The Real Problem With Housing Bubble Era Thinking

This topic suggested was cross posted from an exchange earlier this week. "What is the real problem with Housing Bubble era thinking?" "The big-name economists who have bought into the Housing Bubble paradigm have lost sight of the fundamental equilibrium relationship between home prices and...
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A New Paradigm For Economic Prosperity

It's Friday desk clearing time for this blogger. "Southern Oregon continues to give mixed signals on economic growth in the wake of the Great Recession. The number of jobs and workforce are in decline. Guy Tauer, a regional economist for Oregon's Employment Department, suggests Jackson County...
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Markdowns Are Supplanting The Bidding Wars

Miami Today reports from Florida. "Tallying what’s on the drawing boards of real estate developers, greater downtown Miami appears to be on the verge of a condominium explosion. There are 49 projects with a total of 16,843 units in the preconstruction phase in the greater downtown area, according...
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A Pent-Up Inventory Of Distress

The Sentinel & Enterprise reports from Massachusetts. "Realtor confidence declined on a year-over-year basis for the sixth consecutive month in Massachusetts, as officials say longawaited increases in inventory may be crimped by prospective buyer's ability to get financing. In addition, the Realtor...
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Booms Have Unintended Consequences

The San Francisco Chronicle reports from California. "After getting outbid on three houses, Shura Kelly decided not to mess around with 117 De Montfort St. True, it was in Ingleside Heights - not the Sunset District where she and her firefighter partner, James Quirke, grew up and would have...
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When Housing Prices Fall, Problems Will Be Exposed

The Wall Street Journal reports on China. "Pan Shiyi, the co-founder and chairman of Soho China Ltd., is taking a very bearish view on the housing market, which has struggled this year. Demand is also weakening in an expanding number of cities as banks tighten mortgage lending and sales are...
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Crisis Noninterruptus

Readers suggested a topic on what happens next. "1. How will whatever comes next compare to 2008? 2. How do we get rich Lahde-style off this thing?" A reply, "We don’t know, but we have the prototype under a microscope. To paraphrase the Amish; expect the best, prepare for the worst. Consider that...
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Only Four Years Later, New Signs Of Excess

It's Friday desk clearing time for this blogger. "A London resident on a typical salary can expect to spend 50 years saving for a house – just to afford the deposit on a mortgage. In London, the average house costs £458,000 , while the average salary stands at £34,000. The ratio between the two, at...
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