Home sales continue plunge

[briansd1]

[quote=Arraya][quote=Russell]Why buy when you can force the government to come up with more freebies?[/quote]

lol… It’s a conspiracy of potential borrowers – very george chamberlain-esque[/quote]

I believe that the mentality of the buyers is still very much that when real estate picks up it will appreciate like it did before. That’s why people spend so much on housing.

When that mentality resets in a generational shift, we’ll see an commensurate adjustment in prices.

Housing will eventually recover from its great swoon. But many real estate experts now believe that home ownership will never again yield rewards like those enjoyed in the second half of the 20th century, when houses not only provided shelter but also a plump nest egg.

[yojimbo]

[quote]I believe that the mentality of the buyers is still very much that when real estate picks up it will appreciate like it did before. That’s why people spend so much on housing. [/quote]

I haven’t seen much of a shift away from that yet and I’m still not certain that it is going to happen.

The “Your house is your best investment” mentality is pretty firmly ingrained even now amongst potential buyers. Besides, you get to mix emotion with alleged rationality when buying a home. It’s fun, exciting and satisfying searching for and buying your “dream” home and at the same time is (was) a great investment. You can’t say the same thing about a car or a stock or a bond. Paying too much for a car is just dumb. Overpaying for your dream home is shrewd given the locked in appreciation. Pay enough for it and you’ll get the satisfaction of explaining to your friends how you were able to adeptly out negotiate those other foolish buyers while at the same time covertly insinuating that your finances are so good that you can easily afford the overpriced, over-sized home.

Are those days long gone? I wish, but I don’t think they are gone yet. I still see it in the market though it’s essentially dominated by the “investor” crowd now. Maybe another 10-20% drop in prices or a very prolonged dead market will change attitudes. We’ll see. I’ll believe it when I see it.

[yojimbo]

[quote]I believe that the mentality of the buyers is still very much that when real estate picks up it will appreciate like it did before. That’s why people spend so much on housing. [/quote]

I haven’t seen much of a shift away from that yet and I’m still not certain that it is going to happen.

The “Your house is your best investment” mentality is pretty firmly ingrained even now amongst potential buyers. Besides, you get to mix emotion with alleged rationality when buying a home. It’s fun, exciting and satisfying searching for and buying your “dream” home and at the same time is (was) a great investment. You can’t say the same thing about a car or a stock or a bond. Paying too much for a car is just dumb. Overpaying for your dream home is shrewd given the locked in appreciation. Pay enough for it and you’ll get the satisfaction of explaining to your friends how you were able to adeptly out negotiate those other foolish buyers while at the same time covertly insinuating that your finances are so good that you can easily afford the overpriced, over-sized home.

Are those days long gone? I wish, but I don’t think they are gone yet. I still see it in the market though it’s essentially dominated by the “investor” crowd now. Maybe another 10-20% drop in prices or a very prolonged dead market will change attitudes. We’ll see. I’ll believe it when I see it.

[yojimbo]

[quote]I believe that the mentality of the buyers is still very much that when real estate picks up it will appreciate like it did before. That’s why people spend so much on housing. [/quote]

I haven’t seen much of a shift away from that yet and I’m still not certain that it is going to happen.

The “Your house is your best investment” mentality is pretty firmly ingrained even now amongst potential buyers. Besides, you get to mix emotion with alleged rationality when buying a home. It’s fun, exciting and satisfying searching for and buying your “dream” home and at the same time is (was) a great investment. You can’t say the same thing about a car or a stock or a bond. Paying too much for a car is just dumb. Overpaying for your dream home is shrewd given the locked in appreciation. Pay enough for it and you’ll get the satisfaction of explaining to your friends how you were able to adeptly out negotiate those other foolish buyers while at the same time covertly insinuating that your finances are so good that you can easily afford the overpriced, over-sized home.

Are those days long gone? I wish, but I don’t think they are gone yet. I still see it in the market though it’s essentially dominated by the “investor” crowd now. Maybe another 10-20% drop in prices or a very prolonged dead market will change attitudes. We’ll see. I’ll believe it when I see it.

[yojimbo]

[quote]I believe that the mentality of the buyers is still very much that when real estate picks up it will appreciate like it did before. That’s why people spend so much on housing. [/quote]

I haven’t seen much of a shift away from that yet and I’m still not certain that it is going to happen.

The “Your house is your best investment” mentality is pretty firmly ingrained even now amongst potential buyers. Besides, you get to mix emotion with alleged rationality when buying a home. It’s fun, exciting and satisfying searching for and buying your “dream” home and at the same time is (was) a great investment. You can’t say the same thing about a car or a stock or a bond. Paying too much for a car is just dumb. Overpaying for your dream home is shrewd given the locked in appreciation. Pay enough for it and you’ll get the satisfaction of explaining to your friends how you were able to adeptly out negotiate those other foolish buyers while at the same time covertly insinuating that your finances are so good that you can easily afford the overpriced, over-sized home.

Are those days long gone? I wish, but I don’t think they are gone yet. I still see it in the market though it’s essentially dominated by the “investor” crowd now. Maybe another 10-20% drop in prices or a very prolonged dead market will change attitudes. We’ll see. I’ll believe it when I see it.

[yojimbo]

[quote]I believe that the mentality of the buyers is still very much that when real estate picks up it will appreciate like it did before. That’s why people spend so much on housing. [/quote]

I haven’t seen much of a shift away from that yet and I’m still not certain that it is going to happen.

The “Your house is your best investment” mentality is pretty firmly ingrained even now amongst potential buyers. Besides, you get to mix emotion with alleged rationality when buying a home. It’s fun, exciting and satisfying searching for and buying your “dream” home and at the same time is (was) a great investment. You can’t say the same thing about a car or a stock or a bond. Paying too much for a car is just dumb. Overpaying for your dream home is shrewd given the locked in appreciation. Pay enough for it and you’ll get the satisfaction of explaining to your friends how you were able to adeptly out negotiate those other foolish buyers while at the same time covertly insinuating that your finances are so good that you can easily afford the overpriced, over-sized home.

Are those days long gone? I wish, but I don’t think they are gone yet. I still see it in the market though it’s essentially dominated by the “investor” crowd now. Maybe another 10-20% drop in prices or a very prolonged dead market will change attitudes. We’ll see. I’ll believe it when I see it.

[peterb]

I still remember when housing prices headed down in 1990 to 1996. It took until about 1994 for people to not even want to talk about buying houses in CA. CA has had several housing cycles since the 1970’s. This indicates to all who can read a graph that we’re due for a recovery in house prices the next few years. Assuming this is like the last few cycles.
Give it another year or two. And see how the population is feeling about house prices. It’ll take that long for people to figure out that this recession in not like the previous few.

[peterb]

I still remember when housing prices headed down in 1990 to 1996. It took until about 1994 for people to not even want to talk about buying houses in CA. CA has had several housing cycles since the 1970’s. This indicates to all who can read a graph that we’re due for a recovery in house prices the next few years. Assuming this is like the last few cycles.
Give it another year or two. And see how the population is feeling about house prices. It’ll take that long for people to figure out that this recession in not like the previous few.

[peterb]

I still remember when housing prices headed down in 1990 to 1996. It took until about 1994 for people to not even want to talk about buying houses in CA. CA has had several housing cycles since the 1970’s. This indicates to all who can read a graph that we’re due for a recovery in house prices the next few years. Assuming this is like the last few cycles.
Give it another year or two. And see how the population is feeling about house prices. It’ll take that long for people to figure out that this recession in not like the previous few.

[peterb]

I still remember when housing prices headed down in 1990 to 1996. It took until about 1994 for people to not even want to talk about buying houses in CA. CA has had several housing cycles since the 1970’s. This indicates to all who can read a graph that we’re due for a recovery in house prices the next few years. Assuming this is like the last few cycles.
Give it another year or two. And see how the population is feeling about house prices. It’ll take that long for people to figure out that this recession in not like the previous few.

[peterb]

I still remember when housing prices headed down in 1990 to 1996. It took until about 1994 for people to not even want to talk about buying houses in CA. CA has had several housing cycles since the 1970’s. This indicates to all who can read a graph that we’re due for a recovery in house prices the next few years. Assuming this is like the last few cycles.
Give it another year or two. And see how the population is feeling about house prices. It’ll take that long for people to figure out that this recession in not like the previous few.

[SanDiegoDave]

I think it’s time for OCRenter to crank back up the bubble markets inventory site and expose the apparently still-growing lists of delusional underwater sellers.

We could still be on our way to Year 2000 nominal pricing.

[SanDiegoDave]

I think it’s time for OCRenter to crank back up the bubble markets inventory site and expose the apparently still-growing lists of delusional underwater sellers.

We could still be on our way to Year 2000 nominal pricing.

[SanDiegoDave]

I think it’s time for OCRenter to crank back up the bubble markets inventory site and expose the apparently still-growing lists of delusional underwater sellers.

We could still be on our way to Year 2000 nominal pricing.

[SanDiegoDave]

I think it’s time for OCRenter to crank back up the bubble markets inventory site and expose the apparently still-growing lists of delusional underwater sellers.

We could still be on our way to Year 2000 nominal pricing.

[Author]

Posts