Housing Bubble Stories

[4plexowner]

temeculaguy

notice that most of what you are referring to is people SELLING their gold

aren’t most financial bubbles about people BUYING an asset class?

and, if you investigate the outfits buying the gold and what they are up to, you will find that the sellers are receiving about 60% of what their gold is actually worth

if anything, perhaps it is another stupidity bubble – people being duped to sell the only real store of value they own at a ridiculous discount right before the item they are selling increases in price by several hundred percent

but that’s just my opinion …

[temeculaguy]

4plex, maybe, good points, you are probably right but then again R/E was both about buying and selling, the crazy loans were also about buying and selling (as in people buying the MBS’ behind the loans) but it wasn’t as public, more institutional. It’s not exactly the same, just similar, maybe I’m being too bubble sensitive since the latest one is still fresh in my mind. I’ve always liked the metals, little 1 oz silver bars were my first investment as a teenager, I’m sentimental about them, but I realize that I am and try not to overdo it. I was just thinking out loud because the very same people who jump from bubble to bubble have jumped into gold. In fact when that friend approached me about the gold party, I thought is was going to be about mon-a-vie, boot camp fitness franchises, amway or whatever get rich quick thing that they usually dive into, once they said gold, I thought to myself, “I may need to check and see what investments I have that are related to gold and get rid of them.”

Matt, no need to recap your answer, I just visited your site and realized you have already adressed this. Nice writing style, props!

http://steadfastfinances.com/2009/10/09/10-reasons-why-investing-in-gold-is-a-bad-idea/

[temeculaguy]

4plex, maybe, good points, you are probably right but then again R/E was both about buying and selling, the crazy loans were also about buying and selling (as in people buying the MBS’ behind the loans) but it wasn’t as public, more institutional. It’s not exactly the same, just similar, maybe I’m being too bubble sensitive since the latest one is still fresh in my mind. I’ve always liked the metals, little 1 oz silver bars were my first investment as a teenager, I’m sentimental about them, but I realize that I am and try not to overdo it. I was just thinking out loud because the very same people who jump from bubble to bubble have jumped into gold. In fact when that friend approached me about the gold party, I thought is was going to be about mon-a-vie, boot camp fitness franchises, amway or whatever get rich quick thing that they usually dive into, once they said gold, I thought to myself, “I may need to check and see what investments I have that are related to gold and get rid of them.”

Matt, no need to recap your answer, I just visited your site and realized you have already adressed this. Nice writing style, props!

http://steadfastfinances.com/2009/10/09/10-reasons-why-investing-in-gold-is-a-bad-idea/

[temeculaguy]

4plex, maybe, good points, you are probably right but then again R/E was both about buying and selling, the crazy loans were also about buying and selling (as in people buying the MBS’ behind the loans) but it wasn’t as public, more institutional. It’s not exactly the same, just similar, maybe I’m being too bubble sensitive since the latest one is still fresh in my mind. I’ve always liked the metals, little 1 oz silver bars were my first investment as a teenager, I’m sentimental about them, but I realize that I am and try not to overdo it. I was just thinking out loud because the very same people who jump from bubble to bubble have jumped into gold. In fact when that friend approached me about the gold party, I thought is was going to be about mon-a-vie, boot camp fitness franchises, amway or whatever get rich quick thing that they usually dive into, once they said gold, I thought to myself, “I may need to check and see what investments I have that are related to gold and get rid of them.”

Matt, no need to recap your answer, I just visited your site and realized you have already adressed this. Nice writing style, props!

http://steadfastfinances.com/2009/10/09/10-reasons-why-investing-in-gold-is-a-bad-idea/

[temeculaguy]

4plex, maybe, good points, you are probably right but then again R/E was both about buying and selling, the crazy loans were also about buying and selling (as in people buying the MBS’ behind the loans) but it wasn’t as public, more institutional. It’s not exactly the same, just similar, maybe I’m being too bubble sensitive since the latest one is still fresh in my mind. I’ve always liked the metals, little 1 oz silver bars were my first investment as a teenager, I’m sentimental about them, but I realize that I am and try not to overdo it. I was just thinking out loud because the very same people who jump from bubble to bubble have jumped into gold. In fact when that friend approached me about the gold party, I thought is was going to be about mon-a-vie, boot camp fitness franchises, amway or whatever get rich quick thing that they usually dive into, once they said gold, I thought to myself, “I may need to check and see what investments I have that are related to gold and get rid of them.”

Matt, no need to recap your answer, I just visited your site and realized you have already adressed this. Nice writing style, props!

http://steadfastfinances.com/2009/10/09/10-reasons-why-investing-in-gold-is-a-bad-idea/

[temeculaguy]

4plex, maybe, good points, you are probably right but then again R/E was both about buying and selling, the crazy loans were also about buying and selling (as in people buying the MBS’ behind the loans) but it wasn’t as public, more institutional. It’s not exactly the same, just similar, maybe I’m being too bubble sensitive since the latest one is still fresh in my mind. I’ve always liked the metals, little 1 oz silver bars were my first investment as a teenager, I’m sentimental about them, but I realize that I am and try not to overdo it. I was just thinking out loud because the very same people who jump from bubble to bubble have jumped into gold. In fact when that friend approached me about the gold party, I thought is was going to be about mon-a-vie, boot camp fitness franchises, amway or whatever get rich quick thing that they usually dive into, once they said gold, I thought to myself, “I may need to check and see what investments I have that are related to gold and get rid of them.”

Matt, no need to recap your answer, I just visited your site and realized you have already adressed this. Nice writing style, props!

http://steadfastfinances.com/2009/10/09/10-reasons-why-investing-in-gold-is-a-bad-idea/

[LesBaer45]

[quote=waiting hawk][quote=temeculaguy]BTW, no offense, but that is a pretty overdone story. I think we geeks who rode out the bubble in rentals and resisted peer pressure and stigma because we are math geeks, we are a much more interesting story for the PBS demographic. Actually, we are the PBS demographic, nevermind.[/quote]

exactly[/quote]

I always sucked at math, still do. 😉

Peer pressure? I was never cool enough to hang with the “it” crowd so when they moved on to McMansions, boats, big time cars, vacations and spa treatments I just figured it was me being excluded again. That or my poor math skills, I could never figure out how they were making the payments and finances work no matter how many times I ran the numbers.

However common sense and depression parents probably had more to do with ‘bubble avoidance’ than any thing else. The early indoctrination of avoidance of debt and the ability to understand basic income/outgo was priceless.

Not much of a PBS watcher anymore either. Once Nightly Business report is off I’m done.

But that probably has more to me with me being an old guy falling asleep on the couch.

[LesBaer45]

[quote=waiting hawk][quote=temeculaguy]BTW, no offense, but that is a pretty overdone story. I think we geeks who rode out the bubble in rentals and resisted peer pressure and stigma because we are math geeks, we are a much more interesting story for the PBS demographic. Actually, we are the PBS demographic, nevermind.[/quote]

exactly[/quote]

I always sucked at math, still do. 😉

Peer pressure? I was never cool enough to hang with the “it” crowd so when they moved on to McMansions, boats, big time cars, vacations and spa treatments I just figured it was me being excluded again. That or my poor math skills, I could never figure out how they were making the payments and finances work no matter how many times I ran the numbers.

However common sense and depression parents probably had more to do with ‘bubble avoidance’ than any thing else. The early indoctrination of avoidance of debt and the ability to understand basic income/outgo was priceless.

Not much of a PBS watcher anymore either. Once Nightly Business report is off I’m done.

But that probably has more to me with me being an old guy falling asleep on the couch.

[LesBaer45]

[quote=waiting hawk][quote=temeculaguy]BTW, no offense, but that is a pretty overdone story. I think we geeks who rode out the bubble in rentals and resisted peer pressure and stigma because we are math geeks, we are a much more interesting story for the PBS demographic. Actually, we are the PBS demographic, nevermind.[/quote]

exactly[/quote]

I always sucked at math, still do. 😉

Peer pressure? I was never cool enough to hang with the “it” crowd so when they moved on to McMansions, boats, big time cars, vacations and spa treatments I just figured it was me being excluded again. That or my poor math skills, I could never figure out how they were making the payments and finances work no matter how many times I ran the numbers.

However common sense and depression parents probably had more to do with ‘bubble avoidance’ than any thing else. The early indoctrination of avoidance of debt and the ability to understand basic income/outgo was priceless.

Not much of a PBS watcher anymore either. Once Nightly Business report is off I’m done.

But that probably has more to me with me being an old guy falling asleep on the couch.

[LesBaer45]

[quote=waiting hawk][quote=temeculaguy]BTW, no offense, but that is a pretty overdone story. I think we geeks who rode out the bubble in rentals and resisted peer pressure and stigma because we are math geeks, we are a much more interesting story for the PBS demographic. Actually, we are the PBS demographic, nevermind.[/quote]

exactly[/quote]

I always sucked at math, still do. 😉

Peer pressure? I was never cool enough to hang with the “it” crowd so when they moved on to McMansions, boats, big time cars, vacations and spa treatments I just figured it was me being excluded again. That or my poor math skills, I could never figure out how they were making the payments and finances work no matter how many times I ran the numbers.

However common sense and depression parents probably had more to do with ‘bubble avoidance’ than any thing else. The early indoctrination of avoidance of debt and the ability to understand basic income/outgo was priceless.

Not much of a PBS watcher anymore either. Once Nightly Business report is off I’m done.

But that probably has more to me with me being an old guy falling asleep on the couch.

[LesBaer45]

[quote=waiting hawk][quote=temeculaguy]BTW, no offense, but that is a pretty overdone story. I think we geeks who rode out the bubble in rentals and resisted peer pressure and stigma because we are math geeks, we are a much more interesting story for the PBS demographic. Actually, we are the PBS demographic, nevermind.[/quote]

exactly[/quote]

I always sucked at math, still do. 😉

Peer pressure? I was never cool enough to hang with the “it” crowd so when they moved on to McMansions, boats, big time cars, vacations and spa treatments I just figured it was me being excluded again. That or my poor math skills, I could never figure out how they were making the payments and finances work no matter how many times I ran the numbers.

However common sense and depression parents probably had more to do with ‘bubble avoidance’ than any thing else. The early indoctrination of avoidance of debt and the ability to understand basic income/outgo was priceless.

Not much of a PBS watcher anymore either. Once Nightly Business report is off I’m done.

But that probably has more to me with me being an old guy falling asleep on the couch.

[davelj]

[quote=4plexowner]temeculaguy

notice that most of what you are referring to is people SELLING their gold

aren’t most financial bubbles about people BUYING an asset class?
[/quote]

I’m just thinking out loud here… but doesn’t there have to be a buyer for every seller? And if the price for an asset is rising, isn’t the desire to buy slightly greater than the desire to sell, at the margin?

[davelj]

[quote=4plexowner]temeculaguy

notice that most of what you are referring to is people SELLING their gold

aren’t most financial bubbles about people BUYING an asset class?
[/quote]

I’m just thinking out loud here… but doesn’t there have to be a buyer for every seller? And if the price for an asset is rising, isn’t the desire to buy slightly greater than the desire to sell, at the margin?

[davelj]

[quote=4plexowner]temeculaguy

notice that most of what you are referring to is people SELLING their gold

aren’t most financial bubbles about people BUYING an asset class?
[/quote]

I’m just thinking out loud here… but doesn’t there have to be a buyer for every seller? And if the price for an asset is rising, isn’t the desire to buy slightly greater than the desire to sell, at the margin?

[davelj]

[quote=4plexowner]temeculaguy

notice that most of what you are referring to is people SELLING their gold

aren’t most financial bubbles about people BUYING an asset class?
[/quote]

I’m just thinking out loud here… but doesn’t there have to be a buyer for every seller? And if the price for an asset is rising, isn’t the desire to buy slightly greater than the desire to sell, at the margin?

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