the bulls kept stating that the drop in prices are seasonal, and kept stating that the interesting number should be YOY appreciation.
Now the YOY numbers state that 4 Bay Area counties are depreciating asset. These include Santa Clara and San Francisco counties 😂
The houses in Santa Clara and San Francisco counties sold for lesser prices in NOV2018 compared to NOV2017.
- The people who bought houses in the SF Bay (or Seattle, or DC, etc.) presumably did so to reap benefits that accrue over many years, not one.
- The title is incorrect, don't be confused. Housing is appreciating more slowly, not depreciating. https://www.car.org/en/aboutus/mediacenter/newsreleases/2018releases/nov2018sales
- So now the goal post again changes for the bulls. When prices were dropping MOM then the argument was that YOY is the golden number. Now that YOY has turned negative then the argument is that it needs to be seen over several years 😂
- It’s hopeless trying to argue with the housing bulls here. According to them, the average South Bay home will be worth $10m in the next decade 😁
- Also this chart is median sale price lol, housing is still appreciating (at a slower rate) median sale price is based on sales rofl. Read the article before you rush to blind to make a false statement that housing is a depreciating asset: https://www.car.org/en/aboutus/mediacenter/newsreleases/2018releases/nov2018sales
- Autodesk DouP01Bay Area home prices is highly correlated to tech stock. We did the rent vs buy calculator again based on just 2018 data. It turns out buying is still the way to go, under the assumption that if we don’t buy, we’ll put all our money into index or mutual funds, which did poorly in 2018.
Exhibit A, vanguard performance: