Tuesday, May 17, 2011

Bubble Blogger Buys A House

No, not any of us.*   It's Grim, aka James Bednar, the guy behind New Jersey Real Estate Report.

After tracking the ups and then the downs of his market for years, and even becoming a Realtor, the blogger found a home and price that satisfied.  And with the full realization that it's just a place to live--not an "investment,"--he sets about renovating.

Via the NYTimes:
He withheld the gritty details of his purchase from the blog. But in an interview, he readily gave them up, saying that since he was in the habit of exposing price information about other peoples’ houses, it would be hypocritical to do otherwise: purchase price $435,000, list price $479,000 — meaning that the Bednars negotiated a 9 percent discount.

“He did what made sense in his situation,” [a local broker] said of Mr. Bednar. “You should only make a move now if you first understand the benefit to be purely ownership, shelter and enjoyment of a lifestyle — because there is not likely to be any real gain in value for perhaps seven or eight years.
[Bolding C'ville Bubble's.]  Read the article.

See also:  
James Altucher:  Why I Would Rather Shoot Myself in the Head Than Own A Home

*We're still patiently tracking the City market, currently with 16.5 months of inventory, looking forward to the price reductions coming later in the summer when sellers start seeing through buyers' eyes:  old or used housing stock and higher taxes combined with higher prices don't make the City a more attractive purchase than the County; and in the County, the price declines in the $600k-$1M market--due to shortage of "move up" buyers--will be in the six figures, not just the fives.

No comments: