It has been a few months since I’ve done a thorough analysis of the California housing and economic situation. Given the current changes I think it warrants another close look. The last article I did regarding California with an in depth perspective laid out 10 reasons why I thought California would not face a housing […]
The catchphrase of the day seems to be capitulation. Like the daily word on Sesame Street. Things have gone from bad to worse in the matter of a few short and arduous weeks. I’ve started getting messages from people that say we are nearing a bottom. That is absolutely incorrect. The worst is yet to […]
Culver City is considered an upper-middle class city here in Los Angeles County. For a very long time, it would seem that the West Los Angeles region was somehow immune to the rules and economic laws that impacted the entire country. This is not the case. It may have taken a longer time […]
The economic and financial delusion runs deep in California. There was a cohort of people that believed in the sun god just as the Aztec once did with Tonatiuh. They would like to think their economic justification was somehow connected to some meteorological reason since financially, it made as much sense as swimming in the […]
Leave it to California to first, stall a budget for a record 85 days only to pass a budget that amounts to kicking the economic shiny can down the pothole-filled road. We may want to save those cans for their redemption value since things are getting progressively worse. Only 6 weeks after being signed, the […]
As October came to a spectacular end, the housing market is still in severe distress. You would think that all the massive government intervention would at least do something in regards to stabilizing prices but unfortunately for Uncle Sam, prices are determined by local area incomes and fundamental factors. The massive economic intervention which has […]
The economy is once again in full delusional mode with consumer confidence earlier in the week hitting an all time record low and GDP contracting. But guess what? You wouldn’t know that by looking at the stock market. The S & P 500 for the week is up 8% and there has been no good […]
At this point seeing housing prices drop isn’t a shock. What should be a shock and revelation to everyone is the extent of the damage the bubble has caused in certain areas. This trauma can only be measured now that we are seeing foreclosures spring up and we are realizing what peak prices were paid […]
Break out the bubbly, hang up the festive piñata, and dig out those togas because the goods times are here again! Southern California home sales are up an “unprecedented” 65% from last September. That is right folks, happy days are here again. That is until you look at the actual data in this report.
Leave it […]
Figuring out housing prices isn’t rocket science. There is no need for a master’s degree in financial engineering to figure this out folks. Even as the housing market continues its downward slump, we are still at overpriced levels. Why? Well historically, housing as an investment only tracks with the nation’s inflation rate. That is until […]
