Read this and tell me you don't think it's a bubble ripe for a pinprick. http://biz.yahoo.com/usat/050705/12970339.html
have you seen the photos? doesnt look so fab to me. gimme a primo condo in miami anyday for that cash. only 112,000 ticks in es - or if i trade 10 lots and get out with a nice safe 10 tick profit, only 1120 trades so i'll give it a go and pick up the keys next week so my dog can live there
it's Malibu, dude, just a little ways from where I live (in my rented rat hole). They have a place there called Carbon Beach - it's one of the top most expensive beaches on earth. all the moviestars live in Malibu. the prices will never drop, hence the "bubble" effect doesn't apply. main reason is: there's too many millionaires in the world. and too many successful idiots.
My motto that I use in the markets - never under-estimate the stupidity of stupid people - seems to apply to these people. ------ Don't own the land. As with most mobile homes sold in Malibu, the land is owned by the proprietor of the trailer park, in this case, Point Dume Club. Still pay rent. Not owning the land means paying what's called "space rent" that is as high as or higher than many mortgages in other parts of the USA. On the $1.4 million trailer, space rent is $2,700 a month.
If people are willing to pay the prices, it IS a bubble...If people are not willing to pay the prices, its called a POPPED bubble.