Talked to Thornberg

[latesummer2008]

I realize that some here think that I exaggerate, but I don’t believe most of you realize the severity of this market. I am not going to go through the all the problems facing a market such as this. We have all been through it 100 times. However, when all you see are bloated Median Prices for homes during preceding months, and then all of a sudden, you see groups of high end markets overwhelmingly negative in LA, SD and Orange counties, it draws your attention. I think you guys are kidding yourselves. I would bet the numbers from MAY will leave no doubt about how badly the market is tanking right now.
I was out looking at open houses here on the Westside of LA and traffic has slowed considerably since 2 weeks ago. Many houses are back on the market after falling out of escrow (Financing, Sale Contingencies etc..) and the few buyers out there had NO sense of urgency. The market has changed, and buyers are just sitting, watching prices drop. Why not, They aren’t going up? So what’s the rush?
Also, it was serious SIGN WARS out there this weekend. 95% of the corners had at least 1 sign, often 2,3,4 or more on them. It was pathetic. What kind of message does that send to buyers? I would imagine the same is happening in SD.

The Word is Out…Here…

http://westsideremeltdown.blogspot.com

[cyphire]

What I am amazed at is the people who are still buying. We just moved into a rental, the previous tenants just bought a house here in LJ.

Don’t they know what is going on?

[cyphire]

What I am amazed at is the people who are still buying. We just moved into a rental, the previous tenants just bought a house here in LJ.

Don’t they know what is going on?

[NotCranky]

Hey Cy,
Latesummer got mad and left a few days back.

[NotCranky]

Hey Cy,
Latesummer got mad and left a few days back.

[cyphire]

really??? get him back on the line! Hey rustico – I like blogging with u.

[cyphire]

really??? get him back on the line! Hey rustico – I like blogging with u.

[patientrenter]

cyphire,

I too am betting on prices going down in the next few years in Southern California. But a lot of my reasoning is gut instinct. What makes you think the hard evidence is so overwhelming? Couldn’t the Fed lower short-term rates, and Congress, through FNMA etc, support easy loans, and in a few months prices would be increasing again? Or couldn’t a place like La Jolla see an influx of wealth from abroad, driving prices for good locations to currently unimaginable levels like what’s happened in London?

Patient renter in OC

[patientrenter]

cyphire,

I too am betting on prices going down in the next few years in Southern California. But a lot of my reasoning is gut instinct. What makes you think the hard evidence is so overwhelming? Couldn’t the Fed lower short-term rates, and Congress, through FNMA etc, support easy loans, and in a few months prices would be increasing again? Or couldn’t a place like La Jolla see an influx of wealth from abroad, driving prices for good locations to currently unimaginable levels like what’s happened in London?

Patient renter in OC

[NotCranky]

I like blogging with u-2 CY. I Tried to counsel Latesummer and even his detractors were fair with him to a degree. He made good points in instances but way too forcefully.Terribly uncivil debater. I think he wanted to be a star.

I don’t know if you saw my lecture about the absence of “wait and see attitudes” near the bottom of my first and only thread called “for those of you on the sidelines? Pure genius. LOL
I better turn in soon.
Take care

[NotCranky]

I like blogging with u-2 CY. I Tried to counsel Latesummer and even his detractors were fair with him to a degree. He made good points in instances but way too forcefully.Terribly uncivil debater. I think he wanted to be a star.

I don’t know if you saw my lecture about the absence of “wait and see attitudes” near the bottom of my first and only thread called “for those of you on the sidelines? Pure genius. LOL
I better turn in soon.
Take care

[PD]

LS08 had good information to contribute but could not be civil. Worse, he was blind to his uncivility and then threw a tantrum. It is too bad because he could have been a valuable poster here.

[PD]

LS08 had good information to contribute but could not be civil. Worse, he was blind to his uncivility and then threw a tantrum. It is too bad because he could have been a valuable poster here.

[Bugs]

PS II

[Bugs]

PS II

[Author]

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