[quote=jstoesz][quote=sdrealtor]I think it is comical when people beleive the forces fo supply and demand do not impact prices.[/quote]
Have I stated the contrary? I willingly admit that they are at work. Free or nearly free money, combined with no compulsion to repay, and a vast sea of lemmings to hold the bag has sent the supply curve way to the right of saner markets.
Yup it is not supply and demand I am frustrated with. It is with the financial irresponsibility of my peers. And that has not even begun to correct.[/quote]
Well said, jstoesz.
We don’t know what true “supply and demand” are when supply is being artificially kept off the market (foreclosure moratoriums of various sorts that have been going on for years now, not to mention the loan mod merry-go-round, etc.) and demand is being artificially stimulated by tax credits, artificially-suppressed interest rates, and the threat of dollar devaluation.
This is exactly the problem. Buyers are being forced to buy in a market that is 100% rigged against them. Organic “supply and demand” are NOT what’s driving sales and prices in this market.