KBH: Home Prices May Drop Another 20%
“I don't think we're anywhere near a bottom in housing”
>
click for video
courtesy of Bloomberg
>
Excerpt:
Eli Broad, a philanthropist and co- founder of KB Home, the fifth-largest U.S. homebuilder by revenue, said he expects home prices to drop another 20 percent.
"I don't think we're anywhere near a bottom in housing,'' Broad told Bloomberg TV at the Milken Institute Conference in Beverly Hills, California. "We're going to have a big inventory of unsold, unoccupied homes that's going to take three or four years to clear out.''
Homebuilders, hurt by banks' stricter requirements for granting home loans and concern over the rising number of homeowners failing to pay their mortgages, have begun work on the fewest number of houses since 1991, according to the U.S. Department of Commerce."
>
Source:
KB Home's Broad Says Home Prices May Drop Another 20%
Rhonda Schaffler and Bob Ivry
Bloomberg, April 28 2008
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aNGtHO1tbzng
Tuesday, April 29, 2008 | 04:28 AM | Permalink
| Comments (6)
| TrackBack (0)
add to de.li.cious | 
digg this! | 
add to technorati | 
email this post
TrackBack
TrackBack URL for this entry:
http://www.typepad.com/t/trackback/763/28597864
Listed below are links to weblogs that reference KBH: Home Prices May Drop Another 20%:
Comments
Down 20%? Ha. They'll be up twenty percent if you simply ended the gas tax this summer so people could afford to go out and shop.
And more fear-mongering about "education" from yet another limousine liberal (aka Private Jet Populist.) Outside of a few teen girls on that ranch in our Commander-in-Chief's home state no child's been left behind.
What we need is a tax cut for kids so they're properly incentivized. Heck, privatize the whole family structure and free up the creative juices trapped in this old Soviet collectivized way of living.
Posted by: VennData | Apr 29, 2008 7:03:13 AM
My name is John McCain, and I approve this message
Posted by: John McCain | Apr 29, 2008 7:32:54 AM
So the bottom has passed right? Up is down, down is up...
Posted by: veeder | Apr 29, 2008 9:37:09 AM
"Down 20%? Ha. They'll be up twenty percent if you simply ended the gas tax this summer so people could afford to go out and shop."
* Senator McCain's federal gas tax holiday would cost the Transportation Trust Fund at least $11 Billion, revenues which are fully dedicated to maintaining our crumbling highway infrastructure.
* According to the U.S. Transportation Department, every $1 billion of federal highway investment supports 34,779 jobs, ergo it would also cost 382,569 jobs.
Of course, Senator Clinton has also proposed a federal gas tax holiday, but her plan would be to replace the lost $11 billion to the Transportation Trust Fund with part of the funds raised by a Windfall Profits Tax on the egregious profits that Big Oil has raked in from gouging American consumers, plowing the rest into alternative energy projects.
.
Posted by: VJ | Apr 29, 2008 1:31:50 PM
he is a honest person.
Posted by: Mark | Apr 29, 2008 2:48:39 PM
Yep, that's the way to reduce the price of a manufactured product, through punitive taxation applied to the producer. Especially since corporate taxes are never ever paid by the ultimate consumer.
And just how the hell can profit be called 'egregious?' Don't you work for a living?
Posted by: ThomasD | May 1, 2008 12:26:54 AM
