In this week's economic update we touch briefly on housing with data that somewhat conflicts with what I believe many buyers are experiencing as they bid on homes, and what some on Wall Street characterize as a "strong market."
And while different locations/regions can experience notably different residential real estate setups, we think in general a more apt characterization, for the moment, is a "tight market."
I.e., given today's dynamics, there's presently a difference between "strong" and "tight."
Here's an appraiser telling of his experience:
Thanks Marty!
ReplyDeleteI reread the book Reminiscences of a Stock Operator and looked back at history and compared to the current market. All the ups and downs were follow by Greed. Buffett has two (2) quotes that I like:
1. "It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you'll do things differently."
2. Why do people, very bright people, risk losing something very important to them to gain something totally unimportant. The added money has no utility what so ever...you only have to get rich once."
Things are not currently rosy. Debt ceiling debate is ridiculous because the US is required to pay their bills that were spent (why debate when we spent the money already). Germany is currently in recession. Fed is geared up to raise interest rate again next month due to hot PCE. Valuations for Tech stocks are off the chart. Investors have no conscience about valuations and fundamental. There is an echo related to 2000 dot com bubble that is relative to the AI Hype.
This market amazes me everyday!
Hey thanks Sam, always appreciate your smart input... Ironically, before reading your comment, I produced a table that'll be in tomorrow's note, comparing YTD results to the 2000 YTD results heading into the tech bubble pop... We're obviously observing the same things.
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