November 13, 2006
Just Quotes: So Is San Francisco Hot Or Not?
"Do not be afraid of falling prices. It's sales that are important," [David] Lereah said. "We needed prices to fall. We had a balloon and we are deflating it. It got to the point where homes were unaffordable and we reached a breaking point. That's the reason we are in this contraction."
"It's the hot boom cities -- that is where the problem is," Lereah said. "But these were the boom markets because they had good economic fundamentals, and for the most part that is still true. This is a temporary correction in these hot markets -- but how you define temporary I just don't know."
Forget temporary, how do you define “correction?”
∙ Housing Market Showing 'signs Of Recovery' [Morningstar]
First Published: November 13, 2006 12:07 AM
Comments from "Plugged In" Readers
Wow...nice 180 by Lereah, huh?
Posted by: Dude at November 13, 2006 8:47 AM
dead. cat. bounce?
Posted by: eddy at November 13, 2006 9:29 AM
its going down. Wait until after Thanksgiving/Christmas
inventory set to double from here
Posted by: Anonymous at November 13, 2006 8:28 PM
You guys realize prices are actually up about 5-8% in SF right? District 7 is pretty hot right now. [Removed by Editor]
Posted by: Anonymous at November 13, 2006 8:36 PM
I don’t see any signs of inventory doubling in the near future (at least for units that are available for immediate occupancy), but I am also pretty certain that prices in SF are NOT up 5-8% over the past year. Not even the “Median Sales Price” in San Francisco is up 5% (and even that has been falling the past couple of months). From what I’m seeing, at best prices have been flat over the past year (and are currently trending down).
Posted by: Michael at November 13, 2006 10:21 PM