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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: bentway who wrote (60055)	8/16/2006 1:39:44 PM
From: John Vosilla	Respond to of 306849

“‘Flippers are not buying property now, but they are the ones holding a large part of the inventory,’ said Jim Sahnger, of Palm Beach Financial Network. ‘Those buying homes today are primarily for their principal residence, and they are offering fair prices, but that’s still in excess of what property sold for last year.’” “‘Properties have not been on the market long enough to force downward pressure on prices,’ said (broker) Chappy Adams. ‘Unless a seller really, really needs to sell, they will try it out for a while at the price they were used to over the last six months.’” thehousingbubbleblog.com I'm noticing in some of the most overbuild speculative single family markets in Florida that new homes are now being priced to move quickly at prices just above a ton of older smaller homes in MLS occupied by end users in no hurry to sell. Which would you want a brand new 2006 1700sf home for $189k or a 1992 1400 sf home for $175k? It remains to be seen if all this excess inventory by builders and speculators can be burned off in time before the effects of recession, ARM reset and foreclosure on owner occupied housing is felt by many more people eventually becoming motivated sellers as well.