That leaves real estate. That’s why people want to put money in real estate. It’s priced at fair value – statistically. So, you can buy it without worrying too much about it going down. And it’s not like gold. You can get income from it. Everybody is looking for rental properties with a decent stream of income.
September 7th, 2011 | Bill Bonner | 1 comment | ContinuedAll Posts Tagged With: "Real Estate"
US Real Estate Market Sits in the Waiting Room
…Maybe. We will leave the question dangling…and turn to real estate. Let’s imagine that Ben Bernanke succeeds. Let’s imagine that he nudges consumer price inflation upwards. What happens to mortgage rates? Well, they go up too. Then, what happens to the housing market?…
September 10th, 2010 | Bill Bonner | 87 comments | Continued
Adapt or Perish
“Do not overbid for assets – especially at the top of a real estate cycle.” You can’t really argue with that, can you? The big question is, where are we in the cycle? The opening line above came from our friend Phillip J. Anderson. Phil was speaking to a packed room in a building on Flinders Lane Tuesday night. He first came to our attention a few years ago when one of his readers hand-delivered us a copy of his book, “The Secret Life of Real Estate: How it Moves and Why.”
August 26th, 2010 | Dan Denning | 28 comments | Continued
We Are All Ratings Agencies Now
China’s General Administration of Customs reports that the nation’s exports hit a record and June and generated a big trade surplus. Exports were up 43.9% year-over-year, while imports were up 34%. The $22.84 billion surplus gives China more money to buy U.S. bonds, if it so chooses. But the alarming statistic, from an Australian perspective, is that imports of iron ore and copper were down for the third straight month.
July 12th, 2010 | Dan Denning | 2 comments | Continued
The Housing Non-Recovery
But we announced that the data led us to believe the contrary and we delivered our analysis in a presentation entitled, “Why We’re Still in the Early Innings of the Bursting Housing and Credit Bubbles.” We concluded that things were terrible and that there was no sign of a bottom. Obviously, that forecast was on target.
June 10th, 2010 | Whitney Tilson | 6 comments | Continued
Cold Day in Hell When Americans are Not Willing to Spend
The Baby Boomers were flying high during the wonder years. They looked forward to higher house prices and rising stock prices. But now, after having suffered an $11 trillion loss in stocks and real estate…
April 12th, 2010 | Bill Bonner | 2 comments | Continued
A Loss is Not a Loss if You Turn Debt into Equity
The yoke of debt may have felt light until now. But the lash of higher rates on the back will definitely be noticeable. Let’s just hope it doesn’t break the financial back of a whole generation of home buyers, although this is what we fear “bringing forward demand” will do.
March 24th, 2010 | Dan Denning | 15 comments | Continued
Another Big Wave of Foreclosures
“Rising unemployment and a new variety of mortgage resets continued to gradually shift the nation’s foreclosure epicenters in the third quarter away from the hot spots of the last two years…
November 11th, 2009 | Bill Bonner | 13 comments | Continued
Investors Think Things Will Return to the Way They Were in the Bubble Epoque
The Wall Street Journal is talking about a “full recovery” in luxury goods sales by 2011. And Wall Street itself is pricing stocks as if the record profit margins of ’05 and ’06 were just around the corner.
October 21st, 2009 | Bill Bonner | 0 comments | Continued
Each Major Economic Trend Rises and Falls
We have maintained an episodic correspondence with Jack Lessinger for nearly 20 years. Jack is a “socio economist.” That is, he’s looking at the big picture of economic trends as they fit into the wider world of social life.
August 18th, 2009 | Bill Bonner | 0 comments | Continued
Buying and Holding a Bad Strategy if Bank Earnings Remain Unpredictable
If we’re right, households have just begun reducing their debt loads. It will take years for the leverage in the system to be wound down. See Bill’s comments about that below. If you’re buying bank stocks you’re assuming credit and debt growth will resume once this recession is over. That’s a big assumption. And probably stupid.
August 12th, 2009 | Dan Denning | 4 comments | Continued
A National Mortgage Bubble
This brings us to a quick point about the Aussie property market. A frequent complaint in the e-mail box is that house prices are a local and not national phenomenon. If that’s right, then it doesn’t make any sense to talk about a national property bubble…because there can’t be one, can there!?
August 11th, 2009 | Dan Denning | 2 comments | Continued
Surely Gold Will Trade at One Times the Dow
“It is about five years since I first read the DR and agreed with your recommended ‘trade of the decade.’ At that time it was clear to anyone who saw the busts of 1974, 1991 and 2001 that the next one was imminent…
July 30th, 2009 | Bill Bonner | 5 comments | Continued
Australia Presents Investors With Great Portfolio of Energy Choices
The uranium spot price is coming off a low after a big correction. But as we’ve covered in Diggers and Drillers, the demand for nuclear fuel from global utilities is on the rise. Australia – with over 30% of the world’s proven uranium reserves – is in the pole position (side by side with Kazakhstan, arguably) to provide the world with what it needs.
July 21st, 2009 | Dan Denning | 1 comment | Continued
The Swiss and the Rich
Pity poor Yu! Pity the poor rich…! Here at The Daily Reckoning, as long-term DR sufferers know, we always take the part of the underdog. We almost never saw a lost cause that we didn’t want to join. We admire die-hards…and we like the company of scalawags.
July 7th, 2009 | Bill Bonner | 2 comments | Continued
