Rick Heggem (raheggem)'s Public Profile in the Diigo Community

Member since Jul 10, 2007, follows 7 people, 0 public groups, 592 public bookmarks (778 total).

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Recent Bookmarks and Annotations

Home Prices in 20 U.S. Cities Rose for Fifth Month (Update3) - Bloomberg.com about 17 hours ago
An Investment Tip for the 2010s at SmartMoney.com about 17 hours ago
Ten predictions for 2010: Economy, dollar, gold - Precious Metals - Resource Investor about 18 hours ago
- 4. Real Estate Prices Flat to Lower Real estate prices are likely to flat-line or decline during 2010. As real estate is heavily reliant on the rapidly-contracting credit market, deflation will trump any inflationary pressures created from the expansion in base money. There is an over-supply of housing and the high rate of foreclosures is likely to continue or increase during 2010. I believe real estate will be an excellent buy at some point in the next 5-10 years, but it is nowhere near a bottom yet.
The Appeal of REIT ETFs -- Seeking Alpha on 2009-12-29
Housing Market Still Schizophrenic - The Atlantic Business Channel on 2009-12-28
The Housing Market’s Own House of Cards « Sumfolio on 2009-12-28
- e housing market faces a number of headwinds going forward:
  
  The Federal Reserve has implied that it may stop or slow its purchasing of mortgages and may raise interest rates sooner-than-expected, which could lead to higher mortgage rates.
  Foreclosures continue to hit record highs in the third quarter, topping 1 million in the United States. Meanwhile, the number of prime borrowers who are more than 60 days behind doubled year-over-year.
  The expiration of the housing tax credit will immediately and adversely affect home buying and prices.
- The Good News…
  
  In the end, the housing market could face a number of economic headwinds ahead. The tax credit may be causing CRE losses for lenders, while Fed actions could lead to a rise in rates. At the same time, home buying is likely to contract when the tax credit eventually expires.
  
  However, many economists see the industry as hitting a bottom and predicting that profitability may return in 2010. These economists believe that expiration of the housing credit may hurt the market in the first half, but the second half may be characterized by a rebound from a bottom.
California housing market rebound a leading indicator for nation on 2009-12-28
- California's housing market is often a bellwether for the nation and if the Golden State's housing market trends continue, conditions could bode well for the rest of the nation.
  
  Both home prices and home sales are on the upswing in California, previously one of the hardest hit states in the nation during the recession.
- The California Association of Realtors (CAR) reported this week, the state's median home price rose to $304,520, a 5.8 percent increase from the $287,880 median for November 2008.
- 2 more annotations...
- - The condo segment is, by far, both the price and sales leader, with prices are up 12.1 percent from a year ago and sales jumping by a whopping 26.3 percent, according to CAR.
  - n October, CAR said California's median single family home price in California will rise 3.3 percent to $280,000 in 2010, up from the projected median of $271,000 this year.
Markets on the Mend in Time for Christmas on 2009-12-26
- Forty-four markets are forecast to experience housing appreciation in 2010.
Recovering_Markets_Revised_ Ambitions.pdf (application/pdf Object) on 2009-12-26
Gulf Times – Qatar’s top-selling English daily newspaper - Opinion on 2009-12-26
- By Robert J. Shiller/New Haven
- Housing prices are on a rollercoaster ride, and we may never be able to make complete sense of their movements, other than to understand the volatility that they represent. Indeed, in a volatile speculative market, where people buy and sell in anticipation of further price movements, history confirms that price movements will be hard to explain, even after the fact.
- 4 more annotations...
- - This surge in volatility appears to reflect a new and different attitude toward homes as an asset – an attitude that has spread around much of the world. We used to think that homes were in the same category as automobiles: depreciating assets that grow obsolete over time, are costly to maintain, and go out of style, eventually to be scrapped and replaced. Now we think of them as claims on increasingly scarce resources in a rapidly growing world, with prices potentially skyrocketing any day.
  - Such thinking may be playing a part in the recent rebound of home prices. But in fact, it is probably more accurate to think of the ups and downs of the world’s housing markets as a reflection of the change in our thinking about housing as an investment. If so, the volatility in home prices after 2000 was the result of faulty thinking, not of the natural effects of global economic growth, which has occurred at a relatively smooth rate for decades now. Faulty thinking, in turn, encouraged loose practices by mortgage lenders, and led central banks to take no action against housing bubbles as they developed.
  - In many countries, governments in 2009 responded to the collapse of housing bubbles by instituting policies aimed at supporting these speculative markets. The result, however, has been to lead people to add another, political, component to their assessment of home prices, unhinging them further from economic fundamentals.
  - Housing speculators seem often to be betting on the political equilibrium that restricts the supply of housing, and on the indefinite continuation of the artificial supports started during this financial crisis. But, in a newly global economy, with increasing interregional and international population flows and widespread commitment to economic freedom, it is very hard for governments to restrict supply in the long run.
    
    That is why it appears safer to predict high volatility in 2010 than to predict that home prices will rise.