Homeowners in denial

no matter what the situation is, you still can sell your house.

But . . . in the market price. and . . . sometimes it isn't the price you really comfortable with

Thanks to the cheap money, nearly everything has been inflated over the last 7 or 8 years INCLUDING wages and houses. Yes, believe it or not, wages in the home-related (including manual labor) businesses have been GROSSLY inflated. Cheap money (aka 'debt' with outwardly seemingly affordable terms) has been carrying our economy for a long time. People need to stick to their guts and do what they know that they need to do in order to ride this thing out....and then LEARN from it. There is much more to unkindliness to come.

Don't buy into the "0% for X months!" nonsense unless you can afford to pay for it in cash and simply want to borrow the money for 0% while yours collects interest somewhere. Don't believe that 'you' are special and priveledged under the current system, because you are most likely not unless you are drawing a decent and liveable lifestyle from investment income alone. And most importantly, stay in your home without even humoring the thought of selling it anytime soon no matter what some realtor tells you the alleged 'market' value is. Market value does not equate to SOLD! The only time that it did was when the sharks were capitalizing on the people who couldn't afford the homes. If this was the faux economy that you cut your teeth in, it is time to re-educate yourself in the truth.

Even if you can sit this one out, you will be affected by this housing slump. So many other businesses are depending on the real estate market. Realtors, mortgage brokers, contracters, flooring related companies, kitchen cabinet builders, glass window factories, roofing factories, transporters for all this goods and so on. Too many to mention. Even the little tamales guy in his truck driving to the new subdivisions to provide the contractors with their lunch...I'm not a pessimist but I think we will have to hold on to our houses a lot longer than anyone expects.
But like in most downturns, their is always a possitive: lots of people are looking across our borders to buy into a more affordable life and lots of European investors are buying cheap realestate in Florida and other East Coast locations.
Magda - www.fineinternationalhomes.com

As an investor, it is Okay to sit tight and relax until you get your price. Take caution though if you are the average seller. The longer you sit, the more you need to cough up when replacing your home. Rather sell at a reduced value now because, your increased profit by waiting will also get dissolved by the "real" increase of replacement value in the future. If you are not an investor, you really have little to gain by holding on to achieve your price.

And, no, I put all my recourses into investigating a niche market. All I have to do is find an investor. Just how does one get an idea to THE DONALD without leaking the formula?

To Donald Trump, you are going to loose out on this deal unless one of your employees has the vision and understanding of just how much income can be generated from a niche in the property market. You too, don't seem to have the time to catch a good deal.


All in all, I think you are great but, if I have to go to the UAE for financing the soon worlds largest property profit income generator, I’m sure YOU WILL FIRE YOURSELF.

Okay, Mr. Trump... I'll sit tight, and I won't panic. Easy for you to say. Have you ever had to sit tight and not panic? I know, it's all relative. It must be hell to wait on pizza delivery, up there in the clouds.

Hello Donald, Thank-you for allowing comments. I stumbled upon this resource and have found your experience and knowledge to be helpful for my own betterment as an MBA student (now Graduate) as well as a novice business woman. I myself had been vaguely aware of our own present slumping housing values (We reside in Ohio). Recently, I researched the solid numbers for myself and almost had to be rescusitated at my desk. My husband and I are now upside down in our mortgage and have basically lost $80,000 in our equity. Fortunately, after reading your blog, I have affirmation that we will eventually be okay. I know you are not able to predict the future, yet with your strong hold on trends, when do you see a significant rebound on the horizon?

ouch. I think we're going to keep sliding down for a while yet before things level out. Posting at the end of the year, three quarters later than your entry, locally businesses such as kids camps, retail sales, and industry are way down. I have talked to many middle class people who aren't doing gifts this Christmas. If money isn't circulating, jobs will be lost, followed by less money circulating still, and less jobs. What a cycle. I heard some analysts predicting this could take years to come back.