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Roubini: "It's Pretty Clear The Housing Market Has Already Double Dipped"

Tyler Durden's picture





 

Hopefully today's 4th consecutive decline in home prices, as per the earlier noted Case Shiller October data (and with both mortgage rates and foreclosure inventory surging, we are willing to bet that following the reported November and December CS data, the decline will be for half a year straight), makes it sufficiently clear that housing has double dipped, and that the primary goal of Bernanke, which is not to pad banker bonuses, but to reflate home prices and recreate that mythical HELOC "fake wealth effect" piggybank, has been a complete failure (he sure is succeeding in getting WTI about to soon hit $100/barrel). Just in case there are any doubters left, Nouriel Roubini sat down with CNBC's netnet to confirm what virtually everyone else already knows: "It's pretty clear the housing market has already double dipped," per Nouriel, who recently took advantage of the NYC housing downturn and bought a $5.5MM pad. "And the rate of decline is stronger than in previous months" - precisely what we pointed out a few hours back. In other words, the double dip is accelerating. Today's jump in 10 and 30 Y rates will not help.

Furthermore, another rather obvious observation by Roubini demonstrates precisely why the drop in home prices is just starting to be felt: "The shadow inventory of not-yet-foreclosed homes—due to the moratorium—will surge in the next year." In other words, "Supply will increase, demand will drop."

Also, keeping in mind that there are tens of millions of Americans who are underwater on their mortgages, and thus not incentivized to pay their bills, any ongoing price drops will create a vicious loop whereby more and more people walk away from mortgages, and otherwise stop paying, as a result of which, banks will be forced to REO at least some of these properties (it is well known that banks allow squatters to live under payment delinquency for up to 24 months: where else does America get the money for that 4th Kindle and 2nd iPad?), causing prices to drop even more, and make the Catch 22 even worse. Which means that very soon Ben will again be forced to do a ritualistic killing of the stock market, pretty much as what happened on May 6, to get the population out of stocks again and back into bonds. Because should the 10 Year pass 4%, it is game over for housing, no matter how much Goldman protests, and the Chairman knows it all too well.

 

 


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Tue, 12/28/2010 - 17:04 | Link to Comment unwashedmass
unwashedmass's picture

 

no one is getting out of here alive....except the folks who own the hard stuff.....gold and silver.

Tue, 12/28/2010 - 17:06 | Link to Comment wretch
wretch's picture

And a goodly amount of lead, brass and steel in the right configurations.  The hard stuff.

Tue, 12/28/2010 - 18:05 | Link to Comment Financial_Guard...
Financial_Guardian_Angel's picture

That article you linked to from "Rich Dad, Poor Dad is God aweful and the chart is outdated and misused. 10 minutes of my life I can never get back...

Wed, 12/29/2010 - 10:46 | Link to Comment Richard Weed
Richard Weed's picture

In my opinion Roubini is a morose clown.

Please STOP giving this talent-less self-promoter the time of day.

Yes, 10 minutes of my life I shall never get back... thanks alot.

Tue, 12/28/2010 - 21:25 | Link to Comment A Nanny Moose
A Nanny Moose's picture

don't forget the alcohol...the hard stuff.

Wed, 12/29/2010 - 04:31 | Link to Comment Ragnar D
Ragnar D's picture

You want your lead to be the soft stuff, generally...

Tue, 12/28/2010 - 17:04 | Link to Comment 101 years and c...
101 years and counting's picture

Um, killing the stock market no longer guarantees money flowing into bonds.  Looks like retail is done with both.  Plainly stated, they need the money to pay monthly food and energy bills.

 

Tue, 12/28/2010 - 17:06 | Link to Comment plocequ1
plocequ1's picture

Housing Market.. Is there a stock symbol for that?

Tue, 12/28/2010 - 17:08 | Link to Comment Cortez
Cortez's picture

FNM and FRE.........  or maybe it is SOL.

Tue, 12/28/2010 - 17:13 | Link to Comment Lionhead
Lionhead's picture

Yes, you will find it here:

http://data.imagup.com/5/1108243239.png

 

Tue, 12/28/2010 - 18:28 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

Seems to be $

As fed money flows to crooks.

Home builders continue to rise as business keeps tanking.

Tue, 12/28/2010 - 23:33 | Link to Comment ATTILA THE WIMP
ATTILA THE WIMP's picture

DOA KIA AFU

Tue, 12/28/2010 - 17:08 | Link to Comment gbresnahan
gbresnahan's picture

double dip?

we haven't even finished dipping once, IMHO

Tue, 12/28/2010 - 17:18 | Link to Comment akak
akak's picture

Yeah, "Double Dip" presumes a "Recovery" that none of us were able to see whiz by.  Well, none of us except for HarryWanger, who somehow managed to hitch a ride --- so he says.

I think the only real "Double Dip" is those who keep calling for one.  The rest of us can clearly see this ongoing and deepening depression for what it truly is.

Tue, 12/28/2010 - 18:43 | Link to Comment Seasmoke
Seasmoke's picture

not sure what recovery was harder to see, the RE Recovery or the Summer of Recovery

Tue, 12/28/2010 - 17:07 | Link to Comment themosmitsos
themosmitsos's picture

"accelerating" being the key word ;)

Tue, 12/28/2010 - 17:09 | Link to Comment RobotTrader
RobotTrader's picture

What a crock.

Roubini just shelled out $5.5 million for a condo and took out a $3 million mortgage so he has a fancy place to take his hookers over the weekend.

http://www.businessweek.com/news/2010-12-17/nouriel-roubini-buys-5-5-million-manhattan-condo.html

Obviously, he's touting more "doom and gloom" just to rake in more speaking engagement fees.

Tue, 12/28/2010 - 17:10 | Link to Comment the not so migh...
the not so mighty maximiza's picture

WOW, real women with real fees

 

Tue, 12/28/2010 - 17:19 | Link to Comment goldmiddelfinger
goldmiddelfinger's picture

I would junk the photo but I like Ruby and his taste in women far more than I dislike robutt's poor tact

Tue, 12/28/2010 - 18:46 | Link to Comment grunk
grunk's picture

They should only take gold and silver for services.

 

"Hard assets", ya know.

Wed, 12/29/2010 - 00:32 | Link to Comment merehuman
merehuman's picture

the one on the left has calculator eyes. She can see the size of your wallet from anywhere

Wed, 12/29/2010 - 00:44 | Link to Comment Client 9
Client 9's picture

Why is that?  Because she is pretty and the only reason she would pay attention to someone like you is if you tried to buy her affection?

Pathetic judgements.  Well done Nouriel. On multiple fronts.

Tue, 12/28/2010 - 17:11 | Link to Comment wretch
wretch's picture

I see no inconsistency here.  There's no reason why doom and hotties cannot mix.  What the fuck is wrong with you?

Tue, 12/28/2010 - 17:25 | Link to Comment goldmiddelfinger
goldmiddelfinger's picture

I'm down wit tha sickness. Party like Dr Strangelove!

"Doctor, you mentioned the ration of ten women to each man. Now, wouldn't that necessitate the abandonment of the so called monogamous sexual relationship, I mean, as far as men were concerned?"
"Regrettably, yes. But it is, you know, a sacrifice required for the future of the human race. I hasten to add that since each man will be required to do prodigious... service along these lines, the women will have to be selected for their sexual characteristics which will have to be of a highly stimulating nature"
        - General Buck Turgidson & Dr Strangelove

Tue, 12/28/2010 - 17:49 | Link to Comment Cdad
Cdad's picture

Wretch,

Robo's problem is that his entire notion of wisdom is a 12 month chart of something that has already happened, or pictures of breats.  Well, that is the short answer, anyway.

 

Wed, 12/29/2010 - 00:32 | Link to Comment merehuman
merehuman's picture

i'll take a dozen breasts.

Tue, 12/28/2010 - 18:15 | Link to Comment Captain Courageous
Captain Courageous's picture

+1000

When it all really goes to hell, who doesn't want to wind up in a bunker somewhere with a couple of happy kittens giving you a tongue bath?

Tue, 12/28/2010 - 18:49 | Link to Comment grunk
grunk's picture

You're only getting a tongue bath as long as they're getting Kitten Chow or Fancy Feast. If not, you're looking at cat scratch fever.

http://www.youtube.com/watch?v=nW8S58CYQqs

 

Tue, 12/28/2010 - 17:13 | Link to Comment akak
akak's picture

I don't know how far Count Chocula's "gloom and doom" actually extends --- he is still insisting that gold reaching $1500 is "impossible".  Not unlikely, not far-fetched, but actually "impossible".  I have a feeling that the "impossible" is going to overtake Count Chocula's reality before very long.

Wed, 12/29/2010 - 00:45 | Link to Comment Client 9
Client 9's picture

I agree with his gold prediction and his taste in women.

Wed, 12/29/2010 - 00:45 | Link to Comment Client 9
Client 9's picture

I agree with his gold prediction and his taste in women.

Wed, 12/29/2010 - 01:08 | Link to Comment Saxxon
Saxxon's picture

Perhaps he has the $1,500 price correlated somehow with the price of crude around $100; at which point, some might figure, demand would begin to break down.  I find his stance on $1,500 puzzling.

Tue, 12/28/2010 - 17:27 | Link to Comment NotApplicable
NotApplicable's picture

And he did it with an adjustable rate mortgage with a 5 year reset?!?! So I wonder if he knows that the New & Improved Fanniefreddiestein is going to be setup to hand out sweetheart deals for the politically connected?

Welcome to Bizarro World.

Tue, 12/28/2010 - 18:46 | Link to Comment UncleFester
UncleFester's picture

No, he's just putting your money where his mouth is.  He spelled it out in plain english. 

1) Buy now, housing rcovers, sell before the reset, make bank.

2) Buy now, prices freefall, turn in the keys and walk away.

Even if #2 occurs, he had a sweet pad to live in for a couple of years.  I Fester.

Tue, 12/28/2010 - 17:51 | Link to Comment andybev01
andybev01's picture

Oh, that's what he meant be 'double-dip'.

Tue, 12/28/2010 - 19:25 | Link to Comment Implicit simplicit
Implicit simplicit's picture

That was Great!

Tue, 12/28/2010 - 18:31 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

How much were th e hookers?

Tue, 12/28/2010 - 18:34 | Link to Comment rosiescenario
rosiescenario's picture

...looks like money well spent....

Tue, 12/28/2010 - 19:26 | Link to Comment eatthebanksters
eatthebanksters's picture

Robo, if you're so bullish on the markets and housing, then buy, baby, buy!  The Fed capitulated on housing last week when the report by their two analysts came out admitting they had made a mistake by supporting the TBTF banks.   $4 trillion in loan mods two years ago would have set a floor on the housing market and things would be so much rosier...unfortunately the banksters couldn't profit from that idea so they figured out how to move $20 trillion or so all over the place so this would be a record year for bonuses.  When the guvmnt starts cutting social welfare  and entitlement programs, don't say I didn't warn you when the people who got fucked start using bankers for target practice, French Revolution style.

Tue, 12/28/2010 - 19:28 | Link to Comment THE DORK OF CORK
THE DORK OF CORK's picture

Nah , me thinks he is preparing for a currency collapse......

and may I add, he has excellent taste.

Tue, 12/28/2010 - 19:28 | Link to Comment Salinger
Salinger's picture

right on ROBO -- he is a one trick pony who kept hidden his financial and business relationship with Larry Summers all through the crisis

 

(pdf)

 

http://on.wsj.com/i7StcE

Tue, 12/28/2010 - 20:47 | Link to Comment SteveNYC
SteveNYC's picture

Howdy, neighbor!!

Tue, 12/28/2010 - 17:09 | Link to Comment FoieGras
FoieGras's picture

"Mr. Broken Clock" Roubini. When will this guy realize his 5 minutes of fame are up?

Tue, 12/28/2010 - 17:24 | Link to Comment mberry8870
mberry8870's picture

As soon as you stop talking about him.

Tue, 12/28/2010 - 17:52 | Link to Comment Cdad
Cdad's picture

FoieGras,

Who cares about Roubini, economists, or the economy?  What do we need that stuff for?  Ben Bernank prints money, criminal syndicate Wall Street bankers sell their STBX notes for Bernanke bananas, they use them to buy the Roach Motel [SPY], and that is that.  This is all we need now.

Get up to speed, man.  The economy does not matter, and neither do economists.  Please, fix your gaze upon fictional forward earnings expectations set by criminal syndicate Wall Street bankers so that you can buy the Roach Motel more quietly.

Thank you.

Tue, 12/28/2010 - 17:09 | Link to Comment Boilermaker
Boilermaker's picture

...as IYR and it's components finish up another fine day massively outperforming the broader market and continue it's march upward after hours.

TA-DAH!

They'll do the same shit with this as they did with the financials.  They'll shove your shorts and puts right back in-yo-face.  They couldn't give a shit less how blatant it is.  The bazooka will be inserted into your rump and fired.

Tue, 12/28/2010 - 21:12 | Link to Comment bugfixx
bugfixx's picture

A strange game. The only way to win is not to play.

Tue, 12/28/2010 - 17:11 | Link to Comment Cortez
Cortez's picture

I have a house I use once a week to go bowling.  Maybe I should join a bowling league near my current place and sell or rent that house.

Tue, 12/28/2010 - 17:14 | Link to Comment Dr. Doom
Dr. Doom's picture

Economic double-dip not far behind

Tue, 12/28/2010 - 17:15 | Link to Comment Cortez
Cortez's picture

Just buy the fucking dip.  Economic dips are the tastiest, especially with crackers.

Tue, 12/28/2010 - 17:15 | Link to Comment OMG
OMG's picture

Roubini's Angels who would of thunk it.

Tue, 12/28/2010 - 17:17 | Link to Comment hugovanderbubble
hugovanderbubble's picture

This is the best web ever:)

Tue, 12/28/2010 - 19:43 | Link to Comment VisualCSharp
VisualCSharp's picture

You win 1000 Internets for that strangely ambiguous comment!

Tue, 12/28/2010 - 23:21 | Link to Comment Alienated Serf
Tue, 12/28/2010 - 23:31 | Link to Comment StychoKiller
StychoKiller's picture

You're in a large room with twisty passages leading off in all directions...there's a small bottle in here.

Tue, 12/28/2010 - 17:16 | Link to Comment duo
duo's picture

So all those millions that took an $8K bribe to pay $50K more for their house than they had to had they waited, are going to mail in their keys?  I wouldn't blame them.  I just wish the real estate agents/brokers had to give back the fees they made from this scam.

Tue, 12/28/2010 - 17:51 | Link to Comment MachoMan
MachoMan's picture

I will probably be doing this soon.  I have too much equity at the present and I'll happily repay $8k to save it...  You can also sell in the spring and not pay til the next april 15 rolls around...  so you'll get an extra year of interest out of them anyway.  If this means paying $8k of debt off, such as a 20% credit card, then you're rocking and rolling...  would pay the fees for selling.  If your prospects aren't as hot, you can at least still protect your wealth...  what's an $8k hit to save $50k?  No brainer.  Plus, you can pay them with your refund from the following year (netted against $8k)...  so, if you want, you can set up an uncle sam payment plan by increasing your withholdings...  no big whoop...  no brainer.

I suspect I'm not alone.

The bankers will get their fees again, but some other schmuck will be paying them...  (actually, I'll get nailed indirectly through higher taxes to bail their sorry asses out).  I'm thinking of renting for a year or two and making up the loss with decreases in prospective home prices.  There are a lot more HUD/Fannie/Freddie homes coming up for sale here...  and they range all over the board...  (from shit I wouldn't let my dog live in to stuff way above my pay grade). 

Tue, 12/28/2010 - 22:33 | Link to Comment hidingfromhelis
hidingfromhelis's picture

Before buying one of those HUD/Fannie/Freddie homes, read the seller addendum.  As an attorney, you'll find it ridiculous, and it will probably make you think twice about just how much of a "bargain" the property represents. 

The bank-owned property forms are even worse.  Those basically say that you're getting the equivalent of a quit claim deed by claiming in the addendum that the seller is only conveying what they have a right to convey...and that's not defined!  They further say that you agree to that. 

As you know, anyone can record a quit claim deed, and doing it doesn't even require you to have an ownership interest.  I can record a quit claim deed on your house or even the Federal Reserve building, but it doesn't mean I can convey clear title.  All I'm doing is saying that I'm releasing whatever interest I hold.  IMHO, the forms that you are required to sign limit your rights to basically receiving a quit claim deed. 

If you don't have access to the seller addenda, a real estate agent can easily get one for you.  Might be worthwhile for entertainment's sake.

Wed, 12/29/2010 - 11:27 | Link to Comment MachoMan
MachoMan's picture

Agreed and thanks for the heads up.  My position is that the sale price (price I would pay for the property) would have to reflect the inherent risk...  many are being priced what I consider to be a slight discount, but not enough...  yet...  (inventory is starting to build, I would presume because of the disclaimers, etc., you mentioned).

The good thing is that should a dispute arise, venue is certain and I'll have home field advantage...  aside from being rather well acquainted with the local judiciary...

Basically, buy and wait the statutory adverse period (7 years) and rock and roll.  I doubt any of these messes would be worked through and lawsuits contesting the sale sufficient to toll the statute of limitations/adverse possession period would be implemented.  Hell, the fuckers were too cheap to pay transfer taxes, do they want to pay $1,000 a pop just to file a lawsuit they are likely to lose?

Needless to say, if I have to institute an action for quiet title on the back end, I'm ready for that contingency also and it should be reflected in the sale price...

PS, there's always title insurance, but we all know that's just another shoe waiting to drop...  good assurance in the short term, medium and long term not so much. 

Tue, 12/28/2010 - 18:34 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

I know a guy who hasnt paid mortgage in almost two years just utilities. Been buying good and silver stashing it.

He said he will lose the house, but when its close he can rip the copper pipes out and sell those with the kitchen too.

Tue, 12/28/2010 - 22:26 | Link to Comment ClassicalLib17
ClassicalLib17's picture

A similar occurence just happened down the street from me.

Tue, 12/28/2010 - 23:49 | Link to Comment Twindrives
Twindrives's picture

Here as well.  The former owners were removing light fixtures and appliances.   It's 'their' house after all.   Fuck the banks and their most loyal supporter Barack Obama.      

Wed, 12/29/2010 - 11:29 | Link to Comment MachoMan
MachoMan's picture

I know a guy who got a felony for doing that, i.e. breaking the laws enacted specifically to curtail that type of activity...  the police didn't have a hard time finding him (hint, they can pull your utility records for your new place).

Tue, 12/28/2010 - 17:18 | Link to Comment goldmiddelfinger
goldmiddelfinger's picture

No asset bubble reflates for YEARS if not decades. Not one ever has. Not one.

Tulips, South seas land, Sugar plantations 1700, Cotton 1850, Florida real estate 1920, Stocks 1929, Gold 1979, Japan 1989, Naz 1999. NONE. Can't name one!

Rez RE will be dead as an investment for a decade at a minimum.

Tue, 12/28/2010 - 17:26 | Link to Comment mberry8870
mberry8870's picture

US stock market 2008 - 2010.

Tue, 12/28/2010 - 17:32 | Link to Comment akak
akak's picture

Good point.

US stock market post 1987 crash as well.

Tue, 12/28/2010 - 17:36 | Link to Comment plocequ1
plocequ1's picture

I live in a gated comm. with security. Life is good.

Tue, 12/28/2010 - 17:41 | Link to Comment akak
akak's picture

Unless you can live every minute of the rest of your life in that gated community, you are going to share in the growing problems of our highly disfunctional and degenerating society along with the rest of us.

And that electronic gate and lone security guard are mostly just there for show ---- if and when we collectively get to the stage of food riots and rampant home invasions, those "security" measures that "protect" your gated community will be of about as much value as a roll of yellow police tape.

Tue, 12/28/2010 - 18:11 | Link to Comment plocequ1
plocequ1's picture

I dont really think about security as being a benefit for living in a gated community as much as i do not having to deal with the bullshit and risk of holding a mortgage. This is the real benefit.

Tue, 12/28/2010 - 17:56 | Link to Comment MachoMan
MachoMan's picture

And the security guard probably: (a) knows the best houses to rob; (b) knows who is home and who isn't; (c) knows who has any security of their own; (d) knows how to break and enter homes stealthily; (e) has a ready made excuse if caught and can readily case any joint; (f) does not get paid enough to take a bullet; and (g) does not really like you anyway.

That is not security...  a neighborhood watch of gun nuts w/ shifts and who routinely train firing drills with live ammo might be a little better...  but until you and your cronies want to actually get your hands dirty, you have no security.

Tue, 12/28/2010 - 18:35 | Link to Comment Seasmoke
Seasmoke's picture

(g) does not really like you anyway.

 

I think Floyd Merryweather is going to have a big problem !

Tue, 12/28/2010 - 19:17 | Link to Comment cosmictrainwreck
cosmictrainwreck's picture

(h) knows somebody who knows how to disable home security via remote electronic device

Tue, 12/28/2010 - 18:07 | Link to Comment flattrader
flattrader's picture

You got it ak.

If it gets as bad as many here on ZH believe (and hope) no rent-a-cop and crappy fence will keep out the raptors.

Unless you are way out in the country with armed backup in a fully defensible location, forget it.  Most gun toting, gold and silver hoarding ZH readers don't have the set-up to weather the storm should it arrive cat 3 not to mention 5.  Becareful what you wish for my friends.

I have a moble plans with resources stashed along two routes and off-road remote locations as goals.

Bushcraft BITCHEZ!

 

Wed, 12/29/2010 - 00:39 | Link to Comment merehuman
merehuman's picture

The first ones to take you down will be your own needy friends and family.

Selfishness in survival must be expected. Morons monsters and monkeys. God bless the jews for the challenges they have given us.

Oh..wackadoo

Tue, 12/28/2010 - 18:28 | Link to Comment andybev01
andybev01's picture

I plan on keeping them penned up like cattle in case it gets really bad.

http://www.imdb.com/title/tt0898367/

 

>:-)

Tue, 12/28/2010 - 18:40 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

Gated communities are the easiest to rob. Security isnt tight, people have false sense of safety and leave things out.

Someone took a uhaul into a place near me, drove up said to guard they were moving furniture for a relative and ended up breaking into several row homes in a rich newer community.

People just lock the door and leave on vacation without a care. Happy holidays.

Tue, 12/28/2010 - 17:52 | Link to Comment spartan117
spartan117's picture

Dauble bauble.

Tue, 12/28/2010 - 17:57 | Link to Comment ArrestBobRubin
ArrestBobRubin's picture

Roubini, what an ass hat. How long did this Pimp of Paper scorn the idea of $1,000 plus gold and those who were correct about where it is going and why. We're right and you're wrong. So suck on my big swinging $1405 gold you creepy little asshole.

God knows if this drip was Islamic instead of Jewish, he'd be rightfully ignored. But in their Ponziworld, this douche is quoted and celebrated as if he actually possessed a clue. Just like Krugman. Dimon. Blankfein. Paulson. Bernanke. And the dozens of our other great Jewish financial geniuses. This brand of genius means you wind up wearing a barrel.

Amazing, but it's all true to form in the world they created: Ponziworld.

So get involved and help melt down their shit: Buy Physical Silver.

Works great on the other kind of vampires too.

Tue, 12/28/2010 - 18:31 | Link to Comment Seasmoke
Seasmoke's picture

thankfully for Paulson he is not a Jew, just a criminal

Tue, 12/28/2010 - 18:41 | Link to Comment Id fight Gandhi
Id fight Gandhi's picture

It's all the same.

Tue, 12/28/2010 - 18:05 | Link to Comment TuesdayBen
TuesdayBen's picture

$5.5M pad and hot young vixen?  Momma always told me talkin' negative was bad. 

Momma was wrong.

Tue, 12/28/2010 - 18:08 | Link to Comment gwar5
gwar5's picture

Roubini is probably right again. It's what it feels like around here.

I disagree with Roubini on his recent lament, and suggestions, to save the EU at all costs.

Tue, 12/28/2010 - 19:07 | Link to Comment gangland
gangland's picture

#833266

"I see a lot of smaller homes of 800-1000 sq. feet selling for $90k in lower middle class neighborhoods.  The houses in higher middle class neighborhoods are selling for just over $100k of course.  What are people waiting for?  At these prices, you're practically stealing it.  Better buy why you can!"

robo and harry should invest in Salinas since property values are apparently on the rise there. bargains galore and they're rising now.  In fact, it's so good in Salinas, the city is using army personnel and counter-insurgency doctrine to deal with its gang infestation. you all in robo/harry? 

http://www.counterpunch.org/lind11242009.html

#833506

yeah harry should invest in merced property, merced the "dumbest" city in the country.

http://www.counterpunch.org/hatch12272010.html

and riverside? you couldn't pay me double to buy there. how  can prices be going up in riverside, it's all empty delapitated boonies with a parabolic meth economy.

Tue, 12/28/2010 - 19:29 | Link to Comment eatthebanksters
eatthebanksters's picture

Buyers with cash don't want these houses, buyers who can afford and want them can't get loans.

Tue, 12/28/2010 - 19:09 | Link to Comment Fix It Again Timmy
Fix It Again Timmy's picture

As far as roubini is concerned - "money is the route to all evil" - 6 million will take you to alot of great evil, as evidenced in the foxy photos...

Tue, 12/28/2010 - 19:14 | Link to Comment OMG
OMG's picture

I'll bet those gals are church going virgins!

Tue, 12/28/2010 - 19:24 | Link to Comment Silversinner
Silversinner's picture

Think this Rubini had been dead wrong about PM's.

Just so plain and simple;every thing in fiat=inflating

while deflating in PM.This guy just don't get it.

 

Tue, 12/28/2010 - 19:39 | Link to Comment greenewave
greenewave's picture

We are NOW in a Houseless, Jobless RECOVERY according to the CROOKS on WALL STREET!! It’s such a FRIGGIN TERRIFIC RECOVERY watch the YouTube video “Jobless..Houseless..Recovery. Let’s Celebrate!” at (http://www.youtube.com/watch?v=aNY96ovxy2o).

Anonymous-

This guy? is kinda! like a love child from Peter Schiff & Max Keiser!

Tue, 12/28/2010 - 19:57 | Link to Comment virgilcaine
virgilcaine's picture

I agree with Reggie M if there aren't any actual SALES.. price is almost meaningless. If there isn't a live breathing buyer the price is zero.

 

Think of Exters Inverse Debt Pyramid.. In Deflation Illiquid assets like real estate are at the TOP, ready to fall over.  While highly Liquid assets like Gold  are at the Bottom..the foundation of Safety.

http://goldversuspaper.blogspot.com/2009/01/funneling-down-pyramid.html

 

 

 

Tue, 12/28/2010 - 20:00 | Link to Comment Sqworl
Sqworl's picture

According to world Roubini Won..brilliant, rich and the hottest chicks on planet!!!  top that Bitchz?

Tue, 12/28/2010 - 20:23 | Link to Comment virgilcaine
virgilcaine's picture

Agree Roubini is in a NYC centric bubble of his Own, Earth to Nouriel...put down the drink and the Girls and wake up.

Tue, 12/28/2010 - 20:27 | Link to Comment Sqworl
Sqworl's picture

Why?

Tue, 12/28/2010 - 20:36 | Link to Comment virgilcaine
virgilcaine's picture

So someone somewhere might take him seriously. You may be right though, NYC and NYU aren't part of the real world... party on! 

Tue, 12/28/2010 - 21:49 | Link to Comment virgilcaine
virgilcaine's picture

Reggie great interview on Bloomberg & CS data..now your becoming more MSM  just don't start wearing peach color socks. !  Sure give away of being 'one of them'..lol  If you remark on them next time.. a subscriber for life.

Tue, 12/28/2010 - 23:49 | Link to Comment LudwigVon
LudwigVon's picture

Roubini, been so wrong so many times. Why would anyone still listen to him>?

Now he is celebrated on ZH for stating the obvious after the fact.

Wed, 12/29/2010 - 00:42 | Link to Comment owensdrillin
owensdrillin's picture

Maybe the housing market will take years to get better but the cost to build a house is not going down. With immigration, births, and some people getting jobs back, even at lower wages and hours, sales will pick up. The prices that houses are selling for in some areas are ridiculously low.

If the government had any shit together (which they don't and never will) they would mandate that these piece of shit banks ARE going to lend to anyone who has a job and the ability to make a payment. Who the fuck can't make a payment on a $90,000 house at 4.75%. Maybe I'm confused but a lot of younger people are working, albeit at low wages, who don't own houses. I'm sure a young working couple can make it work if they quit buying ipads and start cooking at home the odd day of the week.

When we got our start in the mid eighties, house prices were low, interest rates were 12.5% and the job market sucked. It took some work to build equity (is that word still in Webster's Dictionary or was it deleted and replaced by unlimited fucking credit) but we made sacrifices and worked extra jobs to pay the bills.

Now is a time of opportunity for the younger crowd if they decide to put down the electronics, go to work, and realize that a good life isn't a given, but something that is earned by work and risk.

Wed, 12/29/2010 - 04:19 | Link to Comment LudwigVon
LudwigVon's picture

Who wants to sign their lives away to some bankers at any rate.

Who the hell would suggest that on HERE.

A young couple would be better served investing through a whole life policy for 10 years or so. Then loan the 400k from yourself. Ignorant Americans buy loans. 

Wed, 12/29/2010 - 01:19 | Link to Comment trav7777
trav7777's picture

thank goodness for Joubini, otherwise, I'd have had NO CLUE about this double dip.  Truly, he is a sage.  Oh, no, wait, he's captain fuckin obvious

Wed, 12/29/2010 - 02:02 | Link to Comment dogismyth
dogismyth's picture

He's a fucking shill....so get over it!!  Anyone with his open invitation to CNBC is a fucking shill.  He has it written all over his face.  He's a fucking propagandists.  So get over it!!

Wed, 12/29/2010 - 03:47 | Link to Comment celticgold
celticgold's picture

just noted ..gold lease rates jump +400%  ....

Wed, 12/29/2010 - 04:54 | Link to Comment oh_bama
oh_bama's picture

hehe. I am buying the fucking double dip! You guys please keep fighting the fed!! Enjoy.

Wed, 12/29/2010 - 07:14 | Link to Comment honestann
honestann's picture

What?  We're "fighting the fed" by continuing to convert all our paper assets into physical silver and gold?  Gee, I didn't realize that was fighting the fed.  I thought JPM as #1 owner of the fed was holding the price of silver and gold down just so we could load up the truck.  That not true?

Wed, 12/29/2010 - 05:42 | Link to Comment Midwest Prepper
Midwest Prepper's picture

Buy Physical Silver, at nice low prices thanks to Blythe Masters... This maniacally laughing Evil Genius is...

http://www.youtube.com/watch?v=Ud0pdhoisxc

 

Wed, 12/29/2010 - 09:59 | Link to Comment George Costanza
George Costanza's picture

Corporations have restructured and the residential housing market has become irrelevant to most corporations, as the US government has taken on all the losses. Housing cannot stop the liquidity driven (Fed driven) bull market. That's old paradigm thinking.

Wed, 12/29/2010 - 10:44 | Link to Comment Richard Weed
Richard Weed's picture

In my opinion Roubini is a morose clown.

Please STOP giving this talent-less self-promoter the time of day.

Yes, 10 minutes of my life I shall never get back... thanks alot.

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