back in summer jim cramer said that bac,c,jpm,wfc were safe and indestructible blah,blah. Well 2 of them have been blown out since that declaration and wfc might get smashed further if the non subprime real estate starts getting wacked from all the layoffs that are happening here in California.Beleive me any residential real estate in non subprime is obscenely over valued still.Try 500k for a 1000 sq ft shoebox made of chickenwire and stucco built in the 1950s. Cramer also had this countdown clock to the bottom of the real estare market in june of 2009.Does he still have that clock/countdown?Anybody think the bottom in RE is 5 months away is frikkin koo-koo.
Agreed. The dow is at 1998 prices and thats were real estate prices should be at.All things being relative-somewhat. People talk about how bad re is in california but its really only been in the crappy commuter burbs that were 80 miles from LA where prices have dropped 70% or more.Here in LA the only depreciation has been in gang infested areas like compton etc...In regular neighborhoods homes have dropped maybe 20% after a 400% run up. oh yeah, http://www.newser.com/story/36882/housing-will-bottom-june-30-2009-cramer.html