Case-Shiller: Recovery Waning, Double Dip Possible
Case-Shiller came out with the December numbers for its 20-city index of real estate prices and the results weren’t particularly good: 15 out of 20 cities showed month-over-month declines, though the overall index managed to eke out a seasonally-adjusted increase of 0.3 percent. The good news is that the index staged a 5 percent comeback…
Case-Shiller came out with the December numbers for its 20-city index of real estate prices and the results weren’t particularly good: 15 out of 20 cities showed month-over-month declines, though the overall index managed to eke out a seasonally-adjusted increase of 0.3 percent. The good news is that the index staged a 5 percent comeback starting in April 2009 after a six-month run that saw it lose 11 percent. The bad news is the number of markets with positive monthly returns has gradually decreased over that time from 18 in June to 4 in December. It also doesn’t bode particularly well that the Federal Government is expected stop its purchases of mortgage-backed securities in March, which in turn is likely to lead to a rise in mortgage rates; meanwhile, market pressure from a rising number of foreclosures is expected to keep downward pressure on prices. Seeking Alpha all that means the country’s in for a double dip. Here in New York City, prices fell about 1 percent month-over-month and a little more than 6 percent year-over-year, not as bad as Las Vegas or Miami, but far worse than some other cities like Boston or San Francisco where the downturn started much earlier.
U.S. Home Prices Rise Modestly [NY Times]
Case-Shiller Adds to Confusion on Housing Market [WSJ]
Graphic from Seeking Alpha
people who live in nyc and want to live a farmer lifestyle need to get their heads checked.
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you need your head checked.
people who live in nyc and want to live a farmer lifestyle need to get their heads checked.
*rob*
DCB, when prices are that cheap relative to income and cash pile, one doesnt hesitate to engage in bidding war, go over ask, offer all cash, etc. Imagine you brought your cash pile back to 98 and saw a place you really liked a lot. you telling me you’ll hesitate to engage in bidding war, go over ask, all cash offers? at that point, it aint about ROI, best price possible, etc., it’s about you getting some relatively inexpensive that you like and you aint going to let some weaker buyer take it away from you. if that aint you, that aint you but I suspect many will engage without hesitation.
you’d save a lot of clams by buying btwn 3/4 and investing in raised garden beds and country soil. just sayin’. the subterranean benzene can migrate …
344 owners will benefit from the runup. i’ll wager on 1.75 with anyone willing to take the under. no sell is a push. anyone?
Ah but DIBS, the whole fun is eating what you grew yourself – esp with kids. But thanks for the offer.
To be precise, 344 1st street owners paid 1,175,000 in 2003. Even if they did a major reno, I doubt they put in more than 500K. In pix, reno looks so-so. Over 2 mil seems delusional to me…
If I read the Wall Street Journal article and interview with Schiller correctly, it agrees with DIBS.
It says the index showed a sudden dramatic switch in direction last year. That’s the bottom. It says now prices will remain flat for the next ten years. That’s exactly the same pattern as the 1989 real estate bubble and crash.
MM…you cn have some of my lettuce this year if you haven’t found a place by Summer. I’ll have a huge crop of grape tomatos as well.
As for 344 1st Street, if the reno is top notch, then 1.75 would be a very healthy price for the sellers and they should be damn happy to get it. Looked on Property Shark that they paid way less for that house a few short years ago…