Why are we still debating with some the existence (and destruction underway) of the late great housing bubble? Isn't this as obvious as the sky being blue or gravity by now? Man, this debate is a frustrating waste of time. Probably like Galileo debating the pope. Let's move on. The bubble is now settled science.
Memo to the world:
These things exist - the housing bubble and current crash, evolution, the big bang and global warming.
These things don't exist - UFO's, the flat earth, soft landings and realtors with clients' best interests at heart.
Home price slide not over
The best that can be said about the Metro Detroit housing market is that some of the worst may be over.
And the worst that can be said is that the rest of the worst is yet to come.
Year-end numbers for 2006 show home prices across the region fell by 7.1 percent, their biggest drop since 1989. Home sales dropped, too, down percent, according to the multiple listing service Realcomp.
The only number that went up wasn't a good one. That's the number of homes listed for sale, and it soared across southeast Michigan by a staggering 41.2 percent.
after years of waiting out job uncertainty in our troubled auto-dependent economy.
Median sales prices dropped about 5 percent in Macomb and Oakland counties, almost 7 percent in Livingston County and more than 13 percent in Wayne County. That means the owner of a $200,000 home lost $10,000 to $26,000 in value.
The number of sales dropped, too, by a whopping 25.3 percent in Livingston and 22 percent in Oakland. Wayne sales fell 3.4 percent while Macomb saw an actual -- but slight -- increase of 1.2 percent.
But any good news from last year was more than offset by the soaring number of homes hitting the market. In Wayne, the number of listings increased 35 percent; in Oakland it was nearly 47 percent; and in Macomb, 50 percent more homes were slapped with "For Sale" signs.
"I never saw values go down like this," says Steve Cole, a 32-year real estate veteran with Weir, Manuel, Snyder & Ranke in Birmingham.
February 02, 2007
Welcome to "The Crash", "The Great Unwinding", "The Late Great Housing Ponzi Scheme". Here's a realtor quote: "I never saw values go down like this"
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Charles W. McMillion, a Washington economist and president of MBG Information Services, has followed the negative savings rate for months, warning homeowners that house prices have fallen. Those who have borrowed against their homes' equity on the assumption that prices will rise indefinitely will soon have to pull back on their spending.
If people panicked and did that en masse, it could slow the economy as a whole, though financial forecasters said that's unlikely.
http://tinyurl.com/25a6ts
"These things don't exist - UFO's, the flat earth, soft landings and realtors with clients' best interests at heart."
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Poor Richard, no UFOs? Okay Keith what about grand governmental conspiracies ala X-Files? Please tell me and Richard that they are true. Please!
But it's going to different this time.
Suzanne researched this and said so!!
ROTFLMAO!!!! :-)
Did you get that pic from Richard?
It is not real? Are you sure?
UFO's do exist BTW
Our fearless leader GWB doesn't believe in evolution
'Nuff said
W is gonna see that picture, strap on his Nikes, and be there for pickup by noon tomorrow!!!!!!
That picture gives a new dimension to the movie line "Take 'em to Detroit!"
Please, Detroit? With all the job losses, the losses at Ford? Oh, and we know statistics, Keith is good at playing that game. One house sold in 2006, two sold in 2007, 100% increase in sales...better go out and buy! Or in the case of Phoenix (and I don't dispute over supply and the 2005 bubble still has to play out) 55% decrease in permits for 2006, disaster-but then why is 2006 the fourth best year on record for sales? Is it up or is it down? That depends on what you are comparing it to!
Keith, do you just decide on your premise and then only search for the articles (usually taken from boring Ben or others) that you think prop up your theory or do you use the "real" scientific method and remain objective and look at all the facts before you make a conclusion?
The world is complex, Keith is simple. The world is diverse, Keith...well, we know his view of the world, white. I do believe there are major economic forces at work, all well beyond our control. I do believe things like derivitaves should scare us much more than 30 year mortgages on an over priced home. I think personal debt, national debt, depletion of the world's resources, global warming, etc should be of more importance as they and how we respond to them, will change the way we live and refocus people on what is really important. Then maybe people will participate in sustainable living and work to live instead of live to work just so they can have all the toys that end up in a landfill.
And Detroit? For all those folk who complain about affordable housing, I'm sure there are lots of affordable boarded up homes in Detroit. Most years during Halloween they have Hell's week there with all those arsons to burn abandoned houses.
Detroit isn't the only place with job declines. . .San Diego has lost thousands of construction and real estate jobs. . .the newspaper was a bit positive, saying "many found work in the hospitality industry. . .RIGHT - those really HIGH PAYING (NOT) bellboy and maid jobs at the Hyatt. . .tell that to an unemployed construction worker. . .places that lived on growth alone - Las Vegas, Phoenix, Riverside County, etc. will fall the hardest. . .here in San Diego, we have the Navy, so those guys earning 45K a year will soon be ablet to afford a house again. . .home prices have begun their 4 year downturn here, and people are falling all over themselves to list their home before Spring!
Heck, we never saw values go this high either.....
Don't forget that a huge earthquake will hit California in 2007. Then you'll really see the prices drop.
I agree, UFOs DO EXIST. We can't disregard reliable eye witnesses like hundreds of airlines captains with thousands of flight hours, air force crew, police, surgeons (Phoenix lights), etc.
When a veteran capitain and his crew, from a good airline company sees a flying cigar shape object the size of a football field, next to his airplane at 35k feet, there must be something to it.
Actually, global warming does not exist. No islands have actually drowned under the ocean, and sea levels at the Maldives and Tuvalu have actually fallen. Ocean warming due to heightened volcanic activity, however, is a fact. That's why the Arctic cap is thinning and the Antarctic ice shelves are shrinking. But the extra water is going into increasing glacier sizes.
Construction is cyclical. Anyone in the industry will tell you that. It's always feast or famine. We had the 5 years feast, now we have the famine. Nothing new here.
Alex: Answer, UFOs and Global Warming
Buzzzzz
Contestant: What are two things only socialists and insane HPers believe in Alex?
Alex: Correct for $200, select again.
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