Worried about the housing bubble, stay updated, go to http://www.moneyfiles.org/temp.html , an educational website dedicated to the economics of the Founding Fathers. Ps: seeking volunteers.
Cities like Detroit, Providence, and Denver are at risk, but the other markets are all popular with foreign investors. In the event of economic trouble and a drop in the dollar, a steady flow of foreign investment capital should not only keep those markets up, but probably push values to even more insane heights. I've said all along that when the crisis comes, it will be the markets that don't seem to be overvalued right now which will be hit hardest.
Yup, I'm sure this is my fault too, since we bought a house in S. Florida last year! Sharks....hurricanes...housing bubbles......
susie
Terrible analysis by PMI.
Most of these are just large markets where the price of housing is going up at higher rates than other areas.
You cold just come up with the list of highest percentage sales increases and do just as well.
There is no bubble coming for another 2-3 years but it will make great story writing and the sky is falling catastrophe...
zzzzzzzzzzzzz
Housing prices in the Twin Cities have climbed an annualized 9% over the past three years. Still, PMI places the odds of a downturn at one in four. With Northwest Airlines, a major area employer, facing problems, job growth and payrolls are stagnating
This article begs to differ.
It's great from a property tax standpoint, but lousy for those who may need a home equity loan.
Number 1. should be New London, Connecticut!
FLORIDA IN THE 1920'S: THE GREAT FLORIDA LAND BOOMMy favorite story of the 1920s scams was of the drivers of touring cars who were to take prospects around the developments, many of which were called "... Hills," like "Lauderdale Hills," & etc. The drivers were trained to speed up and slow down occasionally, as if they were climbing and descending actual hills.
To quote Carl Hiassen, it ain't "nothing a good hurricane can't fix..."
Is this right? Job losses in the 90s? How can that be? I never read any stories about this, did you?
If there's one stock that has been the "Microsoft" of the housing market it is NVR. When NVR crashes, its time to beat a hastey retreat. I started following NVR about 5 years ago. They were trading in the mid 30's. Earlier in the week the stock closed at 879, that's right 879. Its PE is only around 13. They make 68 bucks a share. They have outperformed every other home buyer out there. They also originate mortgages which help move their houses.
This is the bellweather home builder stock and what its telling us is, forget about the interest rate increases, happy days are here again.
One caveat....I would not buy a luxury condominium in Ft Lauderdale right now. Speculation in that market has been very active, and construction lenders are beginning to crack down on contract flipping, strawman buyers, etc. Developers are going to have to come in with legitimate, non-assignable contracts from end users to get their construction financing done.
In that case, the proximate causes of property-value loss will be esthetic blight (from the feces and urine dropped onto the houses by the pigs flying overhead), the need to redo the ductwork (to tailor the air conditioning and heating to fit a sun that rises in the west and sets in the east), and a glut of new real estate coming onto the market (after local Catholic churches close up shop in response to His Holiness' conversion to Paganism).
It may, however, be somewhat offset by housing demand from imps and demons in search of new abodes (after fleeing from the ice and snow blanketing their old digs).
What, prices rose by only 5-10% a year instead of 25%?
But while job losses were the big problem then, now it's out-migration. "People from New York, especially baby-boomers, are moving out," says Yun.
Utter crap. People from around the world are still flocking to NY, and they will easily replace the old-timers who are leaving. As always.
If the trend accelerates, it could cause a problem, particularly for the high end of the real estate market.
ONLY for the high-end of the market. Affordable starter or middle-class homes in Westchester, NJ, LI, etc. are practically nonexistent, and there are HUGE amounts of city-dwelling yuppies, recent transplants, and upwardly-mobile ethnic families from Queens, Brooklyn and The Bronx who want their picket fence and lawn, and are all searching for a way to get in.
There is no way the low-end or middle-class market crashes in the NYC area.
Now, the people who ask $1.5 million for their little 3-bedroom split-level in middle-class suburbs... there's your rude awakening coming.
Hmm, I purchased a Condo in Ft Lauderdale a few years back, I wonder if they differentiate between single-family units or condos.
Judging by the ads in the on-plane magazines, the Miami condo market is nuts, they must have five or six new mega-condos being built right now. It's been a few years since I've been back to SoFla, but I suspect I wouldn't even recognize the Miami skyline now.
Bump to me... it's my generation that's gonna take it up the wazoo... might as well learn about it.