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A Record Drop In Home Prices
Washington Post ^ | October 26, 2006 | Kirstin Downey

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 ...


TOPICS: Business/Economy
KEYWORDS: bubble; bubblebrigade; depression; despair; doom; frbubbleheads; gggsalesman; goldsalesman; miserytonight; realestate; tinfoil
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To: GodGunsGuts

The chart is a bit confusing, but I think it tells the tale of declining cap rates and interest rates, particularly real interest rates, which are currently anemic.


241 posted on 10/28/2006 1:07:03 PM PDT by Torie
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To: MeneMeneTekelUpharsin

You're agreeing with a quote that you falsified. Congratulations on winning the Clinton Trophy for today.

You can put it in your trophy case with all the others you've won.


242 posted on 10/28/2006 1:09:53 PM PDT by Petronski (CNN is an insidiously treasonous, enemy propaganda organ.)
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To: Torie
I'm looking for charts for So. Cal and Orange County. When I find them I'll post them. In the meantime, it would appear that San Diego home prices are way above what fundamentals would dictate. At any rate, I have to go now. It's been both fun and educational--GGG:


243 posted on 10/28/2006 1:13:52 PM PDT by GodGunsGuts
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To: sten
Though you appear to be quite deficient in the ability to comprehend the written English word, as well as logical thinking, at least you're happy.

As far as "trends" are concerned, yes, you have painted with far too broad a brush. What is true in one area, or even region, for that matter, is not true across the board, no matter how you want to twist and turn and massage the facts. I gave you several specific examples, which you then not only quibble about, but claim are the "exceptions". You really can't have it both ways.

I suggest that YOU check out the fact, stop drinking and huffing the fumes from spray paint, settle down, and get someone to explain it all to you.....in words of one syllable.

Yes, Bird Key and Longboat Key and Sarasota and Naples and Venice and Miami and on and on. OTOH, NOT in Waldo nor similar environs. Likewise, in Greenwich and Darien and Cos Cob and Park Avenue and Tribecca and Harlem and Park Slope and *gasp* even in the Bronx ( which is being gentrified ); but, NOT in East Ossipie, New Hampshire.

I never did say that ALL Baby Boomers don't save; though most don't save as their parents did. And yes, a lot of them have or are reaping the benefits of their parents' estates ( which is not "looting", as you so inelegantly referred to it ); especially now through 2010, because of lowered death taxes. Do, please, try to keep up.

Reading your posts, I think that you need to get someone with far better cognitive abilities to help you, when you are allowed to use the computer.

244 posted on 10/28/2006 1:15:35 PM PDT by nopardons
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To: Torie
To my mind it shows that housing prices tracked inflation almost perfectly until they introduced the potentially erroneous "Owner's Equivalent Rent".
245 posted on 10/28/2006 1:15:36 PM PDT by GodGunsGuts
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To: GodGunsGuts

As I said, housing was a great buy in 2000, particularly if you knew interest rates, and thus cap rates, would decline. But yes, I think San Diego is a bit more overvalued than Orange County, and even more so vis a vis LA County. LA County has all those Mexicans pouring in, which has an impact, a rather substantial one.


246 posted on 10/28/2006 1:17:19 PM PDT by Torie
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To: Toddsterpatriot
BRAVO!
247 posted on 10/28/2006 1:17:20 PM PDT by nopardons
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To: Torie

...which may indicate that housing, PMs, and commodities are tracking the **real** rate of inflation.


248 posted on 10/28/2006 1:17:50 PM PDT by GodGunsGuts
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To: GodGunsGuts

No, it is due to the decline in interest rates, particularly real interest rates.


249 posted on 10/28/2006 1:18:24 PM PDT by Torie
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To: Petronski; MeneMeneTekelUpharsin

He (Pedro) who never states his own position decides to chime in again. Bravo!


250 posted on 10/28/2006 1:19:56 PM PDT by GodGunsGuts
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To: Petronski
You're agreeing with a quote that you falsified.

If the shoe fits, wear it.

251 posted on 10/28/2006 1:20:34 PM PDT by MeneMeneTekelUpharsin (Freedom is the freedom to discipline yourself so others don't have to do it for you.)
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To: Petronski

ROTFLOL.................GREAT CATCH! :-)


252 posted on 10/28/2006 1:21:01 PM PDT by nopardons
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To: GodGunsGuts
He (Pedro) who never states his own position decides to chime in again.

I revealed it whether he wants to state it or not. Someone who continually argues a given point has a vested interest in the outcome of that argument. We're not all easily deceived here. I'm out. I don't have a lot of time for this.

253 posted on 10/28/2006 1:22:42 PM PDT by MeneMeneTekelUpharsin (Freedom is the freedom to discipline yourself so others don't have to do it for you.)
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To: Drago

bttt


254 posted on 10/28/2006 1:23:05 PM PDT by nopardons
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To: Torie

True, but declining interest rates contribute to inflation, no? I think a very good case can be made that substituting Owner's Equiv. Rent for housing prices may be causing the CPI to be significantly understated. Notice the divergence of home prices (go back to the chart) and the CPI once the change was made.


255 posted on 10/28/2006 1:24:13 PM PDT by GodGunsGuts
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Comment #256 Removed by Moderator

To: GodGunsGuts

The correction in the CPI was justified. Housing prices reflect inter alia cap rates, and don't reflect the cost of consuming housing. It reflects the cost of an asset. Thus using housing prices distorted the CPI, up and down, as housing prices moved up and down.


257 posted on 10/28/2006 1:27:32 PM PDT by Torie
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To: MeneMeneTekelUpharsin
I revealed it whether he wants to state it or not.

No, you just told another lie.

You and Gigi are addicted to lies, but his are more slippery and elegant. Yours are just blunt and bumbling.

258 posted on 10/28/2006 1:28:15 PM PDT by Petronski (CNN is an insidiously treasonous, enemy propaganda organ.)
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To: Torie

I'll have to look into it more before I agree or disagree with you. Here's the article I got the chart from, in case you're interested:

http://www.thestreet.com/_tsclsii/comment/barryritholtz/10248963_2.html


259 posted on 10/28/2006 1:29:34 PM PDT by GodGunsGuts
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To: MeneMeneTekelUpharsin

10/4...Thanks for stopping by--GGG


260 posted on 10/28/2006 1:30:41 PM PDT by GodGunsGuts
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