Real estate market: There has to be a "ceiling" doesn't there?

[BushMasterBoy]

Well if enemy space aliens attacked the earth with asteroids, I would not want to be living near the coastal areas. We will probably see a lot more growth in Colorado.

Link below will let you calculate the damage done.



https://education.down2earth.eu/impact_calculator

[arbol]

I am not sure if anyone is capable of predicting and timing a sag. But it will come, at some point. Maybe five months, maybe five years. Even if inventory is tremendously fast moving today, just as in any other market (guns for instance) once the real estate inventory starts inflating a bit, a lot of the demand will also drop, each factor affects the other until a potential spiral occurs because the lack of inventory is causing a lot of the buying pressure in the first place. Even if in normal conditions several months of inventory is a sellers market, in today's market, buyers would start to relax a bit and a lot of others would be holding off anticipating a future crash - the fear in fact, results in the truth.

Same thing with guns - most of the buying pressure on guns during panic season is induced simply by the lack of availability. Once the availability increases, that pressure drops, and the industry hemorrhages from a catastrophic drop in sales, bankruptcies ensure.

That said, I'm not anticipating anything too soon.

What everyone is missing is that there is so much money (Government spending Trillions of dollars into debt) out there, that, while you and I may not have it, somebody has it.

Housing Markets are out of control, and will stay, out of control. There is just too much money out there.

What we, normal people need to do, is buy well. It will appreciate.

[arbol]

Inflation is coming...

[arbol]

It's probably the Government Employees that have most of the money.

Washington, DC, etc.

[arbol]

After all, they make the money, they spend the money, so they should get their share.

[arbol]

We should reduce Government, and demand a Balanced Budget Amendment.

[MrPrena]

inflation is already here. Hyperinflation is coming.

[arbol]

I'm not sure that Americans are going to be good with Government burning money.

[MrPrena]

If this craziness continues, Ron Paul might really get elected.

[FoxtArt]

If this craziness continues, Ron Paul might really get elected.

Yeah, know you are joking. But our society is shifting to one where a minority has savings of any value, so inflation can be seen as a benefit to those underwater in debt. Including our country itself, there has even been official government thought of using inflation to pay back national debt. Sadly, we are in a place where someone advocating the opposite of Ron Paul could just as easily get elected.

Of course they fail to realize that income doesn't keep pace with that inflation.