Case-Shiller Rear View MirrorToday's release reflects January, not exactly what we are seeing in real timePosted: March 27, 2012 at 10:23 AM by John McClellandToday the Case-Shiller numbers were released and in Las Vegas, as most cities, prices registered a decline. However, as one can see from the tiered indices below, those declines have recently been moderating. Since these figures reflect January, these numbers are likely to depart from what is being estabished now. Inventories, which are largely being held back artificially and because of legal and proceedural rigidities, are at extreme lows unseen since the boom days. As a result, multiple offers are the no read more |
Shiller on U.S HousingPrice Indices, Mortgage Rates and Other IssuesPosted: December 28, 2011 at 5:42 PM by John McClellandRobert Shiller, co-creator of the Case-Shiller home price index and one of the few who publically proclaimed that we were in a housing bubble, is asked by Bloomberg to comment on several different datasets. He makes the important distinction between short-term measurements and overall trends, with a particular emphasis on the consumer confidence numbers.Dr. Shiller is asked if he believes it is a good time to purchase a home, at least for someone who expects to be in an area for an extended period. read more |
Shift in Homeownership Rates and Opportunity for InvestorsOliver Chang of Morgan Stanley Comments about Single Family InvestmentPosted: November 22, 2011 at 2:01 PM by John McClellandInstitutional investors should consider allocating some resources to purchase and hold leased single family homes. In this low-yeild, high-volatility investing environment, this may represent a great opportunity.
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Residential Investment in Las VegasYields, why the boom and bust, gaming uptickPosted: September 21, 2011 at 5:10 PM by John McClelland One of the reasons that we believe Las Vegas is a good place to acquire properties for a long-term hold is based on fundamental measures such as price-rent ratios and the level of pricing below the longer-term, pre-bubble trend. Currently the price-rent ratio is about 6. In addition, it is often less expensive to buy than it is to rent. Similarly, cap rates are elevated implying an undervalued situation or investor sentiment. I tend to think it is still undervalued even though it is oversupplied. We read more |
Australian Home Price UpdateWhy it matters for U.S real estatePosted: September 12, 2011 at 2:23 PM by John McClellandLong ago we had taken note of the frothy Aussie housing market and noted some parallels between what has been occuring there and what we experienced in the United States. One of these was the "housing shortage" will keep prices up statement. While real estate is a market with a lot of friction, shortages should'nt last long unless municipalities artificially restrict supply through zoning. Bloomberg talks about the home-shortage myth today: http://www.bloomberg.com/news/2011-09-11/housing-bear read more |
