[JWM in SD]

JWM in SD

“I honestly believe that there are a good number of homeowners waking up to the fact that it is “now or never” and will try and beat their neighbors to the punch by listing this spring. Increased competition for an ever shrinking pool of qualifying buyers will further depress prices.”

Precisely. That is one of the catalysts for the conversion from the Virtuous Cycle to the Vicious Cycle that is occuring right now. Bernanke is pushing on a rope at this point. Without wage inflation, the ability to service the debt levels just isn’t there. Without economic growth, you can’t get wage inflation…where is the true economic growth going to come from precisely? This is why RE asset prices are going to deflate severely in the bubble areas.

I watched the Republican Debate last night..it was ridiculuous. So much time was wasted on what John McCain or Mitt Romney said or didn’t say, meanwhile, the MSM is ignoring the only candidate on that stage that understands what if really happening in real time.

[JWM in SD]

JWM in SD

“I honestly believe that there are a good number of homeowners waking up to the fact that it is “now or never” and will try and beat their neighbors to the punch by listing this spring. Increased competition for an ever shrinking pool of qualifying buyers will further depress prices.”

Precisely. That is one of the catalysts for the conversion from the Virtuous Cycle to the Vicious Cycle that is occuring right now. Bernanke is pushing on a rope at this point. Without wage inflation, the ability to service the debt levels just isn’t there. Without economic growth, you can’t get wage inflation…where is the true economic growth going to come from precisely? This is why RE asset prices are going to deflate severely in the bubble areas.

I watched the Republican Debate last night..it was ridiculuous. So much time was wasted on what John McCain or Mitt Romney said or didn’t say, meanwhile, the MSM is ignoring the only candidate on that stage that understands what if really happening in real time.

[JWM in SD]

JWM in SD

“I honestly believe that there are a good number of homeowners waking up to the fact that it is “now or never” and will try and beat their neighbors to the punch by listing this spring. Increased competition for an ever shrinking pool of qualifying buyers will further depress prices.”

Precisely. That is one of the catalysts for the conversion from the Virtuous Cycle to the Vicious Cycle that is occuring right now. Bernanke is pushing on a rope at this point. Without wage inflation, the ability to service the debt levels just isn’t there. Without economic growth, you can’t get wage inflation…where is the true economic growth going to come from precisely? This is why RE asset prices are going to deflate severely in the bubble areas.

I watched the Republican Debate last night..it was ridiculuous. So much time was wasted on what John McCain or Mitt Romney said or didn’t say, meanwhile, the MSM is ignoring the only candidate on that stage that understands what if really happening in real time.

[JWM in SD]

JWM in SD

“I honestly believe that there are a good number of homeowners waking up to the fact that it is “now or never” and will try and beat their neighbors to the punch by listing this spring. Increased competition for an ever shrinking pool of qualifying buyers will further depress prices.”

Precisely. That is one of the catalysts for the conversion from the Virtuous Cycle to the Vicious Cycle that is occuring right now. Bernanke is pushing on a rope at this point. Without wage inflation, the ability to service the debt levels just isn’t there. Without economic growth, you can’t get wage inflation…where is the true economic growth going to come from precisely? This is why RE asset prices are going to deflate severely in the bubble areas.

I watched the Republican Debate last night..it was ridiculuous. So much time was wasted on what John McCain or Mitt Romney said or didn’t say, meanwhile, the MSM is ignoring the only candidate on that stage that understands what if really happening in real time.

[JWM in SD]

JWM in SD

“I honestly believe that there are a good number of homeowners waking up to the fact that it is “now or never” and will try and beat their neighbors to the punch by listing this spring. Increased competition for an ever shrinking pool of qualifying buyers will further depress prices.”

Precisely. That is one of the catalysts for the conversion from the Virtuous Cycle to the Vicious Cycle that is occuring right now. Bernanke is pushing on a rope at this point. Without wage inflation, the ability to service the debt levels just isn’t there. Without economic growth, you can’t get wage inflation…where is the true economic growth going to come from precisely? This is why RE asset prices are going to deflate severely in the bubble areas.

I watched the Republican Debate last night..it was ridiculuous. So much time was wasted on what John McCain or Mitt Romney said or didn’t say, meanwhile, the MSM is ignoring the only candidate on that stage that understands what if really happening in real time.

[JWM in SD]

JWM in SD

“So this is what I fear. This is what concerns me much more then anything else. That is why when someone posts be careful what you wish for, I think some of us understand the gravity of that statement much more then others.

Does that make sense?”

Yes, it does and that is why I was harping about the macro-economic picture well over a year ago while everyone else here was bleating on about whether or not Carmel Valley prices will ever moderate.

[JWM in SD]

JWM in SD

“So this is what I fear. This is what concerns me much more then anything else. That is why when someone posts be careful what you wish for, I think some of us understand the gravity of that statement much more then others.

Does that make sense?”

Yes, it does and that is why I was harping about the macro-economic picture well over a year ago while everyone else here was bleating on about whether or not Carmel Valley prices will ever moderate.

[JWM in SD]

JWM in SD

“So this is what I fear. This is what concerns me much more then anything else. That is why when someone posts be careful what you wish for, I think some of us understand the gravity of that statement much more then others.

Does that make sense?”

Yes, it does and that is why I was harping about the macro-economic picture well over a year ago while everyone else here was bleating on about whether or not Carmel Valley prices will ever moderate.

[JWM in SD]

JWM in SD

“So this is what I fear. This is what concerns me much more then anything else. That is why when someone posts be careful what you wish for, I think some of us understand the gravity of that statement much more then others.

Does that make sense?”

Yes, it does and that is why I was harping about the macro-economic picture well over a year ago while everyone else here was bleating on about whether or not Carmel Valley prices will ever moderate.

[JWM in SD]

JWM in SD

“So this is what I fear. This is what concerns me much more then anything else. That is why when someone posts be careful what you wish for, I think some of us understand the gravity of that statement much more then others.

Does that make sense?”

Yes, it does and that is why I was harping about the macro-economic picture well over a year ago while everyone else here was bleating on about whether or not Carmel Valley prices will ever moderate.

[JWM in SD]

JWM in SD
“The reality is that in a credit card society most people would not be a prudent with the additonal money they have. Therefore homeownership creates a forced saving for many people.”

Oh silly Raybyrnes, come on, you should know better by now.

Living beyond one’s means is voluntary, not compulsory. I think the problem that Bugs was trying to lay out was that a house purchased in 2005 in a bubble zone, is going to be a depreciating asset / non performing asset for the forseeable future. It won’t be forced savings, it will forced loss instead…at least until this deflation /inflation cycle runs it’s course fully. That may be a long unfortunately.

[JWM in SD]

JWM in SD
“The reality is that in a credit card society most people would not be a prudent with the additonal money they have. Therefore homeownership creates a forced saving for many people.”

Oh silly Raybyrnes, come on, you should know better by now.

Living beyond one’s means is voluntary, not compulsory. I think the problem that Bugs was trying to lay out was that a house purchased in 2005 in a bubble zone, is going to be a depreciating asset / non performing asset for the forseeable future. It won’t be forced savings, it will forced loss instead…at least until this deflation /inflation cycle runs it’s course fully. That may be a long unfortunately.

[JWM in SD]

JWM in SD
“The reality is that in a credit card society most people would not be a prudent with the additonal money they have. Therefore homeownership creates a forced saving for many people.”

Oh silly Raybyrnes, come on, you should know better by now.

Living beyond one’s means is voluntary, not compulsory. I think the problem that Bugs was trying to lay out was that a house purchased in 2005 in a bubble zone, is going to be a depreciating asset / non performing asset for the forseeable future. It won’t be forced savings, it will forced loss instead…at least until this deflation /inflation cycle runs it’s course fully. That may be a long unfortunately.

[JWM in SD]

JWM in SD
“The reality is that in a credit card society most people would not be a prudent with the additonal money they have. Therefore homeownership creates a forced saving for many people.”

Oh silly Raybyrnes, come on, you should know better by now.

Living beyond one’s means is voluntary, not compulsory. I think the problem that Bugs was trying to lay out was that a house purchased in 2005 in a bubble zone, is going to be a depreciating asset / non performing asset for the forseeable future. It won’t be forced savings, it will forced loss instead…at least until this deflation /inflation cycle runs it’s course fully. That may be a long unfortunately.

[JWM in SD]

JWM in SD
“The reality is that in a credit card society most people would not be a prudent with the additonal money they have. Therefore homeownership creates a forced saving for many people.”

Oh silly Raybyrnes, come on, you should know better by now.

Living beyond one’s means is voluntary, not compulsory. I think the problem that Bugs was trying to lay out was that a house purchased in 2005 in a bubble zone, is going to be a depreciating asset / non performing asset for the forseeable future. It won’t be forced savings, it will forced loss instead…at least until this deflation /inflation cycle runs it’s course fully. That may be a long unfortunately.

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