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Politics : High Tolerance Plasticity -- Ignore unavailable to you. Want to Upgrade?

To: Gottfried who wrote (7551)	9/8/2001 2:10:39 AM
From: Warpfactor	Read Replies (1) \| Respond to of 23153

Thanks for the anecdotal information on Bay Area Real Estate everyone. We have seen signs that the housing market is starting to crack, although I don't think it will be as bad as the LA experience of Ed Miller. I have seen several instances described by Energyplay where the original asking price is crossed out and replace with one a little lower. A sea change from last years overbidding phenomenon. Why won't it be so bad: 1) The interior of the Bay Area is practically built out. Any new housing within 10 miles of the Bay is not common. 2) There are legions of people who have been priced out of the market for the past few years, just waiting for prices to drop into the $300's 3) Many investors in the Bay Area are blissfully ignorant of the stock market. Real Estate is their meal ticket. They will be looking for rental property falling into range too. 4) Even where there is open space to build upon (San Ramon, Pleasanton. Livermore), communities are passing "reasonable growth" legislation. Residents do not want their towns becoming overcrowded. I think we may see houses dropping say 20% from here. Sunnyvale and Mountain View may get hit 40% if the tech slide continues significantly into 2002. But that only drops the 3BR/2BA to $400-$500K from current levels. Well, see you all in two weeks. Will be out of town. Warp