Real Estate

[Brutus]

some thoughts about real estate?

http://www.marketwatch.com/news/stor...9348B68C275%7D


http://www.reporterherald.com/news_story.asp?id=20313

[luvMY$$$]

just asking? lol.

[moo321]

Originally Posted by luvMY$$$

just asking? lol.

Yes. Buy REIT stocks.

[InPlay]

It's over valued depending on what part of the country you live in.

[ChefJJ]

Originally Posted by InPlay

It's over valued depending on what part of the country you live in.

I agree. We need this market correction...sorry about those folks that got in at an over-inflated time, but that's life.

good luck

[darco77]

Residential or Commercial?

Rez is mixed. Bottomed and recovering in some areas, while still correcting in others.

Commercial is subject to location, too, but could still be on the way down. As the general economy continues to slow, the effect is felt by retailers and manufacturers alike, which leads to commercial vacancies in malls, shopping centers, industrial parks, etc etc. Of course, this slowdown won't be as swift and violent as the residential bubble burst, but is real nonetheless.

[glovesetc]

The bottom in the housing market is about 16-18 months away and commercial as darco so eloquently stated may be the one on a slow elevator down . This is going to be a long recession and if you think anything else you are sadly mistaken. We did not get in it overnight { more like30 years} and we will not get out of it overnight as well . How long is anyones guess . Long tough road ahead folks but when it does pick up it will be a gradual and steady upswing over a protracted time period .

[blackjack avenger]

The buy and hold strategy in stocks is being severely tested.
Corruption and mismanagement rampant on wall street.
Housing prices down.

Money will start flowing to real estate as the main alternative to stocks.

One thing I do not know.
Are there to many houses in this country or are the prices just to high?

[glovesetc]

Originally Posted by blackjack avenger

The buy and hold strategy in stocks is being severely tested.
Corruption and mismanagement rampant on wall street.
Housing prices down.

Money will start flowing to real estate as the main alternative to stocks.

One thing I do not know.
Are there to many houses in this country or are the prices just to high?

I doubt it will flow to real estate as most people who HAVE money do not really want to be landlords and all the headaches that come with it as far as buyimg single houses . Duplexes maybe if they are owner occupied and you rent 1/2 out and basically live rent free . There is a ton of houses available - new and previously owned as well . The prices are not too high but the banks in my are want a minimum 700 credit score with at least 15% downstroke or it is no go . The downturn has ruined alot of peoples credit and catastrophic illnesses also have helped destroy credit. Then you have credit cards maxxed out which is a real red light to a mortgagge lender as well . Adding to the glut is alot of the cities are rebuilding plants and warehouses into lofts and condos as well and this was never meant to be housing . Another killer in the next year will be the boomers downsizing and getting rid of their 3-6 bedroom homes now that it is just the wife and husband as the kids are long gone .The other sector is people who have second homes as well such as vacation homes that they will be unloading . I had a vacation home that I unloaded two years ago on upstate new york in the adirondacks that I bought 30 years ago and custom built it over the next 10 years . It was nice with 500feet of lake frontage as well but I did not use it much and I got out just right . I could buy it back today for $200,000.00 less easily then what I sold it for . The final nail in the coffin is that people are so upside down in their mortgages that even if they wanted to sell they could not because the loss would be too huge . The next big wave is going to come in commercial real estate as companies outsource, downsize, or go bust will not need all the space thus starting a glut on that next . Be interesting to see where it all ends up .

[Brutus]

when the average joe can afford the average house, then real estate has found its level. even if the banks get "bailed out" this will not help the average joe pay for overpriced digs.

of course I am assuming that the middle class will remain intact. if it does not, homeownership may be a thing of the past.