December 30, 2007

Lawrence Yun, the NAR's Chief Dip, says we're seeing just a "blip", blames the media in a bizarre rip


I'm tired of this guy's lip. But here's a tip: Using a realtor is one big gyp.

You would think Yun and the NAR have no understanding of the credit implosion happening all around them. You would think they still don't understand that the Great Housing Ponzi Scheme was just a fraud-propelled free-for-all that is now unwinding. You would think they don't know about the SIVs and CDOs and failing banks.

You would think.

Media coverage of housing trends faulted

Media coverage of housing trends often gives the impression that the market is worse off than it really is, according to the chief economist for the National Association of Realtors.

Lawrence Yun, in presentations Wednesday to Kansas City area real estate agents, said the media’s biggest mistake was too much reporting on nationwide real estate trends. National trends alone, he said, don’t apply to many parts of the country, and reporting of them usually lacks perspective.

A more accurate perspective, he suggested, was that this year’s down market was merely a blip in the long-term growth of housing prices in the area and elsewhere. He said anyone who has owned a home for more than a couple of years has seen good housing appreciation overall.

21 comments:

Mid Hudson Vally NY said...

Mr. Yun said:
‘anyone who has owned a home for more than a couple of years has seen good housing appreciation overall.’

Sir, not in the mid Hudson Valley NY area.

Anyone of the thousands who paid between $200k and $500k for a crappy town house
Or anyone who paid between $500k and $1Mil for a crappy Mc Mansion squeezed into a development, between 2001 and today…will not break even until about 2012 or later.

Now that smoke is gone, its obvious that,
There have been no increases in personal or family incomes since the late 90s
There has not been any population growth or massive migrations from NYC
Housing inventory are at record levels
Land and school taxes have increased by an average of 30%
Heating fuel has gone up from less then $1 a gallon to $3 a gallon
Home repairs and services, landscaping snow and trash removal have just about doubled since 2001.

Also, I don’t remember the REIC complaining about the ‘media’ in 2005 when the MSM where going gaga over housing.

Anonymous said...

Just like the NASDAQ crash was just a blip. Anyone who bought CSCO stock in 1999-2000 will likely never recoupe their losses, even nominally. CSCO was one of the most profitable of the bubble stocks. The other dotcom ponzi stocks are either gone or became pinksheets. The most successful investors never buy into a bubble. They buy assets for pennies on the dollar in the aftermath of the crash

Anonymous said...

Maybe he needs thicker glasses?

oops. So Sorry, Yun.

Anonymous said...

"Growth" is a dirty word because with it comes overpopulation, pollution, inflation, and just a poor quality of life in the long term. In the short term it is very profitable.

Anyway if this bubble combined with the spending Bush has done on the war completely collapses the economy and we have to rebuild one based on REAL WORK where people do not accumilate wealth based on nothing we will be better off for it.

Anonymous said...

He's right in a way. If you look at a long enough time horizon, like say 100 years this will be a blip.

Anonymous said...

"I'm tired of this guy's lip."

Then why do you keep giving him free publicity? Just ignore him. Who cares what he has to say anyway? He'll eventually go away. Trust me.

LY

g string said...

What a f@cking moron.He needs to pull his head out of david lereah @ss.They lie so much it becomes the truth to them.Go tell the people who have lost hundreds of thousands about a blip.this is a correction from speculation and fraud run a muck.

Veronica Lodge said...

RE:The media report too much on nationwide real estate trends, usually without perspective, says Lawrence Yun, chief economist for the National Association of Realtors.

Without perspective? That's a laugh!

All investment bubble manias are the same, whether they involve stocks, real estate or tulip bulbs.

People rush in to get rich as prices rise much faster than what is normal.

But are these rapidly-rising prices the result of increased productivity, scarcity, higher dividends, higher wages or rising rents?

Or, are prices rising ONLY because prices are rising?

If prices are rising only because prices are rising, it means that frantic buyers are speculating that they can get in (even if "owning" a stock or house involves risky financing) long enough to turn a big profit before prices crash. Prices go higher and higher and risks get bigger and bigger as the speculation frenzy gains momentum.

So, why shouldn't the media report a disconnect in the mortgage market where down payments have disappeared, income verification has vanished, negative amortization loans have replaced fully amortized loans as house prices are shooting up 5 to 10 time faster than the annual rate of inflation plus 1%? Why shouldn't the media report the disconnect between what people are paying for houses and the amount of rent these houses might bring in?

Why shouldn't the media report mortgage fraud, appraisal fraud and the fact that borrowers with lousy credit are being given signature loans for half-million dollar houses (in many cases, 10 times their annual income) that they have no hope of ever paying off?

Nationwide real estate trends ARE being reported in perspective. The TRUE perspective is that the real estate market is collapsing much faster in some areas than it is in others.

It's not like the real estate collapse should come as a big surprise to anyone. Here is an article written June 21, 2002, which describes in great detail the eventual outcome of rampant real estate speculation.

If the media had done its job reporting on nationwide real estate trends 6 years ago, the current real estate crash would not have been nearly so devastating.

When put in perspective, it's easy to see that The National Ass. of Realtwhores is comprised of liars, cheats and thieves.

V.L.

beanbag said...

Housing is NOT an investment.
Housing is NOT an investment.
Housing is NOT an investment.

Housing is CONSUMPTION.

There. I feel better, now.

ugh said...

2009:

Winston, "yun, lawrence, non-person, replace with mouse,micky."

Paul E. Math said...

Yun's comments show deliberate deception - MSM reports do NOT overstate the downturn. MSM report radically overstated the permanence of the 'gains' created by the last 5 years.

But the real story is that this article showed very little critical thinking and very little insight. This is exactly where we blame the MSM, whether it's the journalist or the editor that's at fault, they are both in dereliction of duty as a cornerstone of our society.

This Kansas City rag and its journalists need to ask themselves one question, and answer it honestly: did they do their best to publish 'the truth'?

Paul E. Math said...

You know what, I'm not tired of Lawrence Yun's lip. Everytime I want some of it I undo my fly.

Anonymous said...

FOUND A CONDO 2BD 2BTH FOR 45,000 IN A RESORT AREA...............................WONDER IF I STILL SHOULD HAVE A BAD ATTITUDE TOWARD CO-OPERATIVE LIVINGS//////////////

Boom2Bust.com said...

"National trends alone, he said, don’t apply to many parts of the country"

I find it interesting that according to today's issue of The Times (UK), "until two years ago, each of the fifty states participated in the housing boom..."

"Yale's Shiller Warns Of Prolonged Housing Slump"
http://boom2bust.com/2007/12/30/yale%e2%80%99s-shiller-warns-of-prolonged-housing-slump/

Anonymous said...

"What a f@cking moron.He needs to pull his head out of david lereah @ss.They lie so much it becomes the truth to them"

Note to asian laides: Yun has herpies of the mouth.

Remember,
Yun wants a paycheck, so he will SAY ANYTHING people want to hear.

Anonymous said...

home sales up 0.4% this morning

Oh dear, what will the tinfoil hatters say now?

nnj said...

Foreclosures at an all time high. Sales at an all time low. Inventory levels extremely high. Home builders going bankrupt. Banks losing billions. Some blip!

Lawrence, just shut the f*%k up already and go give Dave Lereah a bj.

edd said...

Today Diana Olick quotes Larry Yun as telling her that one quarter of California realtors had ZERO sales
in 2007.

borkafatty said...

Hahahah! Is this New Years Eve....?...or Aprils fools day...?...I vote the latter.

Anonymous said...

On the bright side for the NAR, everyday that passes is one day closer to reaching the bottom. Everytime that home prices and sales numbers crash, they are getting closer to the bottom. Maybe that can be the rallying cry for the next NAR gathering.

"We're a little closer to the bottom!"

eric in vegas said...

"home sales up 0.4% this morning

Oh dear, what will the tinfoil hatters say now?"

They would probably say that existing home sales are down 20% from last year.