Thursday, September 6, 2007
Why is this housing bubble so depressing? It is what you DONT get for your money. Here is a crappy little wreck from San Mateo. It is on the market for $1.2 million. With that amount of money, you can't get more than four bedrooms, two bathrooms or even buy a decently watered lawn.
Why is this house listed for so much? It must be neighborhood envy "Well, the 6 bedroomed house down the street went for $2 million, therefore my house must be worth at least $1.2 million". There is only one answer to this problem - a buyer's strike. If no one buys any houses, then prices will come down.
So if you are out there looking for a home at the moment, just stop looking. Wait. Things are going to get better. Prices are already falling in many markets. Soon, it will turn into a collapse. In the meantime, sit back, read the overvalued blog and enjoy.
Grateful thanks to John for this one. The listing can be found here.
Posted by Best at 9:10 AM