Comments on: Doing The Housing Bubble Math Dance for California. http://www.doctorhousingbubble.com/doing-the-housing-bubble-math-dance-for-california/ How I Learned to Love Southern California and Forget the Housing Bubble Thu, 11 Mar 2010 03:48:28 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: John Beck Real Estate http://www.doctorhousingbubble.com/doing-the-housing-bubble-math-dance-for-california/comment-page-1/#comment-29944 John Beck Real Estate Fri, 26 Dec 2008 05:07:38 +0000 http://www.doctorhousingbubble.com/?p=20#comment-29944 This blog Is very informative , I am really pleased to post my comment on this blog . It helped me with ocean of knowledge so I really belive you will do much better in the future . Good job web master . This blog Is very informative , I am really pleased to post my comment on this blog . It helped me with ocean of knowledge so I really belive you will do much better in the future . Good job web master .

]]> By: Wish_I_Was_Born_Earlier http://www.doctorhousingbubble.com/doing-the-housing-bubble-math-dance-for-california/comment-page-1/#comment-28970 Wish_I_Was_Born_Earlier Fri, 12 Dec 2008 22:53:21 +0000 http://www.doctorhousingbubble.com/?p=20#comment-28970 I think it's time to move out of California. The old generation is literally funding their 30-year retirements with the 30-year mortgages taken-out by the younger generation! Obviously, California does not offer the same economic mobility that it did in 1970! I think it’s time to move out of California. The old generation is literally funding their 30-year retirements with the 30-year mortgages taken-out by the younger generation!

Obviously, California does not offer the same economic mobility that it did in 1970!

]]> By: bubble_watcher http://www.doctorhousingbubble.com/doing-the-housing-bubble-math-dance-for-california/comment-page-1/#comment-103 bubble_watcher Thu, 02 Nov 2006 21:03:00 +0000 http://www.doctorhousingbubble.com/?p=20#comment-103 This is an excellent post, Dr. Housing Bubble!<br/><br/>Now, the next thing to do is to make a price drop / rent increase estimate that would be required to bring this $991 dollar difference into the historical norm of $170.<br/><br/>To make things simple, though, you should assume no rent increases for the next few years since many flippers/home sellers are putting houses up for rent while most apartments have vacancies. <br/><br/>Add in a recession, and you could also have rents dropping at the same time real estate drops in price, as well.<br/><br/>As a sidenote, CalculatedRisk has a nice price to rent ratio chart for San Diego:<br/><br/><a HREF="http://calculatedrisk.blogspot.com/2005/03/price-rent-ratio-usa-and-san-diego.html" REL="nofollow">[Link]</a><br/><br/>With rents unchanged, we are looking at a drop from 1.6 to 0.8 (recession), which would correspond to a 50% drop from peak prices.. This is an excellent post, Dr. Housing Bubble!

Now, the next thing to do is to make a price drop / rent increase estimate that would be required to bring this $991 dollar difference into the historical norm of $170.

To make things simple, though, you should assume no rent increases for the next few years since many flippers/home sellers are putting houses up for rent while most apartments have vacancies.

Add in a recession, and you could also have rents dropping at the same time real estate drops in price, as well.

As a sidenote, CalculatedRisk has a nice price to rent ratio chart for San Diego:

[Link]

With rents unchanged, we are looking at a drop from 1.6 to 0.8 (recession), which would correspond to a 50% drop from peak prices..

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