Comments on: Fed Economist: Bubble, Schmubble http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/ The Business End of the Blogosphere Wed, 03 Dec 2008 19:13:13 +0000 http://wordpress.org/?v=2.5 By: TBlumer http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/#comment-39370 TBlumer Tue, 24 Oct 2006 15:46:49 +0000 http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/#comment-39370 #2, I didn't say YOU needed to call your office. :--> Your second para is a big question as it affects the economy, but hopefully not (crossing fingers) the RE market. I'm not worried about the traditional ARMs as much as the Option ARMs and IOs. It would be interesting to know the size of the components. #2, I didn’t say YOU needed to call your office. :–>

Your second para is a big question as it affects the economy, but hopefully not (crossing fingers) the RE market.

I’m not worried about the traditional ARMs as much as the Option ARMs and IOs. It would be interesting to know the size of the components.

]]> By: Tracy Coyle http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/#comment-39327 Tracy Coyle Tue, 24 Oct 2006 14:02:28 +0000 http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/#comment-39327 Am I being inconsistent by saying I don't think there is a nationwide real estate bubble? I think there is ample evidence of localized ones. But does anyone believe that a DECLINE in housing values will be ignored by consumers used to steadily rising values? I thought I saw an article recently that said over a trillion in ARM mortgages are due for rate changes in the next 18 months. We shall see how that affects the market. Am I being inconsistent by saying I don’t think there is a nationwide real estate bubble? I think there is ample evidence of localized ones. But does anyone believe that a DECLINE in housing values will be ignored by consumers used to steadily rising values?

I thought I saw an article recently that said over a trillion in ARM mortgages are due for rate changes in the next 18 months. We shall see how that affects the market.

]]> By: LargeBill http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/#comment-39313 LargeBill Tue, 24 Oct 2006 13:32:02 +0000 http://www.bizzyblog.com/2006/10/24/fed-economist-bubble-schmubble/#comment-39313 The talk of a bubble came from a media which is concentrated on the coasts where housing had the greatest upswing. They assumed what they saw in their neck of the woods was indicative of the rest of the country. Reality is here in fly over country houses did not go up in price at an extreme rate. Additionally, they confused housing with stocks. Sure some people buy houses with the intention of flipping them, but most people live in their house for years. I moved from Virginia to Ohio in 2004 and bought a home am I affected if its perceived value goes down 5 percent this year? Nope. The talk of a bubble came from a media which is concentrated on the coasts where housing had the greatest upswing. They assumed what they saw in their neck of the woods was indicative of the rest of the country. Reality is here in fly over country houses did not go up in price at an extreme rate. Additionally, they confused housing with stocks. Sure some people buy houses with the intention of flipping them, but most people live in their house for years. I moved from Virginia to Ohio in 2004 and bought a home am I affected if its perceived value goes down 5 percent this year? Nope.

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