Crazy RealtorSpeak of the Day
Chuck Ponzi February 21st, 2007
This little gem popped up from Rhode Island. Sorry Socal’ers, nothing from the local fare of stupid realtorspeak today. I just couldn’t pass it up.
“In Newport County, we’re very fortunate that we’re islands,” Lawrence said during the presentation in the dining room of The Bay Voyage Inn. “There’s only so much land and we have a lot of special events that only happen here and make this area attractive.”
In other news, Japan is no longer an island, having merged into the Asian continent immediately preceding the Newport County Board of Realtors President’s remarks. Oh, and there is nothing fun to do in Japan, making it an unattractive place. That’s why Japan’s housing prices fell for 15 years. Not because of a housing Souffle, bubble, or balloon.
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That is nothing. Check out what we came across in the San Diego newspaper North County Times:
http://www.nctimes.com/article....._10_05.txt
Here are some of his pearls of wisdom:
“Foreclosures are lower today than they were a year ago. Only 1.94 percent of personal loans are delinquent. And only 0.43 percent of home equity lines of credit are past due, meaning that 99.57 percent are paying the loans on time.”
“I’m tired of people trying to compare real estate today to the tech stock debacle of 2000. Bubbles occur when there is a mania. Investors back then were clamoring to buy any tech stocks at any price.”
“‘m not trying to be a cheerleader for real estate. If you think prices are going to tumble, by all means, get out. Go rent, do whatever you want. But all I ask is that people who attack prosperity —- mostly Wall Streeters who want you to take the money from your house and buy stocks”
As my dad used to say:
Paper will stand still for anything.
Even idiots get published… how do you think I got this blog?
Chuck
how come prices are still going up on the westside of los angeles with multiple offers? i don’t understand — it is illogical.
Yup, the “not gonna happen here cuz we different” crowd. Tokyo once believed this too, heck the city itself was once worth the entire state of California. Maybe Newport will be the beacon of hope in this bursting bubble; the walls will crumble elsewhere but not in the OC. How fitting that the show is ending this week as well.
Cortez,
We are not really sure about the timing or depth of the crash .
Generally these things start on the fringes and the market eats away from the bottom.
We are looking at it and saying the fundamentals of the housing market are unsound.
When we talked about the fundamentals of internet companies or telecom companies being unsound it came across as being a bunch of losers who didn’t buy in to the tech market. That was until it became unhinged and crashed in 2000-01. Then people suddenly understood the PE of 1000 meant there would NEVER be a decent ROI and it was a pyrmid scheme. Poof, people watched a lot of wealth disolve.
We will see the same constriction in housing but the time it takes will be longer. The feedback mechanisms to the general economy are already in place. It just will keep hitting us wave after wave for years.
Your going to see zero appreciation and lower and lower sales. Then more forclosures… less consumer spending as mortgage equity slows…