Update: As a loyal reader points out in the comments, Kendra Todd is an idiot. To quote Kendra from September 26, 2006:
You can't go anywhere without hearing people talk about "the real estate bubble." Such talk drives me to distraction, and I'll tell you why. It's because there is no real estate bubble. Bubbles are for bathtubs. Despite a thousand articles in Sunday newspaper real estate sections, the bubble is a myth.
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Here is the market madness indicator: inventory of homes in July '09 drops from 5.39 to 3.62 months in Northern Virginia and from 6.6 to 4.19 months if we include the exurbs. Less than 6 months supply of homes - is a seller's market.
ReplyDeleteI would use caution when applying the usual rules of thumb to our present, unusual situation. Many would-be sellers are holding supply off the market. Many foreclosures are also being kept off the market. So, there is a lot of would-be, shadow inventory out there. Probably quite a bit of pent up demand as well, though some seems to have burned off this spring.
ReplyDeleteAlso, it's compelling to break it down by price range. On the low end of the market, demand seems at least equal to supply (pretty hot market). On the higher end, stuff is just sitting there (fairly cold market). So by averaging it seems that the overall market is luke warm when there is vastly different activity depending on price range.
housing could continue falling for the next several years !we could see an additional 35 - 50 % decrease in home prices ! just look at japan .going on 20 yrs of recession and house depreciation . and its far worse here in the states! we are just getting going !!!! its easy to see ! just take of the rose tinted glasses !
ReplyDelete"is a seller's market"
ReplyDeleteAll the more reason not to buy in DC. Thanks for the info!
I love it when people put together a bunch of sentence fragments in the form of declarative statements as if thats somehow representative of what "is" and what "will be".
ReplyDeleteI can do it too watch:
"housing could continue rising for the next several years !we could see an additional 35 - 50 % increase in home prices ! just look at Latvia .going on 20 yrs of prosperity and house appreciation . and its far better here in the states! we are just getting going !!!! its easy to see ! just take of the rose tinted glasses !"
There you go people...You heard it here first!!!
solution to underwater mortgage: foreclosure and then rent.
ReplyDeleteUhh Kendra...
ReplyDeleteRemember yu said that bubbles were for bathtubs?
You are a discredited tool! Go away.
RayNLA