SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Haim R. Branisteanu who wrote (15927)6/27/2004 12:24:48 PM
From: Steve Lokness  Read Replies (2) of 110194
 
Well I take an entirely different slant on the potential housing bubble. It is not "mobility" nor "rate of change" that is important but supply of available houses both new and existing. I go back to the old rule of supply and demand. If the supply of existing houses gets to be more than the need (demand), then that is what will break the housing bubble. All of the contributing factors (and there are many; rising interest rates, over burdened debt load, low wage increases, hey even the switch from good paying industrial jobs to service jobs) are still dependant on the supply vrs. demand rule. As baby boomers start entering retirement, are they still going to need/want two homes and bigger homes? I don't think so as they may want to start having fun rather than being a slave to their homes. Who cares what the rate or number of new houses is, if we have more homes than we need? Do Americans really need two or even three homes? All that it will take is this balanced of supply and demand to tip a little bit and then we know what the rule says - lower prices!!! Once lower prices start, then I fear we face the ugly prospects of housing really crashing as the speculators rush to save what profits they have - such as the stock market crash. I think housing is being way over analyzed and it is just as simple as there is more supply out there than we need.

Steve
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News