evergreen16

Housing Bust: Some Markets Steadying as Others Increasingly Suffer

Mad-hedge-fund-trader - your comments are quite funny. Did you have the time to read what you wrote?
The RE volume is up, because most units are snatched at 10-40% of the price? Where did you come up with that? 10-40% discount would be more realistic. What you are suggesting is, that prices didn't drop at all, but only because of some flippers that get their RE for a song, the averages look low...

So if you have nothing better to do, than to scare others and create panic so you can profit from it, at least, try a little and get your facts straight.

Thanks for nothing.





On Jun 25 04:48 PM Mad Hedge Fund Trader wrote:

> With the emphasis on suffering. Since I have been pelted daily with
> predictions that residential real estate has bottomed for the last
> 18 months, like hail in a Midwestern summer thunderstorm, I feel
> a public duty to tell you that is just not the case. Now that the
> state and federal moratoriums are off, foreclosures are accelerating.
> There are over a million Option ARM and Alt-A loan resets about to
> hit the fan. Since many owners will not see positive equity in their
> homes in their lifetimes, banks are seeing more walk always. The
> run up in mortgage rates from 4.5% to 5.5% has yet to hit the market.
> Some 18 million homeowners divert 50% of their incomes to pay for
> housing, double the 25% that is considered healthy, and many of them
> are losing jobs. While the volume of units sold has rebounded, the
> action is dominated by speculators, flippers, and bottom feeders
> bidding for properties at 10-40 cents on the dollar, not exactly
> a sign of health. Call me when Ozzie & Harriet Nelson come back
> to the market. I listen to industry insiders call the bottom of the
> Japanese real estate market for 15 years, until they finally died,
> and the market is still a fraction of its 1990 high. I thing we are
> closer to the bottom than the top in terms of price, but closer to
> the top than the bottom in terms of time. You can take that to the
> bank.