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

To: SouthFloridaGuy who wrote (224873)	10/14/2009 8:49:30 PM
From: Broken_Clock	Read Replies (2) \| Respond to of 306849

you should buy all the inland empire homes you can tomorrow. -g- Remember to pay cash and i strongly urge you to bid well over asking so that you get all you can handle.

To: SouthFloridaGuy who wrote (224873)	10/14/2009 9:45:55 PM
From: CalculatedRisk	Read Replies (2) \| Respond to of 306849

Yes, I posted that low end was probably at a price bottom last year - but not the high end. Be careful though ... many low end areas have seen a recent price boom because of market distortions: * demand stimulated by first-time home buyer tax credit and FHA making bad loans * supply constricted by trial modifications So the price in those areas has gone up. As I noted some time ago ... "duh". Supply and demand. But the demand from the world's dumbest tax credit will wane - even though it will be extended (see clunkers tax credit) - and the banks have already said there will be a "spike in foreclosures" later this year. So be prepared ... Note: Replacement costs matter if there is demand (exhibit: Detroit) best wishes

To: SouthFloridaGuy who wrote (224873)	10/15/2009 8:41:30 AM
From: DebtBomb	Respond to of 306849

Hey, London Guy....some real estate is cheap....no doubt about that one. I see one nearby for about $69/sf. But....There isn't hardly anyone left to buy, or left to buy that can qualify, or left to buy that has a job. Future sales have been stolen by first....the bubble, and then by the cash for shacks program. AND....10,000 baby boomers retire now every single day, 3 million per year. They hit peak earnings and spending year in 2007. Nothing is going to change that. So....real estate has to follow what? IMHO, we'll be lucky if it just stops going down for the next 3 years. I agree with you though about bearish arguments on real estate....if we inflate....no matter what sales are.....real estate will go up, IMO.

To: SouthFloridaGuy who wrote (224873)	10/15/2009 10:01:10 AM
From: John Vosilla	Read Replies (2) \| Respond to of 306849

'The land is being assessed at a negative value, which implies greater than 100% falls in the value of land since the bubble burst. Not a bad inflation hedge if that's what the end game really is' Especially with low fixed rate financing. Still I don't think RE is going to start appreciating for a few more years. Lots of jobs still being lost and upside down homeowners needing to be cleansed out. And I really doubt there will be any new boom in new home construction for 7+ years but that helps tighten supply dramatically when we look out 4-5 years from now. We bottomed out down here at way below replacement cost earlier in the year.... some areas down 60%+. Building lots have little value in hardest hit areas.