[cr]

The idea that inflation of everything non-housing means home prices aren’t as high as they appear doesn’t make any sense.

Regardless of the cost of gas, food, and water people have to buy these things. They will adjust their spending in other areas, assuming getting a raise on demand is not an option. Housing is different.

People renting do not suddenly rush out to buy a house because home prices adjusted for inflation appear low. If anything, higher CPI/core inflation will reduce demand for housing as income, which is stagnate at best right now, goes more towards food and energy.

[cr]

The idea that inflation of everything non-housing means home prices aren’t as high as they appear doesn’t make any sense.

Regardless of the cost of gas, food, and water people have to buy these things. They will adjust their spending in other areas, assuming getting a raise on demand is not an option. Housing is different.

People renting do not suddenly rush out to buy a house because home prices adjusted for inflation appear low. If anything, higher CPI/core inflation will reduce demand for housing as income, which is stagnate at best right now, goes more towards food and energy.

[cr]

The idea that inflation of everything non-housing means home prices aren’t as high as they appear doesn’t make any sense.

Regardless of the cost of gas, food, and water people have to buy these things. They will adjust their spending in other areas, assuming getting a raise on demand is not an option. Housing is different.

People renting do not suddenly rush out to buy a house because home prices adjusted for inflation appear low. If anything, higher CPI/core inflation will reduce demand for housing as income, which is stagnate at best right now, goes more towards food and energy.

[cr]

The idea that inflation of everything non-housing means home prices aren’t as high as they appear doesn’t make any sense.

Regardless of the cost of gas, food, and water people have to buy these things. They will adjust their spending in other areas, assuming getting a raise on demand is not an option. Housing is different.

People renting do not suddenly rush out to buy a house because home prices adjusted for inflation appear low. If anything, higher CPI/core inflation will reduce demand for housing as income, which is stagnate at best right now, goes more towards food and energy.

[cr]

The idea that inflation of everything non-housing means home prices aren’t as high as they appear doesn’t make any sense.

Regardless of the cost of gas, food, and water people have to buy these things. They will adjust their spending in other areas, assuming getting a raise on demand is not an option. Housing is different.

People renting do not suddenly rush out to buy a house because home prices adjusted for inflation appear low. If anything, higher CPI/core inflation will reduce demand for housing as income, which is stagnate at best right now, goes more towards food and energy.

[cr]

I think someone should tell this guy that many of these people were probably planning on selling their homes when their payments went up.

Most,not all, but most took a loan that allowed them to pay as little as possible, and when it went up they probably thought they could sell at an even bigger profit.

If not though, then all they have to worry about is the recession.

[cr]

I think someone should tell this guy that many of these people were probably planning on selling their homes when their payments went up.

Most,not all, but most took a loan that allowed them to pay as little as possible, and when it went up they probably thought they could sell at an even bigger profit.

If not though, then all they have to worry about is the recession.

[cr]

I think someone should tell this guy that many of these people were probably planning on selling their homes when their payments went up.

Most,not all, but most took a loan that allowed them to pay as little as possible, and when it went up they probably thought they could sell at an even bigger profit.

If not though, then all they have to worry about is the recession.

[cr]

I think someone should tell this guy that many of these people were probably planning on selling their homes when their payments went up.

Most,not all, but most took a loan that allowed them to pay as little as possible, and when it went up they probably thought they could sell at an even bigger profit.

If not though, then all they have to worry about is the recession.

[cr]

I think someone should tell this guy that many of these people were probably planning on selling their homes when their payments went up.

Most,not all, but most took a loan that allowed them to pay as little as possible, and when it went up they probably thought they could sell at an even bigger profit.

If not though, then all they have to worry about is the recession.

[cr]

I’m no expert and I don’t know where exactly this is in Torrance/Gardena, but I don’t think that picture is authentic.

It’s probably just supposed to be a representation of the fact that every house in that Ghost Town of a Realtor’s former dream is up for auction, but I think it was photoshop’d.

Look at the < a href='http://latimesblogs.latimes.com/.shared/image.html?/photos/uncategorized/2008/04/24/gardena_village_006.jpg'>larger scale version. The front left sign should have a shadow and it doesn’t. Also the little mound of dirt and grass looks like it’s floating.

Then again maybe it is, and either way I can’t wait to see the decline on those.

[cr]

I’m no expert and I don’t know where exactly this is in Torrance/Gardena, but I don’t think that picture is authentic.

It’s probably just supposed to be a representation of the fact that every house in that Ghost Town of a Realtor’s former dream is up for auction, but I think it was photoshop’d.

Look at the < a href='http://latimesblogs.latimes.com/.shared/image.html?/photos/uncategorized/2008/04/24/gardena_village_006.jpg'>larger scale version. The front left sign should have a shadow and it doesn’t. Also the little mound of dirt and grass looks like it’s floating.

Then again maybe it is, and either way I can’t wait to see the decline on those.

[cr]

I’m no expert and I don’t know where exactly this is in Torrance/Gardena, but I don’t think that picture is authentic.

It’s probably just supposed to be a representation of the fact that every house in that Ghost Town of a Realtor’s former dream is up for auction, but I think it was photoshop’d.

Look at the < a href='http://latimesblogs.latimes.com/.shared/image.html?/photos/uncategorized/2008/04/24/gardena_village_006.jpg'>larger scale version. The front left sign should have a shadow and it doesn’t. Also the little mound of dirt and grass looks like it’s floating.

Then again maybe it is, and either way I can’t wait to see the decline on those.

[cr]

I’m no expert and I don’t know where exactly this is in Torrance/Gardena, but I don’t think that picture is authentic.

It’s probably just supposed to be a representation of the fact that every house in that Ghost Town of a Realtor’s former dream is up for auction, but I think it was photoshop’d.

Look at the < a href='http://latimesblogs.latimes.com/.shared/image.html?/photos/uncategorized/2008/04/24/gardena_village_006.jpg'>larger scale version. The front left sign should have a shadow and it doesn’t. Also the little mound of dirt and grass looks like it’s floating.

Then again maybe it is, and either way I can’t wait to see the decline on those.

[cr]

I’m no expert and I don’t know where exactly this is in Torrance/Gardena, but I don’t think that picture is authentic.

It’s probably just supposed to be a representation of the fact that every house in that Ghost Town of a Realtor’s former dream is up for auction, but I think it was photoshop’d.

Look at the < a href='http://latimesblogs.latimes.com/.shared/image.html?/photos/uncategorized/2008/04/24/gardena_village_006.jpg'>larger scale version. The front left sign should have a shadow and it doesn’t. Also the little mound of dirt and grass looks like it’s floating.

Then again maybe it is, and either way I can’t wait to see the decline on those.

[Author]

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