UPDATE: 1228 Walter St SE

1228 Walter St SE was originally listed at 549K. It has now been reduced to 529K.

Original Post

Will it sell at this price?

Unlikely. It needs to be reduced once again.

Comments are Encouraged!

It is wonderful to read all the intelligent and insightful comments that are posted by the readers. Thank you. I and other readers do learn a tremendous amount from you all. :-) Keep posting those comments!

P.S. I have some 'juicy' stories and pictures coming up soon. Stay tuned.

WashPost 'Existing-Home Sales Take Slight Slide in November'

Thanks to dc_too a reader who informed me about The Washington Post's article titled 'Existing-Home Sales Take Slight Slide in November' . The best is:

Thomas M. Stevens, president of the National Association of Realtors and a Vienna real estate broker, said he could sympathize. His own home, a 6,400-square-foot single-family house on two acres in Great Falls, priced at $1.45 million, has been up for sale since September. He said he would give Harrington the same advice he follows himself: When the market slows, sellers need to look at their properties with steely-eyed realism, cutting the price if other homes are selling for less. He also counsels patience.

Ironic. :-) Patience? How about lowering the price.

Live from Chicago

I just arrived in Chicago on vacation. My family and a bunch of my friends live here.

According to the OFHEO 3Q 2005 Report the 5 year price appreciation for homes in the Chicago area was 47% and the one year rate stood at 9%.


Is Chicago a bubble market?

More investigation to follow. :-)

UPDATE: 716 5th Street NE

The price was lowered on this property to 925K from 975K.

Original post.

Craigslist Post



Will it sell at the new price of 925K?

Nope.

UPDATE: 1817 D Street SE

1817 D ST SE still has not sold. It was justed posted on Craigslist.

Maybe a Craigslist buyer will be fooled? NOPE.

The price NEEDS to be LOWERED.

US Mortgages Application at 3 Year Low

Bloomberg Reports that 'U.S. Mortgage Applications Decline to a 3-Year Low':

The number of mortgage applications filed last week fell to the lowest level in more than three years, more evidence the U.S. housing market is stumbling.

The Mortgage Bankers Association's index of applications to buy a home or refinance an existing mortgage declined 6.8 percent to 554.1 last week, from 594.6 a week earlier. The gauge is the lowest since 554.9 in the week ended June 7, 2002.

Higher mortgage rates are limiting both housing demand and the desire to refinance existing loans, a source of cash for consumers during the past few years. Home sales are forecast to decline in 2006 after a record this year, which economists said will provide less fuel for the economy.

Ouch. The mounting evidence is rapidly turning greed into fear. The Lereah's of this world are changing their tune. One more nail in the coffin.

Ameriquest Commercial

I was watching an Ameriquest Commercial tonight and they were touting home equity loans. The tag line in the commercial was "Get money out of your house."

Two Points:

1) They use the term 'house' not home. Why? The word 'home' often has a deep personal attachment for owner. The term 'house' does not. It is 'Home Sweet. Home.'

2) One one gets a home equity loan they do NOT 'get money out of your house' but rather one borrows against their ownership in their home. The loan is guaranteed with the value of the house. Your home is not your ATM.

Oh and the corporate slogan is 'Proud Sponsor of The American Dream.'

Good Luck Ben Bernanke

Click on image for larger version.

What should Chairman Bernanke do with short term interest rates? What will he do? Lower them? Raise them?

He really is walking a tightrope. Tough situation.

Calculated Risk: Top 5 Economic Stories

Looking Back: 2005 Top Economic Stories @ Calculated Risk Blog. Amazing Blog. I'm a regular reader of the blog.