Balanced Real Estate Information

In the Real Estate Section of the Los Angeles Times on Sunday, the 10th of September the featured article states "the House Price isn't Right!" mimicking the popular game show the Price is Right.

This article makes a discussion of timing the real estate market and taking a "wait and see" attitude to the housing market. If they want to discuss timing the real estate market, they might as well take their odds and try timing the stock market too! Although they do quote DataQuick to provide their statisical opinion of the market softening, they definitely choose convenient numbers to use.

• 2005 was a record for real estate in volume of sales
• Since 2005 was a record year, wouldn't it be likely that the following year be lower?

Median Sales Price "Dip"

• DataQuick states that the median home price dipped from $493,000 in June to $492,000 in July
• Wow, an entire .002% move...that's just crazy! The stock market indexes move much more than that in a single day, yet the LA Times wants you to think this is monumental.

Quoting the "expert"

The LA Times is fond of getting someone to agree with them. Enter, Edward Leamer, director of the UCLA Anderson Forecast. He is quoted as saying "Prices are going to be a little weaker a year from now...".

• Well he hasn't been right on the market in a number of years. You know who has predicted the appreciation and the fall in the 1990's?
• Answer: Economist Gary Watts
• You won't see Gary Watts quoted in the LA times though because he actually has the market finishing up 6.1% this year!

You be the judge of the real estate!