I expect Greg Weldon's prediction on real estate to happen
and happen soon
a sudden 15% decline in prices from a huge supply just sitting on the market, followed by a long long slow leak in prices, lasting for several years
the sudden shock will be based upon slack demand
the ongoing leak will be from gradually rising rates and gradually rising unemployment
I have a new theory on real estate prices
they are very strongly correlated with the dominant sectors of corporate business making up the local metropolitan economy
since medical, healthcare, military contracting are reasonably strong still, Boston hangs on
since telecom, tech, internet, fiberoptic, venture capital are so weak, San Francisco shits the bed
Austin is not much different from SFran really
a shitload of tech, chips, Dell, etc
Dell just cannot keep the economy going all alone
since forestry, Microsoft, tree hugging, and camping in trees with tents is so strong, Seattle is doing well still
you get the idea
/ jim |
