And the cheerleaders have reached a new low.
We hear a lot of adages out there, but one of the most popular is "All real estate is local." This is brandied about as though it were some tidbit of wisdom, and as though similar statements could not be said of any other market. If you buy this line, it is meant to imply that when one stock goes down, they all do...but real estate is local. Or if one metal drops in price they all do, but real estate is local. Or if one crops valuations drop they all do, but real estate is local.
It's already a false dichotomy and a trivial argument to make (as if people have ever argued that the poor past performance of land prices in Antartica can be generalized).
That rant was just a lead in to this article on MSN. The quote I want to highlight is this:
Wow! Every major population center in the nation is embattled in record declines, but the fact a handful of places are seeing no appreciate proves how local real estate is?!?
It's already a false dichotomy and a trivial argument to make (as if people have ever argued that the poor past performance of land prices in Antartica can be generalized).
That rant was just a lead in to this article on MSN. The quote I want to highlight is this:
In a few places -- small cities and towns in scattered places -- prices held, demonstrating the adage that all real estate is local.
Wow! Every major population center in the nation is embattled in record declines, but the fact a handful of places are seeing no appreciate proves how local real estate is?!?
Comments
The same can be said for stocks that don't drop as much in a market crash.
The prices probably haven't fallen because there are no buyers....
If you work in Seattle or on the East Side and want to live in Enumclaw Raise you hand....Great prices there.
Not true actually. I am familiar with a number of far out areas with no jobs. Even these areas got kind of frothy. They might not have seen 86% increases like King County, but when an area sees essentially no appreciation or job growth for a decade and then has housing prices rise 40% in 3 years, it's still kind of a big deal.
My theory is that the high demand for building materials actually did drive prices up in places with little demand, because the cost to build a new home rose.
Be an equity locust. Save up $$$ in Seattle, then move out to a nice place and start a business. :twisted: