So do you figure this story adds to the bull camp which likes seeing that headline $500,000 median price tag rather than the inventory line ( or certainly the line that foreclosures were up 40%)?
How knowledgeable are the readers (and how conscientious to read beyond the headlines) and does the press have an obligation to bring this to their attention ( the inventory headline) rather than publish the one they did which may be doing only the speculators a favor?
Do we see evidence that slowing housing price increases are slowing home equity withdrawals? Where can I see home equity withdrawal statistics -- are these published anywhere?
Since most home equity loans are taken by borrowers that have strong equity positions (due to current valuations) a slowdown in appreciation does not effect withdrawals as much as rising rates.
On the subject of the media, as long as writers and reporters quote realtors and others that have an interest in seeing the current cycle continue expect more of the same. We know if these folks actually researched the subject to get a true picture of whats going on it would translate to more responsible reporting.
Can I understand dchog? Here is the cloud that I am in: As long as house appraisals outpace mortgage rates, the refi will continue to supply the consumer and not the Fed's tightened/loosened money supply. (Some disagree with this and I think they are in a denser cloud.) dchog figures "a slowdown in appreciation does not effect withdrawals as much as rising rates" and I suppose I am ignoring those with a fat equity position (which might be a sizable majority of the new home owners in the last 4 years) [which we have seen in the UK, last for nearly 18 months].
Ok, time to make a slight adjustment in my cloud. Thank you dchog.
Good points made and will add
many are selling, leaving, or no longer entering San Diego. San Diego has more and more become a an area for tourists, the wealthy who buy with cash, wealthy foreign money who do the same... and the rest = nat. corporate shopping malls, and those who provide services to cut their hair, do their yards, and otherwise wait on them and shine their shoes and ...
So do you figure this story adds to the bull camp which likes seeing that headline $500,000 median price tag rather than the inventory line ( or certainly the line that foreclosures were up 40%)?
How knowledgeable are the readers (and how conscientious to read beyond the headlines) and does the press have an obligation to bring this to their attention ( the inventory headline) rather than publish the one they did which may be doing only the speculators a favor?
Do we see evidence that slowing housing price increases are slowing home equity withdrawals? Where can I see home equity withdrawal statistics -- are these published anywhere?
calmo, I think the Union's story is solid, but I understand your complaint on the headline.
babygenius, Freddie Mac reported that equity extraction was still solid last quarter. They report every quarter.
Best Regards.
Since most home equity loans are taken by borrowers that have strong equity positions (due to current valuations) a slowdown in appreciation does not effect withdrawals as much as rising rates.
On the subject of the media, as long as writers and reporters quote realtors and others that have an interest in seeing the current cycle continue expect more of the same. We know if these folks actually researched the subject to get a true picture of whats going on it would translate to more responsible reporting.
Can I understand dchog? Here is the cloud that I am in: As long as house appraisals outpace mortgage rates, the refi will continue to supply the consumer and not the Fed's tightened/loosened money supply. (Some disagree with this and I think they are in a denser cloud.) dchog figures "a slowdown in appreciation does not effect withdrawals as much as rising rates" and I suppose I am ignoring those with a fat equity position (which might be a sizable majority of the new home owners in the last 4 years) [which we have seen in the UK, last for nearly 18 months].
Ok, time to make a slight adjustment in my cloud. Thank you dchog.
Good points made and will add
many are selling, leaving, or no longer entering San Diego. San Diego has more and more become a an area for tourists, the wealthy who buy with cash, wealthy foreign money who do the same... and the rest = nat. corporate shopping malls, and those who provide services to cut their hair, do their yards, and otherwise wait on them and shine their shoes and ...
Also: Real estate in San Diego has been a Monopoly --with all that implies-- for past 15 years+.