No surprise for HP'ers.
Remember this index is just a brief look at the US, looking at 20 US metro areas.
But one thing I think you can take away from this record decline reported today is that there aren't 21 reasons to buy a home in a Housing Ponzi Scheme area. There's not even one. We're dropping like a rock now as the fraud gets washed away and we head right back to where we started.
'We reached another grim milestone in the housing market in November,' said Robert Shiller, chief economist at MacroMarkets LLC.
'Not only did the 10-city composite index post another record low in its annual growth rate, but 13 of the 20 metro areas, each with data back to 1991, did the same,' Shiller said.
The weakest market in November was Miami, where prices fell 15.1 pct in the past twelve months. Detroit, Las Vegas, Los Angeles, Phoenix, San Diego and Tampa also posted double digit declines.
There was also this new home sales data that came out earlier, showing a record drop of 26% in volume, a 9-month supply, and prices down 10% from last year. But don't put too much into this faulty report, which doesn't include the massive incentives and records a sale even if the contract is cancelled, which 30%+ are.
January 30, 2008
Miami, San Diego, Tampa, Phoenix, LA, Vegas, Detroit all down double digits in latest Case-Shiller Home Price Index
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26 comments:
Yeah but I'm not seeing it in Seattle/San Fran/My Jerkwater town, because it's different here, no no it really is I swear.
It's not hard to see why detroit prices and sales are falling.
As someone who has lived most of his life in the Detroit area, it's tragic to see what has happened to this once-great city.
If you want to see how bad things can get in a city, or how far a city can fall, check out the before and after videos from detroit (and no, it's not Iraq, it's Detroit):
http://malcolmrant.blogspot.com/2008/01/detroit-before-and-after.html
If you look at the after video of some guy driving through the slums, you realize what many of us have realized: there isn't enough money in the world to rebuild the mess that was created.
Some areas of Tampa are starting to come back, but downtown is WAY overbuilt with condos(not as bad as Miami though), and the suburban McMansion area's like "New Tampa", brandon, and Riverview are just starting to hurt from being way overbuilt. Those areas will just continue to spiral down...
Malcolm said...
.....If you want to see how bad things can get in a city, or how far a city can fall, check out the before and after videos from Detroit (and no, it's not Iraq, it's Detroit)
===========================
The really awesome part, which most people do not realize, is that those falling down shacks are not in the middle of some farm field in the far flung suburbs at the city limits, but actually all that's left standing of a city block of middle class homes downtown. There are gigantic hotels, office buildings, and skyscrapers boarded up.
I was there last year. It’s beyond awful!
That video of Detroit is amazing.
Looks like a Bush-Cheney redevelopment plan gone awry after those 2 stole all of the money.
Nothing that Halliburton couldn,t fix...
America Is Dead. Roll over AND DIE
If you look at the after video of some guy driving through the slums, you realize what many of us have realized: there isn't enough money in the world to rebuild the mess that was created.
It's nothing a few Daisycutters can't solve. It's a shame that we allowed those barbarians to destroy our great cities.
The 1965 video with the Mayor proclaiming "Detroit is enjoying it's finest hour".
And he was right, all down hill from there...
So what happens to NYC when all the investment banking firms and brokers move to Asia?
It's even worse that the Case-Schiller Index suggests, since it only looks at detached single family homes.
Condos and duplexes are excluded from the index, and they are down even more.
In other words, the C-S Index is actually optimistic these days.
Who cares if housing prices have dropped significantly. Markets go up and markets go down. In general only the irresponsible and stupid are getting thrown out of their houses. And now they rent, which is what they should have been doing in the first place. If you have been on the sidelines, good for you. Soon you will be able to buy a nice house. The standard of living for most Americans is much better now than 20, 40 or 60 years ago. Only in America can you be poor and obese at the same time.
I had to share this...from an article about price drops and how the 'mortgage crisis' is hurting so many illegal and legal immigrants that came here to work in the building trade.
'Nelson, a 29-year-old legal immigrant and construction worker from El Salvador, had a miserable run of luck in November, when he lost his job and his subprime mortgage bills jumped $650 to about $2,650.
He says he now has to sell the home he bought in Maryland in 2005. If he is unable to sell in the next four months, he will have to foreclose, meaning an even bigger financial loss and a damaging black mark on his credit record.
"I have to practically give it away," he said.
Like many caught up in the crisis, the father of three said he had no idea his monthly payments would soar two years into the mortgage when he closed the adjustable-rate subprime deal.
"You have to sign a lot of things when you buy a house, so I didn't read, I just signed. I think it was the anxiety, the happiness of buying my house," he said. "I feel a bit betrayed."'
Are you F***ing kidding me? YOU FEEL BETRAYED because you didn't read what you signed??? Not meant to be at all racial...stupidity is the great equalizer, I say.
Maybe he can get a job as a town constable putting his friends and former coworkers out of their houses, ruining neighborhood after neighborhood...so homes will be worth less and less and LESS.
And I still won't buy one. Heh.
Thank you HP!
But Phoenix has sunshine! Golf! Nice shopping and restaurants! Honeywell!
LOL
Friends in Phoenix who are in tune to what's happening tell me that the high-end restaurants have been running at a loss just to hold out for Super Bowl weekend. After that rush they'll be closing their doors for good.
My only regret in leaving Phoenix is that it really does have great restaurants, unique ones you can't find anywhere else, but hell, if they're all closing then I'm not missing a thing!!
"You have to sign a lot of things when you buy a house, so I didn't read, I just signed. I think it was the anxiety, the happiness of buying my house," he said. "I feel a bit betrayed."'
Mexcrement. Come to the Bay Area/No. Cal. We have ultra liberal politicians, the worst-most liberal newspapers ever printed and Great Welfare! The rest of your kinfolks are here aleady.
Anchor babies anyone. Enjoy.
Taxes due April 15th...
'Nelson, a 29-year-old legal immigrant and construction worker from El Salvador'
LEGAL IMMIGRANT - Ha Ha Ha ! I BET.
John McCain LOVES YOU LEGAL IMMIGRANTS. Hussein Obama WANTS TO GIVE EVERY IMMIGRANT LEGAL OR NOT A DRIVERS LICENSE!
COME TO AMERICA AMIGOS. BRING YOUR HAMMER AND BURRO. WE NEED YOU!
That monkey Bush should be stripped of his wealth and forced to live in Detroit's worst neighborhood. Everyday he can experience first hand the devastation he has caused this country.
ENJOY THE DIE-OFF.
I get a laugh every time that dude says that here on HP. True but funny.
Talking about the Cubano low-life heaven, have you heard about that Miami real estate broker who was bashing, on his blog, a local developer? He's saying that half of the project's condo units would be foreclosed, so the developer got pissed and sued him. Also, the realtwhore-blogger lost his job because of that.
JO QUIERO MI JORGE BUSH-WELFARE-STIMULUS CHEQUE AHORA.
I NEED TO PAY COYOTES TO BRING ALL MI RELATIVES DE MEXICO Y CUBA.
GRACIAS HARD-WORKING-GRINGO TAXPAYERS FOR SUBSIDIZING MI ENTIRE FAMILIA DE MEXICO Y CUBA. GRACIAS EL PRESIDENTE JORGE BUSH.
>> He says he now has to sell the home he bought in Maryland in 2005. If he is unable to sell in the next four months, he will have to foreclose, meaning an even bigger financial loss and a damaging black mark on his credit record. "I have to practically give it away," he said.
What a douche! He was "practically" *given* the home to begin with via his "exotic" loan!
P.S. Can we all please start calling "exotic loans" "stupid loans" instead?
Here’s where I get everyone yelling at me again….
The outcry against “illegal immigration” (aside from the law and order aspect), has to do with two things:
1. The economy is so bad, that people are mad to think that illegals are stealing all of their jobs.
2. People are mad that illegals are using all of the services, and bankrupting the system by their use of these services.
There is an estimated 10 million illegals.
Here’s a thought: if we were to make all of the illegals legal, and put their incomes “on the books”; based on minimum wage, a 40 hour work week, and the 2006 tax schedule, that would add….
$35.950 billion per year to the budget.
This, of course, with no additional cost of services (since we are assuming that they are using the services already).
http://malcolmrant.blogspot.com/2008/01/in-defense-of-amnesty.html
I know, that smacks of “amnesty”. But since there’s no realistic way to round up 10 million people and kick them out, we might as well get some of their money. We might as well get them to kick in on the cost for the services they are already using.
(this is also based on the assumption that there is a big difference between what we WANT to do, what we believe we HAVE to do, and what reality will allow us to do)
Ok…you can start yelling now :)
Cool we're number 1. Yeah baby, Miami rules supreme with 37 month of condo inventory and another 19,000 units being completed this year. That's as good as it gets!
Here’s a thought: if we were to make all of the illegals legal, and put their incomes “on the books”; based on minimum wage, a 40 hour work week, and the 2006 tax schedule, that would add….
$35.950 billion per year to the budget.
This stupidly assumes two things -
1. That there are 10 million vacant jobs just laying around. There aren't because the minimum wage jobs are shipping overseas.
2. You assume that the 10 million will be honest law-abiding citizens. Sorry, wrong answer for a bunch of people who already have one felony under their belts.
That is sad and all but there are like 10-15 cities in Texas is increases! San Angelo being one of them. What is the reason that Texas was seperated from the bubble and the burst?
Mike P said...
It's even worse that the Case-Schiller Index suggests, since it only looks at detached single family homes.
Condos and duplexes are excluded from the index, and they are down even more.
In other words, the C-S Index is actually optimistic these days.
January 30, 2008 6:07 PM
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Not only that, but the Case-Shiller index for the LA Metro only includes LA and Orange counties. That's why it "only" dropped 11.9%. It must be much worse in the IE (Riverside and San Bernadino counties).
1. The economy is so bad, that people are mad to think that illegals are stealing all of their jobs.
Hmmm, wrong, they are indeed stealing jobs. I give you just one example, out of thousands.
African Americans working as roofers used to make $18 / hour. After the GOP open border policy to bring millions of illegals in, Mexicans were doing the same job for $8 / hr.
Not only after, hard working African Americans who were born here in the US, had families to feed, and mortgage to pay, were put all of business by millions of illegal Mexicans.
And no, the savings weren't passed to the final consumer, as contractors pocketed the difference and still didn't pay taxes for contracting illegals.
There is an estimated 10 million illegals.
That's a pro-immigration figure. The real number is more like 30 million, who earn in cash, send 80% of their earnings out of the country, don't pay for the expensive infrastructure need to support this tsunami of people coming at once, and depress the wages of everybody else with only a high school diploma.
Not only that, because most of them are iliterate and don't know a thing about family planning, that figure of 30 million keeps increasing exponentially as they breed like flies and bring the rest of their relatives in, after getting a citizenship.
You do know that it's easy for them to bring the rest of your family (i.e., siblings, uncles, cousins) after getting a citizenship, right?
The Hispanics will take over the Senate and the House and local governments. Americans will be a minority in their own country.
That monkey Bush should be stripped of his wealth and forced to live in Detroit's worst neighborhood. Everyday he can experience first hand the devastation he has caused this country.
but..
"a considerable portion of the city has been subjected to heavy industrial activity, and a number of Detroit properties have become contaminated. More than 45,000 contaminated sites have been abandoned by their owners and forfeited to the city due to unpaid taxes."
-EPA March 2000
and..
During the '70s and '80s, success stories like Martin's would not have been told; it was a different time for Detroit, one of overwhelming challenges. Heavily dependent on the auto industry for its bread and butter, the city was hit hard when domestic auto manufacturing took a turn for the worse. Crime rose, and businesses and residents were fleeing the city for safer ground in the suburbs. Besides that, the city once known as the home of the soulful, sentimental sounds of Motown was now better known for its infamous "devil's night" fires."
Easy to blame Bush for Detroit's decades of problems but facts contradict.
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