Read that CNBC article. Existing homes that are already upgraded will be more valuable.
While this is ultimately good news for frustrated buyers, years of steadily increasing prices mean that those hoping to buy a home will need to spend a bigger share of their income once they find one," said Cheryl Young, Trulia’s chief economist.
Buyer’s pool
1)foreign investor ( a lot of chinese before)
2) local investor
3) flippers
4) buying to live in
So now
#1 i think a lot are gone. hard to move money over to US
#2 if local investor, cap rate is low, and rental income won’t enough to cover mortgage @ 30% down, and anti-landlord movement around makes it no fun
#3 flippers, lot got burn lately, or break even, everything getting expesnive labor/parts. harder to flip for great profit
leave us #4 local buyer to live in
maybe i’m wrong, but i think the number of buyers really shrink
- Boomers cashing out and leaving. Most moving east to Sacramento MSA.
My place in Placerville would be $15m in Woodside. Why not move? Same lifestyle for 5% of the cost. Why stick around and compete with tech salaries.
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low enough to slow sales but not prices right? demand is still high enough not to change a seller market to a buyer market, right? I presume you’re comment on NYC and not nationwide or Bay specifically. What about Bay Area?
San Jose i notice lot of price drop. but asking drop doesn’t mean sold price drop
to know , we’ll probably need to wait a couple months.
and big prop 10 coming up , that would have affect on bay area housing too. we’ll see
It’s Denver now
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Again, it is not that demand is gone or that people necessarily lost confidence in the housing market. It is just that prices have gotten out of reach. So, people will wait on the sidelines for some price correcting and that they can save even more. Actually, not a bad thing. It could be worse…
Even at an all you can eat buffet, you must step away from the table at some point…
To do some “refund” in bathroom and come back for more?
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“Offers 20 percent and 25 percent below asking prices began to flow in, a phenomenon last seen in 2009,” wrote Warburg Realty founder and CEO Frederick W. Peters in the report, which surveys real estate conditions around the city.
Imagine that happening in Bay Area! It’s getting real folks.
There are a lot of price cuts here in San Diego too, but I think that is because sellers are getting greedy and asking for to much. Prices are still rising but somewhat slower than they were.
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Some of this is true but that is also a sign of a market top. When market becomes extremely irrational, some will become even more, thibking their garbage is worth more than it is.
But what happened to solid jobs…
Uncomplicated SFH is selling for crazy high prices 
not because of the building, is because of crazy high land cost