The San Diego Housing Market. Which Is It , A Mexican Hat Dance or a Standoff ?
May 28th, 2008 categories: San Diego Real Estate, Selling San Diego Real Estate
The San Diego Real Estate Market
The title question refers to the the San Diego real estate market, of course. As the voice of San Diego real estate, I wanted to lift the shadows of the question for you and give my perspective on this.
The Media
The press always seem to have their way , don’t they? They write all these articles that would make you wonder what planet are we living on. Are they writing news or just trying to make news when they try to get you the consumer to respond a certain way? “Frankly my dear, I don’t give a damn”. OK, I do but that is beside the point.
Waiting For The L
ast Shoe to Drop
Our San Diego housing market is a mess. We have too much inventory and the Buyers are sitting back waiting for the last shoe to drop. What’s it going to take to get things moving again. We hear in the news that Congress is reacting, the administration is reacting, in fact everyone is reacting. So what’s wrong with that? Well, let me tell you. They are reacting. That’s what is wrong. It is not a knowledgeable and careful response, it is reacting. “Gut Stuff “( think politically expedient here) that may be very harmful in the longer run. Otherwise, it is not helping much.
After the big boys pulled back their money on wall street, they got a little scared at the mess they made of things. So now, we have new tighter rules for loans that are restricting the number of buyers that can pass through all the hoops, we have people upside down with not much hope of surviving even with all the “Gut Stuff”.
The Real Winners
So what’s a Hat dance got to do with it? Believe it or not some people are gaining on the market and they are so happy they are practically dancing on their hats. Who are these people? It might be easier to describe who they are not. They are not real estate professionals. They are not home owners nor are they are the local mortgage guys who can’t explain the new rules of the day for why they can’t seem to get the loans done, they are not all the government entities that rely of taxes earned from the property sales, gains in appreciation, local property taxes. So who does that leave?
The real winners that create wealth are the hedge fund operators and their players betting against all odds that we can get it together much less get it right. In my estimation, we are playing their game and they are winning all the prizes.
Courtesy of William Johnson The Voice of San Diego Real Estate
