[stockstradr]

I have to agree with posts from The Breeze regarding outlook for home prices, and the foolishness of buying a home now.

My outlook on the real estate market was more optimistic three months ago, but since then the economic data turned sharply down and it looks really ugly at this point.

[stockstradr]

I have to agree with posts from The Breeze regarding outlook for home prices, and the foolishness of buying a home now.

My outlook on the real estate market was more optimistic three months ago, but since then the economic data turned sharply down and it looks really ugly at this point.

[stockstradr]

I have to agree with posts from The Breeze regarding outlook for home prices, and the foolishness of buying a home now.

My outlook on the real estate market was more optimistic three months ago, but since then the economic data turned sharply down and it looks really ugly at this point.

[stockstradr]

I spent November debating the pro’s/con’s of buying a home now in the Bay Area. We hired a Realtor just in anticipation of beginning to view homes.

Then my head cleared, and this simple truth came to me:

It is STUPID to think, even for a second, of buying a home NOW, given economic data indicates a real possibility we are heading straight into an economic depression of once-in-a-lifetime proportions.

Note I didn’t write “an economic depression is probable” but the mere possibility of such a once-in-century economic depression means you must take drastic measures to prepare.

Fully realize THAT possibility is before us, and you’ll realize your prudent move is to prepare the worst, batten down the hatches. The one-in-lifetime economic storm is bearing down.

To fully understand that is to realize that a home bought today could possibly fall FIFTY percent over the next couple years…and you’ll want to assume you’ll be out of a job for several years. We could have deflation for twelve straight months. The stock market could crash another 50% lower. Who knows! This is relatively uncharted territory and so your primary family goal is to merely SURVIVE this economic tsunami with food on your table, and a (rented) roof over your head!

Let me tell you, you start by calculating IF your family can live for TWO YEARS on savings and unemployment assuming one or both parents lose their jobs. And you keep running similar worst-case scenarios and evaluating your preparation, and you take needed and drastic steps

[stockstradr]

I spent November debating the pro’s/con’s of buying a home now in the Bay Area. We hired a Realtor just in anticipation of beginning to view homes.

Then my head cleared, and this simple truth came to me:

It is STUPID to think, even for a second, of buying a home NOW, given economic data indicates a real possibility we are heading straight into an economic depression of once-in-a-lifetime proportions.

Note I didn’t write “an economic depression is probable” but the mere possibility of such a once-in-century economic depression means you must take drastic measures to prepare.

Fully realize THAT possibility is before us, and you’ll realize your prudent move is to prepare the worst, batten down the hatches. The one-in-lifetime economic storm is bearing down.

To fully understand that is to realize that a home bought today could possibly fall FIFTY percent over the next couple years…and you’ll want to assume you’ll be out of a job for several years. We could have deflation for twelve straight months. The stock market could crash another 50% lower. Who knows! This is relatively uncharted territory and so your primary family goal is to merely SURVIVE this economic tsunami with food on your table, and a (rented) roof over your head!

Let me tell you, you start by calculating IF your family can live for TWO YEARS on savings and unemployment assuming one or both parents lose their jobs. And you keep running similar worst-case scenarios and evaluating your preparation, and you take needed and drastic steps

[stockstradr]

I spent November debating the pro’s/con’s of buying a home now in the Bay Area. We hired a Realtor just in anticipation of beginning to view homes.

Then my head cleared, and this simple truth came to me:

It is STUPID to think, even for a second, of buying a home NOW, given economic data indicates a real possibility we are heading straight into an economic depression of once-in-a-lifetime proportions.

Note I didn’t write “an economic depression is probable” but the mere possibility of such a once-in-century economic depression means you must take drastic measures to prepare.

Fully realize THAT possibility is before us, and you’ll realize your prudent move is to prepare the worst, batten down the hatches. The one-in-lifetime economic storm is bearing down.

To fully understand that is to realize that a home bought today could possibly fall FIFTY percent over the next couple years…and you’ll want to assume you’ll be out of a job for several years. We could have deflation for twelve straight months. The stock market could crash another 50% lower. Who knows! This is relatively uncharted territory and so your primary family goal is to merely SURVIVE this economic tsunami with food on your table, and a (rented) roof over your head!

Let me tell you, you start by calculating IF your family can live for TWO YEARS on savings and unemployment assuming one or both parents lose their jobs. And you keep running similar worst-case scenarios and evaluating your preparation, and you take needed and drastic steps

[stockstradr]

I spent November debating the pro’s/con’s of buying a home now in the Bay Area. We hired a Realtor just in anticipation of beginning to view homes.

Then my head cleared, and this simple truth came to me:

It is STUPID to think, even for a second, of buying a home NOW, given economic data indicates a real possibility we are heading straight into an economic depression of once-in-a-lifetime proportions.

Note I didn’t write “an economic depression is probable” but the mere possibility of such a once-in-century economic depression means you must take drastic measures to prepare.

Fully realize THAT possibility is before us, and you’ll realize your prudent move is to prepare the worst, batten down the hatches. The one-in-lifetime economic storm is bearing down.

To fully understand that is to realize that a home bought today could possibly fall FIFTY percent over the next couple years…and you’ll want to assume you’ll be out of a job for several years. We could have deflation for twelve straight months. The stock market could crash another 50% lower. Who knows! This is relatively uncharted territory and so your primary family goal is to merely SURVIVE this economic tsunami with food on your table, and a (rented) roof over your head!

Let me tell you, you start by calculating IF your family can live for TWO YEARS on savings and unemployment assuming one or both parents lose their jobs. And you keep running similar worst-case scenarios and evaluating your preparation, and you take needed and drastic steps

[stockstradr]

I spent November debating the pro’s/con’s of buying a home now in the Bay Area. We hired a Realtor just in anticipation of beginning to view homes.

Then my head cleared, and this simple truth came to me:

It is STUPID to think, even for a second, of buying a home NOW, given economic data indicates a real possibility we are heading straight into an economic depression of once-in-a-lifetime proportions.

Note I didn’t write “an economic depression is probable” but the mere possibility of such a once-in-century economic depression means you must take drastic measures to prepare.

Fully realize THAT possibility is before us, and you’ll realize your prudent move is to prepare the worst, batten down the hatches. The one-in-lifetime economic storm is bearing down.

To fully understand that is to realize that a home bought today could possibly fall FIFTY percent over the next couple years…and you’ll want to assume you’ll be out of a job for several years. We could have deflation for twelve straight months. The stock market could crash another 50% lower. Who knows! This is relatively uncharted territory and so your primary family goal is to merely SURVIVE this economic tsunami with food on your table, and a (rented) roof over your head!

Let me tell you, you start by calculating IF your family can live for TWO YEARS on savings and unemployment assuming one or both parents lose their jobs. And you keep running similar worst-case scenarios and evaluating your preparation, and you take needed and drastic steps

[stockstradr]

Rents?

Well the darkly comical joke is that rents WILL RISE as foreclosures continue to kick homeowners into renting….

where the darkly comical part comes in as eventually rents come down as this Second Great Depression kicks those renters (and remaining homeowners) into the unemployment line, and wind-blown tumbleweeds roll across our deserted industrial manufacturing parks, and Americans families are seen destitute and living out of their broken down SUV’s.

And photographers appear from Life Magazine to capture it all on grainy B/W film, for sale as stock photography for the countless future articles titled, “The Great Depression of 2009”

Yup, when that happens then rents will come back down. Yeah, it is nice to have that to look forward to.

[stockstradr]

Rents?

Well the darkly comical joke is that rents WILL RISE as foreclosures continue to kick homeowners into renting….

where the darkly comical part comes in as eventually rents come down as this Second Great Depression kicks those renters (and remaining homeowners) into the unemployment line, and wind-blown tumbleweeds roll across our deserted industrial manufacturing parks, and Americans families are seen destitute and living out of their broken down SUV’s.

And photographers appear from Life Magazine to capture it all on grainy B/W film, for sale as stock photography for the countless future articles titled, “The Great Depression of 2009”

Yup, when that happens then rents will come back down. Yeah, it is nice to have that to look forward to.

[stockstradr]

Rents?

Well the darkly comical joke is that rents WILL RISE as foreclosures continue to kick homeowners into renting….

where the darkly comical part comes in as eventually rents come down as this Second Great Depression kicks those renters (and remaining homeowners) into the unemployment line, and wind-blown tumbleweeds roll across our deserted industrial manufacturing parks, and Americans families are seen destitute and living out of their broken down SUV’s.

And photographers appear from Life Magazine to capture it all on grainy B/W film, for sale as stock photography for the countless future articles titled, “The Great Depression of 2009”

Yup, when that happens then rents will come back down. Yeah, it is nice to have that to look forward to.

[stockstradr]

Rents?

Well the darkly comical joke is that rents WILL RISE as foreclosures continue to kick homeowners into renting….

where the darkly comical part comes in as eventually rents come down as this Second Great Depression kicks those renters (and remaining homeowners) into the unemployment line, and wind-blown tumbleweeds roll across our deserted industrial manufacturing parks, and Americans families are seen destitute and living out of their broken down SUV’s.

And photographers appear from Life Magazine to capture it all on grainy B/W film, for sale as stock photography for the countless future articles titled, “The Great Depression of 2009”

Yup, when that happens then rents will come back down. Yeah, it is nice to have that to look forward to.

[stockstradr]

Rents?

Well the darkly comical joke is that rents WILL RISE as foreclosures continue to kick homeowners into renting….

where the darkly comical part comes in as eventually rents come down as this Second Great Depression kicks those renters (and remaining homeowners) into the unemployment line, and wind-blown tumbleweeds roll across our deserted industrial manufacturing parks, and Americans families are seen destitute and living out of their broken down SUV’s.

And photographers appear from Life Magazine to capture it all on grainy B/W film, for sale as stock photography for the countless future articles titled, “The Great Depression of 2009”

Yup, when that happens then rents will come back down. Yeah, it is nice to have that to look forward to.

[stockstradr]

Treasury Secretary Henry Paulson said…(see post above)

Of course the Fed IS planning (or already implementing) actions to bring mortgage rates down to (or below) 4.5% on 30-year fixed.

Paulson isn’t an idiot (although he acts like one); he understands that a promise to America for rates of 4.5% on 30-year fixed would bring the already slow-as-molasses home market to a standstill, as potential homebuyers stalled purchases and waited for the promised 4.5% loans.

So Paulson made the only statement that wouldn’t get him fired. He lied and said they weren’t targeting 4.5%

[stockstradr]

Treasury Secretary Henry Paulson said…(see post above)

Of course the Fed IS planning (or already implementing) actions to bring mortgage rates down to (or below) 4.5% on 30-year fixed.

Paulson isn’t an idiot (although he acts like one); he understands that a promise to America for rates of 4.5% on 30-year fixed would bring the already slow-as-molasses home market to a standstill, as potential homebuyers stalled purchases and waited for the promised 4.5% loans.

So Paulson made the only statement that wouldn’t get him fired. He lied and said they weren’t targeting 4.5%

[Author]

Posts