Comments on: A Realtor Gets a Rude Awakening http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/ Not just another (Canadian) financial blog Thu, 20 Nov 2008 23:29:04 +0000 http://wordpress.org/?v=abc By: Dave http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1261 Dave Wed, 16 Aug 2006 06:12:18 +0000 http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1261 Hey Mmm... Life...: I'm totally hoping for a crash in housing prices so that I can get a better deal on a place. But whether or not prices will crash big time or stay flat, I'm not really sure. I am guessing that they will have to come down at least some, even just based on the fact that interest rates are climbing meaning the average Joe won't be able to get approved for the same amount that he could a few years ago. Hey Mmm… Life…: I’m totally hoping for a crash in housing prices so that I can get a better deal on a place. But whether or not prices will crash big time or stay flat, I’m not really sure. I am guessing that they will have to come down at least some, even just based on the fact that interest rates are climbing meaning the average Joe won’t be able to get approved for the same amount that he could a few years ago.

]]> By: Meadow http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1255 Meadow Wed, 16 Aug 2006 00:39:15 +0000 http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1255 No real alternatives to an actual brick and mortar building if you want to own a place to live. No real alternatives to an actual brick and mortar building if you want to own a place to live.

]]> By: Mmm... Life... http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1124 Mmm... Life... Wed, 09 Aug 2006 11:22:38 +0000 http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1124 I think the increasing press in the last couple years about the impending collapse of the real estate economy is a bit overhyped. Real estate trends in relatively long cycles and its pretty hard for it to bottom out immediately like naysayers seem to be predicting. Remember, there exist alternatives to actual brick and morter buildings. For example, housing futures offer a way to put on regional spreads as a way to capitalize on the difference in growth rates of different regional housing markets. I think the increasing press in the last couple years about the impending collapse of the real estate economy is a bit overhyped. Real estate trends in relatively long cycles and its pretty hard for it to bottom out immediately like naysayers seem to be predicting.

Remember, there exist alternatives to actual brick and morter buildings. For example, housing futures offer a way to put on regional spreads as a way to capitalize on the difference in growth rates of different regional housing markets.

]]> By: Dave http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1008 Dave Sun, 06 Aug 2006 02:21:28 +0000 http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1008 But if you just look at the house prices out there, then look at the income required to get a mortgage for 75% of the cost of that home, then look at the gross monthly income required to get approved for such a loan and it is insanely high. I don't know how things cannot swing back, at least not without salaries suddenly increasing. I'm just expecting the worse that's all, because that's my nature. But if you just look at the house prices out there, then look at the income required to get a mortgage for 75% of the cost of that home, then look at the gross monthly income required to get approved for such a loan and it is insanely high. I don’t know how things cannot swing back, at least not without salaries suddenly increasing. I’m just expecting the worse that’s all, because that’s my nature.

]]> By: silverm http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1005 silverm Sat, 05 Aug 2006 18:32:16 +0000 http://www.investingintelligently.com/2006/08/04/a-realtor-gets-a-rude-awakening/#comment-1005 >>"40% of all home buying in both 2004 and 2005 was for second homes or for “investments”. " The ratio between homes occupied by homeowners vs tenants has always been around 2:1. 40% investment buying for marginal buyers is high, but that high. I think the market will likely stay flat instead of a major correction. >>”40% of all home buying in both 2004 and 2005 was for second homes or for “investments”. ”

The ratio between homes occupied by homeowners vs tenants has always been around 2:1. 40% investment buying for marginal buyers is high, but that high. I think the market will likely stay flat instead of a major correction.

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