nyonyamansor09

Announcer: Reports continue to flow from the outer colonies of plastic and wood structures being erected on front lawns. Debate rages in the local communities regarding the how and why, but one consensus has emerged - this isn't good for real estate prices. Lady stands in front of house. Lady: I don't know where these signs are coming from, but I want it to stop. I've got one either side of me and the longer they sit here the more I can feel my home value going down and we've only got 10% equity in this thing. We had 15% but we took some out to buy a new boat and BBQ. As the bad news piles up, much to the chagrin of the real estate industry, who have effectively now lost control of the media, the bubble boys are furiously comparing notes - trying to understand where the epicentre is. Don't discount Tasmania's ability to punch above its weight. Right now in Tasmania, real estate signs are appearing like the plague cross did in 1400's Europe. Real estate agent...

In 2005 it probably seemed like a good idea - $560k for this 3x2 in Devonport. Five years pass and at $500k, no one seems to think it's a good idea any more.  This, after an initial listing at $569k, six months back. I can only speculate what was happening back in June 05 when over half a million was laid down for something, that frankly looks like a block of flats, but I suspect there was a lot of real estate agent bluster and a whole lot more of rampant house hormones on behalf of the buyer. It wasn't a $560k house then and it sure as hell isn't a $500k house now. So how did the owner find themselves thinking $560k was a good buy? It's here I'm reminded of a article written by Peter Schiff back in 2004. Schiff visited a rental house in Orange County, California. Out of interest, Schiff asked the agent how much the house was recently bought for. The agent replied 1 million dollars, Schiff then inquired as to the holding costs and taxes, adding them to the loan cos...