Blanche, Blanche, Blanche...
Blanche, Blanche, Blanche...
Panic Working Like A Charm; Home Prices Mostly Down In June
by Blanche Evans Realty Times
Despite positive fundamentals such as low unemployment, rising wages, and low borrowing rates, consumers are panicked about the housing market and sitting out a golden opportunity to buy at low interest rates with plenty of inventory to choose from. One reason is the constant drumbeat that housing prices are softening by the press, but consumers aren't getting much insight or perspective along with the daily drip of bad news.
If the media and economic experts are saying that home prices are going to fall further and then recover, is it so strange that buyers are waiting? My question is why is it "denial" for sellers to wait out the falling prices part to cash in on the recovery part?
That's what makes this whole thing so funny. Somehow it's okay for buyers to panic, but not for sellers to remain cool.
33 comments:
Yeah these real estate mouth-pieces used to constantly bleat about how the buyers needed to get in NOW or be priced out forever. Now its the other way around they dont like it one little bit.
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My question is why is it "denial" for sellers to wait out the falling prices part to cash in on the recovery part?
That's what makes this whole thing so funny. Somehow it's okay for buyers to panic, but not for sellers to remain cool.
It's denial because they're not waiting, they're trying to sell, but at prices nobody will pay.
It's ok for the buyers to "panic" because it's their money (or rather future debt, but you get my drift). But I wouldn't call holding onto to my money and waiting to see how the market will play out "panicking." It seems quite the opposite to me.
It's also ok for sellers to stay cool, as long as they're content with not selling their home. In fact, Blanche, waiting for a recovery means they're not selling, so are not "sellers" at all. Real "sellers" who want to move their home now or in the near future would be advised not to hold out, unless they can "stay cool" while watching themselves go underwater on their loan.
But back to the whole buyer's panic comment... What strange times we live in when being cautious with your money is considered irrational and panicky.
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Blanche is a loon who rarely makes any sense. She's batting 1.000 with this one. Another load of crap from a REIC slut.
They just don't get it
"Despite positive fundamentals such as low unemployment, rising wages, and low borrowing rates"
No mention of the negative fundamentals though of the evaporation of "can you fog a mirror?", "$500k mortgage with an income of $25k, no doc, no down I take it Squire?" mortgages is there?
This woman is on crack!!
The one thing you never hear on any NEWS show is how higher prices hurt America...and how astronomical prices are the reason the market is collapsing.
I would like to see Coke raise the price of soda to 5$ per bottle and then cry about 'people not buying'.
I think Blanche might have eaten some lead paint from the houses she was trying to sell.
Tell that stupid bitch if there are in fact "low borrowing rates," then why do all those loser lenders keep asking for a rate cut to keep their criminal enterprises operating?
It is hard to understand something when your income requires you not to understand it.
Way to go Blanche if you are to old to dance or prostitute I hope you saved money.
Isn't PANIC usually associated with selling at any price?
Wow, REALTORS sure are dumb
First, who are these buyers? In my town, some are buying but down June
thru August by 50%. I own a home which was purchased in 02 with 20% down and everyone I know also owns a home and no one I talk to is looking to buy ad no rush is needed.
Second, why is a house purchased in say 2000 for 150,000 now worth 600,000 7 years later.
Damn that's one stupid bit@h
"and low borrowing rates"
???? she should have said "low, introductory teaser rates." what a fraud this woman is!
We was she in 2004 when some of us were saying prices were unrealistic?
My guess: jumping with pom-poms!
The PROBLEM is the ridiculous PRICE stupid. A home that was 150K is now 700K. A husband and wife, even working 2 jobs each and being DINKS can't afford it. DO YOU UNDERSTAND? LOWER the PRICES.
Blanche,
The media is a lagging indicator. You know. Late to dance. Shows up to the scene after the crime. But if you really believe the media can talk down housing then it should be able to talk up housing too. Right?
Stella! Stella!!!
"...why is a house purchased in say 2000 for 150,000 now worth 600,000 7 years later.
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Actually, it isn't worth that.
A house is only worth what a person is willing to pay for it.
Isn't PANIC usually associated with selling at any price?
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Not when there's a rumor that the market will "likely" rebound; in two months.
People who need to sell now and don't because of hope of a market rebound are just building on quicksand.
My question is why is it "denial" for sellers to wait out the falling prices part to cash in on the recovery part?
That's what makes this whole thing so funny. Somehow it's okay for buyers to panic, but not for sellers to remain cool.
It's seller denial when the sellers keep listing their house at bubble pricing. If they price it lower according to the New Reality, then it is no longer denial. Just my $0.02.
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I agree!
It's the media's fault that I can't afford a home,
yeah, that's it!
"Despite positive fundamentals..."
BWAHAHAHAHA, welcome back Blanche!
Looks like she's back on the same sauce as when she last wrote that the media was conspiring against realtors.
I haven't been able to puzzle out why the media would want to damage one of their lifeblood advertising sources but hey, that's why we love the old cow.
My home was purchased in 1999 for 189k, (so cal., 1803sqft, .52ac)
It was apraised at 550k in 2005,
Problem was I sold in 03' for 379k,
At least I got out!
Still look at the rate in which that home appreciated!
I think she is 'panicked" herself. You can tell by the exasperated tone of her article.
Oh and she forgot the other fundamentals:
Extremely high Price/Rental Equivalent.
Extremenly high Price/Borrower Income.
The Case-Shiller bubble graph, or extreme price appreciation well outside 100 year historical trend.
That's one stupid woman
The female version of Greg Swann
Darenin gainsville....that 150,000 house purchaced in 2000 is not worth 600,000 today, its just taxed at that value in order for the vulture leeches in the tax and spend other peoples money business to have more money.... nor is it worth the 150,000, say the long timers who have not sold over the last bunch of years and planned on living in the "community" they created and are being taxed out of by greater fool assholes like you...
Blanche is a sweet, sweet lady. Why do you rag on her so much? I can't beleive how nasty some of you are.
Blanche may be a nice lady. David Lereah may be a sunny cool dude.
Doesn't excuse the content - their bad advice, spin, lies and blather helped ruin lives.
Good people don't lie. Good people don't distort. There's better ways to make a living than lying, stealing and deceiving.
Unless they're just ignorant and stupid, which I doubt they are, Evans and Lereah (and Toll, and Mozilo, and Yun, etc) have housing blood on their hands.
Blanche forgot about tightened credit, more expensive jumbos, declining housing prices, economic uncertainty... all factors encouraging them to sit on the fence... if they are smart or have an immediate need for "owned housing". Blanche may be nice, but she is not looking at the whole picture...just through her rosey glasses. Never appreciated her columns much anyway
Mindboggling. I'm not even sure what her point was. I don't think she knows herself.
But at the very end of the article she acknowledges one of the main reasons why homes are not selling and prices are falling: affordability.
But she's too stupid to follow through with it. How unaffordable are homes, Blanche? And where should prices logically be, based on affordability? Because that is where prices are going, you twit.
"It's seller denial when the sellers keep listing their house at bubble pricing. If they price it lower according to the New Reality, then it is no longer denial. Just my $0.02. "
I am always scared when someone talks about "New Reality's" or "New paradyme's" they sound an awful lot like "It's different this time". Listen, all this is just the opposite of the bubble. I own 7 properties in Phoenix. I know, ground zero, end of the world, etc. etc. I have heard it all. However, when the prices of my properties went above fundamentals I called it bubble money and did not take it any more seriously than I treat this pronounced downturn. Now I just call it overreaction money. The price of the houses will level out. And I know this is probably going to generate flames, but the leveling will be up from here. Just not bubble prices. It will level when the incomes and price of a home catch up to what you can borrow from Fannie and Freddie with 10 to 20% down. Period, end of discussion. Jumbo mortgages will be available again, and homes over $417,000 will be purchased again. There will just be less than the 200 plus lenders doing the same thing. It will be more like 10 or 20 big ones. Household names. This is all very predictable and trackable if you simply follow fundamentals. All that is necessary is just to sit back, relax and wait. Anyone who is in RE for the quick buck is delusional, the Realtors that are saying this for folks that want to live in the house over 5 years, they are right. The ones that are saying this to anyone that is wanting to make money within a year are hosing the client and the client should run away. The bottom line is that a house is nothing more than a leveraged bond with a ten year maturity. For the patient it is profitable. For anyone with a shorter time line, they need to buy a stock or put money in their 401K.
That simple.
"I haven't been able to puzzle out why the media would want to damage one of their lifeblood advertising sources but hey, that's why we love the old cow."
Easy - media likes headlines. They spun this the other way when the masses were salivating at being millionaires. Now they are spinning it the other way to spook everyone. Look at any issue, pick the extreme, that is what the media will report.
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