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
DCB, most of us vulture buyers on the sidelines have tons of cash, adding to cash pile all the time, etc. if prices drop to point it looks inexpensive to income and cheap to our cash piles, it’ll attract a lot of buyers. when that happens, I plan to hammer weaker buyers via bidding wars, bigger down payments, all-cash offers,… to get me the house I want. on top of that, how many banks are around to originate 80 LTV mortgages if prices have tanked to those levels.
You need the statistics on the other three houses too???
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What is your waist size?
antidope, I’m greedy. Not delusional. that’s way nicer than I’m hoping to score for <$1M. for $1M, I’m expecting a non-premo location and non-premo house and would require some renov (albeit not fixer upper)
45% LTV in the bed Stuy house, Whuh. You need the statistics on the other three houses too???
M4L I don’t get you reasoning. I have no intention of making an all cash offer. I could, but why give up the tax benefits? Why bidding wars? That is not typical of bottoms except for “V” shaped recoverys.
I saw that 1st St house listing, ‘dope, and yes, extremely aggressive price indeed! It’s not a big house, so listing over $2mil is *very* ballsy… Maybe it’s the PS321 factor, though certainly other 321 properties have taken hits of late.
Just so I have this straight. DIBS loves owning; will never sell; has very high equity in his home; and yet he comes on a RE blog every day, to call anyone who reads the tea leaves differently from him a COMPLETE IDIOT. Am I alone in not seeing how this adds up?
(Best guess: Dave has a very high proportion of his net worth tied up in his slum dwelling. This makes him very, very anxious. To cope, he comes on here and externalizes his fears.)
344 1st street:
http://bk.ly/bBm
look at this three story listing in ps.
granted it is listed by an unreliable agent, but this will be an interesting mark if it sells. very aggressive listing price.
dont think it’ll touch down at the 1.0 mark, m4l.
the dream will never die…
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which one? the dream of artificially inflated RE prices? So true!!!