Comments on: Echo bubble in California real estate

By: Casey

Casey — Tue, 09 Feb 2010 23:32:44 +0000

“Frankly I am totally disgusted by the “get-rick-quick” crowd and their mentality.” …. says the guy day-trading in the stock market. WOW.

By: commercial space rent gurgaon

commercial space rent gurgaon — Fri, 25 Sep 2009 12:25:42 +0000

great post. very informative. real estate market is now recovering but will still take much time to fully recover.

By: apartment rent noida

apartment rent noida — Wed, 09 Sep 2009 09:12:33 +0000

Increasing population has helped in increasing the demand for real estate. I agree that market is a place where you get to learn both good and bad.

By: mark

mark — Mon, 17 Aug 2009 18:46:53 +0000

I have an idea…why don’t you clean up my table next time I go to a restaurant and take care of my grandparents? You seem like a good candidate for the job.

By: unknown

unknown — Fri, 14 Aug 2009 22:52:51 +0000

Don’t forget about inflation driving up price which will happen soon… Along with taxes to payback our national debt…

By: parker

parker — Wed, 12 Aug 2009 09:05:32 +0000

What about inflation?

By: BarrellRyder

BarrellRyder — Tue, 11 Aug 2009 00:37:14 +0000

I disagree with the information that prices are up 10 percent in California. There are certain wealthier and coastal areas where prices are up moderately, but doubt it is 10 percent on the 2 million dollar type of houses. Sales activity is up and many foreclosures may be over bid or bid up, but the sales prices are normally well under prices of a year ago. Keep in mind these foreclosures open bidding at a big discount, many need TLC as well. Short sales too, list for cheaper.

http://www.dqnews.com/Articles/2009/News/California/Southern-CA/RRSCA090715.aspx

http://www.dqnews.com/Articles/2009/News/California/Bay-Area/RRBay090716.aspx

By: Kirk Kinder

Kirk Kinder — Mon, 10 Aug 2009 21:42:07 +0000

This is just a cause of the Fed interfering into the mortgage markets. Right now, the only thing propping up the real estate market is interest rates. The Fed is buying mortgage bonds directly by printing money to do so. Now the press is talking about the affordability of homes…even Shiller talks of it. Of course, this is all based on low mortgage rates. If they increase to 6 or 7% then affordability goes out the window.

Most people don’t understand macro issues. They hear of affordability or just assume because housing has dropped it is a screaming buy. The beautiful thing about the market is it provides all investors with lessons – both good and bad.

Real estate may not be a bad long term investment if one can buy a property that creates real cash flow. However, most homes still can’t be bought and have ample rents to cover the costs of ownership. Negative cash flow will eat them alive. If real estate ends up like most markets, there will be a lot of folks purchasing after the first decline only to be whacked at the second decline.

By: Anon

Anon — Mon, 10 Aug 2009 19:33:22 +0000

Very true…In my opinion, unequal wealth distribution is the cornerstone to economic progress. There will always be poor people willing to work and rich people willing to take risks and innovate. This combination is required for the growth of any economy. It’s heartening to see that this is already happenning. Also silicon valley is a rich area where there are shortages of hi tech workers, albeit we are in a recession