John Murphy Reports

This was an interesting article that I found discussing selling developments in Los Angeles.   The trends are clearly showing that people want to buy lifestyle.   In otherwords, the home needs to be in great shape and offer a great value, but it also must accommodate a buyers desire to be close to excellent restaurants, shopping etc.   They are buying the neighborhood and location.  Perhaps that’s always been the case, but the amenities surrounding the home perhaps are as important, if not more important, than the amenities in the home.

The ironic thing is that as we move more to a lifestyle purchase, the MLS does not allow us to provide specifics when it comes to brand names or names of restaurants and shops.   For example, I can’t say that a home is within walking distance to Byerly’s or give specific names of very popular restaurants.

I’m a big fan of Mauldin’s economic insights.   I’ve found no one who gives a better mix of geopolitical and macroeconomic U.S. and global views.

For his latest letter on the discussion as to whether or not we are headed to hyper inflation here in the U.S. click here.

It appears the Congress has agreed to not only extend the first time home buyer tax credit, but they have expanded it to include move up buyers.   The details are still being hammered out.   There no longer is a rush to try to close by the end of November.

Perhaps next spring they will take this away and then buyers, sellers and real estate agents will be on their own to try to make transactions happen.

With the expansion of the tax credit for move up buyers, this should help a little bit for homes in the $300,000 to $400,000 range.

There remains little hope for home sellers over $500,000.  That’s still a very, very challenging market.