This news is good for those who haven’t bought, yet.

[patientrenter]

It’s fascinating how people proclaim that they have learned their lesson: “Buying a home is about paying your own real money, just to get shelter for yourself and your family. It’s not about speculating with OPM.”

Yet, despite all these proclamations, almost everyone cheers higher home prices, giving the lie to their supposed new attitudes. Obviously, if buying a home is mostly about paying for shelter, then lower prices are better than higher prices. We don’t cheer when food prices or car prices increase.

We haven’t yet learned our lesson. It will take many years, and we’ll spend many trillions on a variety of direct and indirect house price supports before then.

[irondoc]

Please remember, patientrenter, that individuals can have different motivations. My wife and I bought about 2 years ago “on the way down” and were very happy with our new home. 8 weeks after closing on our house, my wife lost her job. Fortunately, her former employer offered a great severance package. This, coupled with the fact that we put 25% down on our purchase, and that we have always been prudent savers, has allowed us to stay in our home for 2 years despite her unemployment. We have savings for another year, but then might be forced to sell. We don’t want to sell, but I track the market value of my house because I would also hope to minimize our loss on the house. So yes, I cheer when prices rise, even though I hope to never act upon that increase in value.

[irondoc]

Please remember, patientrenter, that individuals can have different motivations. My wife and I bought about 2 years ago “on the way down” and were very happy with our new home. 8 weeks after closing on our house, my wife lost her job. Fortunately, her former employer offered a great severance package. This, coupled with the fact that we put 25% down on our purchase, and that we have always been prudent savers, has allowed us to stay in our home for 2 years despite her unemployment. We have savings for another year, but then might be forced to sell. We don’t want to sell, but I track the market value of my house because I would also hope to minimize our loss on the house. So yes, I cheer when prices rise, even though I hope to never act upon that increase in value.

[irondoc]

Please remember, patientrenter, that individuals can have different motivations. My wife and I bought about 2 years ago “on the way down” and were very happy with our new home. 8 weeks after closing on our house, my wife lost her job. Fortunately, her former employer offered a great severance package. This, coupled with the fact that we put 25% down on our purchase, and that we have always been prudent savers, has allowed us to stay in our home for 2 years despite her unemployment. We have savings for another year, but then might be forced to sell. We don’t want to sell, but I track the market value of my house because I would also hope to minimize our loss on the house. So yes, I cheer when prices rise, even though I hope to never act upon that increase in value.

[irondoc]

Please remember, patientrenter, that individuals can have different motivations. My wife and I bought about 2 years ago “on the way down” and were very happy with our new home. 8 weeks after closing on our house, my wife lost her job. Fortunately, her former employer offered a great severance package. This, coupled with the fact that we put 25% down on our purchase, and that we have always been prudent savers, has allowed us to stay in our home for 2 years despite her unemployment. We have savings for another year, but then might be forced to sell. We don’t want to sell, but I track the market value of my house because I would also hope to minimize our loss on the house. So yes, I cheer when prices rise, even though I hope to never act upon that increase in value.

[irondoc]

Please remember, patientrenter, that individuals can have different motivations. My wife and I bought about 2 years ago “on the way down” and were very happy with our new home. 8 weeks after closing on our house, my wife lost her job. Fortunately, her former employer offered a great severance package. This, coupled with the fact that we put 25% down on our purchase, and that we have always been prudent savers, has allowed us to stay in our home for 2 years despite her unemployment. We have savings for another year, but then might be forced to sell. We don’t want to sell, but I track the market value of my house because I would also hope to minimize our loss on the house. So yes, I cheer when prices rise, even though I hope to never act upon that increase in value.

[briansd1]

I think that Gary Shilling will be proven right. Overall, housing still has about 20% to drop.

IMHO, San Diego is likely to experience a double dip (maybe not a deep 2nd dip, but still a double dip), when compared to other local markets, mainly due to unemployement.

It takes a couple years of unemployment for the foreclosures due to unemployment to affect the market. So far, we’d only had foreclosures due to the mania of the peak.

Gary Shillings’s overview of the housing market — which is based on an impressive 39 charts — is about the clearest and most comprehensive I’ve seen. It’s also the grimmest. “The bottom line,” he says, is that “house prices probably have another 20% to fall.” And that may be a “conservative estimate,” as asset prices have a tendency to get too high when they’re booming and too low when they’re busting.

http://voices.washingtonpost.com/ezra-klein/2010/12/gary_shilling_housing_prices_m.html?hpid=sec-business

As always, time will tell…. What’s so interesting about living life is that we get to observe the events unfold before our eyes.

[briansd1]

I think that Gary Shilling will be proven right. Overall, housing still has about 20% to drop.

IMHO, San Diego is likely to experience a double dip (maybe not a deep 2nd dip, but still a double dip), when compared to other local markets, mainly due to unemployement.

It takes a couple years of unemployment for the foreclosures due to unemployment to affect the market. So far, we’d only had foreclosures due to the mania of the peak.

Gary Shillings’s overview of the housing market — which is based on an impressive 39 charts — is about the clearest and most comprehensive I’ve seen. It’s also the grimmest. “The bottom line,” he says, is that “house prices probably have another 20% to fall.” And that may be a “conservative estimate,” as asset prices have a tendency to get too high when they’re booming and too low when they’re busting.

http://voices.washingtonpost.com/ezra-klein/2010/12/gary_shilling_housing_prices_m.html?hpid=sec-business

As always, time will tell…. What’s so interesting about living life is that we get to observe the events unfold before our eyes.

[briansd1]

I think that Gary Shilling will be proven right. Overall, housing still has about 20% to drop.

IMHO, San Diego is likely to experience a double dip (maybe not a deep 2nd dip, but still a double dip), when compared to other local markets, mainly due to unemployement.

It takes a couple years of unemployment for the foreclosures due to unemployment to affect the market. So far, we’d only had foreclosures due to the mania of the peak.

Gary Shillings’s overview of the housing market — which is based on an impressive 39 charts — is about the clearest and most comprehensive I’ve seen. It’s also the grimmest. “The bottom line,” he says, is that “house prices probably have another 20% to fall.” And that may be a “conservative estimate,” as asset prices have a tendency to get too high when they’re booming and too low when they’re busting.

http://voices.washingtonpost.com/ezra-klein/2010/12/gary_shilling_housing_prices_m.html?hpid=sec-business

As always, time will tell…. What’s so interesting about living life is that we get to observe the events unfold before our eyes.

[briansd1]

I think that Gary Shilling will be proven right. Overall, housing still has about 20% to drop.

IMHO, San Diego is likely to experience a double dip (maybe not a deep 2nd dip, but still a double dip), when compared to other local markets, mainly due to unemployement.

It takes a couple years of unemployment for the foreclosures due to unemployment to affect the market. So far, we’d only had foreclosures due to the mania of the peak.

Gary Shillings’s overview of the housing market — which is based on an impressive 39 charts — is about the clearest and most comprehensive I’ve seen. It’s also the grimmest. “The bottom line,” he says, is that “house prices probably have another 20% to fall.” And that may be a “conservative estimate,” as asset prices have a tendency to get too high when they’re booming and too low when they’re busting.

http://voices.washingtonpost.com/ezra-klein/2010/12/gary_shilling_housing_prices_m.html?hpid=sec-business

As always, time will tell…. What’s so interesting about living life is that we get to observe the events unfold before our eyes.

[briansd1]

I think that Gary Shilling will be proven right. Overall, housing still has about 20% to drop.

IMHO, San Diego is likely to experience a double dip (maybe not a deep 2nd dip, but still a double dip), when compared to other local markets, mainly due to unemployement.

It takes a couple years of unemployment for the foreclosures due to unemployment to affect the market. So far, we’d only had foreclosures due to the mania of the peak.

Gary Shillings’s overview of the housing market — which is based on an impressive 39 charts — is about the clearest and most comprehensive I’ve seen. It’s also the grimmest. “The bottom line,” he says, is that “house prices probably have another 20% to fall.” And that may be a “conservative estimate,” as asset prices have a tendency to get too high when they’re booming and too low when they’re busting.

http://voices.washingtonpost.com/ezra-klein/2010/12/gary_shilling_housing_prices_m.html?hpid=sec-business

As always, time will tell…. What’s so interesting about living life is that we get to observe the events unfold before our eyes.

[CA renter]

[quote=patientrenter]It’s fascinating how people proclaim that they have learned their lesson: “Buying a home is about paying your own real money, just to get shelter for yourself and your family. It’s not about speculating with OPM.”

Yet, despite all these proclamations, almost everyone cheers higher home prices, giving the lie to their supposed new attitudes. Obviously, if buying a home is mostly about paying for shelter, then lower prices are better than higher prices. We don’t cheer when food prices or car prices increase.

We haven’t yet learned our lesson. It will take many years, and we’ll spend many trillions on a variety of direct and indirect house price supports before then.[/quote]

Couldn’t agree more, patientrenter.

Though I do understand irondoc’s point in such situations — I hope your wife finds a new job soon. Best of luck!

[CA renter]

[quote=patientrenter]It’s fascinating how people proclaim that they have learned their lesson: “Buying a home is about paying your own real money, just to get shelter for yourself and your family. It’s not about speculating with OPM.”

Yet, despite all these proclamations, almost everyone cheers higher home prices, giving the lie to their supposed new attitudes. Obviously, if buying a home is mostly about paying for shelter, then lower prices are better than higher prices. We don’t cheer when food prices or car prices increase.

We haven’t yet learned our lesson. It will take many years, and we’ll spend many trillions on a variety of direct and indirect house price supports before then.[/quote]

Couldn’t agree more, patientrenter.

Though I do understand irondoc’s point in such situations — I hope your wife finds a new job soon. Best of luck!

[CA renter]

[quote=patientrenter]It’s fascinating how people proclaim that they have learned their lesson: “Buying a home is about paying your own real money, just to get shelter for yourself and your family. It’s not about speculating with OPM.”

Yet, despite all these proclamations, almost everyone cheers higher home prices, giving the lie to their supposed new attitudes. Obviously, if buying a home is mostly about paying for shelter, then lower prices are better than higher prices. We don’t cheer when food prices or car prices increase.

We haven’t yet learned our lesson. It will take many years, and we’ll spend many trillions on a variety of direct and indirect house price supports before then.[/quote]

Couldn’t agree more, patientrenter.

Though I do understand irondoc’s point in such situations — I hope your wife finds a new job soon. Best of luck!

[CA renter]

[quote=patientrenter]It’s fascinating how people proclaim that they have learned their lesson: “Buying a home is about paying your own real money, just to get shelter for yourself and your family. It’s not about speculating with OPM.”

Yet, despite all these proclamations, almost everyone cheers higher home prices, giving the lie to their supposed new attitudes. Obviously, if buying a home is mostly about paying for shelter, then lower prices are better than higher prices. We don’t cheer when food prices or car prices increase.

We haven’t yet learned our lesson. It will take many years, and we’ll spend many trillions on a variety of direct and indirect house price supports before then.[/quote]

Couldn’t agree more, patientrenter.

Though I do understand irondoc’s point in such situations — I hope your wife finds a new job soon. Best of luck!

[Author]

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