Thursday, September 07, 2006

BubbleSphere Roundup

The NYTimes' WalkThrough Real Estate Blog has not been updated since August 7th. What gives? [It will soon be removed from the my blogroll]

Out at the Peak reports how the California Association of Realtors change the rules of affordability. "These numbers were not acceptable to California Association of Realtors (C.A.R.), so they redefined the Housing Affordability Index." I'm glad they are being exposed for their tactics.

In many bubble markets, housing units are sitting on the market. Realtors are unhappy as sales are down. Solution: New realtor talking point: Lower the price or it ain't gonna sell. Instead of cheerleading rising prices, maybe the realtors will be cheerleading declining prices.

There is no real estate bubble ! or so declares Patrick. "I now agree with the housing bulls. There is no housing bubble. The bubble is no longer 'is', it is now 'was'. Yes, I think it's time to officially declare that there is no longer a housing bubble in USA. There was one, whose size, implications and aftermath are the only remaining questions. "

An Absolutely Amazing post is NAR's Forecast - Going Down, Down, Down in a Burning Ring of Fire. In it Frank from Florida Paradise Lost Blog lays a smackdown on the National Assocation of Realtors (NAR). The post shows how the NAR's original forecast for 2006 existing home sales was way off. The National Association of Realtors cannot and should not be trusted.

3 comments:

  1. Here in California where our household income is in $110,000 a year range and we still can't find room in our budget to feed and clothe ourselves if we buy in the Bay Area.

    But now that Leslie Appleton-Young fresh from a crack binge in East LA has figured out a way to cook the numbers just right, we've decided to go invest $48,000 a year of our income for payments on a toxic mortgage to buy an over-priced, under-sized, 50 year-old dump in Livermore.

    I feel even richer thinking about it........

    ReplyDelete
  2. David,

    Take a look at this link:

    http://articles.moneycentral.msn.com/Investing/CNBC/Dispatch/060907markets.aspx

    Beazer says home sales down 49% from last summer and cancellations are running at 50% on current contracts.

    ReplyDelete
  3. David,
    Many thanks on the reference ("burning ring of fire") - the NAR just simply amazes me. But then again, after meeting some of the amateurs/dolts who got into the business over the past couple years, I guess I should not be surprised.

    Great job on your site - keep the fire hot and smoke those insects out!
    - Frank

    ReplyDelete