New Paradigm: The job market is the biggest economic problem

[peterb]

I’ve said it at least a dozen times on this site…when unemployment goes past 7%, CA RE starts to tank. It’s on record for the last 3 recessions. This is gonna be a mega-tank year.

[SD Realtor]

As a buyer I can only hope for the beating we have been hoping for. I was just looking at inventory in 92131, 92024, 92064 and 92007… It is depressing to see first off what is out there and second what sellers are thinking, especially in the 700k-1.3M range. There is buying activity though.

As an agent I am consistently surprised and befuddled at where people continue to gather income.

I absolutely agree that this will be the year that the two forces collide. The collision of the largest social jobs program and bailout of ALL businesses that this country will ever see verses what could be double digit unemployment. With all that I still do not even begin to think we will see the big chunk drops people are wanting to occur. Sticky on the way down will continue for the next few years is my opinion still. Hopefully some sporadic moves will be nice.

I also would encourage people to read the posting by Rich commenting on how the government will fight tooth and nail to prevent deflation.

Interesting times are ahead.

[SD Realtor]

As a buyer I can only hope for the beating we have been hoping for. I was just looking at inventory in 92131, 92024, 92064 and 92007… It is depressing to see first off what is out there and second what sellers are thinking, especially in the 700k-1.3M range. There is buying activity though.

As an agent I am consistently surprised and befuddled at where people continue to gather income.

I absolutely agree that this will be the year that the two forces collide. The collision of the largest social jobs program and bailout of ALL businesses that this country will ever see verses what could be double digit unemployment. With all that I still do not even begin to think we will see the big chunk drops people are wanting to occur. Sticky on the way down will continue for the next few years is my opinion still. Hopefully some sporadic moves will be nice.

I also would encourage people to read the posting by Rich commenting on how the government will fight tooth and nail to prevent deflation.

Interesting times are ahead.

[SD Realtor]

As a buyer I can only hope for the beating we have been hoping for. I was just looking at inventory in 92131, 92024, 92064 and 92007… It is depressing to see first off what is out there and second what sellers are thinking, especially in the 700k-1.3M range. There is buying activity though.

As an agent I am consistently surprised and befuddled at where people continue to gather income.

I absolutely agree that this will be the year that the two forces collide. The collision of the largest social jobs program and bailout of ALL businesses that this country will ever see verses what could be double digit unemployment. With all that I still do not even begin to think we will see the big chunk drops people are wanting to occur. Sticky on the way down will continue for the next few years is my opinion still. Hopefully some sporadic moves will be nice.

I also would encourage people to read the posting by Rich commenting on how the government will fight tooth and nail to prevent deflation.

Interesting times are ahead.

[SD Realtor]

As a buyer I can only hope for the beating we have been hoping for. I was just looking at inventory in 92131, 92024, 92064 and 92007… It is depressing to see first off what is out there and second what sellers are thinking, especially in the 700k-1.3M range. There is buying activity though.

As an agent I am consistently surprised and befuddled at where people continue to gather income.

I absolutely agree that this will be the year that the two forces collide. The collision of the largest social jobs program and bailout of ALL businesses that this country will ever see verses what could be double digit unemployment. With all that I still do not even begin to think we will see the big chunk drops people are wanting to occur. Sticky on the way down will continue for the next few years is my opinion still. Hopefully some sporadic moves will be nice.

I also would encourage people to read the posting by Rich commenting on how the government will fight tooth and nail to prevent deflation.

Interesting times are ahead.

[SD Realtor]

As a buyer I can only hope for the beating we have been hoping for. I was just looking at inventory in 92131, 92024, 92064 and 92007… It is depressing to see first off what is out there and second what sellers are thinking, especially in the 700k-1.3M range. There is buying activity though.

As an agent I am consistently surprised and befuddled at where people continue to gather income.

I absolutely agree that this will be the year that the two forces collide. The collision of the largest social jobs program and bailout of ALL businesses that this country will ever see verses what could be double digit unemployment. With all that I still do not even begin to think we will see the big chunk drops people are wanting to occur. Sticky on the way down will continue for the next few years is my opinion still. Hopefully some sporadic moves will be nice.

I also would encourage people to read the posting by Rich commenting on how the government will fight tooth and nail to prevent deflation.

Interesting times are ahead.

[stockstradr]

Completely agree with premise of original post.

Housing will soon be dominated by layoffs creating foreclosures in addition to the continuing foreclosures due to mortgage resets. This means some housing areas previously showing resistance to price declines will now get weak as layoffs accelerate into at least 2010 hitting middle-class and upper-middle-class housing areas.

[stockstradr]

Completely agree with premise of original post.

Housing will soon be dominated by layoffs creating foreclosures in addition to the continuing foreclosures due to mortgage resets. This means some housing areas previously showing resistance to price declines will now get weak as layoffs accelerate into at least 2010 hitting middle-class and upper-middle-class housing areas.

[stockstradr]

Completely agree with premise of original post.

Housing will soon be dominated by layoffs creating foreclosures in addition to the continuing foreclosures due to mortgage resets. This means some housing areas previously showing resistance to price declines will now get weak as layoffs accelerate into at least 2010 hitting middle-class and upper-middle-class housing areas.

[stockstradr]

Completely agree with premise of original post.

Housing will soon be dominated by layoffs creating foreclosures in addition to the continuing foreclosures due to mortgage resets. This means some housing areas previously showing resistance to price declines will now get weak as layoffs accelerate into at least 2010 hitting middle-class and upper-middle-class housing areas.

[stockstradr]

Completely agree with premise of original post.

Housing will soon be dominated by layoffs creating foreclosures in addition to the continuing foreclosures due to mortgage resets. This means some housing areas previously showing resistance to price declines will now get weak as layoffs accelerate into at least 2010 hitting middle-class and upper-middle-class housing areas.

[KIBU]

Borat,

Fundamental changes are coming soon to America. The government is going to bail out everyone in America (but except you or any of your funny relatives)

There are many ways government can do this. Think about it, worse come to worst, they can get several families join into one roof, become communal and all contribute to pay the mortgage. America will be saved this way financially and culturally and we will just be going back to our family’s roots of 3 generations under 1 roof like in Kazakhstan (but no cousin kisses allowed). Cheers.

[KIBU]

Borat,

Fundamental changes are coming soon to America. The government is going to bail out everyone in America (but except you or any of your funny relatives)

There are many ways government can do this. Think about it, worse come to worst, they can get several families join into one roof, become communal and all contribute to pay the mortgage. America will be saved this way financially and culturally and we will just be going back to our family’s roots of 3 generations under 1 roof like in Kazakhstan (but no cousin kisses allowed). Cheers.

[KIBU]

Borat,

Fundamental changes are coming soon to America. The government is going to bail out everyone in America (but except you or any of your funny relatives)

There are many ways government can do this. Think about it, worse come to worst, they can get several families join into one roof, become communal and all contribute to pay the mortgage. America will be saved this way financially and culturally and we will just be going back to our family’s roots of 3 generations under 1 roof like in Kazakhstan (but no cousin kisses allowed). Cheers.

[KIBU]

Borat,

Fundamental changes are coming soon to America. The government is going to bail out everyone in America (but except you or any of your funny relatives)

There are many ways government can do this. Think about it, worse come to worst, they can get several families join into one roof, become communal and all contribute to pay the mortgage. America will be saved this way financially and culturally and we will just be going back to our family’s roots of 3 generations under 1 roof like in Kazakhstan (but no cousin kisses allowed). Cheers.

[Author]

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