tag:blogger.com,1999:blog-1864815735750729117.post3767022744375686121..comments2023-10-31T06:28:56.237-07:00Comments on The Housing Chronicles Blog: "Poison Ivy" Zelman on false hope for homebuilding stocksPatrick Duffyhttp://www.blogger.com/profile/01418865588511944900noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-1864815735750729117.post-85312117540601626482009-01-12T14:38:00.000-08:002009-01-12T14:38:00.000-08:00It amazes me that although the real estate cliche ...It amazes me that although the real estate cliche about location, location, location is constantly touted the industry never seems to be able to understand that that translates into lot value, lot value, lot value. Ms. Zelman points that out clearly in her references to the prices of raw land. Homes don't appreciate in value - they depreciate constantly. It's the land value that rises in relation to supply and demand and that is what is now falling. The reason home prices rose was because buyers were not interested in the price of the home. They were only interested in their payments. And as long as the lenders were allowing them to get credit and minimize their payments they bought whatever their monthly mortgage payment would allow them to buy. That translates into affordability. And when the relationship between affordability and payments balances out, the market will stabilize and get back to normal.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1864815735750729117.post-49281984582890775662009-01-06T17:33:00.000-08:002009-01-06T17:33:00.000-08:00Wow you guys got it wrong. Poisy Ivy was more righ...Wow you guys got it wrong. Poisy Ivy was more right then your worst nightmares you cheerleaders.Alan Statichttps://www.blogger.com/profile/09196717411481032075noreply@blogger.com