More econ stuff - the housing bubble

[Steve Owen]

This is an ordinary news story. Too bad they didn't work in anything about the role of AVM's in all of this. It does give one piece of information on why FNMAE wants comps from other builders in new construction or from outside a new subdivision. I doubt if most readers will pick up on it, though.

http://www.msnbc.com/news/795720.asp

Related info from the same source:

http://www.msnbc.com/news/794989.asp

 

[Karl]

Looks like an article pushin for people to invest in Toole Brothers Developments. Hopefully they'll check his Construction Defect Claims leveled against him. In NH The cheapest house is 550,000. One town Inspector has stopped him from proceeding until corrections are made. In Housing guess it doesn't matter what price U pay when there booming some builders will build crap. Like some Appraisers will do a crappy appraisal. Gee looks like it doesn't matter what the proffession, or the price, or amount of education. There R some who just look for the dollar.

 

[Ross (CO)]

Have read the first link's article. If all that is true then one might conclude that all the news of stock market decline, corporate layoffs, accounting scandals, airline bankruptcies and related bad-karma is nothing but "small change". I guess the coming real estate boom will lead the entire economy into a continued decade of all-is-good. Perhaps we are yet to see a HumVee and a Lexus in every garage and a chicken in every pot. When the Census data may have told us that average family size is fewer total members, a desire for bigger and bigger homes contradicts a real need for more living area. No one would invest in these mini-mansions if their future value would decline, right ? Has anyone else noticed the return of the infomercials for r.e. investment seminars and the buy foreclosures for nothing down seminars which are touring the major metro areas of the country ? They are coming to Denver and Colorado Springs this week. What data are they looking at ? If Mr. Toll has customers who can buy then Mr. Toll will have houses to sell them....and the economy keeps churning along.

 

[Dee Dee]

I think I've finally reached the conclusion that the perception of a 'housing bubble' is going to depend on who you ask and what the near future brings.
It's about as slippery as politics. Those who stand to benefit in the housing growth industry will absolutey deny it and pull out statistics to back them. Those who have lost or stand to lose because of it will see the opposite and have statistics to back their point of view as well.

 

[Steve Owen]

Ross said:

Has anyone else noticed the return of the infomercials for r.e. investment seminars and the buy foreclosures for nothing down seminars which are touring the major metro areas of the country ?

Yeah, not to mention DiTech.com. roflmao. There may be a great new future in appraising mini-mansions for repos. Or maybe not.

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In art economy is always beauty.

Henry James