Housing Market: Crying Wolf

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Here's a line that's worth noting: Fed officials are counting on a slowing U.S. housing market to keep the economy from overheating -- and there have been numerous signs a long housing boom is simmering down. But as long as short-term-minded developers keep churning out hyper-expensive McMansions, prices will have to drop in the long run, because eventually, there will simply be too much inventory to make value of anything.

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Housing Market: Crying Wolf



Housing Market: The Gathering of the Fed

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"One does not just raise rates at the Fed...."
Why do I get the feeling that Bernanke spends most of his days at his desk saying stuff like, "Greenspan, what a mess you've left me with... This trend, along with its sibling "workforce housing," may be the spearheads we need to build affordable, mixed-income housing that will reenergize middle-class buyers and get them back into the post-bubble market.

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Housing Market: The Gathering of the Fed



Friday Housing News: Riders On The Bubble

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Dana Dratch over at Bankrate advises nervous homeowners how to tame the mighty bubble.
My question for the legions of bubble riders would be this: Since the bubble is breaking into little "bubbletes," which markets will survive intact, and which will crash? Because as we all know, if you have to ask, you can't afford it...and right now it's looking like even formerly mid-range and low-end properties are falling into that category.

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Friday Housing News: Riders On The Bubble



Housing Market: Watching David Lereah

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The mighty Bubble Meter has recently launched David Lereah Watch, a blog dedicated to upending the worm-infested rock upon which Mr. Lereah prognosticates like the Thinker.
He thinks the trend crested in 2005. With rising interest rates, tighter lending standards and slower price appreciation, Lereah expects second-home sales to drop this year to 30 percent of all existing-home sales, and maybe into the 20 percent range.

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Housing Market: Watching David Lereah