When will real estate prices begin rising again?

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    They lurk

    And they can report abuse because they like being abused and they have learned to shut the f**k up. 
     
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    Re: When will Finance Mike get some?



    NEVER !
     
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    Happy days are here again



    Home sales to the MOON

    Boosted by low prices and a home-buyer tax credit, pending sales of existing homes rose in July for the six straight month, the longest streak on record, a real estate trade group reported Tuesday. 

    The pending home sales index rose 3.2% in July, the National Association of Realtors said. The index is 12% above July 2008. Pending homes sales in July rose in the South and West. The index is based on sales contracts on existing homes. The NAR reports on sales of existing homes once the sales closes, usually six to eight weeks later. 
     
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    I am so very impressed

    Keep cleaning up your precious site nerd boy.  

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    Now this is what I call boom to BUST

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    Back at work eh, Finance Dick?

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    My, my you are so touchy! Not getting any?


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    What's wrong fool? You got something against black folk?


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    Finance Mike needs to lose some weight


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    Diversify! Diversify!

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    Finance MIKE!!!!


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    Re: When will real estate prices begin rising again?

    Hi all -

    FHFA (formerly OFHEO) 2Q2009 numbers out today, Boston MSA sees another decline of 3.18% compared to 1Q2009.  Still no positive numbers.  Note that FHFA uses paired sales method similar to case Schiller, but only looks at conforming loans so misses much of the market in Boston proper.

    http://www.fhfa.gov/Default.aspx?Page=14

    Good luck all!

    Finance Mike
     
  21. You have chosen to ignore posts from FinanceMike. Show FinanceMike's posts

    Re: When will real estate prices begin rising again?

    Hi all -

    Case Schiller for July is out, month over month change is a positive number for Boston MSA!  Not a big number (about 0.6%), but an increase nonetheless.

    Interestingly, if you look at the breakout by price tier, the low price tier (under $250k), the increase is substantial at just over 2%.  The other tiers cluster between 0.5% and 0.6% positive. 

    Now if we could just see an increase in sales volume...

    http://www2.standardandpoors.com/portal/site/sp/en/us/page.topic/indices_csmahp/2,3,4,0,0,0,0,0,0,0,4,0,0,0,0,0.html

    Good luck all!

    Finance Mike
     
  22. You have chosen to ignore posts from CBRB2. Show CBRB2's posts

    Re: When will real estate prices begin rising again?

    What? It's been a month with no rebuttals?!?!  BS Joe? Sparky? BoomBoom? Did you guys know that...

    Home prices gain for 3rd straight month

    Case-Shiller index shows 1.6% gain in July, a sign that recovery may be in motion.

    Boston up (again) 1.2% and only down 4.9% YOY! Even Las Vegas hit bottom! The beloved numbers are on the bull's side and the wonks are out of ammo...it seems that this argument is closed.

    P.S. ...Everyone wants to live here and they are still not making anymore land!
     
     
  23. You have chosen to ignore posts from FinanceMike. Show FinanceMike's posts

    Re: When will real estate prices begin rising again?

    Hi CBRB2 -

    Welcome back!

    Yes, there is somewhat good news out - note however that the Boston MSA is only up 0.6% seasonally adjusted.  There are still a lot of headwinds to a recovery here, however:

    1) Sales are still waaaay down compared to history.  This implies no market clearing price level has been reached.  Until we see buyers and sellers reaching agreements on price at similar rates as the long term average, calling the bottom is premature.  We MAY be at bottom, but it's still a pretty risky assumption.

    2) There is a lot of speculation that the stimulus plan (the $8k credit) drove a fair amount of activity and also prices.  Once that stuimulus ends, it may also stop supporting prices.  In Boston, the results are consistent with that theory - the "low" tier (under $250k) showed the greatest gain, which also happens to be where the $8k would make the bigest impact.

    I think the risks are still more that there will be further declines, although these results are encouraging.

    Good luck all!

    Finance Mike
     
  24. You have chosen to ignore posts from FinanceUsual. Show FinanceUsual's posts

    Re: When will real estate prices begin rising again?

    Yeah but what about all the resets and option ARMs and liars loans that are going to be defaulted on until the year 2929 ?

    And the reason that prices are going up is that they put a moratorium on foreclosures and the banks are selling bank owned properties to each other at higher prices to paint the tape.

    Anyway deflation is coming so sell your condo for whatever you can get and buy it back later for less.

    You are a house pumper and you probably own a house that you want to go up in price so you pump.


     
  25. You have chosen to ignore posts from FinanceUsual. Show FinanceUsual's posts

    The end is near sell everything

    Did the economy just let out some hot air or did it already burst and we are currently entering a recovery? There are facts to support both. However this posting will address the dooms day scenario.

    If the economy was left uncheck by the government and allowed for economic mechanisms to take place we would have gone through a complete collapse of the economy. However, when private lending froze and the consumer was unable to borrow, the brakes were slammed on against consumer consumption (spending). The government filled this gap with government borrowing and spending resulting in this short term recovery. 

    A couple of facts, first time claims for unemployment continues to decline and consumer spending is growing and as always purchasing imported products. These facts are just direct results of the stimulus dollars that are beginning to flow into the economy. The stimulus money does not in any way change basic fundamentals of the economy, such as capital investments to set a goal of achieving a trade surplus. The stage is set for an economic meltdown. 

    We continue to sell off our country piece by piece to purchase imported goods; soon we will have nothing to sell and no credit. Imported goods continue to climb, while exports are unchanged causing the trade deficit to sky rocket. The government will no longer be able to support the temporary recovery as we will have gone broke. As we approach this breaking point, we will see double digit interest rates, a continue devaluation of the dollar, and double digit inflation as the dollar collapse.

     A real recovery will not take place until we build capital investment and produce products that are globally competitive enabling us to begin the process of buying back our country from the rest of the world. If things continue down the same path, I predict we will see the breaking point in 2 to 5 years. Gold will sky rocket under this scenario, while equities would be helped along with inflation, it would be countered by a lack of economic growth and earnings.
     
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