brainmower

Housing Bubble

Downtown San Diego Housing

I stumbled across a site that has provided a wealth of real information about the state of the housing market in downtown San Diego. I knew the housing situation was bad, but I had no idea how bad until I spent some time on this site.  More than any other resource I've found this site useful for getting unbiased info on the local market. It's scary reading.  Check it out: sdlookup.com 03-29-2009 update. Another good site: Piggingtons.

The Law of Rents

In a previous post titled Hardwork, Intelligence and Profits I spoke about being a homeowner during the rapid decrease of home values in 2008. When the market was near it's top I reasoned that the best reason to sell was the "Law of Rents". I created this Law, so allow me to explain.  The Law of Rents states that there can only be a delta of ~15% between mortgage payments and rents in any area (ignoring downpayments).  Any imbalance will result in shifting rental/housing markets to readjust. ...

The upside of expensive Gas

Gas is at $4.50/gallon. Hummers sit on lots while the Prius has a six month waiting list. Solar, Wind, Nuclear and Natural Gas have become hot topics. India will soon produce a $3,000 car. With 1.2 billion people the availability of a $3,000 car will intensify worldwide gas consumption and demand for oil. Add in China with it's parabolic increased consumption of all natural resources and the problem is mushrooming. The United States still consumes more resources than any other Country....

Wake up and smell the Starbucks

Wake up and smell the....Starbucks. Sounds odd huh? Well, it may not sound odd in a few years. Product placement is a small example of the marketization of our culture. In the book Is the American Dream Killing You? How the Markets Rule our Lives Paul Stiles explores how Capitalism and unabated Free Markets have destroyed the American Dream. The market is unrelenting, driving Americans into further spirals of debt, work and detachment. The book lays bare the issues created in a culture whe...