Comments on: When Do You Think Housing Will Rebound?

By: James

James — Sun, 15 Jun 2008 04:21:44 +0000

How can you say that? I mean, it just doesn\’t make much sense in the long term.

By: Justin H. from Checks For Less

Justin H. from Checks For Less — Thu, 03 Apr 2008 14:41:32 +0000

I agree with Kenneth. As a matter of fact my own property in South Florida is another example. Bought it in 2002 for just under 500k, in 2005-2006 similar homes were selling for $750-$800 and now in 2008, you can’t get more than $700k for them.

By: Personal Checks Unlimited

Personal Checks Unlimited — Tue, 26 Feb 2008 17:17:36 +0000

Really sober post Brian. Some areas are hit harder than others… We live in the Florida panhandle. My wife was doing some research out of curiosity and discovered that in our small town there were 122 homes in foreclosure and in a larger nearby city there were 186.

Definitely a reality check. Anyone with any real experience in real estate knows that these things take time to balance out, and with the size of this imbalance it’s definitely going to be a while before we see any relief.

-Alan

By: James

James — Fri, 15 Feb 2008 00:02:39 +0000

I hope things get better soon. This news does not make me that optimistic. Bernanke warns of worsening economy

By: Brian Carr

Brian Carr — Wed, 07 Nov 2007 20:03:34 +0000

Rhea, I agree with you. I think this is going to be a lot longer and a lot more painful than what many people (especially the NAR) believe. I’ve been telling my friends to expect a slow real estate market for the next decade.

I wish we could let the correction run its course because I believe we would see a rebound much sooner. It just feels like we’re trying to delay the inevitable.

By: Rhea

Rhea — Wed, 07 Nov 2007 19:35:37 +0000

Real estate cycles are many years long. Just look at history. Anyone who thinks things will rebound next year are uninformed. I live in Boston and real estate was sky-high until August 2005. Then it began the slide. Foreclosures, mortgage rate resets, and more. It was way out of control.

By: Brian Carr

Brian Carr — Wed, 10 Oct 2007 20:26:59 +0000

I agree the market was long overdue for a correction – which makes me worry that prices became so artificially inflated that in order to truly correct, the average home price will need to drop between 25 and 50 percent from peak levels.

I don’t agree with you regarding the time frame of price stability. The housing pundits talk about the ARM reset fiasco like the only wave of first time resets will be between October 2007 and April of 2008. In reality, the wave of first time ARM resets will occur between now and probably the first part of 2011!

By: Kenneth

Kenneth — Wed, 10 Oct 2007 06:00:30 +0000

Eh, it was overdue for the correction anyway, so in the long rung I think we’ll all survive… well I hope so anyway. For that matter, anyone who owns a house for the long term investment is in no danger of loosing any of their 2005 era fictitious money.

As for the late night infomercials, get this, I just saw one the other night with Donald Trump himself hawking “proven techniques” he used at amassing wealth by buying foreclosures and auction properties. So, no, they’re not gone, they’ve just changed from flippers to gold diggers.

I think the middle to end of 2008 will show stability, IE no more falling prices. Rebound to 2005 prices, 10 years!? Considering I live in a model that same in the neighborhood sold for $715k in 2005, and I paid just barely over $500k in 2007, then yeah, probably, but if I “made” $200k in 10 years, I’d say I’m doing OK. To think I could cash out with 50% gains in 2-3 years would be, well, 2005 mentality.

Nice article BTW.