Wednesday , October 16 2019
Home / Tag Archives: Real Estate

Tag Archives: Real Estate

Trump’s Fannie/Freddie Privatization Giveaway: Why GSE Reform Is Hard

Here we are, more than eleven years after the September Saturday when Hank Paulson announced that the government was putting Fannie, Freddie and the Federal Home Loan Banks in conservatorship, shoring them up financially by giving them a positive net worth guarantee. The intent has always been that the conservatorship would be temporary, and that the two mortgage giants, also called GSEs, for government sponsored enterprises, would win up being privately owned. The Obama Administration had a...

Read More »

CalPERS Short-Changed by CIM in Pay-to-Play/Bribery Scandal; Looks Like Apollo Stiffed CalPERS Too

The ten year-old CalPERS CEO bribery scandal has abruptly resurfaced in an ugly fashion, as the Wall Street Journal indicates that one of the investment firms tainted by the scandal did not pay the full restitution promised to CalPERS CalPERS’ former CEO, Fred Buenrostro, is now in Federal prison serving a four-and-a-half year sentence for taking bribes from a placement agent and former board member, Al Villalobos, who received a mind-boggling $58 million in fees from Apollo, CIM, and three...

Read More »

New Evidence on the Consequences of Gentrification for Children

Yves here. Gentrification is a tricky phenomenon, made worse by too much analysis via anecdote. More empirical work like this is badly needed. By Kacie Dragan, PhD Candidate in Health Policy, Harvard University, Ingrid Gould Ellen, Paulette Goddard Professor of Urban Policy and Planning at NYU Wagner and Sherry Glied, Dean, Robert F. Wagner Graduate School of Public Service, New York University. Originally published at VoxEU The pace of gentrification in US cities has accelerated, but little...

Read More »

Flood the Market

By Stephen Paulsen, a freelance journalist based in Houston, Texas. Originally published at Grist Amanda and Drew Heyen spent 16 years in their small ranch home on Chantilly Lane in Houston’s Central Northwest neighborhood. In that period, their house flooded nine times — more than once every two years. At first, they tried to live with the frequent inundations. They raised their furniture on cinder blocks and installed an industrial kitchen sink with no cabinetry. After the eighth flood, in...

Read More »

It’s Official: Parts of California Are Too Wildfire-Prone To Insure

Yves here. We’ve had quite the run of California stories, but this particular one is of the type where California is playing one of its prototypical roles of leading the rest of the US. Expect climate-change-induced inability to buy private sector home insurance to become more common. If governments don’t step in, that kills mortgages, so what comes next? Only all cash buys? Seller financing? And if property values in these areas decline, as they ought to, bye bye local budgets. Of course,...

Read More »

Why I Hate Houses

I have had, up till now, the good fortune to live in apartments, ranging by urban standards from nice to really very nice. I now live in a house that most would likely consider to be somewhat better than mere “nice”. It’s on a ridge, with nearly a full acre plot, in quiet tree-filled neighborhood with reasonable amenities all a short driving distance away, including a well-kitted out gym and quite a few good restaurants. Bonus points for it being only 15 minutes from the airport. Nearly all...

Read More »

Real Estate Perfectly Sums Up The Rate Cuts

It’s only a confusing when you just accept the booming economy of the unemployment rate. From this perspective, 2018 was, and more so 2019 is, a downright conundrum. By all mainstream accounts, this just shouldn’t be happening. Home sales are running at a pace similar to 2015 levels – even with exceptionally low mortgage rates, a record number of jobs and a record high net worth in the country. Not only that, 2015 levels were substantially less than 2005 levels despite more than 30 million...

Read More »

Softening Real Estate Markets in Prime West Coast Cities: Does China Trump IPOs?

It’s intriguing to see that real estate prices in the toniest West Coast markets have been sloppy for a while, and experts anticipate this trend will continue. The reason for using the word “intriguing” is that I know some owners of prime San Francisco property who were hoping that prices for homes like theirs would double based on the tsunami of unicorn IPOs slotted for this year, and newly minted millionaires looking to park their money in suitable digs. Now admittedly, in the cases where...

Read More »

What Does It Mean That Real Estate, Not Equities, Is Driving Monetary Policy?

In the world of assets classes, I don’t believe it is equities which hold the Federal Reserve’s attention. After the 2006-11 debacle, the big bust, you can at least understand why policymakers might be more attuned to real estate no matter how the NYSE trades. It may be a decade ago, but that’s the one thing out of the Global Financial Crisis which was seared into the consciousness of everyone who lived through it. From the general public to politicians, don’t screw up housing. It’s also the...

Read More »

Housing: Going Wrong In The Few Things That Were Going Right

It certainly doesn’t feel like a bubble. We’ve heard about home prices in many cities skyrocketing like there has been one, still there does seem to be something different. If it is a bubble, it sure isn’t the same as the last one, the big one fifteen years ago. Much is missing this time around. For one thing, prices are disconnected from volume. For all the talk of a boom in the economy the housing sector never joined in. Not really. I wrote last year that a truly booming economy is one that...

Read More »