Well it just goes to show you how pervasive this lending/RE/speculative trend is. It’s one thing to happen in California, where everything has a bit of a ‘gold rush’ mentality, but I agree, it’s a huge problem if it’s happening in Omaha.
Someone recently posted a link to a real estate forum that advocated investing in real estate, and I was really blown away by how ignorant the some of the posts were. In one of them, the participants were asking one guy how he chose his investments. He had no answer but to mention his broker, who did all his homework for him! And, then the broker chimed in too explaining how to contact her. Unbelievable!
My sense is that these real estate ‘investors’ will just keep chasing the next area for ‘opportunity’ until one of the bubble areas shows massive signs of bursting, and then they’ll pull back. But I really think the hemorrhaging won’t start showing here in So Cal for another few months, and by then I’m sure a few more places across the country will have been subject to investment speculation and the whole cycle will follow.
