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Yes, but I'm thinking more indirectly. Vegas has almost unlimited amount of dirt cheap (federally-owned) land on which to place solar farms. Export more electricity to the Midwest or wherever. Import water from Los Angeles or wherever.
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Last edited by DanS; March 25, 2008, 11:09.I came upon a barroom full of bad Salon pictures in which men with hats on the backs of their heads were wolfing food from a counter. It was the institution of the "free lunch" I had struck. You paid for a drink and got as much as you wanted to eat. For something less than a rupee a day a man can feed himself sumptuously in San Francisco, even though he be a bankrupt. Remember this if ever you are stranded in these parts. ~ Rudyard Kipling, 1891 -
Re: US house prices in free-fall
Excellent idea to advocate a deflationary spiral Dan.Originally posted by DanS
Unless you're getting a sweet-ass deal, don't buy (yet). You'll save yourself a lot of heartache.DISCLAIMER: the author of the above written texts does not warrant or assume any legal liability or responsibility for any offence and insult; disrespect, arrogance and related forms of demeaning behaviour; discrimination based on race, gender, age, income class, body mass, living area, political voting-record, football fan-ship and musical preference; insensitivity towards material, emotional or spiritual distress; and attempted emotional or financial black-mailing, skirt-chasing or death-threats perceived by the reader of the said written texts.Comment
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I think people can recognize sweet-ass deals when they see them.I came upon a barroom full of bad Salon pictures in which men with hats on the backs of their heads were wolfing food from a counter. It was the institution of the "free lunch" I had struck. You paid for a drink and got as much as you wanted to eat. For something less than a rupee a day a man can feed himself sumptuously in San Francisco, even though he be a bankrupt. Remember this if ever you are stranded in these parts. ~ Rudyard Kipling, 1891Comment
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Let the good times ROTFL.I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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No deal is sweet-ass if you can get for less the following month.Originally posted by DanS
I think people can recognize sweet-ass deals when they see them.DISCLAIMER: the author of the above written texts does not warrant or assume any legal liability or responsibility for any offence and insult; disrespect, arrogance and related forms of demeaning behaviour; discrimination based on race, gender, age, income class, body mass, living area, political voting-record, football fan-ship and musical preference; insensitivity towards material, emotional or spiritual distress; and attempted emotional or financial black-mailing, skirt-chasing or death-threats perceived by the reader of the said written texts.Comment
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I agree with this.Originally posted by Colonâ„¢
No deal is sweet-ass if you can get for less the following month.I came upon a barroom full of bad Salon pictures in which men with hats on the backs of their heads were wolfing food from a counter. It was the institution of the "free lunch" I had struck. You paid for a drink and got as much as you wanted to eat. For something less than a rupee a day a man can feed himself sumptuously in San Francisco, even though he be a bankrupt. Remember this if ever you are stranded in these parts. ~ Rudyard Kipling, 1891Comment
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Why not, prices continue to fall even though nobody is planning on building anything 2-3 years from now?But you aren't going to get cheap prices without more homes, and a working financial system of course.
Eventually demand will increase and the excess inventory will be used up. That might bring housing prices back to equilibrium, but I doubt another bubble.
I don't want prices to bottom out forever, I want the to become more realistic. We were in a bubble after all, which means by definition homes were not worth the prices they were fetching.
In any case I had 20% saved for a downpayment, I had planned on buying last September/October. From dropping prices alone that is now more like 24/25%, after another year of decline and me saving again it will be more like 30/35%. And if the market hasn't bottomed out by then I will wait another year.
And financing is only scarse for people who shouldn't be buying anyway (like it should have been for the past 5-10 years). Banks are all about people who are legitimatly financially solvent. They need low risk borrowers now more than ever."The DPRK is still in a state of war with the U.S. It's called a black out." - Che explaining why orbital nightime pictures of NK show few lights. Seriously.Comment
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Assuming banks have money to loan. Remember of their total loan amounts they have to have a certain percentage of assets on hand. Many banks were relaying on property based assets to maintain that percentage and ass the value of those assets goes down the amount of money they can legally loan also goes down.
This causes a liquidity crisis as banks can no longer legally make new loans and in fact must try to sell off existing loans which they no longer have assets to cover. It might be hard for them to find willing buyers at reasonable prices making it hard for them to originate new loans. This is the trap Japanese banks found themselves in during the early 1990's.Try http://wordforge.net/index.php for discussion and debate.Comment
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Yeah, that is of course true. I admit that I base most of what I say though my experiance with USAA, which can't wait to loan me money. They call me asking when I plan on taking one (since I got one preapproved in September and decided not to buy). My situations is not the same as everyone of course, but the money banks to have to loan will go to poeple that are actually qualified this time around."The DPRK is still in a state of war with the U.S. It's called a black out." - Che explaining why orbital nightime pictures of NK show few lights. Seriously.Comment
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I don't see your reasoning for their not being a future bubble. The thing that prevents bubbles is stable prices not volitity. Speculators love volitity, regular home buyers hate it.Originally posted by Patroklos
Why not, prices continue to fall even though nobody is planning on building anything 2-3 years from now?
Eventually demand will increase and the excess inventory will be used up. That might bring housing prices back to equilibrium, but I doubt another bubble.
Low risk borrowers are in short supply.
And financing is only scarse for people who shouldn't be buying anyway (like it should have been for the past 5-10 years). Banks are all about people who are legitimatly financially solvent. They need low risk borrowers now more than ever.I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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This is not necessarily true with housing. You have to take into account the fact that you need a place to live, and so while yes you might save a bit on the house if you buy in a few months, you might end up paying more in rent in this scenario because of the fact that rent is typically not going to go down (and you might have to rent for a whole year if you have a lease). This depends of course on the length of this free-fall and the difference between rent and owning in cost (and in value). Also, if you own a house already, your house will devalue along with the purchased house (possibly greater or less than depending on local conditions).Originally posted by Colonâ„¢
No deal is sweet-ass if you can get for less the following month.
It is as well possible you will find someone who wants out NOW and is willing to significantly discount their property even beyond what the market is offering.<Reverend> IRC is just multiplayer notepad.
I like your SNOOPY POSTER! - While you Wait quote.Comment
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This is only a good thing if your job doesn't disappear as the economy contracts. Of course, if that happens, you weren't gonna hold on to your house anyway, but a housing free fall means more jobs are going to disappear.Christianity: The belief that a cosmic Jewish Zombie who was his own father can make you live forever if you symbolically eat his flesh and telepathically tell him you accept him as your master, so he can remove an evil force from your soul that is present in humanity because a rib-woman was convinced by a talking snake to eat from a magical tree...Comment
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thats a hell of a lot of expensive capital, and the cities would seem to have other priorities.Originally posted by DanS
Yes, but I'm thinking more indirectly. Vegas has almost unlimited amount of dirt cheap (federally-owned) land on which to place solar farms. Export more electricity to the Midwest or wherever. Import water from Los Angeles or wherever.Comment
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When push comes to shove, no matter the amount required, the capital will be invested. It has always been so and I don't expect it to change.I came upon a barroom full of bad Salon pictures in which men with hats on the backs of their heads were wolfing food from a counter. It was the institution of the "free lunch" I had struck. You paid for a drink and got as much as you wanted to eat. For something less than a rupee a day a man can feed himself sumptuously in San Francisco, even though he be a bankrupt. Remember this if ever you are stranded in these parts. ~ Rudyard Kipling, 1891Comment
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The only local number I've seen is +10% yoy for Carlsbad CA (just S of Oceanside). My Aunt just had her house appraised at +100% and change from what she paid 7 years ago. So still well above water here thankfully.
I feel sorry for anyone who's been paying in the $700-$800k range in this neighborhood the past couple years though.Comment
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