Thanks for posting. Great video that explains the state of the RE market very well, in simple terms, that most viewers can understand. Every head-of-household should watch this video.
I can picture the FBs in denial in Carmel Highlands, Del Sur, 4S, San Elijo, etc.... Ain't gonna be pretty.
I have no sympathy for these people. For example the woman who bought the $500k house. She has a $2800 payment starting out on her mortgage and they say she makes $60,000. The equates to $2800/month after taxes (no factoring in interest right off). She couldn't afford it to begin with. Then on top of that what does she have parked in the driveway? A big shiny new SUV. She deserves to lose her house and end up in a one bedroom apartment. I have no sympathy, it's people like this that have made the market very tough for us reasonable people.
Did Thornberg say declines of 15-16%? That's way too pessimistic considering houses went up 130% in the last 5 yrs. I say minimum of 40-50% declines to revert to mean.
In the past prices have reverted to mean, there is no reason to believe that "this time it is different".
Thanks for posting. Great video that explains the state of the RE market very well, in simple terms, that most viewers can understand. Every head-of-household should watch this video.
I can picture the FBs in denial in Carmel Highlands, Del Sur, 4S, San Elijo, etc.... Ain't gonna be pretty.
I have no sympathy for these people. For example the woman who bought the $500k house. She has a $2800 payment starting out on her mortgage and they say she makes $60,000. The equates to $2800/month after taxes (no factoring in interest right off). She couldn't afford it to begin with. Then on top of that what does she have parked in the driveway? A big shiny new SUV. She deserves to lose her house and end up in a one bedroom apartment. I have no sympathy, it's people like this that have made the market very tough for us reasonable people.
Did Thornberg say declines of 15-16%? That's way too pessimistic considering houses went up 130% in the last 5 yrs. I say minimum of 40-50% declines to revert to mean.
In the past prices have reverted to mean, there is no reason to believe that "this time it is different".
what? the bush tax cuts didn't translate into a 130% raise for you? you must be one of them anti-merican libruls.
Crocodile tears.. imagine if it would have worked out, we would have had to listen to them on Flip This House blabbing about how brilliant they are.