Money and Finance
Mark Hanson's latest on housing...
In summary, the past two-years of massive Fed, Gov’t, and bank intrusion into the housing market went way too far. Houses are mis-allocated, there is no shortage of houses “in which to live”, and in ALL the popular “mega-recovery” regions are at least 50% expensive on a monthly payment basis than they were at the peak of the housing bubble in 2006. And all it will take is the wave of “cash-money” buyers ‘easing off” a bit; “some” of the organic first-time and repeat buyer cohort stepping away due to the sudden lack of “affordability”; and/or a wave of supply from “panic sellers” hitting the market to send sales volume and prices down sharply, over a very short period of time. And I think the rate “surge” catalyst has caused all three to occur at the same time.
-
Investors Should Be Thinking 90% About Supply...
In one of the interviews Edward Chancellor gave recently, he made the comment below, which I think was probably the most practical investing lesson that can be used going forward:Ed: And this interesting point is that people, I don’t quite know why,...
-
Mark Hanson: Housing “bubble 2.0″; Same As “bubble 1.0″, Only Different Actors
In this short note, I outline where my research is going at the first of the year supporting ideas about why a “strong economy” is negative for this housing market; houses are far “more expensive” today then from...
-
Mark Hanson's Latest Posts On Housing
Links to: Rates “Carnage” Summary…Housing & Mortgage Significantly Impacted (July 5th) Houses are Back in a Mega-Bubble…51% More Expensive to “Buy” than in 2003 to 2007 (July 6th)
...
-
The End Of Australia’s $2 Trillion Housing Party - By Philip Soos
Found via the Corner of Berkshire & Fairfax. Executive Summary A great deal of debate has occurred in Australia on the notion that the residential property market may be experiencing a bubble, set to burst in a similar fashion to that in the United...
-
Why Some Housing Bubbles Remain - By Edward Chancellor
Housing bubbles appear pretty similar on the way up. Yet the aftermaths of recent real estate booms in the US, UK, Spain and Australia have been extremely varied. US home prices took a real hammering. The formerly hot housing markets of the UK and Spain,...
Money and Finance