Home prices drop 6.1% in past year, Case-Shiller says

Discussion in 'Economics' started by ASusilovic, Dec 26, 2007.

  1. Home prices in 20 major U.S. cities were down 6.1% on average in the past year as of October, according to the Case-Shiller price index released Wednesday by Standard & Poor's. Since October 2006, prices in 10 cities fell 6.7% -- a record drop. The prior largest decline was 6.3%, reached in April 1991. "No matter how you look at these data, it is obvious that the current state of the single-family housing market remains grim," said Robert Shiller, chief economist at MacroMarkets LLC and co-developer of the index.
     
  2. One mans grim is another mans grin.

    Real estate became more attractive yet again as prices in 10 cities fell 6.7% making real estate even more affordable. Prominent analysts are optimistic that prices may drop still further in the weeks and months to come.

    My forecast is for real estate to lose another 15% during '08, if everything goes well, these falling prices would be fabulous news for any real estate investor with a very long horizon.:eek:
     
  3. Remember Japan!!!!!

    http://www.housingjapan.net/forsale/

    That is some VERY long term horizon shit. Like your great grandchildren.
     
  4. While a possibility, I doubt Bennie and the administration would accept that. I feel confident (unfortunately) they will run the risk of destroying America through hyper inflation and currency debasement (you know, like they're doing right now... but even more so) before we're allowed to enjoy the benefits of a Japan-like adjustment.
     
  5. maybe US's goal is to become like Japan, with bond yields plummeting...to under 3%..

    continued debt financing is key....its one solution for US...

    what does that imply for the equity market. US dollar then will become premiere carry trade currency...
     
  6. Guys and girls you have to listen to this! This is ridiculous.

    https://image.minyanville.com/assets/FCK_Aug2007/File/s2162664.mp3

    It's a recording of the recent Sallie Mae investor conference call. You can listen to the whole thing (pretty boring) because it shows the CEO's cluelessness but fast forward to near the end 26.20 mark, and after the last analyst has asked her question there is a pause. Listen to what the CEO blurts out. He does not seem to pleased!

    The poster on iii got it from Mike Shedlock at globaleconomicanalysis.blogspot.
     
  7. anyone notice the last part of the recording...'theres no questions, steve lets go, lets get the fuck out of here..'

    nice verbiage...
     
  8. Spectre...yep that's what I was talking about ! haha...madness isn't it. Now you've gone and ruined the surprise for the other listeners :),
     
  9. bgp

    bgp

    I WROTE LAST SPRING WE WOULD HIT PLATEAU'S ON THE DOWNSIDE. THIS IS just GETTING STARTED. why in the hell would anyone buy yet? maybe because you never saw a long term bear market? or just too young to know any better?

    bgp
     
    #10     Dec 26, 2007