“It’s Not Practical To Think It Could Keep Going”
The Northwestern reports from Wisconsin. “Single-family homes remain on the market significantly longer now, have declined in the volume sold in the area and throughout the New North region, they sell at lower prices. According to the Wisconsin Realtors Association, home sales in Winnebago County dropped 6.3 percent in the third quarter, accompanied by a median home price decline of 3.8 percent, to $123,100.”
“(Broker) Dennis Schwab attributed the slowdown in sales to a lack of buyers. ‘We’ve kind of depleted that market,’ Schwab said. ‘For two or three years, the market was unbelievably good. It’s not practical to think it could keep going like it was.’”
“Real estate agent Kris Villars echoed Schwab’s belief that the local housing market leveled off this year after a boom. She attributed that to the glut of no down payment mortgages signed to take advantage of low interest rates. ‘It creates a chain reaction in the market as far as the average sale price,’ Villars said.”
“Buyers meanwhile, Paul Walker said, can be choosy thanks to the larger number of properties available and the shortage of buyers. ‘Don’t settle for less than you want,’ he said. ‘There’s a lot of houses out there. Find the style, size and location you want and be willing to deal.’”
“Villars said this is simply a return to normal for the area. ‘There’s less buyers out there than there have been in the past years, but prior to 2000, this was common for our market,’ she said.”
From Inman News. “The Central Indiana housing market cooled further in October, as home sales and prices fell from their year-ago levels, according to the Metropolitan Indianapolis Board of Realtors.”
“The average sales price of a home in October dipped to $150,621, a decline of 2.5 percent from $154,489 posted in October of last year. Some 18,811 houses remained active on the MLS at month end, up 10.2 percent from the 2005 level. This level of inventory suggests a continuation of the current buyer’s market.”
From CNN Money. “Karen and Jerod Williams bought a new home early this year, at a time when the housing market in Huntington, Indiana, was purring along, slow but steady. They then listed their old home for sale, but shortly afterward the market stalled and they haven’t found a buyer. It’s been nine months.”
“‘We didn’t think it would ever take this long,’ says Karen. ‘If we had, we would not have bought the new house.’”
“The market turned south quickly, according to Karen. ‘We had two open houses early on five weeks apart,’ she says. ‘The first attracted two serious buyers, the second, nobody.’”
“So now, the family, burdened with the work and expense of two homes, are at the limits of their budget, even though they both make good salaries. ‘Any emergency may lead to bankruptcy,’ says Karen.”
“When they went to sell the first one, they hoped to get what they paid for it four years earlier. In nine months, they’ve already reduced the price twice; they’re now asking $69,900. Even if they get that, and that’s looking unlikely, they’ll still lose a substantial amount on the transaction, especially factoring in selling costs and the $500 a month they have paid out as the house has stood empty.”
“Their agent advises them to wait out the market. They may do that. As Karen says, ‘We don’t have a lot of options.’”
“One idea they’re toying with is updating the kitchen. The hope is that it could make the difference in selling it at all. For her, the sooner they sell, the better. ‘My husband and I will soon be in the desperation phase,’ she says.”
‘We’ve kind of depleted that market,’ Schwab said. ‘For two or three years, the market was unbelievably good’….Real estate agent Kris Villars echoed Schwab’s belief that the local housing market leveled off this year after a boom.’
‘She attributed that to the glut of no down payment mortgages signed to take advantage of low interest rates.’
‘There’s less buyers out there than there have been in the past years, but prior to 2000, this was common for our market,’ she said.’
Let’s see, an ‘unbelievablly good’ ‘boom’ that started in 2000 and the presence of exotic loans. No national housing bubble? Wisconsin?
I was thinking the same thing all the way down the entire thread — Wisconsin? Did’nt realtor Susan Jacobson argue it was different in Wisconsin and this is a normal cycle slowdown like others she witnessed?
Yeah, Wisconsin, California, New York, London, Paris, Katmandu, Timbuktu. MIght as well be Mars or Pluto for that matter. It’s different here, there, every where. Yeah, right!
There is a Dr. Suess / NAR spoof in there somewhere.
Good one OC;….
the real bubble is in Madison, WI. but, I caught that snicker at the end. “even Wisconsin?”.
Money magazine (or one of those Mainstream financial rags) listed Madison as the “best city to start a business in.”
“We’ve kind of depleted that market,”, speaking of buyers!!
HAHAHAHAHHA!!!! LMAO!!!
the schanderfruddle thing. I love this blog.
I am originally from Wisconsin, and my whole extended family still lives there. I know two people who recently bought in the Milwaukee area, one being my financially-irresponsible 24-year-old brother and the other being my cousin and her husband. I expected a stupid move like that from my brother. He is one of those people who insists that renting is like throwing away money — whatever. Nevermind trying to explain to him that even in a place like Milwaukee home prices were very inflated.
The hilarious part is my cousin and her husband, who once worked as a “financial planner” and recently finished his MBA at Notre Dame. Back when he first starting working at a local financial planning firm everyone in my family was saying what a smart guy he was and how they would have him handle their finances if they actually had money to be managed. At the time, I took note of the fact that he and my cousin had just bought a brand new SUV they could not afford and they were paying out of pocket for health insurance coverage because my cousin is a nurse who would rather do shift work with no benefits than be forced to work the occassional weekend (his small financial planning firm didn’t offer health benefits either). I remarked at the time that I would never take financial advice from someone who was obviously so irresponsible with his own money, so I am not really surprised that they just purchased a McMansion at the peak of the housing bubble. I guess it just goes to show that there are a lot of idiots in this world, and even bigger idiots who think someone has got it all figured out because they have an MBA and call themselves a financial planer.
I can relate to this, reluctant. My MBA classes were full of dults - but there were a few really smart ones. What kind of grades did he get??
Sometimes, people think this about me because of those expensive letters behind my name. But I tell them it’s only a starting point. I need real experience before I know anything. They just scratch their heads and say, “Then why did you pay all that money for the education?” Sometimes I wonder. . .
Look at the wonderful accomplishments of our MBA President. You can count them on 1 finger—tax cuts for Paris Hilton & Bill Gates.
‘Nough said.
“early signs of credit distress” in financial institutions’ holdings of so-called “subprime” mortgages, especially in California.
2 or 3 weeks ago you didn’t hear anything about MBS holders in the news. Now it is a daily occurrence.
http://biz.yahoo.com/ap/061211/home_mortgages.html?.v=2
Mortgage credit is going to/ HAS TO tighten significantly now. This will be the start of the real bubble bursting. What we have had thus far is just a precursor to what is to come.
We have a “Depleted Market “, that’s a good term for it .
Many of the sales in 2006 were bum deals as far as I’m concerned and they didn’t stop the sub-prime lending quick enough to stop the fraud and bogus incentives that came on as the new scam to get buyers .
I have been screaming and bitching about this bogus lending to stop from the time I found out about it on this blog ,(as you all know ).The loose lending messed up the whole economy .
Had lending standards and normal down payment requirments remained in place the excess money in the system would of found another place ,maybe a more constructive place .
And after all this evidence of a destructive bubble ,the NAR/CHeerleaders still want to keep the party going and are willing to suck in the last remaining GF’s who will lose money .
“Dennis Schwab attributed the slowdown in sales to a lack of buyers. ‘We’ve kind of depleted that market,’ Schwab said.”
Ya think?!
His superhero name is “Captain Obvious”, I think.
I like how he says that it was unbelievably good, then leveled out… there are a lot less buyers…
Now how exactly is this a leveling? More of a dropping if you ask me.
Ben you made a typo it should be $699,000 and $5000 a month. Oh wait its not CA!
69k is they typical car price in CA. These stories from flyover land freak me out. That’s like mexico prices!
and the $500 payment is killing them. It’s a whole other world is’nt.
If they can’t afford $500/month, then how are they contemplating re-doing the kitchen? They are better off dropping the price and leaving the kitchen as is. Then the new buyers can re-do the kitchen however they want.
LOL. Actually, it may be cheaper than Mexico prices.
You got that right. My in laws paid $300,000+ for their hacienda. Gringos don’t go to Mexico for a cheaper double wide.
DIg up the story about the Trump place in Baja for a good laugh… people paying $500K for boxes o’ crap with the Trump name on them.
OMG it is way cheaper than mexico! If bubble were to continue it would reverse the earth’s spin and time would flow backwards.
And you wonder why Clownifornians are equity locusts. Hit the lottery, which is your old home, and pay cash for something in flyover land. Only problem, the locals hate you and you get bored with the slow pace and lack of wackiness.
Yeah they do hate us generally. I think we deserve it. I’m a typicall clownifornian too. smart ass, atheist, tech worker, made killing in RE, like to bash red states for fun. I totally fit in here, but in flyover land i feel outta place. Like a time traveler. Marty McFly in 1950.
After equity locusts spend long cold winter with no sun this is what they will say: “Doc, you gotta get me back to the future!!!”
Tinfoil, all the characteristics you mentioned are reasonable even in flyover land. I think the difference is that they see us as shallow. They think we’d sell our own children to make a buck or gratify ourself, whether or not we would, just their perception (and just an example).
Add to it that we don’t appreciate being referred to as “fly over land”. Most of us would prefer “coasters” would continue to to fly over and never land anywhere near us.
THAT;…I have a good friend in Michigan…Lives 20 minutes outside Benton Harbor and I gotta tell you I can only make it for two or thee days and I am pulling my hair out….I guess I have been Poisoned by Silicon valley also….I gotta believe for me, there is some compromise between Silicon valley & Benton Harbor….
As someone from a purplish state, I can observe conservative natives and more liberal outsiders (mostly from NY and Boston, but some from CA) at close hand.
I think the observation that natives consider the outsiders relatively shallow is right on. Speaking from a “red” point of view, I’d also say that the attitude that native are backward hicks is definitely cause for resentment.
I’m smart ass, agnostic, tech work and quite frankly, if CA is “the future”, then I’m willing to call it quits right now.
I’ve never visited a place I wanted to leave so quickly. Would I be happy in “pure” red country? I don’t know about that either - but I certainly understand it better if nothing else.
As someone who paid $88K for their house (yes you read that right), it amazes me me to see CA folks on regular basis mention that if the houses dropped to something reasonable, like $400K, they’d buy in a NY minute (tee hee). It would scare the crap out of me to be on the line for that much even if I had a good job.
Hey vermonter, I’m just curious there seem to be A LOT of people from flyover country reading this blog. I don’t get why they are so interested in the bubble when dont really have one.
It doesnt seem like if the median home going from 100k to 150k is the end of the world (especially since its so nice to live there?)
Can we even say the bubble hit TX or other places? No one in CA or NY would ever ever think so. I realize its perspective. Are they here to watch to show? Its totally insane thats fer shure.
If you live on the coasts your future might be wrecked cuz your kids will move to 5 different states and you will end up stuck in a tiny box since you cant afford to move up (untill the next crash?) The bubble is devastating!!!
Well, I think you answered your own question - it’s a matter of perspective.
Our house is now assessed at $140K and we’ve owned for about 6 years. In that time my husband has a achieved all of a $6k raise.
We try very hard to live on one income. When we run the numbers, we could not afford our house now under traditional guidelines. (We own a definite fixer-upper and we’ve put a fair amount of money in this house.) My husband has a tech job here, too, by the way.
$50K is a big deal if you are attempting to buy on $25k salary. (We do make more, but this is closer to median for VT) I’m here because the bubble has come to Vermont, too.
As I mentioned in another thread somewhere, the owner of the property behind us is attempting to sell a 5 acre lot for $93k. That puts the total house price at $200k at least or more likely $250k. That requires 2 steady middle-class incomes or a single salary of at least $60K, both of which are unlikely around here.
“I’m just curious there seem to be A LOT of people from flyover country reading this blog. I don’t get why they are so interested in the bubble when dont really have one.”
1 bed condos under 700sqft starting at $350,000 in Chicago. Nah, no bubble anywhere but CA.
Yeap! in a lot of Chicago exburbs the income (from taxes information) is 40k-50k per family and the median house price is around 300k…no buble, NOT.
California is the same times 2 or 3…but the same proportions.
I have never been in California but I’ve met a lot of California “natives” (in Chicago and Atlanta); some of them think they are very refined and chic just because they are Californians…it is as weird as when some Americans (specially the rich ones from California!he) think I’m very sophisticated because I am Western European…oh! well I really do not see the correlation.
I’ve been to many a tech conference in the Moscone. I also have done re-enactments of Gettysburg, etc…
Went from a high tech Java conference to the Nashville Civil War show in the past month.
No problem
Hope you don’t forget where you are. Might shoot Steve Jobs by accident.
mr.schwab cannot find a gf?
123k median price, that is a dp in my neck of the woods
NYC deserves crazy high prices. Rent control only makes rent/prices go up. Is the whole state rent controlled or just Manhattan?
im not sure about the whole state but i know there is rent contol in all the 5 borough’s. there are some people with rent control apartments with large incomes, but there are also some older people with not much money who need these places
Its so wrong. Why do poor older people need to live downtown where all the jobs are thus displacing the younger/working class?
In Santa Monica,CA there are lot of rent controlled apartments occupied on weekends or summers by Doctors and the well off. Plus people illegally sublet them. Some of them are locked in at $500 a month for a $2500 a month apt by the beach. If i was the land lord I would burn it down and then sell the land.
At least rent control is pretty rare. Build too many apartments and renters take over the city!
Tell me about it
But at least now days we can kick out the illegal sublets. The lifers we just have to wait out or pay off to go away. One of the biggest ironies is that the people paying the least complain the most. Entitlement mentality at its finest.
I suppose regulation can go too far in either direction. For example in TX its really really easy to foreclose/evict. But its also easy/cheap to build apartment buildings so there is lots of supply and vacancies are high/rents low.
Rent control is the devil and so is Prop 13. They instill poor land use and unfair entitlements, very large widespread issues in CA.
Older people with “not much money” should move into a $65K home in Wisconsin. Why should other people subsidize their rent?
Didn’t we already do that to the Indians?
No.
Cyndi Lauper’s Rent-Controlled Lifestyle
New York Sun Editorial
July 8, 2005
Cyndi Lauper, 1980s pop-music icon, and her husband, the actor David Thornton, will enjoy their West End Avenue apartment at the cut-rate, rent-stabilized price of $989 per month, even though the state Court of Appeals last week rebuffed the couple’s attempt to slash that figure even more. So New Yorkers can sleep easy in their (excessively expensive) bedrooms tonight, knowing that the truly needy are getting affordable housing.
http://www.nysun.com/article/16680
cyndi lauperis not what i had in mind with my above comment, i alsodid not mean those people paying less than
a $1000 a month for a classic 6 off park ave
what i meant was the little old grandma living in a tiny pad in the outer boro’s.
definately not the boomer couple taking ful advantage ofthe situation with a cheap apt. and their nimby attitude to anything they do not like
cyndi lauper is not what i had in mind with my above comment, i also did not mean those people paying less than
a $1000 a month for a classic 6 off park ave
what i meant was the little old grandma living in a tiny pad in the outer boro’s. (perhaps a widow on a fixed income)
definately not the boomer couple taking full advantage of the situation with a cheap apt. and their nimby attitude to anything they do not like,those people should be charged back rent on their apt. and thrown out on the street to line up for a $3500 one bedroom
is’nt it. I hate it when you notice a typo as you hit “add comment”.
these are my favorite posts ….
“Any emergency may lead to bankruptcy,” says Karen.
The family has already suffered through one such crisis; an emergency c-section needed when Nolan was born last July. Karen had scheduled a six-week maternity leave but she needed a full eight weeks to recover.
“I hadn’t planned for the extra two weeks and it really set us back,” she says.
I hate to be such a beyatch but why do people like this keep having kids? Two weeks w/o work puts them in a crisis situation? Why do they have two houses? Why did anyone lend them the money for the second place.
Really. If I was 2 weeks away from bancruptcy I’d be afraid to stick my head out the door in the morning.
come to think of it maybe their baby has some sense and that’s why he wouldn’t come out without a fight.
…at the limits of their budget, even though they both make good salaries.
WTH is their definition of “good salaries” when they can’t cover an extra $500 a month????
TJ, they may make 10K a month for all we know (although doubtful). The moral is that is just shows you how many people are within a whicker of total family economic collapse.
A little ditty for the Williams:
Oh Lord, won’t you buy me a kitchen refurb?
I live in the city, not out in the the burbs.
I must have the upgrade to show all my friends,
I can’t get a re-fi, so cash I must spend.
Oh Lord, won’t help with my Home Depot bill?
I refurbed my kitchen, but it emptied my till,
I can’t get a HELOC, my equity’s gone,
And the Sheriff is coming, to repo the lawn.
Oh Lord, won’t you buy me a birth control pill?
The kids just keep coming, I’ve gotten my fill,
Six weeks for a childbirth was all I had planned,
My finances are ruined, I must make a stand.
A poet has born!
Sell him a house!
Holy crap.
Bravo!
True art my friend!
I only hope to one day turn my anti bubble energy into something that is but a glimmer of your fine work Sir.
You sound like a real estate agent…
Because we live in a country where everyone has to have multiple kids and houses even if they can’t afford them. These folks are always looking for someone else to bail them out.
My wife and I are a couple of bitter 40 somethings who rent and have no kids. We did the math and couldn’t afford either a couple of years ago, and the cost for both keeps going up.
I told my wife that we better hurry up and have unprotected sex or we’ll be priced out of the baby market forever.
Ditto
Here’s what I can’t understand: the agent is telling them to “wait out the market.” If you are on the brink of possible bankruptcy, why in God’s name would you want to hold back on unloading a money-draining asset? If we had all “waited out the market” on our Pets.com stock we would all be in soup lines.
Lets see how they feel about waiting out the market in 2Q 2007.
OT: is the dow reminding anyone of a cockroach?
How about 100% true (not third hand) stories about people you know who are in financial trouble in our “booming” economy. Here’s my first scary story:
#1. My wife worked with a woman who was laid off because the company was bought by a larger company and her job was eliminated. That was in February. We just got a Christmas card with a sad message. She hasn’t found another job (this is in Southern California) yet and says, “….it looks like we might lose our dream home….” A sub-prime borrower? A flake? No. This is a 49 year old woman who has been stable all her life.
#2. A guy at my gym worked at CountryWide. He’s about 55 years old I would guess and was laid off about 4 months ago and started to draw unemployment. Because of the unemployment rules, he has to look for jobs and keep a record of the jobs he applied for. He worked as an accountant at CountryWide. I don’t know but I guess he was making around $45,000 to $50,000 a year. So, following the unemployment rules, he saw that Von’s grocery was looking for people in accounts and he applied. He almost had a heart attack when he discovered the pay level. $8 an hour!
Yes, folks. The economy is roaring along (David Learah isn’t the only b.s artist on the block) and people will be lining up in the spring of 2007 to buy houses at these “greatly reduced buy now” prices (lol). Now, if only David Learah can figure out how to manipulate the figures so that a guy making $8 an hour can buy a $700,000 house, we should be in good shape.
Dave would say the $8/hr guy is a prime candidate for a no-doc, pay-option ARM. The maket is offering an opportunity to this buyer. Now is a great time to buy.
Tell them both to get RE license and make killing in big spring bounce! Liareah said its coming back.
See problem solved.
Lets not forget mcCain statement “Jobs Amercians won’t do for 50K”
Truth is Globalization has led to cheap money but the new bankers have teeth to go after BK filers.
Unless you have 20 % down and 2 years Payment money don’t risk buying unless you are in a job that can’t be offshored, outsourced or given to an illegal.
Stock making 52 week high consistently INFY - Outsourcing at its best.
Here’s one…
Guy down the street - PhD chemist. Got laid off. But guess what - wife works for a reasonable but low salary for the gubmint and they’ve spent the last 15 years paying off the mortgage and saving money and have no other debt. His house is almost paid off and he says he can last for years if he has to.
It’s a new paradigm!
Here’s mine for the new paradigm. My husband got laid off three years ago. His job is very specialized, so getting another job as an employee meant moving to another city. We decided to stay in LA, and we lived off our savings for a year until his new business started to bring in profits. My children never felt the difference, and we could have stuck it out for another two years without income. Not that we intended to do that.
Not to take away from your story, but for every one of those, there are the “My friend just got a promotion…”. Some people are hurting, some are doing better than ever.
Nope. I’d bet there are a whole lot more people (over the age of 40 or 50) losing their jobs and/or getting a new job (making less in pay/benefits) than there are those getting a promotion.
Husband lost his IT management job in the dot.com bust, was out of work for 9 months, now drives school buses (loves the benefits, the hours, and they don’t discriminate against gray hair, BTW!). I lost my job 6 months ago; got a new one at a $15,000/yr pay cut. We live a modest life, buy used cars, we don’t even have granite in kitchen. We could not even afford our own home now (it’s 30 years old, bought it in 1995). BUT in 3 weeks we will be making our last payment on our house. We’ll just wait for the next up cycle before we sell and move to a one-story. Sometimes the nice people do win, even in CA.
“‘We didn’t think it would ever take this long,’ says Karen. ‘If we had, we would not have bought the new house.’”
Funny thing about RE, its a self feeding market. “The trend is my friend.” Thus, the slower the market gets, the more likely upgrade buyers will wait until *after* they have sold their home. (Yea, I know, how dare they be sensible…)
And here we are talking about this right before Christmas! This isn’t a season anyone worries about real estate. Its supposed to be about who cooks Christmas eve dinner and who holds the brunch. Do you spoil the kids or not? (Don’t get me started on how spoiled the kids are…)
As to layoffs, don’t forget what a huge fraction of “contractors” the most impacted industries hire. We’re not going to see anything show up in the stats for a bit. But when it does, its going to be shockingly big.
Neil
And as the Gov likes it a lot of those thrown out of work will never show up in the stats. How much of the construction force in Texas and Cali are under the table illegals?
I know a lot of old timers in the trades that employ many under the table illegals and just supervise their work. When the job dry up not will the contractor be outta work, but many more will be unemployed that were below the radar initially.
How much employment/unemployment is unreported and how might this affect the overall economic health. The people allready know the economy numbers are crap, just look at how cheerful wall street is and how pessamistic the populace is =)
That is what I see. One day unemployment is going to jump to those on the books and the economists will be scratching their heads wondering what hit them.
My parents live next door to a carpentry contractor. First two years in the house, they were in remodeling frenzy.
Then, things changed.
Mom noticed the first hint of a problem this past summer. The Carpenters (not their real name) were supposed to be replacing the siding on their house. But the house sat there for weeks, in all its tarpaper glory. Mom suspects that they had a cash pinch and had to wait until they could afford to finish the job.
I think Mom’s right.
Can’t they replace the sidings by … carpet?
Must have had a bad cash pinch. Materials are typically not extreemly expensive. The labor is the most expensive part.
There is a home in the ‘Nob Hill’ neighborhood of the town I live in, that sold in about 2002. It was move-in condition, but needed some work for my taste. Sold before I could get my hands on it. Sat for quite awhile before any work started, and then when it did, the house was stripped to a shell. Took about 1 year to reach a point of new windows and the first coat of stucco. It has sat in this condition for over 2 years! Look in the windows, still the old bare floor joists and half finished interior framing. The only reason I haven’t pursued the owner to see if they would be interested in dumping it, is it’s the daughter of the towns gazillionaire auto dealer, but “she” could be in trouble…… maybe I’ll revisit this.
Neil unemplyment numbers are a crock at best. Look, Nixon used the military to help his cause. What I want to know when looking at employment is: 1) What does the job pay, can I live reasonably on the salary? 2) Is this a stable/lasting job, not season, or going to be offshored in a week? 3) Lastly, what kind of industry is it? Burger Thing, Taco Bell (E Coli)? Just adding 50 somethings to the Starbucks roll for five bucks an hour doesn’t really make me too excited when it causes unemployment to go down .5% for a month/quarter!
When Nixon was president, those in the military were classified as unemployed. This continued until Reagan was able to fullfill his campaign pledge to reduce unemployed in 1985. The unemployment rate fell over 1% after the military and certain government workers were no longer classified as unemployed.
Next year expect slowdown in both existing & new home sales.
http://money.cnn.com/2006/12/11/real_estate/home_sales.reut/index.htm?source=yahoo_quote
Speaking of layoffs:
Also, UPS (UPS) offered voluntary separation packages to about 650 employees, citing its “ongoing effort to eliminate redundant positions.” Any significant impact on financial results will be discussed Jan. 30 on its fourth-quarter earnings call.
CNN says Boston is one of the “Bubble proof” markets. That should come as news to my neighbor who’s taken his house off the market after six months and two realtors (its now sitting empty).
Surely it will sell “in the spring”.
Only in Texas:
http://www.worldnetdaily.com/news/article.asp?ARTICLE_ID=53308
Hahahahah!!!!!!!!!!!! You got that right!
And you blue state folks think you can invest there! Good luck with that!
In Florida, if you wait long enough, you find one of those on the side of the street. But that’s if you ever get out of your car.
hmmm, if I work at Bed Bath & Beyond, can I get a free house?
Here is some real California bubblicious news from the Associated Press:
California recorded a domestic net loss of about 29,000 people last year - the first negative flow of residents since the mid-1990s. The biggest recent loss was in 1994, when the sputtering state economy helped California lose about 350,000 residents to the other 49 states.
Do I hear deja vu early 1990’s all over again. Think about it….How bad does the pain have to be to get someone to leave their state…..and the real pain has not even started yet….
Dont worry Paldin, those were just the illegals rounded up at Home Depot.
Yep…I heard this story on talk radio this morning. (Dublin, CA….SF Bay Area)
BayQT~
And they fan out in every direction destroying the rest of the western states with their ‘california’ money.
Too bad the nature of capitalism is such that the bourgeoisie have to have a new group of people to exploit(i.e. mexican illegals) at the expense of the proletariat.
People are only moving from there because pressures created by our governments intentional failure to enforce border security. More people = lower standard of living.
Groups of foolish illegals banding together and getting a suicide loan further inflating the housing bubble.
It sickens me the criminal act undertaken by the illegal Fed to destroy the housing market in order to bail out all their banking buddies.
/rant off
“When they went to sell the first one, they hoped to get what they paid for it four years earlier.
This must be one of those areas that showed no price appreciation in last four years. I thought that was a myth.
Many areas of the country have not experienced the wacky run up in prices over the last 5 years. See statistics for my city, Austin TX: http://www.jbgoodwin.com/median-prices.htm
Austin is paradise compared to Houston. Best of Texas.