Bidding Wars For US Homes Collapse To Eight-Year Low

[Their graph shows 4 cities on the west coast, NYC, and Chicago as the places where home prices are down (all the others are up). I have to scratch my head and ask, “Why would anybody with a choice want to buy a home there anyway?”]

From Zero Hedge – Re-Blogged From Silver Doctors

Is a downturn in the housing market imminent?

Bidding wars for homes in Seattle, San Jose, and San Francisco have crashed in the past year, reflecting an alarming national trend, according to a new report from Redfin.

The report found that the national bidding-war rate in August was 10.4%, down from 42% a year earlier. The rate printed at the lowest level since 2011.

At the start of 2018, the national bidding-war rate was 59%, then plunged as homebuyers became uncomfortable with sky-high housing prices, increasing mortgage rates, and economic uncertainty surrounding the trade war. The housing market started to cool in late 2018, as the competition among homebuyers collapsed by 4Q18, this is an ominous sign for the national housing market that could soon face a steep correction in price.

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Falling Home Prices Raise Bulls’ Wall Of Worry

By Rick Ackerman– Re-Blogged From Gold Eagle

Add to stock market bulls’ wall of worry a drop in West Coast home prices for the first time in seven years. This is part of a larger trend that saw U.S. home sales down 2.2% compared to a year ago. That’s the 16th straight month of annual sales declines, even as mortgage rates have fallen since last October from 4.95% to 3.75%. Some observers profess to be mystified, since the economy appears to be going great guns. Unemployment is near 50-year lows, wages are rising and GDP growth has been solid.

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Housing Collapse 2.0 Continues as Predicted

Existing home sales were down again nationally (4.4%) in April (fourteenth month in a row of declining sales year on year). That is the longest stretch without a single positive month since the housing-market collapse that brought on the Great Recession.

The graph here shows the point at which I said early last summer housing sales had turned over (for the worst) and would remain on a downtrend indefinitely, and it shows how that prediction has panned out.

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Housing Market Collapse 2.0 Accelerates Rapidly!

By David Haggith – Re-Blogged From Great Recession Blog

Just ten days ago, your Lone Ranger here laid out why one should see the barely beginning downturn of the housing market in Seattle as the bellwether for a national housing market bust. Naturally a snowflake or two of criticism landed on my nose to say I knew nothing about real estate. That being the case, look at how the world has changed in so little time to catch up with me. An idea that you may have read here first is now mainstream news in every housing fact being reported across the nation and around the world.

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Housing Bubble Pathologies, Part 2

By John Rubino – Re-Blogged From Dollar Collapse

Home prices are still rising pretty much everywhere in the US, with California as usual leading the way. State-wide, the median CA home is now above $600,000, up 9% year over year. In San Francisco County, homebuyers are paying an average of 18% above the asking price, and price per square foot is now more than $1,000.

Even Silicon Valley residents, who are used to this kind of thing, are finding it remarkable. See ‘Facebook is taking everything’: rising rents drive out Silicon Valley families.

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Damn The Deficits, Huge Tax Cuts Ahead!

By Peter Schiff – Re-Blogged From http://www.Silver-Phoenix500.com

Donald Trump has made good on one of his most audacious campaign promises by submitting what he describes as the biggest tax cut in U.S. History. For once, at least, this does not appear to be Trumpian braggadocio. It really may be the mother of all tax cuts. But if passed, what may this bunker buster do to the economy? While I have rarely met a tax cut I didn’t like, this one just may be more likely to send the economy into a downward spiral than it is to send up to orbit.

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