Sonoma Housing Bubble

Pulling the cork out of Sonoma's bubbly housing foolishness

Friday, October 06, 2006

Say What?!?!?


PaperDinero is my hero today. Today they bring you... 70 minutes of Bubble History.

Click to see the see a review of Lereah, Bernanke and their ilk on the housing bubble.

1 Comments:

At 10/06/2006 09:27:00 PM , Anonymous Anonymous said...

David Lereah, author of Why the Real Estate Boom Will Not Bust - And How You Can Profit from It: How to Build Wealth in Today's Expanding Real Estate Market, says that we are not in a real estate bubble but rather, we are in a real estate balloon. According to Lereah, bubbles burst, but balloons do not -- they just deflate a little. This deflation accounts for the hissing sound that he says we are hearing.

As always, David Lereah is as full of shit as a Christmas goose. According to Lereah, rising housing inventory is a good thing because it allows more people to obtain huge, gimmicky, time-bomb mortgages to finance overpriced debt boxes. Lereah claims that this rising inventory crates a healthy market because it is accompanied by lower prices. Lower prices allow formerly priced-out buyers to jump into the housing market causing prices to rise again. Only Lereah could see a dead cat bounce as a good thing.

Then there's Lereah's Real Estate -- Now More Than Ever! theory: Why right now is a great time to buy, why right now is a great time to sell and why right now is a bad time to wait things out. Watch the video and you too will be asking yourself, "What the hell is he talking about?"

How can you build wealth in a real estate market in which all of the phony equity gained in the last 5 years (equity which has already been borrowed against and spent) is about to be wiped out? Apparently, only David Lereah can answer that question with a positive spin. Maybe he's right. Balloons don't burst -- they just pop.

 

Post a Comment

Subscribe to Post Comments [Atom]

<< Home

My Zimbio
Top Stories Bloggapedia - Find It!

Estate Real, House New

Housing Crisis

Free Site Submit by
SiteSubmitService.COM