near bottom.

Most people here seem to agree that the market has yet to bottom out, are you saying we are all crazy to think we can see that?