Skip to Content.
Sympa Menu

homestead - Re: [Homestead] Housing bubble or froth

homestead AT lists.ibiblio.org

Subject: Homestead mailing list

List archive

Chronological Thread  
  • From: Gene GeRue <genegerue AT ruralize.com>
  • To: homestead AT lists.ibiblio.org
  • Subject: Re: [Homestead] Housing bubble or froth
  • Date: Wed, 08 Nov 2006 08:13:08 -0600


Gene, do you really believe the worst is over?

Yes, I believe the real estate market is well along in its cyclical self-correcting mode. The primary issue today is oversupply. Builders will continue to do whatever it takes to reduce inventory and get construction loans paid off so they can become prepared for the inevitable next wave.

Prices are important but secondary to oversupply. Prices were moving too much faster than income. If the Fed finds that the economy is in danger due to real estate market conditions it will lower their already low interest rate to stimulate the economy. This will allow yet another wave of refinancing.

And the beat goes on.






Archive powered by MHonArc 2.6.24.

Top of Page