By Hef

June 14, 2006 06:53 PM | Link to this

That was “Condoms for Sale”, Stoopid.

Maybe your parents should of used one.

By

June 14, 2006 08:35 PM | Link to this

I’ve seen housing signs and advertisements for their houses/condos on the backs of people’s cars!!

By Tom

June 14, 2006 09:55 PM | Link to this

Looks like soon you won’t be able to give them away!

By bill

June 14, 2006 11:08 PM | Link to this

Get used to it south florida… the bubble has burst.. its a buyers market!!!

By Jeremy

June 14, 2006 11:13 PM | Link to this

It may be a buyers market, but most potential buyers are still trying to milk the equity out of existing homes. This sucks….

By Buyers Market ?

June 14, 2006 11:17 PM | Link to this

Don’t we first need BUYERS before we call it a buyers market ?

By

June 15, 2006 07:51 AM | Link to this

Developers always overbuild multifamily when money is cheap because their profit margin is so astronomically high they will make a killing no matter what the market does as a result of their oversaturation.

Perez, Trump, WCI, etc., will all make a fortune regardless of PBC condo market “woes” and buildings that sit empty.

Don’t cry for them. They’re laughing all the way to the bank.

By D.

June 15, 2006 07:56 AM | Link to this

Apocalypes? Dont you think that goes too far? Media hype at its worst. Dont exaggerate the market to sell papers. Low quality media! I am closing on a property today (as seller). Price it right and they will come!

By Cry for Trumpster?

June 15, 2006 08:11 AM | Link to this

Have never met anyone crying for Trump, et-al. Nor for flippers, or RE agents that over-promise. Do feel for people who had no intention of selling, loved SoFl and were assets to our communities but now are being forced to sell as Ins costs, assesments for storm repairs, and other escalating costs make it neccessary. Some I know are not looking to make a “killing”, just sell at decent price and get out from costs that have outstripped their ability to keep up and still have a decent lifestyle. They are finding qualified buyers turn away once they figure out new Tax, discover problems getting Ins, and research how much storms cost owners in assessments, deductables, loss of use of home, hassle getting repairs done right. Not a good time to be selling, especially for people forced into it by relentless increases of everything associated with ownership.

By Insurance woes

June 15, 2006 08:34 AM | Link to this

Insurance and taxes will truely impact the resale market. A decline will be real, but overall, new price points have been reached. Inflation and appreciation are linked. Demand will still remain. Tell someone in California that there house is only worth $200k based on local income. They will laugh at you.

By Perplexed by the hype

June 15, 2006 08:48 AM | Link to this

Any way this column could provide objective coverage of the local real estate market minus? Surely, it’s certainly not adding value to this debate that has gone down the toilet lately.

The ‘overvalued’ article earlier this week is a case in point. I guess you have to lead with an inflammatory headline which implies that real estate here is WAY overpriced (which you hope to lead us to assume that prices are going to fall) in order to bring people to this corner of the paper. Read the report cited in your article in it’s entirety, do some background work and you’ll find that the most ‘undervalued’ market in Texas-surprise-has few buyers, just like most of the others. Mostly due to low wage jobs and proximity to a metropolitan center. (The place is 90 minutes from the closest airport.) Just because it is undervalued doesn’t mean that everyone is flocking to Texas and that everyone is flocking away from our market. In fact, it only solidifies the economic reality that minus a failing job market and rising unemployment the market is not going to ‘crash’ in our area.

Finally, enough with the doomsday articles about all the foreclosures and rising rates which will no doubt lead owners to flood the market with homes they can no longer afford. Less than 25% of mortgages use such unique financing (WSJ). Alot of baseless assumptions at work if you think 25% of homeowners are suddenly going to try to sell their house, especially in a time of full employment.

Oh yeah-don’t think we can assume with absolute certainty that everyone listing a property right now actually has to sell it. So the whole ‘the market is flooded so prices will drop’ argument is mute. Prices won’t drop if people don’t need to sell. Also, anyone around here who was on the buy side (as I was) during the boom two years ago knows that realistically maybe half of the people with a sign in their yard are serious about selling-the rest are waiting for an idoit willing to pay above market.

And lastly, I’ll add my own subjective opinion. Show me a house anywhere on the east coast of the USA within two blocks of the intracoastal waterway under $400k-the amount I paid for mine-and within 10 minutes of a thriving metropolitan area with close to full employment…Probably won’t happen-because there are very few. (Notice I’ve excluded Wellyworld out west by the proximity to water qualifier.) Overpriced? Sure it is, compared to the hills of Georgia. Anyone who thinks RE here is overpriced has never checked out Mass/Conn/NY/CA properties in walking distance from the water.

Thanks for the platform and please, try to give a little more facts behind the glitz so as to allow people to develop an informed opinion.

By Teacher

June 15, 2006 09:07 AM | Link to this

Those of us who live in South Florida live in an absolutely beautiful community with access to so many cultural opportunities. There are challenges associated with living here — not the least of which are the hurricanes — but there is no place on earth where you are safe from the perils of nature. California has earthquakes and wildfires; the midwest has tornados; New England just suffered through massive flooding. We have learned so much about how to build so that our homes will be ready to meet these challenges. There will always be a need for careful planning and preparation. Recent surveys show that more than 40% of South Floridians are doing absolutely NOTHING to prepare for hurricane season! They seem to think that help will magically appear when/if it is needed. There’s much more that I could say, but I’ll end it here. Prices are going to fluctuate and there is a desperate need for more “workforce” (affordable) housing in South Florida. But although we will see corrections — particularly in the overheated new-condo market which was built with speculators in mind — those who bought or buy with the intent to live here, and make South Florida their home, will continue to see ongoing price appreciation. Property will appreciate at a more natural, normal rate — not like what we’ve been seeing the past few years, because the speculators are being forced out of the market — but prices will appreciate nonetheless. This is still a very desirable place to live, and there will always be people who want to live here.

By Realist

June 15, 2006 09:18 AM | Link to this

Open Houses this paper’s site shows : 300k to 400k - 256 open houses 400k to 450k - 99 open houses Bowse these and Realtor.com and other sites, go to some open houses. You can get your own facts, no glitz. Facts I have found: a lot of people want to move, some are trolling, not enough buyers. Just the facts, ma’m, just the facts.(us older guys loved Jack Webb)

By Janet

June 15, 2006 09:18 AM | Link to this

Apocalypse?????? Hmmm, Jeff your picture makes you look to be about 25 or so, your bio says you wish you’d held onto your Delray property longer instead of selling, and you are the real estate blog go to man here??? Sorry, I’ll put more faith and trust in credible sources. Definition of apocalypse: Great or total devastation; doom. Give me a break. Time and experience will give you more perspective and you will learn not to over-react, particularly to your own sour grapes attitude. Readers deserve facts, not chicken little sky is falling hype. Real estate, like any investment, goes through cycles. No doubt an adjustment is occurring, but no need to run for the hills!

By It ain't hype

June 15, 2006 10:04 AM | Link to this

Preplexed: Your right. Those people with household incomes of 60k that bought 500k homes with interest only mortgages won’t need to sell once they have to start paying off principal. I’m sure they have a few kids that they will be happy to sell off everything they own to pay their property taxes, insurance rate hikes, etc.

And I’m sure all those investors/speculators that everyone was talking about will be happy to hang onto their properties and rent them out at a 1,000 to 2,000 month loss in cash flow.

And really having guys standing on the corner with signs isn’t desperation, I’m sure Preplexed can explain to us the brilliant marketing strategy behind it.

Or perhaps the market is a bust, and the carnage has just begun…

By Brad

June 15, 2006 10:38 AM | Link to this

Wow, can you pick out the real estate agents and speculators commenting on this article? It’s got to be tough when your income gets cut in half or lost altogether. I cannot comment on the rest of PBC but in my neighborhood in WPB there have been 5 sales this year compared with 26 at this time last year. That’s a lot of commission lost. The agents are trying to stem the hysteria but they need to realize that there is also a psychological effect created when they react to bad news with such fervor (it gives justification and support to the bad news). A calmer approach would help with the general public feeling.

You’re doing a great job Jeff. Keep it up.

By

June 15, 2006 10:40 AM | Link to this

Hey friend, just because you dont make enough money to cover a $500k house, doesn’t mean that all $500k homes are owned by speculators. $500k is not an average home. Besides, people in PBC make money. Average income is just that…Average. Meaning many more make much more. A thriving local economy is very powerful.

By

June 15, 2006 10:50 AM | Link to this

Sure markets will decline due to market forces, but 5 years from now you will look back and say, I can’t believe I dumped that property for $300k and now its worth $400k. Which is less than 6% appreaciation annually.

By Big Daddy

June 15, 2006 11:08 AM | Link to this

I think that you can separate the comments on this page between the believers (buyers who will not overpay for housing) and non-believers (RE agents who refuse to believe that people will not want to live in Fla.) All I want to know is: Where are the numerous high wage employment opportunites in any industry that will support mortgage payments of $3000-5,000 plus per month and leave the family with enough to not have to consider barbequeing the dog every month? I haven’t added in association fees, insurance, taxes, landscaping, and structure repair. I just don’t see it in the region. In response to the comments by Teacher, the areas where coastal land values are so much higher also pay wages that are commensurate with the cost of living. The salary increases necessary to support higher costs seem very unlikely to happen in a right-to-work state so flush with newly arrived and seasonal labor that keep wage prices down in our service dominated economy.

By it's still S. Florida

June 15, 2006 11:11 AM | Link to this

It’s easy to forget how miserable most other places are compared to here. It is still cheap compared to every other area that compares. Wake up!!

By

June 15, 2006 11:20 AM | Link to this

Dont assume every $500k house is mortgaged to the teeth. Many affluent people dont even have mortgages. Lets not forget this is a destination state, of people and investment.

By Donworrybe....

June 15, 2006 12:06 PM | Link to this

SoFl still lovely place to visit,but you folks who have convinced yourself that the rest of America is lusting after summers there really need to get out more. It aint called America the Beautiful only because of SoFl. So I agree you relly should wake up!!

By Bill

June 15, 2006 02:22 PM | Link to this

You and the rest of your media “buds” have been relentless in your negative reporting of the so called real estate apocalpse. Keep it up; fewer people = fewer sales of papers; fewer sales of papers = fewer jobs. I’ll look for you on the corner with your sandwich sign!

By Didlook

June 15, 2006 02:25 PM | Link to this

Perplexed said doubted many 400k homes near intracoastal, Realist recommended checking listings. Ilooked at open houses around that price listed by Post online, at Realtor, and Prudential. It was very interesting and was wondering if Perplexed or others checked them out.Some very nice addresses “looking for quick sale”. Am I missing something ? Please check the listings before responding. I am not looking for debate,just the facts, as another blogger said.

By 300k-400k in 5yrs

June 15, 2006 02:46 PM | Link to this

Did earlier poster mean it as a positive or negative thing that a 300k home would be worth 400k in 5 yrs ? 5 yrs of Ins, Taxes, repairs, assessments,(not including mtg payment) would surely eat a lot of that 100k. Banks offering deals on CDs (5%) and other low risk investments with no headaches.

By Bubba

June 15, 2006 04:26 PM | Link to this

Can someone explain to me why your average person would want to buy now rather than rent. For example, if I buy my townhome in Abacoa for 400k w/ 20% down, my actual cost for the home, taking into account a tax deduction, would be about 3,000/mo. I’m renting now for just over 1/2 of that. Figure in flat or minimal appreciation over the next few years, why would anyone buy now?

By Why?

June 15, 2006 04:47 PM | Link to this

Realtors need the business. Govt needs the new Tax Basis, Banks, Attys., Title people, all have bills to pay, need your fees. Existing homeowner pool needs more to share burden of keeping Ins companys funded. Egos of past buyers must be propped up by 1000 new buyers. So c’mon, do your bit to keep our good times rolling !

By bubba

June 15, 2006 06:02 PM | Link to this

No really, I want to know why I should buy now? How about D, Preplexed, Teacher or Janet. I want someone on their side to explain why I should buy now if I can rent for 55% of the cost of buying, in a market that is not appreciating and may not for at least a few years.

By

June 15, 2006 06:47 PM | Link to this

do not buy now. do not fund someone’s retirement because they are being greedy. Rent..it is much cheaper.

By DD

June 15, 2006 08:24 PM | Link to this

The problem is the low income worker can’t afford to move here, below 40k. The workers that were here before the boom have been swallowed up by inflation.

By HWOOD

June 15, 2006 09:16 PM | Link to this

It is always better to buy in the long run if you are an end-user. 80% of all wealth created in this country came from real estate not stocks, bonds, cd’s, money market accounts, annuities, etc…that is a fact. If you are a pure investor, KNOW and UNDERSTAND what you are investing in, don’t just believe the hype (good or bad) and let some “professional” lead you down a hazardous road.

By friends don't let friends buy houses

June 16, 2006 10:30 PM | Link to this

Rent.Save. Buying a home in a real buyers market usually means that you will be relatively wealthy in a short period of time.You will understand when real estate in a trough and that is the time to buy and buy and buy until the writing on the wall says its time to cya. It is time to be on the sidelines in Real Estate.

By

June 16, 2006 10:55 PM | Link to this

I along with many others are on the sidelines and will rent, save up some vulture funds and then buy when the time is right…any prospective buyers out there, i encourage you to wait…You will be glad…Good things come to those who wait!

By Geriatric haven

June 16, 2006 11:12 PM | Link to this

Exactly, The rich didn’t get that by buying at the top. Buy low, sell high. This market is on a rocket sled to the bottom. Prices have gone up 400% in some markets. Wait til noone wants to even talk about real estate then buy….Don’t catch the falling knife. It won’t be prudent to buy for at least a few years. Rent, invest the difference ,and let the landlord pay the Ins, HOA fees. It has been 17 years after Japans’ RE crash ,and they are about to be even. Would you want to be underwater that long? Rent my friends,and don’t buy into the desperate hype.

By observer

June 17, 2006 01:44 AM | Link to this

It’s hysterical to see either SoFL real estate agents and/or recent buyers trying to defend an obviously overpriced market. “There’s no more land!” “South Florida is wonderful; everyone wants to live here.”

Sorry, buttwipe but few Americans want to deal with the hassle with exorbitant insurance rates for hurricane damage…oh wait, those policies are no longer really available, are they? And secondly, you live in a friggin’ hurricane zone! Keep dreaming…all the way to BK. You guys are utter losers, which you’ll find out soon enough.

By Gt

June 17, 2006 08:28 AM | Link to this

To Perplexed by the hype: You were not perplexed by the hype, when the media was hyping the real estate market and publishing realtor comments like the market will never go down or has ever; or that Florida is runing out of land so better buy now before you are priced out—hype. Which created the whole mess we are in now.

By Mike Fink

June 17, 2006 01:19 PM | Link to this

So Fl is running out of land? What a total crock; invented by real estate agents to help them sell overpriced real estate.

Just outside my door in CityPlace, there are several vacant (yes, totally vacant) lots within 3 blocks. If I am willing to walk 10 blocks there is another vacant lot (full city block), and a total slum ready for redevelopment (near the hotel Evernia).

People down here do not know what “out of land” is. Your not out of land until your tearing down nice buildings to make room for nicer buildings (Palm Beach waterfront, for example). When you have vacant lots in the most desierable areas in WPB, your not even on the cusp of out of land.

Also, for those who are convinced that it cannot happen in So. FL, take a look at the 80’s condo bust in Miami. It was a total bloodbath, driven by the same kind of hype that I hear every day. Its only 70 miles away and 20 years ago; you really think that can’t happen again here in PB County?

By

June 17, 2006 01:48 PM | Link to this

Judging by all the open house signs that i’m seeing on the road i’m beginning to wonder if this is the beginning of a horrific crash. Also, how can the median price go UP, when there is hardly anything selling?????

By Blame the Bank

June 17, 2006 05:58 PM | Link to this

Sign the market is souring: I went to two open houses. The price dropped 5K before I left. 2nd open house the price dropped 30k from a phone call 3 hrs after it ended. The owner said he has to get his money out he bought it for. He never took and economics class. This will be a huge crash.