Wednesday, April 30, 2008

Alan Nevin

Alan Nevin, Chief Economist, California Building Industry Association and San Diego-based MarketPointe Realty Advisors
How do these people live with themselves? (Hat tip to BMIT)

Anybody who's going to walk away from a house or condo has already done it,” Nevin said. “Now it's just a matter of the pig going through the snake.”

Q: Looking past 2007, what's the crystal ball say for O.C. building in the ensuing years, say, through 2010. Can we escape without any harsh tumbles?
A: Because Orange County is land-restricted, it is very difficult to have a glut of new product. Therefore, I see a stable market through 2010.

Asked where he would recommend buying real estate in the North County coastal area, Nevin replied: "Everywhere. There's no negatives."

Nevin's talk was reassuring, said Frank Mercardante, Southwest president and chief executive."He emphasized there is no bubble and there won't be, because of the demand for real estate here in San Diego County," Mercardante said.

: Homeowner equity swells by $1 trillion
SAN FRANCISCO – California's steadily rising property values have created $1 trillion in homeowner wealth during the past five years – a boon that has bolstered the economy through several rocky patches, according to a study by an industry trade group. The estimate released this week by the California Building Industry Association shows the upside of a real-estate boom that has lifted housing prices to unprecedented heights.

"Overall, the study shows that we in California who are homeowners have been remarkably blessed," said Alan Nevin, the association's chief economist.

Sunday, April 27, 2008

Elizabeth Razzi

Elizabeth Razzi, Columnist/Author
Author of "The Fearless Home Buyer". The Fearless Home Buyer? You have got to be fu**ing kidding me.

2008-04-27: Brokerage Barons
Razzi: What do you think of bloggers who seem to root for an even bigger bust?

Housing Panic handled a response to the above question with aplomb. Bloggers don't root for a bigger bust. We just want prices to return to normal, based on reasonable lending standards. Perhaps the book convinces you to be fearless in the face of a price that is 10x your gross income. Yes, be fearless, throw your money away! Why not write a book about the housing bubble, its causes, and its impact. However, its impact will be felt for the next decade.

Wednesday, April 23, 2008


Internal Revenue Service
Well, the IRS didn't exactly cause the Housing Bubble, but they are certainly doing their part to screw anybody that didn't have anything to do with it. How, you ask?
By socializing $290B in losses, and we're just getting started.

2008-04-23: Fannie, Freddie May Pay Lower Taxes After Rule Change
April 23 (Bloomberg) -- Fannie Mae, Freddie Mac and other companies suffering as mortgage delinquencies rise won a two-year battle with the IRS yesterday, allowing them to use those losses to reduce their tax burden.

Internal Revenue Service withdrew proposed regulations that had asserted that mortgage loans are capital assets and any losses from them could be used only to offset capital gains. The agency also said it wouldn't challenge companies that count such losses against ordinary income.

The action also clears the way for Fannie Mae,
Freddie Mac and some other holders of defaulted loans ranging from auto lenders to credit card issuers to benefit from Senate-passed tax legislation that would allow companies to apply those losses against previous tax years to get immediate refunds. So far, 70 of the world's biggest banks, securities firms and mortgage companies have taken about $290 billion in asset writedowns and credit losses since the beginning of 2007.
Carry backs currently are limited to two years; the Senate legislation would temporarily expand that to four. A House panel passed a separate relief measure that doesn't contain the provision.

It means that the losses they sustain on these instruments will be eligible for the four-year carry back, assuming that provision gets enacted,'' Willens said. The biggest beneficiaries of the IRS action will be Fannie, Freddie and mortgage originators,

Tuesday, April 22, 2008

Richard 'Dick' Gaylord

Dick Gaylord, REMAX Realtor / 2008 NAR President
Is this guy on drugs??? Last quarter of 2008--he called it! Whew! I feel much better now.

I would ask, "Who write this stuff?", but this jackass seems like he was born to spit out this trash.
2008-04-22: Existing-Home Sales Slip in March
NAR President Richard F. Gaylord, a broker with RE/MAX Real EstateSpecialists in Long Beach, Calif., said there are problems with theimplementation of mortgage guidelines. "It appears there is some over-reaction on the part of some lenders now in requiring higher downpayment percentages than may be necessary," he said.

He's baaaaaackkkkkkk!!!

Dick, you mo**er fu**er!!!
2008-01-24: Letter to N.Pelosi For Conforming Loan Increase
The critical role that the GSEs play in providing liquidity to the mortgage market has never been more evident than it is today. Unlike most proposed stimulus measures being discussed, a national conforming loan limit increase to $625,000 would have a positive, immediate impact on the housing market and the broader economy. Specifically, NAR estimates that increasing the conforming loan limit to $625,000 will strengthen current home prices by 2 to 3 percent and generate $42 billion in increased economic activity.

2008-01-14: NAR Campaign Relates Real Facts
"Nobody buys a home in the national real estate market," (What about price?) said NAR President Dick Gaylord, a broker with RE/MAX Real Estate Specialists in Long Beach, Calif. "All real estate markets are local, and buyers and sellers who are thinking about making a move should consult with a Realtor(R) in their local market to learn about conditions specific to the area. (What about price?) It's also advisable to look beyond the immediate horizon -- real estate has proven itself to be a good long-term investment and a safe, secure way to build long-term wealth." (What about price?)

2007-11-04: Time to buy? Depends on whom you ask
"I'm not seeing the market fall apart. Are we having a correction? Absolutely," said Long Beach broker Dick Gaylord, who becomes the 2008 NAR president next month. "I think for most buyers, this is a great time. The question is, are you buying right?"

"I don't think this will go on much longer," Gaylord added, forecasting a turnaround by the last quarter of 2008.

Realtors welcome national association president
Dick Gaylord told an audience at the Visalia Convention Center that he's "never been more confident" in the market. "Real estate has always been the best way Americans built wealth and it will always be," Gaylord said.

"The problem is there has been a tremendous appreciation [in property values] over the past five or 10 years and now people have a misperception of real estate as an investment," he said. "They think it's a short-term investment and it's not."

He counted down the positives in today's market, including continued low interest rates, a growing gross domestic product output and solid employment.

"This is a great time and the industry will continue to survive," he said.

Saturday, April 19, 2008

Housing Bubble Solution(?)

Here is your dream home, but there's a catch. It's your dream home PLUS somebody else's. As the MLS description states:

LOOK AT THIS ONE!!! One of the few homes where FLOOD INSURANCE IS NOT REQUIRED!! One of the few Perfect for entertaining. Spacious custom contemporary with new custom cabinets in kitchen, baths,laundry, dining, wet bar and around fireplace. Large swimming pool with jacuzzi. HUGE owners suite with its own a/c system. Front of home overlooks 11th fairway, Rear overlooks 18th hole. Very private upscale neighborhood priced to sell fast. Too large for single owner. THIS IS NOT A SHORT SALE, CLOSING COULD BE IMMEDIATE. MUST SEE BEFORE SOMEONE ELSE HAS THE OPPORTUNITY TO ENJOY THIS BEAUTIFUL HOME!!!

BWAHAHAHA (hat tip Ace)

MLS #: 7340786 (link to Realtor's site)
Price: $850,000
Address: 908 Royal Birkdale Dr, Tarpon Springs, FL 34688
Neighborhood: Cypress Run
Type: Single DOUBLE Family Residential for Sale
Floors: Single Story Parking/Garage: 3+
Bedrooms: 4
Baths: 4
Half Baths: 1
Square Feet: 4574

There is the answer to the Housing Bubble--start doubling up on ownership.

Nicolas Retsinas

Nicolas Retsinas, director of Harvard University's Joint Center for Housing Studies
I've been eyeing Mr. Retisinas for induction for a while now. Congratulations, moron.
Induction Date: Dec 20, 2007

Nicolas on the housing problem...
Nicolas Retsinas, director of Harvard University's Joint Center for Housing Studies commented "The fundamental problem with housing is oversupply.''

2007-12-17: Seeking Alpha Rebuttal
Adding to the growing evidence that you can work at Harvard and still be a moron, Nicolas Retsinas, director of Harvard University's Joint Center for Housing Studies commented "The fundamental problem with housing is oversupply.''

2006-09-27: Sep 2006 Article from Housing Panic

2008-03-25: Good news in the housing market (???)
"The numbers indicate that if price goes down, sales go up."

This is what they teach you at Harvard! Congratulations; after you read this you have an Ivy League education.

Monday, April 14, 2008

Housing Bubble Disbelievers

To all the Housing Bubble disbelievers and defenders of the monkeys that appear here, these videos are dedicated to you. Go score some more interest only loans.

Nation of Debt

Tribute to Peter Schiff


Wachovia, "Worry Free" Banking
"A housing-driven recession is mathematically impossible."

2008-04-14: Wachovia's California nightmare
Wachovia investors are paying through the nose for the bank's ill-advised California gold rush. Shareholders in Charlotte, N.C.-based Wachovia were rocked Monday by a nasty one-two punch: a sudden (and dilutive) sale of common and convertible preferred stock, and the bank's first quarterly loss since 2001. Wachovia swung to a $350 million loss in the first quarter, reversing the year-ago $1.2 billion profit, as the bank posted weak numbers across its businesses. The breadth of the bank's losses stunned Wall Street, sending shares down 10%.

2008-04-14: Wachovia to Receive Big Infusion of Capital
Wachovia Corp., which barreled into adjustable-rate mortgages with the huge acquisition of Golden West Financial Corp. near the peak of the housing market, could announce as soon as Monday that it is getting a capital infusion of several billion dollars from outside investors, according to people familiar with the matter.

Final terms of the deal were being hammered out Sunday night, but it appeared likely the fifth-largest U.S. bank in stock-market value would receive $6 billion to $7 billion. In return, the investor group would get shares priced roughly $23 to $24 apiece -- a 15% discount to Wachovia's share price Friday.

2008-01-22: Wachovia Customers Just Walking Away
(Calculated Risk)

2007-10-19: Wachovia: Increasing Credit Troubles Ahead
(Calculated Risk)

2006-06-27: Housing Driven Recession Impossible
(Calculated Risk)
'A housing-driven recession is "mathematically impossible," said Wachovia Bank senior economist Mark Vitner, because housing is derived from the rest of the economy and construction is actually a smaller portion of the U.S. economy than during the housing boom of the late 1970s. Even if home values soften in expensive markets, many homeowners are still sitting on substantial home equity cushions.'

Sunday, April 13, 2008

Cheryl Oliphant

Cheryl Oliphant, tiny-Trump™, Santa Monica
Perhaps the title of the story should have been, "Did average people think real estate was their ticket to riches?" I've said it before, I'll say it again: The average person SHOULD NOT be gambling/speculating in real estate.
(hat tip Buzz Saw)

2008-04-13: Did appraisers juice Florida real-estate market?
Cheryl Oliphant of Santa Monica, Calif., bought a house that lenders shopped to appraisers as being worth $550,000. The registered nurse now thinks the appraisal was inflated.

A novice (
Read: idiot or retarded or jack-ass) real-estate investor, Oliphant said she used her retirement savings and bought at the top of the market, thinking she had a great deal and instant equity in the house because it appraised for $50,000 more than the $450,000 sales price."

The appraisal was wishful thinking," said Oliphant, who could not provide the appraiser's name. "I became a little suspicious later when I went to refinance and the next appraiser was having a hard time finding the value."

Oliphant has been trying to sell the house at a $100,000 loss and plans to file for bankruptcy, losing her $50,000 down payment. She said she might ultimately have to abandon that house and four others she bought in Florida...

Four Others!!! WTF!!!

Friday, April 11, 2008

Amber Barbosa

Amber Barbosa, Mortgage Broker/High School Grajewit
Subprime brokers "help" homeowners. Uhhhhh... right. BTW, they are not "homeowners", they are "house-debtors".

I encourage you to follow the link and listen to the NPR audio report. The broker-whores KNEW about the fraud and played a key role in the bubble. Just ask Roxie Chilcott about the phenomenal profits they were "guilty of making"; strange choice of words. And she also said the risks were reasonable.

2008-04-09: Ex-Subprime Brokers Help Troubled Homeowners
Amber Barbosa didn't graduate college. But she did get an education — by working for the now infamous subprime lender New Century Mortgage Corp.

Barbosa was a quick study: A few years later, she struck out on her own as a mortgage broker. "In 2006, I made close to $500,000," she says. Not bad for a 28-year-old with no college degree.

By then Barbosa, who was living outside of San Francisco, had a nice boat, a 27-foot Bayliner. She had several houses, a Mercedes and a Cadillac. "I was riding around in my '07 Escalade," she says. "God, I had three properties at the time — one right on the water with ocean access, another property worth $800,000." (From the audio: "I was living". Yes, that is the definition of "living" in the USA: Escalade and Mercedes. Fu** you, whore!)

Wednesday, April 9, 2008

Chuck Smiar

Chuck Smiar, Prudential Realtor in Escondido
Chuck should probably stick to what he know best, which, as near as I can tell, is NOTHING! Who said homes are going to "zero"? They're just going to drop 20-50% depending on your location--that's all.

We have an update on the Smiar-o-Graph from Prof. Piggington.

North San Diego County housing market stays sluggish
"There's buyers out there, but they're just not buying. They're sitting on the fence, waiting for (prices) to drop more. They're going to see it drop and then they'll wait for it to drop some more," said Chuck Smiar, a Prudential Realtor in Escondido. "They all think it's going to go to zero, and they're going to be in for a surprise."

2008-04-08: March worst month yet for housing market
"I think we'll see it (better sales) because the pricing structure is going to force the issue," said Chuck Smiar, a real estate agent in Escondido. "There's a lot of buyers sitting on the fence waiting for the bottom. And I think if they don't jump in soon, they're going to be sorry."

My comment from the first article at NC Times:
Tyrone wrote on Dec 11, 2007 10:14 PM:
" You should find the article at the Motley Fool title, "Down Isn't Up. Really", where the NAR gets ripped for their most recent claim about rising Pending Sales. But lets see, $590K median home price... so the median income in the North County is $150K+. Is that right? BWAHAHAHA Check out the ARM reset schedule. Prime/Alt-A/Neg-AM are next in the queue. North County will be hit hard over the next few years as these begin to reset. Lot of news today about credit and liquidity problems in the financial industry. Bumpy ride ahead... "

In for a Surprise, by Rich Toscano

Here is the overlay of Chuck's comments with the San Diego HPI. A 'Smiar Campaign' if I ever saw one.

Tuesday, April 8, 2008

Vincent Bindi

Vincent Bindi, Broker / Bottom-Caller
You gotta give this guy credit; he consistently calls the bottom... every year. LOL

2007-02-26: South OC Real Estate Market looking better and better!
As we stated in a previous article several weeks ago ( Orange County market is Alive Again ), it is our opinion that the downward pricing is coming to an end here in south Orange County. If we haven't already reached the bottom of the downward pricing cycle, then we are very close to the bottom. How can I be so confident you may ask ? Well as they say, it's all in the numbers.

2008-04-04: Pricing bottom ‘getting close,’ South O.C. agent says
South Orange County real estate blogger Vincent Bindi reported recently what we’ve been hearing from a number of O.C. real estate agents: signs that the local housing market is starting to pick up a tic from the moribund doldrums that hit following the late-summer credit crunch. Specifically, many agents speak of rising escrows amid falling prices, with some bidding wars erupting.

Bindi, an agent with Keller-Williams Realty who regularly analyzes South County housing numbers, picked up that trend as well. He cites rising escrows and stable inventories, while projecting that prices will drop about 10% more.

Some random comments from the '08 article...

svvandal Says: April 4th, 2008 at 1:00 pm
“He tried calling the bottom in February 2007 and look what’s happened since then.”
ha ha! nice find! that is hilarious.
real estate is always a great investment when your income depends on rising markets and sales.

ACAmerica Says: April 4th, 2008 at 1:03 pm
shockg, stop your whining. The guy is lying. He should be arrested.
These types threats to America besides a threat to your pocket book.
The pigmen shall be hunted and strungup as all hunters do.

Mick Says: April 4th, 2008 at 2:37 pm
AS IF we are going to hit bottom soon and the start going back up! Ha!

Monday, April 7, 2008

Larry Murphy

Larry Murphy, President of SalesTraq
Genius of prognostication! Please tell us more!

2006-06-21: Analysts: Home prices won't fall
"Home prices are still going up in Las Vegas," said Larry Murphy, president of real estate monitoring firm SalesTraq. "That flies in the face of bubble theorists. There never was a bubble in Las Vegas, and there isn't one in the future."

"We have a bigger demand for new people than anyone else in the country," Bottfeld said.

"Prices have to continue to rise," Bottfeld said.

Be sure to catch Larry here:
Crystal Ball Seminars
April 24, 2008 at the Texas Station Hotel & Casino,
Larry Murphy, President of Salestraq™

Sunday, April 6, 2008

Margaret Kelly

Margaret Kelly, RE/Max CEO

It's a perfect time to buy!!!
Guaranteed Appreciation!!!

It's not gonna go that much lower!
Guaranteed Appreciation!!!

: Housing Market Returning to Normal
The U.S. housing market is returning to normalcy, RE/MAX International CEO Margaret Kelly said Aug. 23 on CNBC.
View the streaming video. (opens in small window)

2008-04-04: RE/MAX Realty Check
"We're seeing bright spots."

Saturday, April 5, 2008

Kim Carpenter

Kim Carpenter (Kim Carp), Realtor
I wasn't going to add her to the Hall, not that she doesn't belong, but I relented because she's blond. This one is for you, Ace.

You can no longer see her blog at ActiveRain, but here is what started it all... (it's called, "Cached" information, baby; hat tip to the folks at Housing Panic--scooped again!!)

Will I cut my commision? No!.... Next question.
It should be that easy, but it isn't! My value as a REALTOR to you the home seller is well worth my professional fee. You the home seller, need to know the answer to my most frequently asked question. In your mind the question is "Will you lower your commission?" In my mind I hear, "Will you work just as hard representing me and my property even though I don't want to pay you what you, your skill and time is worth?"

Hmm... how would you feel if you go to work one day and hear these words from your boss, "Good morning, I have decided to decrease your pay for the next three months, its really no big deal." He goes on, "I know you are worth it, you are great at what you do, but I rather lower your pay...after all, it is MY business...At least you will make something!"

Realtor... Value??
Realtor... Professional??

Friday, April 4, 2008

The Housing Bust: a Statistical Portrait

I thought this article had some interesting statistics.

The Housing Bust: a Statistical Portrait

Percentage of all mortgages bundled into securities:
1994: 55.8 percent; 2007: 74.2 percent

Percentage of all subprime mortgages packaged into securities:
1994: 31.6 percent; 2007: 92.8 percent

Household debt as a percentage of disposable income:
1985: 74.9 percent; 2006: 137 percent

Share of mortgage originations by federally regulated savings institutions:
1987: 29.8 percent; 2006: 8 percent.

Share of mortgage originations by less -regulated brokers:
1987: 20 percent; 2006: 58 percent

Average annual rise in home-price value:
1990-1999: 3 percent; 2000-2006: 8.6 percent

Total estimated cost of the subprime crisis so far:
$150 billion to $500 billion.

Dottie Herman

Dottie Herman, NY Realtor
It was another Schiff smack-down!

(Housing Panic keeps beating me to the punch!)

Schiff 7, Realtors/Analysts 0

"You're generalizing."
"I don't think anything is inflated."
"It's a supply and demand issue."
"I'm saying there is a cooling off, now."

Maybe she's right. There was a huge supply of easy money, and a huge demand for it.
2008-04-02: Fox News Schiff/Herman Smack-down

Thursday, April 3, 2008

Nicole Lyder

Nicole Lyder, Broker / CEO of Everything
Maybe she can become CEO of the County Jail.

Oh, Nicole, you are sooo naughty. What have you got yourself into now (4/3/08)?

2008-04-03: Mortgage broker charged with using false documents
A Boston mortgage broker was charged yesterday with using forged bank statements and tax returns and other false documents to help unqualified home buyers secure subprime loans.

Nicole Lyder, whose loan practices were the subject of a Boston Sunday Globe story in January, was arrested Tuesday at a Norwood hotel by local police after the hotel manager suspected she was using a stolen charge card.

Norwood police arrested her on two felony charges, for identity theft for using someone else's credit card to reserve the hotel room and for possession of an illegal substance, said Paul Bishop, a police department spokesman. Yesterday, Norwood police transferred her to state custody to face the mortgage charges.

The state also charged Lyder with fraudulently obtaining a car loan to buy herself a $44,000 Land Rover.

The 33-year-old Lyder pleaded not guilty. She is being held in the Suffolk County jail in Boston in lieu of $500,000 bail.

Her two children, who were with her at the time of her arrest in Norwood, are being cared for by relatives, Waterfall said.

2008-01-20: Broker's clients detail web of dashed dreams
When Marcia Neilson couldn't qualify for a home loan in early 2006 because of poor credit, her mortgage broker, Nicole Lyder, had an unusual solution: Add Neilson's daughter to the loan application.

Fake documents, a phantom borrower, and other irregularities were common features of five subprime mortgages brokered by Lyder between November 2005 and June 2006 that were examined by the Boston Globe. Lyder's clients ranged from the barely employed to struggling working-class couples; one had just left a homeless shelter and two others gave up government-subsidized housing to buy homes. They said Lyder arranged loans that they later re alized had monthly payments that far exceeded their means. All five loans are now in foreclosure.

Nicole's Myspace

Wednesday, April 2, 2008

Lori Polin

Lori Polin, Realtor
From Realtor Hall of Fame to Housing Bubble Hall of Shame. This story is so dirty, I feel unclean having her here. But if you're clean, Lori, you don't have to look over your shoulder, wondering when and if the Feds will come and knock on your door. Just ask Crisp & Cole how that feels. Welcome, asstard.

This comment was posted on 4/1/2008:
My family and I just rented your old home 4854 Sherbrook Drive, Oldsmar, FL 34677. To find out that we are being evicted and have no money left to put on a new place after 1 month. Your shady dealings with Marcus Habeeb @ Allen Boyarsky have left my family homeless in 2 weeks. I hope you are satisfied with yourself...God will judge you one day you know!!! If anyone has advice or guidance my family could really use it now....i can not explain to you how it feels to be scammed out of all of your $$$$. Please email me support at :)

Checking 4854 Sherbrook Drive at the Pinellas County Assessor, sure enough, it belongs to HABEEB and BOYARSKY, who were identifed in the article below. And yes, I agree with Mr. Habeeb, "All you got is fraud going on".

A search of that address identified this link.

2007-11-23: Agent Accused of Mortgage Fraud
...Polin "artificially inflated" the prices of nine homes in Tampa and North Pinellas so buyers could get larger loans.

Most of the houses were mortgaged for far more than the actual sales price, with the buyer or a third party pocketing the difference. Except for well-documented renovations, such "cash-back-at-closing" transactions can be a sign of mortgage fraud. In one transaction, $109,000 went to a construction cleanup company although there is no evidence of any construction or cleanup up since the run-down Clearwater house sold last year.

The 48-year-old Polin said she is the innocent victim of a "smear campaign," which she says may have been started by a jealous rival.

"It's serious about these people going into foreclosure, but it has nothing to do with me except this Realtor trying to get me into trouble," Polin said. "All these deals were put together by attorneys and title companies and lenders. Nothing was inappropriate as far as what I did."

All of the transactions involved lawyer Allen Boyarksy, who bought Polin's own Oldsmar home. Polin said she didn't know that Boyarsky's law license had been suspended, that he had a history of drug arrests or that he had filed for bankruptcy protection, listing debts of $300,000.

, who recently started a marketing business with former Tampa Bay Buccaneer Lamar Thomas, didn't respond to requests for comment. In 2006, he was vice president of a mortgage company whose owner, Marcus Habeeb, recently closed all four of his Florida offices because mortgage fraud had become so rampant.

"The whole of Florida, all the transactions are funny," said Habeeb, who lives in New York. "All you got is fraud going on."

2007-12-04: Realtor Caught in Cash-Back-at-Closing’s Crosshairs