This page has been archived and commenting is disabled.
Home Prices Miss Large On 9th Consecutive Downward Revision
It will come as no surprise to many that the warm-weather-induced ebullience and renaissance in the US housing market is perhaps floundering as all that demand was dragged forward. Today's notable miss in the FHFA Home Price Index (at unch vs an expectation of +0.3%) is ugly but the huge downward revision from +0.7% to merely +0.1% in the previous month is now the ninth consecutive notable downward revision.Add to that the fact that FreddieMac just reported mortgage rate cracking over 4% (from 3.92% to 4.08%) and the ugly data on MBA applications and...well at least we're decoupling.
Chart: Blooomberg
»
- 8114 reads
- Printer-friendly version
- Send to friend
- advertisements -
Paging Bob Brusca
+16 Trillion
DAMN YOU!! YOU BEAT ME TO IT!! LMAO!!
BTW- his 2008 review of housing is a classic!! I'm glad Tyler brought him on for entertainment!!
Moe Veissi, NAR President: "I feel like I could conquer the world! It's like I'm walking on sunshine!"
http://www.southparkstudios.com/clips/307803/im-walking-on-sunshine
Is he the new Leo?
Looks like a dead body bouncing along the bottom of the East River, and along with price drop we've got rising rates OH HOORAY!. Stocks seem to be mildly turned on by it though sporting a bit of a chubby....I guess they believe it means another QE rumor will come now.
Looks like "reflating" the housing market has Benji and the gang all outta breath. Liquidity still a problem for the little people who buy houses. God help us, maybe this isn't a bad thing. If people were actually getting loans, the inevitable upswing in interest rates will destroy them in an ARM-ageddon of new foreclosures. Deflation is the inevitable result of money-printing that disappears into the black holes of insolvent banks, never to be seen again.
Inflation or deflation doesn't really matter... both create the loss of confidence and ultimately the destruction of the currency. And we won't feel the effects of inflation vs. deflation uniformly. Money printing will create inflation in the things we need, but the general economic malaise will create deflation in the things we own. "Liquidity" isn't the problem for the little people... it's life in general that's the problem.
Your statement "Deflation is the inevitable result of money-printing" doesn't really seem to hold up to the scrutiny of a trip to the grocery store or filling up the gas tank. And I get that the rest of your quote has the money printing falling into black holes... so in theory, money printing might not create inflation, but again... current evidence seems to contradict.
Housing won't recover until after we usher in a new economic system... and not knowing what that is, it's difficult to say. But I will say confidently, there will be no housing recovery anytime soon.
I seriously considered a mortgage about 6 months ago and the below/above was my main reason for not doing it. I am now waiting till they drop far enough I can buy one in cash :)
Now is a fine time to buy a house... somewhere remote, farmable, on a hill, with access to water. :-)
Perhaps a nice 3bdr/2ba/1bunker....maybe nice to have a Mother-InLaw bunker also....lol
I am having trouble getting financeing for one of these,
http://www.hardenedstructures.com/bunkers-for-Sale.php
Paris, Missouri
Hardened underground communications vault on 13 acres. Built in the 1960's as a nuclear war-proof communications center, 8,200 sq. ft. usable floor space. Mother in-law interrogation on-site facility near by. Good armed neighbors, Near Mark Twain recreational lake. Excellent for underground home or secure gold and silver storage facility. Existing mounts for 50 cal. Stainless steel body storage, granite counter top/map tables. re-education camps near by, don't get priced out, properties selling fast.
Price: $295,000
If you do get financing then you should stop paying the mortgage immediately and stick this big sign outside:
"Try Repossessing This Bitchez!"
But the NAR told us the housing market is on fire.
Maybe NAR meant the roof of the housing market is on fire.
No... that fire is the Jewish lightnin'
Yes, just last night the MSM said that is the most significant indicator of the great recovery.
Awaken Sheeple.
There has never been a better time to buy a home.
L. Yun
NAR
There has never been a bad time to say that there has never been a better time to buy a home.
(L. Yun's advice to realtors)
Nothing matters but the PROPAGANDA until election day. The Sheeple see the headline "HOUSING PRICES UP, RECOVERY IN FULL SWING!". That imprints on the mind.
Very few will ever see, or know, that it was revised downward to flat. They will go through the day thinking, "The Economy must be improving SOMEWHERE, even if I can't see it here!!"
but but but but but but....
... is the sound of the housing market bumping along the bottom of the East River.
The revisions keep flowing in like water.
Rosenberg: This is the weakest recovery ever.
Ya think?
Citi economist: Worst still to come for Europe.
Really now?
We are living in an Alice in Wonderland world economy. Where the rabbit hole ends who knows, but come fall it ain't going to be pretty.
PRINT! That will save us all......right?
Right. I'm printing my favorite Denise Milani and Coco Austin pictures right now.
I don't even know what that means....
One man's "weak recovery" is another's "depression". I guess it all depends on the size of one's bonus. I have a big one right now, looking at my newly printed Denise Milani pictures.
You have the pictures? I have her.
And Denise sez:
Denise Milani thinks she knows exactly why men find her irresistible. “I think men find me attractive because of my innate confidence,” she says.
She certainly has two things to be confident about.
Whoever writes this stuff for her to read off the teleprompter must also be the CNBC writer...
I'm trying to think of the word that applies to this economic statistic, as viewed by the equity markets.
What is the word for which I am searching?
Oh - I've got it!
Bullish!
Mi Casa, Su-ck Casa...
Looking forward to the next Case Shiller and Reggie's comments on it.
people arent buying homes because they are spending all of their money on rugers..........
seems ruger has suspended new orders as they cannot keep up with demand.......
http://www.marketwatch.com/story/sturm-ruger-soars-on-brisk-demand-for-new-guns-2012-03-22?link=MW_latest_news
Does Soros Own All US Gun
& Ammo Manufacturers?
http://www.rense.com/general95/soros.htm
Rense.com
10-17-11
Wasnt the WHOLE point of all this to revive the housing bubble? I mean, market?
Well Im sure since a bad print is out, housing is now 'irrelevant' to the Wall St media.
The FHFA Home Price Index gets revised downward. The BLS unemployment claims get revised upward. On average, everything is fine! Bullish!
Today it was reported that existing home sales prices in Broward County, FL (think Ft. Lauderdale) rose 6% YOY. That was supposedly good, but ignored the true rate of inflation. Meanwhile, new condos near the ocean are advertised for only $700K, down 50% from the advertised prices less than six months ago. It's not just my bank account that doesn't add up.
But Barrons said that housing has hit bottom already
Interesting right.
Barrons, another of Murdoch's publications touting the company rhetoric.
I wonder sometimes why there is a difference between reports in Barrons, WSJ and MW on the same or similar data. Do you think it is designed as such? Has to be in my mind. IMO, MW tends to be more optomistic and sort of the 'cheerleading' squad of Newscorp, at least the online version.
Does three bottoms make one UP?
The general assumption is that TPTB are losing the battle against all of this.
Just for shits and giggles, what if the plan is working perfectly so far? What does THAT imply about the plan?
Something to chew on...
Epic Fed Fail. Part deux..
House price bottom - 2025.
When GOLD hits US$20,000.00 an ounce.
Is anybody around here still paying a mortgage?
I gave that up in July 2009. Still here.
Last great godsend was BofA paying all of my back and current property taxes, which, here in NY, is nothing to sneeze at. It was like hitting the exacta: free house, tax-free. Pretty sweet.
I paid about $1500 in property taxes before BofA swooped in and paid the remaining $9800, covering 2010, 2011 and 2012.
I will race them to the County Treasury to pay the next tax bill in September, unless, of course, I've left for Uruguay by then.
Thank you, BofA. You are now my favorite bank.
Buuuuuut, I am not paying that fraudulent Countrywide mortgage you think you are holding, and I'm not letting any of my money anywhere near any of your bank branches.
Some Indian mathmatician showed BoA a chart showing them the winner at the end.
Help me understand. Why the race to pay the county treasury?
Even been late on a tax payment? 18% interest adds up really fast. And they compound it. I figure if BofA really thinks they own the house (who knows, it's been in FC for 2 years with no motions made on their part), I will trump their claim by paying the taxes. I live here, figure no rent, no mortgage and no taxes is a little too much to ask. Besides, if they show up in court and make the case that they've been paying the taxes, I can say, no, no. I paid the current taxes and was paying on the back taxes before BofA arrived, two years late, BTW.
Then again, What the He--, property values may be so much lower by September - and falling - I might just save my dough and buy somewhere else, like where the weather is better and taxes aren't so ridiculous. To give you an idea, the house is appraised at $82K. Taxes are $2900. A little steep, I say, and most of it is for the dweebs in school, about whom I could care less.
Taxes are such a small fraction of the value that the bank will pay them to prevent penalties/liens.
No recovery ever in housing without a recovery in non-debt based disposable income. This doesn't happen unless good to great paying jobs for most people come back, we manufacture mostly everything at home again, and hope to all hell we have cheap and available energy substitutes. Any of these fail to happen and the only way a housing market anywhere comes back is when we bulldoze all homes in foreclosure, abandoned or bank owned. I'm a Canadian, a renter, and just waiting for the housing scenario to unfold here just like in the good ol' USofA.
I read the housing bubble blog for years. I warned people not to buy housing for the last 5 years. Since then prices have doubled. Do you know how stupid I look? I rent but I park in commercial parking and the cost has doubled in 5 years as well. Whatever doesn't have rent controls has doubled.
So what if home prices doubled, that money wouldn't be yours anyway. A house is meant to live in not make money from. When home prices collapse in Canada, and they will, thank your lucky stars you didn't get stuck not being able to sell the house. Renting is safer imho especially right now.
my neighbor's aunt makes $67 hourly on the laptop. She has been fired from work for ten months but last month her check was $20142 just working on the laptop for a few hours. Here's the site to read more .... http://lazycash9.com
Re last month her check was $20142 just working on the laptop for a few hours
last month her check was $20.14 just working on her lapdance for a few hours - fixed
Backed to home prices from guns.
Glacial Recovery: Initial Jobless Claims Fall to 348k, Gasoline Prices Continue to Rise, FHFA House Prices FLAT
http://confoundedinterest.wordpress.com/2012/03/22/glacial-recovery-initial-jobless-claims-fall-to-348k-gas-prices-continue-to-rise-will-it-slow-the-glacial-recovery-further/
I love how the media is trumpeting HOUSING HAS BOTTOMED!!!!!
Look the FHFA chart.
Home prices are still rising in Canada. To the Moon. There might be slowing sales in Vancouver but the price is still going up. It's different here.