i just got notice of a $20/month rent hike… due to: water, lawn care, insurance and taxes (?!!). about a 2% hike.

arm resets, subprime, housing in general is so significant in business news these days, you gotta figure some portion of people who will be reset on are paying attention and making plans… meaning, that second wave of resets may have it’s effects sooner and more spread out in fashion. people bailing out sooner, defaulting sooner, whatever.

more than anything, i think the reo’s already in bank possession will control the picture. when the banks start aggressively unloading, they’ll under cut everyone else and drive the market down. especially since they’re not likely to play cash back, comp manipulation games. i think they’re holding back for now in order to not have to reassess their asset holding values and thereby not report how bad a position they actually are…