xmplary

Property Values Set to Fall 43% from Current Depressed Levels

The reality is different from analysis. I have several clients bidding on bidselect.com for HUD properties and like every buyer, they want to start bidding way down, against my advice, only to find out that some one else's bid got accepted over theirs. The best time to have got the best deals was in the spring of this year when there was so much uncertainty and many not being able to get financing. Those deals are now gone, except where the seller is desperate... even then, the bank approving the short sales are not so desperate with all the billions tax payers have provided! Winter is generally a slow period, so desperate sellers will accept lower offers, but if they can hold on till the next season they will. Prices dropping 43% lower from current levels is fantasy, unless we are in for a similar situation as in late 08.

Once the Job Market Comes Back, The Housing Market Will Cure Itself

I've been saying this for a while... its no brainier that when people have no jobs, they dont have the spending power. Low interest rates definitely help, but when there is so much uncertainty, every one is cautious about spending. Just dropping down the interest rate and not dropping the price wont have much of an effect... they have to be in sync. If I get 0% interest for something that is selling at 2x its perceived value, I'm not gong to buy. If its selling below value, but the interest rate is say 20% I'm not going to buy either, at least not fiance it.

digg.com/business_fina...