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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: Gotham Guru who wrote (48456)12/30/2005 3:23:41 PM
From: John Vosilla  Read Replies (1) of 110194
 
"Could you tell me what you specifically would consider a collapse, implosion, or the bursting of the "bubble"-10%,20%,30%? Post 9-11, I think many moved money into real estate since it was a physical (structure) asset that they could see, not paper stock or business"

All those new high end condos are sitting empty and generate no cash flow in Florida, Vegas, San Diego and several other bubble markets. Drop could easily be 60%+ when you are talking $600k units that it would be a tough time finding a year round renter for even $2k/month and up to $1500/month in operating expenses before you even get to your mortgage. Single family I think only gives back perhaps the last couple of years gains in the bubble markets. Much of the rest of the country has a ton of opportunities and I bet does very well unless we go into a depression..
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