Posted on 10/26/2006 12:53:25 PM PDT by GodGunsGuts
The price of existing homes last month fell 2.2 percent, the largest monthly decline in the almost four decades the number has been tracked, according to an industry report released yesterday.
Nationwide, the number of existing single-family homes sold fell 14.2 percent in September compared with September 2005, according to the report from the National Association of Realtors. The number of sales has fallen each month since March.
Prices fell everywhere in the country, with the Northeast and West most affected. Declines were more moderate in the South, which includes the Washington area....
(Excerpt) Read more at washingtonpost.com ...
You're the one who made the real estate claim, you get the data and post it, if it proves your point.
Still waiting for you to post any data which backs up your gold stock dividend claim. Or was that another made up "fact" that you'll never admit you made up?
Let's recap, shall we?
A very large portion of household net worth appreciation is a function of real estate appreciation.
Unless you have a unique definition of "very large portion"?
Thanks, GoldGunsGuts, it's nice to see a real chart from you for a change. My take is that if we "Take away real estate appreciation", it looks like Household Net Worth would have still increased in 2003,2004,2005 and 2006. Is this your way of admitting you were wrong? Or did you just misspeak?
You will be dead and gone, many several 100 years, before that ever happens; if it ever does.
This is the wrong site to obtain intelligent commentary on finance and investments. JMO.
bttt
bttt
LOL.....I doubt he's ever even heard of Wharton! :-)
OTOH, there are often nuggets of financial wisdom, buried in some of these threads. :-)
Too much work to ferret them out. But then, I am quite satisfied with my own ability to handle these matters. :)
Since you won't (can't) do it I'll do it for you. As of the second quarter of 2006, Americans had $10.982 trillion equity in household real estate. As of the second quarter of 2006, Americans had $53.325 trillion in household net worth. That means our homeowner equity accounts for just 20.6% of our total net worth. That leaves us with a lot of liquid assets.
Now why does that scare you and mean we're doomed? More importantly, why does that mean gold is going to $1650 an ounce?
Did you manage to take a look at post #142?
meanwhile, the southern states (texas, florida, NM, GA) will see an influx of the retirees... pushing home values up while driving new home building.
The chart is meaningless, unless one knows what is in one's portfolio as a whole. The chart is also about "change," ie the delta function, rather than absolute net worth from various categories of assets, which of course accentuates modest changes in values vis a vis the delta function. I own a boat load of real estate with little leverage. The changes to date in my absolute net worth are relatively small. Cheers.
Yes, it is. Stick with what you do, if you're happy with it. :-)
Something weird happened here in Jacksonville, Alabama yesterday afternoon. All the gas stations suddenly raised prices on average about 8 cents. Today, a couple dropped them back down, but most are still up the 8 or so cents. Don't understand the danged gas/oil pricing thing at all.
Manhattan real estate prices aren't falling and while there has been a tiny slow down ( okay, so houses and co-ops and condos aren't selling in an hour of two, now it's taking a couple of weeks to maybe even two months ), that has just brought the time line back into normal range. And the Chicago real estate market hasn't slowed down either.
I'm not sure I follow you. As I understand it, the chart demonstrates that real estate appreciation accounts for 61% of gains in household net worth in 2005. And on average, real estate appreciation accounts for approx. 41% of the gains in household net worth for 03, 04 and 05. To my mind, that means if the real estate bubble pops, it will erase a huge chunk of household net wealth accumulated over the last several years. Moreover, the increase in household net worth has been declining every year since 2003. If this trend continues (and I think it will), this will most likely cause people to begin dipping into there disposable income to build up their savings.
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