Home of failed flippers (including Casey Serin), swarms of illegals, mortgage fraudsters galore, and now the mother of all housing crashes.
Sacramento, HP salutes you. Well done!! Bravo!!
Housing woes stack up - Q2 new-home sales down 42%; median price falls 13%
The outlook for homebuilders and homeowners looking to sell keeps getting worse.
New-home sales were dismal in the second quarter. The number of new and existing homes on the Sacramento market has eclipsed last summer's inventory and stands at close to 22,000. Foreclosures in Sacramento County are 10 times what they were last year. And mortgage rates have risen over the past few months.
July 15, 2007
Time to make fun of another housing bubble / housing crash city. Today's debacle - Sacramento California
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35 comments:
Another sick chart
Suzanne!!!!!!!!!!!!!!!!!!
"Things are going to change - I can feel it!"
George HW Bush days before the '92 election defeat and immortalized in the song "Loser" by Beck.
WOW!
From $390,000 to $340,000 in just 12 months
Where's the bottom?
Some lender(s) are sh*tting in their pants about right now...
The you know what is going to hit the fan here soon.... everyone is going to try to look innocent by going the other way and "cracking down" - to bad they took the money and run, now the sheeple will hold the bag - suckers....
Sacramento is a HOLE. Why on earth would anyone ever purchase a home there? Even the Governator doesn't live there, he commutes in from LA twice per month!
Sacramento prices are a total joke.The whole area was duped by flippers from the bay area.A lot of folks are probably shitting their pants about now.Look for more forclosures and homeless roaming through the streets.
Sacramento is a nice civil servant town, which got "delusions of grandeur". . .somehow it thought it was the new Silicon Valley - the only problem was the citizens weren't earning Silicon Valley salaries - if it goes back to being a nice green, sleeply Valley town, it would be better for everyone. . . think "Run River" of Joan Didion fame. . .
Hey, I have good news for you.
The bottom will come sooner than expected.
Because the crash dive has just accellerated 2 fold. MMMWAAHAHAHAHAHAHA............
That Jim Barton dude looks and acts like a moral, honest, outstanding gentleman for obtaining mortgage financing.
Not.
I laughed when the reporter walked through the door and introduced himself. Barton's eyes just rolled right after that, kind of like the way his head's gonna roll after the feds get their hands on him.
This is just a normal housing correction taking a breather before the next leg up. We will soon be seeing record sales and modest price increases. My REALTOR told me so therefore its true.
I live in western CO. There is no bust here, in fact the backlog for landscapers and remodeling contractors is 3-6 months, and most home builders are complaining they can't hire enough workers to meet demand.
We had a big slowdown in high-end RE sales from Jan-Jun, but that logjam broke last month and now even the expensive McMansions are selling again. Take a look at M3 for a clue -- it's growing again and apparently the mortgages are being written.
Sorry HPers, looks like your bust scenario has been postponed by the Fed once again.
300K x 13% = $39K
5% realtors fee = $15K
3% clssing fee = $9K
FB is down $63K YoY on a $300K shack in Sac
Housing woes stack up - Q2 new-home sales down 42%; median price falls 13%
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that is not enough for them tho
RE Sacramento statistics: "Housing woes stack up - Q2 new-home sales down 42%; median price falls 13%."
But this is the state capitol!
How can real estate sales and prices plunge so drastically in the capitol city of the Golden State?
Next, we will be hearing that real estate sales and prices are plunging in the nation's capitol, Washington DC.
Oh wait. We've already heard that.
This news about the crashing Sacramento real estate market will deliver a crushing blow to real estate flippers and non-flippers alike. Anxiety attacks will abound.
Those in need of comic relief can read all about Sacramento's Golden Boy of real estate in the CaseyPedia.
Just follow the bouncing blue ball. Sweet!
V.L.
Sacramento.....Hahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahha!
Suzanne probably got run out of town
now this area i am familiar with. the people clog the freeways going to san francisco, they are 75 miles away from work, the area that once was empty land are now a sea of houses that go as far as the eye can see. the area looks barren even with houses, there are no trees. sacramento is so hot it's miserable. there are shopping malls everywhere and the traffic there is unbelievable. i don't know about hispanics but it's possible. i see every race there when i do go there. it is the passage way to reno and a few indian casinos so the traffic can back up from sacto to san francisco. it is a desperate move in my opinion because no amount of money can pay for the time you loose on interstate 80 especially in the fairfield-vacaville area, the #2 in california for foreclosures imagine all those houses. i would never consider moving to sacto unless i was employed in sacto. most people aren't. the reason people are leaving the town or not buying after a few months in that traffic most people don't consider it worth it. the houses are overpriced and folsom lake is a joke. there is nothing in sacramento except as in that song by dionne warwick: just a great big freeway. i went there two years ago, not a place i put on my must go to, and almost every other house was for sale. why would i buy any of the houses when 5 on the same block and 20 on the next two are for sale. that should tell someone something. downtown sacramento is beautiful in pictures and that is about it, one must be reminded that downtown is surrounded by urban blight and depressed housing and well as urban decay: ghetto. i looked at model homes and laughed at the prices although one i still dream about but the price kept me from fulfilling any deam it wasn't worth it. but then what do i know i think san francisco is an exciting place a little weird but exciting never the less been in this area for 42 years.
We're at free-fall now folks.
Anyone telling you "we'll hit bottom soon or at this date" don't have a clue as to what's really going on.
It will be interesting to see the conversations on this blog near year end - when a good chunk of ARM's start resetting.
So let me get this straight....
Shysters setup investment company.
They get Fellini/Gallo from the mob to pose as Mortgage brokers
Then when an unsuspecting fool buys into this they say bend over and slip in Wang?
This proves the current high prices are based on sound fundamentals and that Keith should close up shop and find something worthwhile to do.
No bubble here folks...move along.
To Western Colorado . . .I have no doubt that some areas of the country are still doing ok - Aspen, Beverly Hills, Manhattan, etc. . .but for the other 95% of the country, things are different. I still think some people just don't understand that housing prices were bid up beyond the ability of 80% of the public to buy. The only way some people oculd buy was with 1% teaster loans, and ARMS. . .when the Fed raised rates from 1% to 5.25% that ended the party. It really is pretty simple - either prices come down, we wait 10 years for salaries to go up, or some combination - either way, the next 5 years will be a dead-zone for housing.
Should be Lieing (instead of Lyon)
Real-Estate.
I have to commend you on stating the fact about housing prices vs wages so clearly.
I foresee a much longer dead-zone though, since businesses are very reluctant across most sectors to improve salaries and benefits.
In fact, more has been done to *decrease* salaries and benefits over these past years.
Mark in San Diego said...
To Western Colorado . . .I have no doubt that some areas of the country are still doing ok - Aspen, Beverly Hills, Manhattan, etc. . .but for the other 95% of the country, things are different. I still think some people just don't understand that housing prices were bid up beyond the ability of 80% of the public to buy. The only way some people oculd buy was with 1% teaster loans, and ARMS. . .when the Fed raised rates from 1% to 5.25% that ended the party. It really is pretty simple - either prices come down, we wait 10 years for salaries to go up, or some combination - either way, the next 5 years will be a dead-zone for housing.
kw -- how do you explain the recent surge in sales homes I'm seeing on both ends of the scale? Around here anything under $250K sells in a few days. The same is now true on the other end - or do you think all the people signing mortgages for $750K-$1.5M homes are idiots? I realize there are some problem RE markets like Vegas, Phoenix, etc., but houses in my town have also doubled in valuation since '02.
I think the powers-that-be are going to do whatever it takes to avoid a meltdown. It may lead to some awful inflation and a worthless USD, but politicians have never been shy about getting their way when election time rolls around. All you HPers seem to think this housing fiasco is happening on the pages of an Econ 101 textbook. The real world is full of real, sometimes unscrupulous people who will take the pages from your econ text and wipe their butt with 'em.
I am going to get a civil servant job. I deserve free healthcare, and I deserve a fat pension after 25 years. The police and the firemen get these things and never a word about socialism with them. Even though the private sector funds the civil sector,in todays america the civil sector gets all the benies and the job security to. Yes I am going to get me a phat phucking civil servant position... I bet in a year or 2 with all those foreclorures unsold, uncle suger will GIVE ME my house of choice as the private working dummies try to get in on the scoop.
How do you know those $1.5 million homes weren't $2.5 milllion last year? How do you know those $250K homes won't be in foreclosure next year? Maybe they were $350K last year. Did they come with a free BMW?
Even when pets.com and JDS were crashing back in 2001, the trading volume was still very high. That doesn't mean prices aren't coming down.
I'm sure the Fed will try to inflate equities and home prices, but that doesn't ensure the prices have reached a plateau. I'd rather put my money in the foreign currency exchanges. The FXA AUS$ fund is up 16% since last summer plus you get a 5.75% yield. That's nearly 22% in a year. One thing you can almost guarantee is that the US$ continues to go down the toilet.
"Lyon Realty"??
Why not just name your firm "Dewey, Chetham, and Howe"?
roflmfao!!!
Anonymous said...
I live in western CO. There is no bust here, in fact the backlog for landscapers and remodeling contractors is 3-6 months, and most home builders are complaining they can't hire enough workers to meet demand.
We had a big slowdown in high-end RE sales from Jan-Jun, but that logjam broke last month and now even the expensive McMansions are selling again. Take a look at M3 for a clue -- it's growing again and apparently the mortgages are being written.
Sorry HPers, looks like your bust scenario has been postponed by the Fed once again.
July 15, 2007 4:07 PM
Here in Podunk, Co. all is well, so therefore all is well everywhere. Suzanne and GW told me so.
What a turd.
Hey westernco
The moisture running down your back is not rain.
That is pretty lame what you say about police and firefighters. They deserve everything they get. They dedicate their lives to protecting IDIOTS like you! Shame on you. The only way people take those jobs is because of the pension. Right now there are over 200K police officer vacancies just in the State of CA. maybe you should get your facts straight first.
jeez thats not bad...look at the DC market where jobs and salaries are plentiful.....
And its all govt and contractors...
http://housing-watch.com/regionview.aspx?city=washington
50K in 12 and an inventory sky rocketing...even the CS's suffer
"How do you know those $1.5 million homes weren't $2.5 milllion last year?"
Because they weren't? Prices here have doubled since '02, and last year's gain averaged 16%. As I stated earlier, the people buying high-end properties are usually not idiots and I doubt they'd knowingly sign on for a 30% haircut.
I was in Atlanta last week and RE is not imploding there either. Prices have not gone up as fast or as far as the bubble cities HPers like to cite. My wife was in San Diego last month and she tells me the place is booming, and even condos are selling.
Do you think that maybe, just maybe, you HPers have got it a bit wrong?
sACO COULDA HAD AVACADOS RUNNING DOWN THE GUTTER..what a waste of good land
westernCO said...
"... My wife was in San Diego last month and she tells me the place is booming, and even condos are selling."
July 16, 2007 3:11 PM
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OK, she does know that having lots of "for sale" signs does not mean "selling," right? San Diego has been crashing for 2 years now. Check out the Case-Shiller data.
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