Posted on 10/10/2006 11:29:09 AM PDT by GodGunsGuts
On the decline
Moody's Economy.com looks at the 100 largest markets and predicts their tops, their bottoms - and total price drops.
October 6 2006: 11:42 AM EDT
NEW YORK (CNNMoney.com) -- The housing market will get worse before it gets better - that's the finding of an analysis by Moody's Economy.com.
In the survey of 379 metro areas, the study's authors project that nearly 20 areas eventually could experience a "crash," or a decline of more than 10 percent from peak to trough. The most hard-hit areas will be in California, the Southwest coast of Florida, and in Arizona and Nevada.
Nationwide, the study forecasts a 3.6 percent decline in the sales price of existing homes.
The table below shows only those markets among the 100 largest by population that are forecast to have declines. In an analysis that considered mortgage rates, the local job market and other factors, the study makes projections on when those markets would peak, when they would hit their worst point, and what the total decline would be.
(Excerpt) Read more at money.cnn.com ...
ping
bttt
That's it. I might as well plow my house under...turn in the keys to the bank...we're doomed. I hope I can still get a good cardboard box to live in.
Good ...I'm looking to buy.
Don't do that!!! Then you'll get stuck with a house that won't be worth anything....experts say.
In other the news, the stock prices of the home builders are up big again today.
Hey, if you bought near the bottom and you plan on staying where you're at, this won't affect your bottom line (except as it relates to the larger economy).
So.
10% from peak to trough is certainly not a "crash".
A 3.6 % decline is so soft it could be called a marshmallow landing
We're DOOOOOMED!
Other than real estate investors, most people usually buy homes when they need them. Rarely do they really lose money. It's always good to buy low and sell high and if you wait long enough that can happen to most people.
True. If you stay in your house long enough, they at least keep up with inflation over the long haul.
Bookmark
Much less than the 40% bubble heads keep warning us about. Of course this is just a prediction, although one reasonably in line with my longstanding prediction of a soft landing.
Where did that chart come from?
Remember kids, buy low, sell high, collect early and pay late (but not too late).
Looks like people paid too much and they are going to get punched maybe. Oh such bad news!! But wait, some of us can then buy on the cheap then rent the houses out to the newly "homeless". Sweet. America! Hell yea!
According to CNN it came from Moody's Home Price Forecast.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.