Bears in the Drivers Seat?
Maybe not quite yet, but we do have our learners permit.
The Northern California housing market is all a tremble over the increasing interest rates according to this item even though it appeared about three weeks ago the handwritings on the wall:
"in Northern California we are seeing hundreds of price reductions daily, but that doesn't tell the true story. Home sellers are pricing themselves right out of the market to begin with, only having to drop their listing price three weeks into their listing"
People don't want to face the fact that they paid too much for their domicile, they can't carry the payments, yet they don't want to take a penny less then their inflated purchase price for getting out, thus a series of stuttering price drops. Sort of like hitting your ass on every step all the way down to the bottom. Painful, yes.
The one thing I disagree with in this article is that it's not yet bargain time. Things haven't fallen far enough for the most part. Of course most RE agents will say now's the time to jump in but the Marin RE Bubble Blog had links to an interesting article: Marin Real Estate Bubble: Deflation is More Likely than Hyperinflation which would be enough to put the skids under any prospective house shopper.
Meanwhile, I checked in on what's going on at ZipRealty, always a great place to look, as they show one the price reductions and the number of days on the market, quite a rarity these days in looking at RE. There are 96 price reductions in todays listings. The average amount of DOM for these reduced price houses is 80 days.
Down in San Diego,,they're writing about the Housing Hangover. Even if the party may be continuing in this movable housing feast, Excederin stock looks to be a good investment.