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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: THE ANT who wrote (93938)	8/27/2012 6:07:59 PM
From: KyrosL	Read Replies (2) \| Respond to of 218657

Hopefully we will all be around in ten years to see who was right.

To: THE ANT who wrote (93938)	8/27/2012 8:45:14 PM
From: Haim R. Branisteanu	Read Replies (3) \| Respond to of 218657

relating to "housing" in general terms, as an investment, is misleading and therefore general pricings of such assets are also not a preferable guidance, as RE prices are very highly dependent on time and location, guided by economic development in the nearby area, with a clear bubble like tendency in pricing. Buying a home or an apartment in the "neck of the woods" in a forgotten place will look as a losing proposition, but if nearby something unexpected, like a very positive economic event would happen and development of new dwellings will flourish and construction will take off, the original buyer will look like a RE genius. Same applies in reverse, to let say Detroit or Gary Indiana which downtown RE two or 3 decades ago was at least 10 times today prices. I may be not totally accurate but I hope you get the sense what I intend to write. Therefore in my previous post I mentioned proven investment grade RE which by itself is hard to choose from the example above. Or compare Macau casino strip now versus let say 30 years ago and many similar examples are around the world.

To: THE ANT who wrote (93938)	8/28/2012 7:51:32 AM
From: elmatador	Respond to of 218657

I have been living out of touch with Brazil for the past 30 years. Although I came back 1991- 1993 and used these two years to re-acquaint myself with the country that was living its last years of Lost Decade then. Note that I travelled extensively in this southern area back in 1979. I have never been in Brazil looking around after 2002 when economy stabilized. Only came to my base Curitiba staying with my family. Last month I went out to visit my friend in Araraquara, 620 Km from here. That made me see another how things changed from 1993. Looking to what matters in the world around you, it is another country. Lost Decade effects can't be seen anymore. If there is an effect of Lost Decade -and most are seen in the large urban areas- it is being resolved by the affected and the politicos are on the case too. I travelled with 'klaser glasses'. I tried to see the way we have discussed economics both macro and micro. Tried to discern the results fo the soft revolution whereby the elites revolved by themselves for survival. Nothing beats being there. The surroundings shape the mind of man.

To: THE ANT who wrote (93938)	8/28/2012 8:22:14 AM
From: elmatador	Read Replies (1) \| Respond to of 218657

Mish made a quick connection between iron ore and RE in Australia as prop for alarm. Say I am an American who had a house that was worth $100 in 2002. In 2005 it went to $300. Reach $500 in 2008. In 2012 it collapsed to $120. It created a sea of ink in papers and several GB of pages in servers chronicling the collapse. I still have an asset that is worth what it was in 2002 plus its historical growth price but the world is telling me the world is going to hell. Let's look what happened: The prices climbed unrealistically because people started buying assets like the one I ALREADY HAD and was living on it. People looked to how easy it was to get money to buy a house, bought and where left owing bankers money. They moved in and started living in a property that was not theirs. It belonged to the banks. It did well to the economy. Construction companies and their workers, architects, construction materials and furniture companies, banks and people moving the houses from one hand to another, took the gains. The more people bought the higher the prices went. It was feeding in itself because the economy was doing well because there was a boom in real estate. The Ilaine client was driving a truck transporting cement took a huge mortgage. It became bubble and it collapsed back. For me I'm unnafected with my house now valued at $120. The cement truck driver was left with a house he never afforded and could not get rid of it since he personalized it too much for his own taste.