Be warned! Smart Money Now exiting Real Estate - Beginning of the End

[mamboni]

Starting at 10:35
"...and that's what happened in Weimar Germany and all the other places by the way. I've put it out there many times, the stock market in Germany went up huge, but the cost of living went up much more, and the price of gold and silver went up much much more...."

Katmandu comments: I have heard in multiple places around the net people saying things such as, "So what if the POG goes up to $[insert big number here] per ounce? That just means that a loaf of bread will be $[insert big number here]," or something like, "an ounce of gold has always been able to purchase one man's high quality suit".

I think there is surely a measure of truth to that, but in contrast I have always believed that a dramatic rise in the POG will supercede a corresponding rise in the price of goods. Whether it proceeds it by a few months or a few years is TBD. But what that means is that there will be a period where gold owners will be able to cash out some of their gold to purchase an extraordinary amount of goods. The video above is also alluding to this at the 10:35 mark. That point in time will be an opportune time to strategically beef up one's preps and other items. I know that several of us here at GSUS are also waiting for that opportune moment to purchase land/retreats, etc. Let's just hope that when that opportune time happens, that the shit has only partially hit the fan such that safe travel and other basic functions in life are still relatively easy to do.

The most extreme gold-as-wealth-vessel predicts that when the system is reset to collateralize all of the fiat money, insurances, equities and derivatives that gold will be priced north of $130,000 per ounces. That said, holding physical gold during these days of bankrupt governments financing deficits with money printing and banks discussing bailins and paying zero interest on deposits has to be the most blatantly obvious no brainer of all time.

[Shami-Amourae]

My plan was to wait for Gold/Silver to go up, and real estate to go down, then buy up real estate/farm land if I could. I really want a self sufficient micro-farm for myself.

[mamboni]

The "Oh Crap" Moment For Housing Is Now In The Can


http://www.zerohedge.com/sites/defau.../picture-5.jpg
Submitted by Tyler Durden on 11/02/2013 17:17 -0400




Real estate guru Mark Hanson updates his housing view following this week's dismal housing industry data:

• Sept. Pending Sales... the largest MoM drop since Sept 2001... not 2011... yes, 2001.

Don't let them tell you 'this is normal for Sept'. The 'oh-crap' moment is now in the can. Going forward, "Existing Sales" volume will disappoint on a YoY basis for several quarters. There is no way around it...

Fool me once, shame on you; fool me twice, shame on me; fool me thrice, shame on the Fed...


http://www.zerohedge.com/sites/defau...102_home_0.jpg

Via Mark Hanson,
Existing Sales is terribly backward looking and you can't change history no matter how hard certain parties try.
'House Prices' have already fallen sharply post-surge and continue to weaken -- prices are set at contract but not recorded until "closing" -- simply awaiting printing by lagging surveys.


Contrary to 'New' Home Sales, Existing Sales are where the Fed's go-go juice really showed up thanks to the Twist/QE 3, 4 increase in "purchasing power" beginning in Q4 2011 and the new-era "investor" rush to market in mid-2012. This is evident in the demand divergence between the two series. As such, the "post-surge" housing market "demand collapse" will be much more evident in this series than it was by the 27% MoM drop in New Home Sales in July.
In short, over the next few months we will see the two series quickly "converge" -- Existing Sales weaken considerably to be more in-line with the weak builder demand -- reflecting conditions more akin to the "hangover" period following the sunset of the Homebuyer Tax Credit.


Along with this comes lower YoY Existing and New Sales volume along with down trending MoM house prices as far out as July 2014, at which point house prices have a good shot at being negative YoY as well.


Sept Pending Home Sales Low-lights

1) US Pendings Fell 21.1% MoM on an NSA basis (down more not including last month's revision), the most on record for any Sept since Sept 2001...that's a terrible period to comp against.


2) On a YoY basis Pendings were down 4.3% on a daily basis (Sept 2013 had 1 extra business day YoY). And remember, in Sept demand was still being pulled forward due to rates and fear of Gov't shutdown.


3) Levels of Sept Pendings virtually ensure Oct through April Existing Sales" are lower YoY. A year ago volume outperformed (muted seasonality) in winter & spring, as new-era "investors" all dove in at the same time. This year the market will underperform (heavier than normal seasonality) due to the stimulus "hangover". This delta will produce meaningful YoY Existing Sales declines especially through April 2014.


4) Leading indicating Western region absolute Pending Sales lowest since 2007.


5) Heavily weighted, leading-indicating Northeast & West Sept Pendings down 31% & 20% MoM NSA respectively, also 12-year record drops.


6) YoY, Northeast & West Pendings down YoY by 3.1% and 5.2% respectively...the first YoY drop since after the 2010 sunset of the Homebuyer Tax Credit.


7) MoM, Sept national Pendings dropped 54% and 40% more than the 10-year average and post housing market crash avg Sept respective seasonal drops.
**note, items 5 & 6 were straight from NAR and not normalized for more business days this Sept than last. In short, the YoY drop is larger than reflected in 5 & 6.

http://www.zerohedge.com/news/2013-1...ousing-now-can

[Hypertiger]

Yes...the 42 year old atomic pile...the power of Bretton woods.

When the real estate bubble deflates...it will be the kiss of the apocalypse of bliss.

[PatColo]

Question is, are djooz of USA (hedge funds exiting rental property) playing "djooz of asia" (chinese) for fools? What's going on here? I don't believe the chinese are fools-- they're NWO players and I figure the moneyed class there knows what's going on. I just wish I knew!



The Chinese Are Buying Large Chunks Of Land Across America And (Zillow Is Now Enabling It)

April 4, 2014
Marti Oakley Uncategorized 1 Comment
http://0.gravatar.com/avatar/9100ada...s=48&d=wavatarOriginally posted on A NATION BEGUILED:

http://www.zerohedge.com/users/tyler-durden

Submitted by Tyler Durden


Has the United States ever experienced a time when a foreign nation has attempted to buy up so much of our land all at once? As Michael Snyder details below, it appears the Chinese are on a real estate buying spree all over America as they are now the dominat ‘buyers’ of investment green cards. This is occurring as private equity buyers and hedge funds exit the buy-to-rent business en masse and are, as Mike Krieger explains, are desperate to pitch American property to anyone willing to keep Housing Bubble 2.0 inflated… it seems Zillow is more than happy to enable that, “Zillow agreed to make its U.S. property listings available to Chinese consumers through a partnership with a Beijing-based website.”


As The American Dream’s Michael Snyder explains, the Chinese are on a real estate buying spree all over America. …



View original 1,632 more words

[Spectrism]

No, the Chinese are not "smart". I see them as a flavor of the Japs. They can be industrious and very competitive. But the Chinese are among the worst crooks. They are the ultimate chisellers as a people. Look at the crap that manages to get imported to Amerika. Crap. If you don't watch them closely they will fill materials with toxic crap. The culture seems to be one of pawning off crap on anyone you can. The concept of long-term thinking seems to me to be a fallacy when considering them.

So they have alot of worthless FRNs and need to dump them. Where else but real estate? Foreigners being allowed to buy Amerikan property is a major disaster happening.

[Heimdhal]

Damnit, and we just sold and boughht a house, too. We love the place and dont plan on moving anytime soon anyways.