RO asks the right questions, but casually throws out what he doesn’t like. For example, RO states that ” A given area may have experienced gentrification, infrastructure improvements, etc. that help shore up prices, while another area may have the opposite pulling prices down. I assume this was true during previous busts as well, so I don’t see it as something distinct this time.”
Well that wasn’t true. I don’t think the 0% down, zero closing costs were around back in the 90’s. Just check the latest NOD, foreclosure for SD county and you will see that the low income areas have been hit hardest. Condo conversions were not a big item in the 90’s as they are now.
Here’s some more questions:
How many homes were sold since Jan 2004?
How many of them were financed with 2-3 yr ARMs?
How many of them were refinanced since first loan?
For a certain zip code/sub-zipcode, can we check how many of the homes in that sector were sold since 2004? (Ignore new areas, and check % of new sold compared to all in the sector. I’ll bet that “better” homes had less turnover and hence will experience less depreciation)
Can we pick a street in a few different zip codes and track 10 homes to get a sample?
