Couldn't agree more here with Gary Kaltbaum at Fox News. Especially that the hottest will now become the coldest. It's called gravitating toward the mean...
Here's his take:
* When websites open up to help you flip condos, it is a sign of being late in the game
* When colleges start teaching you how to flip condos, it is a sign of being late in the game
* When your best buddy quits his job of twenty years to become a mortgage or real estate broker, it is a sign of being late in the game.
I am in no way saying the end of the world is coming. I am just saying that we are going to see a pretty decent dip in prices over the next couple of years...and maybe worse. My simple motto is "do not be the last one in!"
The biggest losses will come from the hottest areas. That's how it always works.
December 20, 2005
Posted by blogger at 12/20/2005