US house prices drop 11.4% in January

The biggest drop in 20 years.

Doesn't seem to bode well. Consumer confidence figures are out shortly too.

biz.yahoo.com...

And I still can't afford anything around here!

Every seller around here is in denial about the market and keeps insisting on keeping their prices high.

It's really frustrating.

This is when those who stayed debt free, saved their money and didn't do anything stupid like sign onto an ARM for a property they couldn't afford are supposed to be rewarded for not being idiots.

The way this bailout crap is going is looks like all the idiots are going to be rewarded for being idiots and everyone who has lived responsibly will get screwed yet again.

reply to post by thisguyrighthere


I think it'll all go suddenly with an almighty bang once people realise they can't sell & that they need to remortgage / lose their jobs / etc

Sentiment will eventually change, like it always does, & then we're all in deep dodoos!

Prices are going down so fast here near Orlando I can hardly keep up. There is an area here near Kissimmee and Poinciana where houses were selling for over 220,000 each for new homes (which they built thousands!). On craigslist now there are listings for these same houses selling pre-foreclosure or short for $98,000 or $110,000. Closer to their real value? No. The banks have black listed the area so unless you are paying CASH you are not going to buy one of these houses. The area is blacklisted because the banks know the values will continue to fall and that anyone who buys a house here in this rapidly declining neighborhood is going to suffer a loss and possibly walk. Folks with 750+ FICO AND 20% down are being denied mortgages here!!!

Housing is done and once all the people who bought in the last 3 years realize they are going to lose 40-50% of the value of their homes they will start to walk en masse away from their horrible horrible "investment".

A blood bath.

Consumer confidence down to 65 from 76.

TEOTWAWKI

The funniest thing I have seen today!
CL funny. Must see!!!




[edit on 25-3-2008 by Tinhatman]

Originally posted by Tinhatman
Prices are going down so fast here near Orlando I can hardly keep up. There is an area here near Kissimmee and Poinciana where houses were selling for over 220,000 each for new homes (which they built thousands!). On craigslist now there are listings for these same houses selling pre-foreclosure or short for $98,000 or $110,000. Closer to their real value? No. The banks have black listed the area so unless you are paying CASH you are not going to buy one of these houses. The area is blacklisted because the banks know the values will continue to fall and that anyone who buys a house here in this rapidly declining neighborhood is going to suffer a loss and possibly walk. Folks with 750+ FICO AND 20% down are being denied mortgages here!!!

Housing is done and once all the people who bought in the last 3 years realize they are going to lose 40-50% of the value of their homes they will start to walk en masse away from their horrible horrible "investment".

A blood bath.

Consumer confidence down to 65 from 76.

TEOTWAWKI

The funniest thing I have seen today!
CL funny. Must see!!!




[edit on 25-3-2008 by Tinhatman]

Consumer confidence dropping fast then...

Prices fell in January and then in February home sales rose to the first sales increase since July 07. Prices fall and sales rise. Anyone see the correlation?

Feb is ALWAYS higher than Jan. This February is only 3% or so higher than this January. That's approximately FLAT. Sales are down over %24 from last February.

Sales being up this month is a historical consistency and the fact that they were up only around 3% can be conceded as a loss in many ways. This is not good news. It is only spun as good news because there has been so much very bad news that mor ebad news will add to the panic that is beginning to take hold. Panic is very very very bad news.

[edit on 25-3-2008 by Tinhatman]

a 3% increase is a lot for home sales in any month. That's millions of sales. The first increase in over 6 months. But prices will continue to fall and sales may actually continue to rise. The housing bubble is bursting and many investors who want a better price on a home, like myself, are waiting on the bottom to fall out completely. I would like to get a half a million dollar home for 200K or less. Panic is only bad for those who panic.

[edit on 25-3-2008 by zerotime]

I' m in your boat. I'm betting for an over correction and prices to hit a deep bottom. Then I buy. If I can get a loan. I have a down payment and good credit, we'll see what the banks do when the bottom falls out.

3% is no good when you consider the price drop. -10% drop in median prices and only a 3% increase in sales? Flat, a loss in some points of view.
Millions of sales? Yep. Will it make a difference? No, not in the long run. The markets crash is continuing.