More on the Real Estate Market...

From Reuters today…

The National Association of Realtors said on Tuesday its Pending Home Sales Index, based on contracts signed in November, dropped 16 percent from October to 96.0 after rising for nine straight months.

Analysts polled by Reuters forecast pending home sales, which lead existing home sales by one to two months, falling 2 percent in November. The realtors group blamed the drop on the end of a rush to beat the original expiration of a popular tax credit and expected sales to resume an upward trend.

Let me be clear about one thing. In the world of brain-dead, dope smoking, industry shills, NOBODY takes a back seat to the National Association of Realtors. Lipstick on a pig doesn’t even begin to define these idiots. They are the same people who, in 2005, were insisting that there was no housing bubble and that 10+% gains in appraised value were sustainable. They also forecasted a turn around in the market every month once things started to fall apart.

So, when the fools are willing to admit that the $8,000 tax credit has done absolutely nothing but accellerate some sales (and prop up prices to the tune of $8,000 per house) I’m pretty sure the world is probably coming to an end.

Bottom line here folks, every nickel that the inmates that have thrown at the Real Estate industry is money down a rat hole. It hasn’t created one job, it hasn’t sold one house that couldn’t have been sold at a price discounted by $8,000 by seller. And oh, when the “tax credit” stops guess what’s going to happen to housing values? Yep, if you paid $125,000 for house with your tax credit, smile because you now own a house worth – at most $117,000. Gee, you’re upside down on day one. Good buy Bubba.