the seller is joe six pack who took out a line of credit against his home appreciation and is now trying to scurry to dump .... these condos where finished no more than 1- 1 1/2 yr ago....my friend bought his pad like 9 months ago or more at 360k they are now asking 250k for the same size unit in his building ....so he is pretty much upside down from the get go...peace
not to put words in anyones mouth, but......the reason many guys are saying this decline will be brutal is because they have seen it before. i am one of them. when i graduated with my last degree, and went into the family business thing went from boom to bust(not the business,"real estate values"). then it went down more. (circa 1990). if we bought some more commercial property then, i would be set way better than i am now. i will not make that mistake again. we will steal some sizable stuff; but not for a least another year. there is no question s2007s is correct.
If there is no question, then buying at the money leap puts on home builders and regional banks with heavy home loan exposure will be GUARANTEED, RISK FREE MONEY. Now how many of you are putting your money where you mouth is and actually trade according to your predictions?
can this trade be outside the "equities" world? if you allow that, then when i purchase some distressed properties(as i have done in the past), i will post the public records upon closing. i have done this before many times. i am not a wannabe. also , i do not believe in risk free money. my trading consists of "selling vol, not buying it; although it is never fully unbounded.
that price might already be factored into home builders...the topic is about home prices declining...and there is no denying it from at least my neck of the woods.. buying on the cheap doesn't necessarily guarantee you will make any dough either...for it might or might not take a while to ring out the excess....the poster just made a call that this wasnt the bottom in HOME PRICES and i think he might be correct....
Other than those with "inventory"... builders and speculators... there haven't been many stories about owners being "forced to sell". We should experience that phase before there is any chance of seeing the bottom.
where do you live and are you going off of comparable buys that happened several months ago??? expensive and going up are 2 different things...
there are some that i personally know that are praying a hurricane hits just to postpone the inevitable...actually closing on a declining piece of property....wow I dont know whats scarier...the hurricane or that...