Wave of Foreclosures Drives Prices Lower, Lures Buyers

Hey, I thought that the glut of foreclosed homes had driven U.S. home prices down so much that buyers were jumping back into the market?

Didn’t I read that somewhere?

Oh, that’s right — that was actually an erroneous front page article in the WSJ. It turned out the the February pop was just the ordinary seasonal pattern

Oops, sorry, my bad — pardon the interruption . . .

Housing Prices Deflated

Prices_falling_2

Unsold Inventories Pile Up

Total_homes_for_sale_2

charts courtesy of Haver Analytics, Merrill Lynch


 


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Previously:
Existing Home Sales, Non Seasonally Adjusted, Explained
  (March 2008)  http://bigpicture.typepad.com/comments/2008/03/existing-home-s.html

How Counter-Productive is Realtor Association Spin?   (March 2008)   http://bigpicture.typepad.com/comments/2008/03/how-counter-pro.html

Wave of Foreclosures Drives Prices Lower, Lures Buyers
Oversupply Triggers Lenders’ Fast Sales; Mr. English Bids
JAMES R. HAGERTY and KRIS HUDSON
WSJ March 25, 2008; Page A1
http://online.wsj.com/article/SB120640573882561087.html

Category: Data Analysis, Financial Press, Real Estate

Existing Homes Sales Fall; NAR seeks a PhD in Absurdism

Category: Data Analysis, Real Estate

Housing Price to Rent Ratio

Category: Real Estate

This Bull Has (Had) Legs !

Quite a while ago, I had an interesting conversation with a smart fundie manager. We had opposing views about many things. In particular, we disagreed upon was the value of (non-price) sentiment indicators. His argument was that when stocks get cheap enough — as reflected in their Prices, P/Es and cash flow measures — other…Read More

Category: Contrary Indicators, Financial Press, Investing, Markets, Psychology

James Galbraith Says Housing Problem to Last `Long Time’

Since we get existing home sales later today:

James Galbraith, an economics professor at the University of Texas,
talks with Bloomberg’s Matt Miller from Austin, Texas, about the
outlook for the U.S. economy and the challenges facing the next
president, the impact of Federal Reserve monetary policy on inflation,
and the state of the U.S. housing market.

click for video

Galbraith

James Galbraith Says Housing Problem to Last `Long Time’
Bloomberg, May 16 2008
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aT2P76NSBpf4

Category: Economy, Real Estate, Video

Is eBay “Broken” ?

Category: Consumer Spending, Retail, Web/Tech

Half Empty? No Such Thing!

Category: Data Analysis, Psychology, Quantitative

Currency for the Blind

Category: Currency, Economy, Taxes and Policy

Coincident Index by States

Category: Economy, Federal Reserve, Politics

Philly Fed: Don’t Rely On Core Inflation

Category: Data Analysis, Federal Reserve, Inflation