- On 10 Nov 2012
Regular Sales Will Rise.
Hi Roberto. How are the acquisitions going? I'm closing on another place Tuesday - but not Arizona. Good inventory is hard to come by.
In other markets I am seeing a resurgence of regular sales.
As prices rise there are owners who were underwater but not willing to do a short sale flooding the market. Many are overpriced as owners put their houses on the market for what they owe - not the current market value (list and pray).
I haven't seen this in the PHX market yet as the price decline was more severe and most who bought at the peak are still underwater. If prices keep rising you will see some - people who put down a lot or people who bought before 2001.
Where I am now the flood of regular sales have dampened demand for distressed sales. Hence I am picking up a few bargains here and there.
I do think there is still a lot of inventory underwater in Phoenix. So I see foreclosures / shorts continuing for at least 3 or 4 years. Their impact on prices will be less as there are many more 'investors' than there were in '09 or '10 willing to buy anything that looks remotely like a bargain.
Barring a fiscal cliff tragedy, I think prices will continue to itch up close to replacement cost.
- On 29 Oct 2012
Las Vegas home sales fall for fourth consecutive month,
I think everyone should reread the article. First off, I don't know shite about the LV market - so I am just putting out ideas here.
Sales may have decreased as there just isn't enough inventory going through foreclosure. Most inventory gets bought up quickly (and put back on the market as rentals). Sales might show a decline if there simply was not enough inventory.
Sales have declined but median prices remained strong. Hmmmm...
Last year computer hard disk sales plummeted. Why? Because the factories in Thailand were flooded - not because demand weakened.
My Vegas Experience 2005:
In 2005 I was in LV and went looking at some new houses for fun. 300K for a starter home - built on worthless sand. I didn't know anything about the US market at the time as I had been living overseas and missed the whole bubble thing. But I thought to myself: How could a shit shack on a sand lot be worth 300K?
When I was cleaning out my file cabinet recently I ran across the brochures for the development. I then looked it up and the houses were going for 80K. I guess my intuition was correct - they were overpriced shit shacks built on nearly free desert land.
I doubt LV will recover as Phoenix and other markets have. Recovery requires a rise in good jobs - which are scarce in LV.
But on the other hand it is now a very cheap place to live. A couple can probably live comfortably off two casino job incomes. Might be a good place for anyone on a fixed income. Anyone living there please chime in...
- On 29 Oct 2012
Looking for a Android Tablet,
Hey, if you ask around you will find someone who has one in a drawer somewhere.
I have an Android tablet and a few Android phones in a drawer around here somewhere.
There are a lot of Android devices out there but few are being used - might take a clue from the crowds that bought them. Reverse crowd sourcing.
None of the devices were upgradable to a newer version of Android. I am sure there is a hack out there but my time is worth too much.