Thursday, November 09, 2006

Housing thoughts

Housing is vastly overpriced. A house is fairly priced when you can buy a home, then rent it out and the rent will cover all costs including upkeep, damage, insurance and taxes. You can't do that today -- you can't even get close.

The housing boom topped around August 2005. Historically, it take about two years after a housing top before the big trouble hits. This suggest that we'll see the housing agony hit around mid-2007. The market should start discounting the housing situation fairly soon.

1 Comments:

Blogger vfsv said...

Silicon Valley's reported median prices appear to be holding up but we increasingly see evidence of manipulation of the data.

We see it in our own neighborhood:
http://www.viewfromsiliconvalley.com/id277.html

and also in reported county-wide stats:
http://www.viewfromsiliconvalley.com/id125.html

Keep checking
www.viewfromsiliconvalley.com for all the latest numbers and news.

Thanks!

7:12 PM  

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