Widget Underprices for Third Straight Time
On the heels of yesterday’s discussion about the price widget prediction falling short for the second time, a reader sent us a third data point. Once again, the average appraisal fell far short of the selling price. After being listed for $899,000, 29 Maple Street received an average prediction of $727,425 from readers; the house…
On the heels of yesterday’s discussion about the price widget prediction falling short for the second time, a reader sent us a third data point. Once again, the average appraisal fell far short of the selling price. After being listed for $899,000, 29 Maple Street received an average prediction of $727,425 from readers; the house closed for $830,00 on July 6, 2009. Maybe the fact that the average prediction is, thus far, falling so far of the sales price makes perfect sense. After all, the seller only needs one good buyer, and anyone putting in a bid is probably going to like the house more than the average reader. In this case, it looks like somewhere around 20 to 25 percent of the votes cast were at or above the actual sales price. Maybe we should switch to using the median and noting the three quartile break-points. Could it be that the top quartile is really the predictive number? We’ll wait for a few more data points before overhauling but it’s certainly feeling like that may be the more useful way to parse the data.
House of the Day: 29 Maple Street [Brownstoner]
29 Maple Street [Brown Harris Stevens] GMAP P*Shark
Bearish Brownstoners Miss Mark on 2nd Street Sale [Brownstoner]
11217 what if BHO is one of us also? What if we are all Free Masons? You are a crazy person!
BHO:
Something you don’t seem to understand. If we were to take a poll of people on here and see who’s opinion they value more…yours or Slopefarm. I’m fairly certain it would be a landslide. And by landslide, I mean, the only people who would vote for you would be What, Brickoven and Cornerbodega. All or most of which are the same person.
You’ve lost everyone’s attention here.
Team Bear just chill and relax. Things are going to get real hairy in the next couple of weeks. let the retards rejoice “The recession is over” because that’s the start of The Great Depression 2……
The What
Someday this war is gonna end..
“People buying houses in brownstone Brooklyn will probably have a profit on their hands in as little as 3-5 years”.
Very likely true IMO, but also[sorry Dave] indicative of the mind set that sees houses mainly as investments, which is what got us into trouble in the first place. Houses are basically things to LIVE in.If their value appreciates, great; if not, you needed a place to live in anyway.
cornerbodega, when will you ever realize that for most people, a real estate purchase is a “home” not an investment property. There are many things you get by owning that you do not by renting. Please tell me you understand the difference.
Herd mentality? What herd? What position have I adopted, other than to point out logic flaws in statements you and your alter ego have made? Where is my post where I predict a direction for the economy or housing market?
I love how this board thinks every closed sale is just “one stupid person.” The market is defined by what the highest bidder will pay for each and every property…..I guess it is just made up of a collection of stupid people.
Interpreting the general tone of the commenters of this blog, of course the widget is going to be lower than the selling price, on average.
“People buying houses in brownstone Brooklyn will probably have a profit on their hands in as little as 3-5 years.
Discuss.”
price/income. If you still haven’t come to the realization that the price/income went bonkers due to the speculative bubble then you’re truly an idiot of epic proportions. Then again, you did say there was no recession.
Commercial RE will take a severe nosedive and fail a lot of banks. This will be the 2nd phase of the crash and will dwarf that of housing. Ignore at your peril (like DOW8000SP800).
Skyrocketing risk (see today’s thread about communal living or whatever they call it – the banks are putting on parachute packs) will launch interest rates to the moon, compounding and overshooting (below equilibrium) the crash already underway.
The herd mentality of 11217 and slopefarm is ASTOUNDING! They remind me of AMWAY/MLM junkies.
Out.
***Bid half off peak comps***