Pop!
As we’re getting settled down here, we have begun looking at buying a house again. An evening’s worth of research, however, is telling me that it’s going to get very ugly for awhile.
As we’re getting settled down here, we have begun looking at buying a house again. An evening’s worth of research, however, is telling me that it’s going to get very ugly for awhile.
June 24th, 2006 at 5:21 am
All these experts are no doubt correct. I’m just wondering why the housing bubble hasn’t burst already. And when the debt bubble will burst on top of that. And when all of us “middling classes” will notice that while our real income has increased 3% or so (below inflation rates), the sizeable upper 2% has claimed greater and greater portions of overall resources at our expense.
June 24th, 2006 at 8:51 am
That’s the big one.
The
don’tthinktanks that have found the right linguistic combination that map onto people’s fears and rudimentary view of the world to convince the “middling classes” that it’s really better this way.In answer to your first question - I don’t know. I think it has something to do with the still low (6% really isn’t that bad) interest rates.
June 24th, 2006 at 10:26 pm
That’s the thing. Interest rates, as low as they are, are going to keep it going. It feels bubblish now because the gains went from 20% to 4-6% *normal). There isn’t really a bubble here as far as homeprices—they are already coming down at a reasonable rate, so it might be safe to say that pressure is being released from the bubble to keep it from breaking all the way.
The scary thing I think has more to do with what you guys have been saying,,,the people who bit off more than they could chew with a crazy term mortgage. So many people are pushed.
I would say that right now–with all the inventory on the market—interest rates still low–it is a good time to make someone a low low offer.
my 3 cents.
Bear
June 26th, 2006 at 9:36 pm
I’m banking (not literally) on a burst. If not, no big deal. It’s not like prices are going up anytime soon.
July 6th, 2006 at 5:19 pm
Thanks, Ray, for all of your hard work… now I don’t have to spend a night investigating.
I’m banking on a burst as well.
July 6th, 2006 at 5:22 pm
Thanks, Ray, for all of your hard work… now I don’t have to spend a night investigating.
I’m banking on a burst as well.
I did a google trends search on “housing bubble”. http://www.google.com/trends?q=housing+bubble&ctab=0&geo=all&date=all
It is interesting that 8 of the top 10 cities to search this are in Cal-E-For-Nia