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Why do people deny the existence of housing bubbles?


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2005 Jul 16, 10:29am   12,179 views  83 comments

by Peter P   ➕follow (2)   💰tip   ignore  

Some people deny that housing bubbles exist. Some even suggest that the recent appreciation is sustainable.

Are the consequences too scary to fathom? Are they just blinded by greed and fear? Do they even have the right information?

#housing

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44   SQT15   2005 Jul 16, 1:20pm  

Blah Blah Blah, Yadda Yadda Yadda. Nothing new to say...
Uh Oh. I'm giving negative attention. Bad QT. I'm feeding the beast.

45   SQT15   2005 Jul 16, 1:21pm  

Jack

In some way's I'm always on your side. I certainly respect you.

46   SQT15   2005 Jul 16, 1:40pm  

I didn't know it was going to be fairy tale night on the blog. I wish I had known, I could've asked HARM for pointers and everything. Damn.

47   SQT15   2005 Jul 16, 1:46pm  

I NEVER NEVER believe braggarts. If Marinara is God's gift at 28, why's he here with all us "losers" on a Saturday night. Where are all the women panting to get their hands on his "prime real estate?"

48   SQT15   2005 Jul 16, 1:49pm  

And no, no matter what answer Marinara gives to that question, I won't buy it either. No credibility.

49   SQT15   2005 Jul 16, 1:57pm  

I guess he'll have to rent a good night's sleep.

50   SQT15   2005 Jul 16, 2:08pm  

Night Astrid

Fun having you along tonight.

51   SQT15   2005 Jul 16, 2:09pm  

I thought ALWAYS ON TRANSMIT was TWIT.

52   SQT15   2005 Jul 16, 2:11pm  

Jack
Only one beer. You're probably a couple of six packs behind Marinara. Have I been feeding the Trolls? All that negative attention, I know. I should know better.

53   SQT15   2005 Jul 16, 2:15pm  

Jack
I hear ya. Fog obscures everything. Even one's thinking apparently.

54   SQT15   2005 Jul 16, 2:23pm  

AC on all day. Still hotter than hades.

You know, I never thought I'd say this. But I'm really looking forward to Surfer-X's response to tonights blog. It should be really interesting.

55   SQT15   2005 Jul 16, 2:24pm  

Astrid was right, things have slowed down a bit. Did TWIT check out too?

56   praetorian   2005 Jul 16, 2:25pm  

Just an observation: the notion that someone who writes at the level that MP does can own a home at 28 without massive parental (and possibly governmental) intervention is, like, preposterous or something.

And I say this as a 28 year old. Seriously.

Like, Oh My Gah, Cheers,
prat

57   SQT15   2005 Jul 16, 2:28pm  

Prat
I've been saying all night that mummy and daddy must be involved. So far no rebuttals to that effect. But would anyone believe Marinara anyway?

58   SQT15   2005 Jul 16, 2:29pm  

That is, if one believes there is an iota of truth in Marinara's ravings, the only explaination is mummy and daddy.

59   SQT15   2005 Jul 16, 2:30pm  

I LOVE Surfer-X’s posts!

I'm learning to appreciate the finer points of Surfer-X's rants.

60   SQT15   2005 Jul 16, 2:33pm  

I am sitting here, hoping that HARM is working on a new fable to include the dearly deluded Marinara. If not, I'll have to brush off my story telling technique, but I think I could do it as well. I mean, what do I cast him as? Pinocchio?

61   SQT15   2005 Jul 16, 2:35pm  

I remember a really terriffic reply you had to one of Surfer-X's rants that went a tad too far. I really thought you had a good grasp of how to speak his *language*. ;)

62   SQT15   2005 Jul 16, 2:36pm  

Oops. I meant to say I DON"T think I could do the story as well as HARM.

63   SQT15   2005 Jul 16, 2:37pm  

Not sure at all. But the ego seems to be male. I mean women definately don't have the need to compensate that men sometimes do. And boy, is this guy (I thinkk) compensating for something.

64   SQT15   2005 Jul 16, 2:42pm  

Outside of school, I’m a totally unhealthy recluse!

I'm so surprised. (really) You seem like a people person to me.

65   SQT15   2005 Jul 16, 2:44pm  

Jack
Do you think we should hang it up for the night. We seem to be way off topic and I'm not sure anyone else is around. It's fun talking to you, but this is a slow way to do it.

66   praetorian   2005 Jul 16, 2:44pm  

"But would anyone believe Marinara anyway?"

Yeah. Particularly in this thread, the writing has become so absurdly poor that it simply becomes implausible.

In any event, g'night. Golf tomorrow.

_mr burns voice_: excellent

Cheers,
prat

67   SQT15   2005 Jul 16, 2:47pm  

As surfer-X would say. Bazzzactly.

68   SQT15   2005 Jul 16, 2:50pm  

Night Jack.

69   Peter P   2005 Jul 16, 4:40pm  

I don't know. Marinara has quite a bit of free time for an investment banker... oh well. Need another thread again.

70   Peter P   2005 Jul 16, 4:45pm  

You can disagree with me all you want. You can’t be all bad if you actually LIKE exposed concrete, metal and glass!

My wife wants a normal house though. We may need to do half and half. :)

Imagine a house that looks like a craftman from the northern elevation and a post-modern blob of concrete and steel from the southern elevation... interesting, no?

71   SQT15   2005 Jul 16, 4:52pm  

I just cruised craigslist, I like to look and see what the rental market is doing. It seems like there are a lot of condo's appearing for rent these days. Naturally the rents being asked for are rather high, as the speculator/owners have obviously paid too much. I wonder how long they'll be able to hold out before they have to start dropping rents.

72   Peter P   2005 Jul 16, 5:09pm  

I wonder how long they’ll be able to hold out before they have to start dropping rents.

Not very long. A few months at most. :)

It is a weird market because the fundamental demand of housing (as consumption) is not very strong.

SactoQt, have you tried housingmaps.com?

73   SQT15   2005 Jul 16, 5:12pm  

SactoQt, have you tried housingmaps.com?

No I haven't, but I'll be sure to look at it now.
I noticed you put up a new post. But I'm still a student of topics like inflation vs. deflation. Are there any good sites that give a good explaination of the difference and how the housing market and oil prices affect them.

74   Peter P   2005 Jul 16, 5:20pm  

SactoQt, we are all students of the subject. :)

The argument about inflation or deflation is almost as heated as the one about whether there is a housing bubble.

This url has some interesting arguments

http://tinyurl.com/cuxuk

but we need to use our own judgement, as usual.

Please do suggest idea for posts through, we can have several active threads at the same time.

75   SQT15   2005 Jul 16, 5:22pm  

Thanks Peter, as always.

76   HARM   2005 Jul 16, 8:34pm  

Good God.

Leave this blog for one day and look what happens! Unreal....
Just got home & just checked in for the heck of it. Ended up spending 30 mins just to read/absorb it all.

Let's see if I got it all:
--Brand-new thread gets 200+ posts in under 5 hours (TWIT's right --gotta be a new Patrick.net record).
--Insulting, arrogant braggart called "MarinaPrime" takes over Face Reality's old job (Actually that's not fair to Face --he often used facts and reasoning to support his arguments. He/she/it is less coherent than Face was at his WORST).
--MP manages to insult/attack/alienate virtually everyone on the blog, including JACK, who's now DEFENDING THE POSSE !! ...Wow.
--MP earns TWO nicknames in less than an hour ("Marinara" and "Sauce" --btw, nice one Jack!)
--Jack & the Posse "speculate" on the identity/gender of MP, pretty much rule out Face or Fake P, then wonder if it's ME posing as an Alpha-Bull. (Sorry to disappoint, folks, but no. Not a bad idea, though... hmmm... file that one under Future Consideration).
--Surfer-X is a total no-show, at precisely the time when his acid rhetoric/put-downs are most needed (to bitch-slap MP).
--Peter ends the night by starting two more threads.

Wow, quite a night here in BubbleblogLand. Can't wait to see what happens tomorrow.

C'ya!

77   HARM   2005 Jul 16, 8:49pm  

Correction --Surfer-X got in one brief swipe at Sauce on the other thread (still reading).

78   KDLady   2005 Jul 17, 3:18am  

ha,ha bitch-slap LOL - Where's Surfer when we need him?

79   Peter P   2005 Jul 17, 5:48pm  

People that deny bubbles either (1) Own property and bubble reality hurts to much to think about, (2) Never seen or have been affected by a major buuble, (3) The old “people have been saying this for 30 years” argument.

I think (3) is quite understandable. However, talking about the bubble does not prevent its occurance. (Unlike the Y2K problam - focused efforts prevented the problem.)

80   bubblesitter   2012 Jun 19, 1:26am  

Peter P says

Why do people deny the existence of housing bubbles?

People those deny are the couch potatoes - relaxing on their butts and calculating(dreaming!) 20% YOY home price appreciation. This is completely against basic laws of economics,making money while doing nothing.

81   Serpentor   2012 Jun 20, 3:43am  

holy old thread resurrection

82   Dan8267   2012 Jun 20, 4:00am  

It's not that they don't believe the bubble is real. It's that they think they can convince a fool that it isn't and get the fool to pay much more for their house than its worth. When money is on the line, the truth goes out the window.

83   freak80   2012 Jun 20, 4:43am  

God Bless America.

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