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When The Previous Purchase Took Place, We Were Experiencing A Busy Seller’s Market‚ That’s Different Than The Market We Are Experiencing Now

A report from the Portland Press Herald in Maine. “Jon Fetherston looks through his neighbor’s sliding glass door at the sprawling farmland capped by a line of trees that still cling to their autumn colors. The 58-year-old was drawn to The Cottages at Pine Meadow in part for that idyllic backdrop, where he imagined sunrises and sunsets book-ending the days for him and other residents as they eased into retirement. ‘This was our reward,’ Fetherston said of the 55-and-over development where he and his wife, Wendy, live part-time. ‘But it’s been a living hell.'”

“The Fetherstons bought their 610-square-foot condominium in April 2022 and say they’ve experienced nothing but problems since. They have replaced their heat pump twice already. There’s moisture in their basement. The stove was installed incorrectly and shot flames several feet in the air the first time they turned it on. Their list of grievances is long, and the costs have been racking up. Complaints to the developers and requests that the builder make repairs frequently went unanswered, they claim. And they’re not alone. Residents in more than half the 24 cottages say they bought the newly built homes thinking they would be stress-free. Instead, there has been nothing but headaches. The property developer and builder, meanwhile, have forcefully denied the allegations.”

“When Dana and Anne Bengtson bought the house, their backyard faced a quiet, densely wooded area. They asked Goddard if the property was buildable and were told no, because of the wetlands, the Bengtsons wrote. A year later, there’s a 120-unit apartment complex under construction right behind the house. ‘We are angry and disappointed, as we would not have purchased had we been told the truth,’ they wrote.”

“So, what’s next? Residents could move, and some have. One unit is currently for sale for the third time since it was built in 2021. But others either aren’t ready or aren’t able to give up. Marcia Thibeault, 67, bought the biggest house – a 1,100-square-foot corner condo with views of the neighboring Leary Farm from both sides – because of the location. Her husband, who has since died, was in a nursing home just down the street. Thibeault also is not confident she should or even could sell. At $411,000, hers was the most expensive house on the lot, and prices have only appreciated since then. What would be the dealbreaker for a potential buyer? The falling insulation in the basement? The pipes that keep freezing? The windows that leak? ‘Even if I wanted to sell, I’d feel guilty selling,’ she said. ‘I feel like I would have to disclose a lot of things, and I wouldn’t want to do that.'”

The Real Deal. “Problems are mounting for multifamily syndicator GVA. The Austin-based firm is set to lose two properties to foreclosure after defaulting on nearly $125 million in loans. The apartment complexes, Falls on Bull Creek and Park at Walnut Creek, are the latest to go sideways for GVA. Founded by former golf marketer Alan Stalcup in 2015, the firm recently defaulted on $288 million in loans for Houston properties as well. Across the Sun Belt and in cities across Texas, multifamily syndicators are beginning to lose their properties or negotiate workouts with lenders.”

“Multifamily investors poured into Texas in 2021 and 2022 as the population and rents kept growing. Many relied on floating-rate debt to buy lower-tier properties at a premium, though. When the Federal Reserve raised rates, their debt payments skyrocketed, and slowed rent growth has made it harder to make up the difference.”

WFLA in Florida. “In November, Tampa real estate broker Michael Bogsted, who’s been featured in Better Call Behnken investigations, pleaded guilty to a felony charge involving stealing at least six homes. Prosecutors say he created fraudulent deeds so he could transfer ownership or sell to an unsuspecting buyers. One victim, John Jenkins, had to fight to get his home back. ‘They just gave him my house,’ Jenkins said. ‘On probably two hours worth of work of electronically transmitting those documents.'”

“Bogsted struck a controversial plea agreement. In exchange for $177,000 in restitution, he’ll face probation and avoid prison time. And Consumer Investigator Shannon Behnken found his fate got even better: despite the guilty plea, Bogsted’s real estate license is in good standing. Records show that in August, the state placed him on a 90-day probation, charged fines and fees of less than $600 bucks and assigned him to undergo a three-hour education course. Bogsted complied with everything and his probation was terminated on Oct. 31. His website shows business picked right back up, with active listings and homes under contract. It was just weeks earlier that Bogsted changed his not-guilty plea to guilty. That admission of guilt, according to state regulators, had no impact on his real estate license.”

The Globe and Mail in Canada. “40750 Tantalus Rd., No. 18, Squamish, B.C. Asking price: $1.138-million (Aug. 28). Selling price: $1.1-million (Sept. 6). Previous selling price: $1.3-million, (April 28, 2022). The home sold in April, 2022, for $1.3-million. The agreement to sell for $200,000 less this September shows how much the market has changed in the past year. ‘When the previous purchase took place, we were experiencing a busy seller’s market‚’ said Cheryl Davie, the buyer’s agent. ‘[That’s] different than the market we are experiencing now.’ She said her clients made the only offer on the property.”

The BBC in the UK. “A building company has reportedly been charging customers thousands of pounds for work that was either sub-standard or never completed, the BBC was told. Multiple clients of Transform Dorset Ltd have claimed to have been left out of pocket after hiring the firm for household renovations and repairs. Customers have described having ‘sleepless nights’ after the company claimed to have gone bust. The owners of Transform Dorset Ltd have not responded to requests for comment. The BBC later found evidence that the firm has not gone into liquidation.”

“Jismon Varghese saved for months, worked extra hours and gave up time with his wife and children to pay for a living room extension. The 37-year-old, from Poole, said he signed a contract with Blandford Forum-based Transform Dorset Ltd in January 2023 and work began at the end of that month. But he said builders stopped turning up regularly after four weeks. He paid £25,000 as a deposit in January, according to bank statements seen by the BBC. He then transferred the £25,610 balance in the following three months – in the hope of speeding up the work.”

“Instead Mr Varghese said it became harder and harder to contact the company and said he lost his life-savings. ‘I had no peace at all. I couldn’t even speak to my wife, speak to my kids,’ he said. ‘I felt guilty because I think I am the one who is responsible for all this, even though I didn’t do anything though.'”

South China Morning Post. “With international investment banks predicting 5 to 10 per cent price declines in Hong Kong homes next year, property agents believe now is an opportune time to consider buying. Victoria Allen, founder and managing director of real estate agency Habitat Property, said it was a good time to buy property provided it was for self use and the buyer was planning to live in Hong Kong for the mid-to-long term. ‘Prices are off 20 per cent from their highs. We haven’t seen this much negotiability, particularly in the high end of the market, for 15 years,’ she said. The luxury market, where homes are priced above HK$20 million, saw a 21.4 per cent drop in residential prices in December compared to its historical peak in 2019, according to Cushman & Wakefield.”

From Yicai Global. “Chinese regulators are starting to accept bigger property price cuts amid real estate developers’ liquidity woes. Officials are not opposing recent price decreases even though the unwritten rule used to be that new homes should cost no less than 85 percent of the price filed with the government, Yicai learned. Local governments used to set bottom prices for new homes so that selling prices could move just 15 percent up or down from that. As real estate developers started to resort to bigger discounts in recent years amid their liquidity pressures, local governments began to intervene. When the market was booming, sales prices used to be limited to equal the filed price.”

“For example, one residential home in Suzhou, Jiangsu province, was sold at about CNY2.1 million (USD292,300) or 75 percent of its filed price, whereas the average price for this project is 80 percent of the filed price or over CNY2.2 million, according to a netizen. A government official in Suzhou’s Xiangcheng district, where the project is located, said to Yicai that if a developer offers discounts to promote sales it does not violate China’s laws on prices. Suzhou used to have housing price limits, but the government has not recently restricted price cuts too much, a real estate sales director in the eastern city said to Yicai, adding that developers are destocking and collectively slashing prices.”

“Lowered housing prices are common in Suzhou and discounts go from 5 percent to 8 percent for new projects in urban areas, whereas projects with sluggish sales are subject to 15 percent price reductions, and projects in outer suburbs are offering discounts of at least 30 percent, Yicai learned from a source at another property developer in eastern China.”

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This Post Has 94 Comments

  2. ‘This was our reward,’ Fetherston said of the 55-and-over development where he and his wife, Wendy, live part-time. ‘But it’s been a living hell’

    Tale of woe galore in this article.

  3. The agreement to sell for $200,000 less this September shows how much the market has changed in the past year. ‘When the previous purchase took place, we were experiencing a busy seller’s market‚’ said Cheryl Davie, the buyer’s agent. ‘[That’s] different than the market we are experiencing now.’ She said her clients made the only offer on the property’

    That’s the spirit Cheryl, you had em over a barrel, drive those losses up!

  4. ‘Across the Sun Belt and in cities across Texas, multifamily syndicators are beginning to lose their properties or negotiate workouts with lenders. Multifamily investors poured into Texas in 2021 and 2022 as the population and rents kept growing. Many relied on floating-rate debt to buy lower-tier properties at a premium, though. When the Federal Reserve raised rates, their debt payments skyrocketed, and slowed rent growth has made it harder to make up the difference’

    I pointed out for years these clowns were using yuuge rent increases in their proformas. And they were getting yuuge loans. Those rents didn’t show up. Sound lending!

  5. When the Federal Reserve raised rates, their debt payments skyrocketed, and slowed rent growth has made it harder to make up the difference.”

    Die, speculator scum.

  6. ‘[That’s] different than the market we are experiencing now.’ She said her clients made the only offer on the property.”

    Gosh, what happens when properties start going bidless?

  7. ‘I felt guilty because I think I am the one who is responsible for all this, even though I didn’t do anything though.’”

    Aside from being a dumbass?

    2. OK then, enlighten me. If I want some major work done on my house, exactly what do I look for to find whether the contractor is a scammer? Something more specific than vague crap like “due diligence.” Do I just assume that all these developers are scammers and not pay for any work at all?

        1. She is asking how to do due diligence. Check with the BBB? Angie’s List? Yelp? Ask for referrals on Next Door?

          All of the above can fail to catch a scammer.

      2. In Colorado for the skilled trades you can look up a license status on the state website. For the unskilled labor contractors, good luck.

          2. “Never, ever, give work to a contractor whom your friends haven’t already used”

            I never heard it put that way before but really not bad advice. That and at least three bids if the work amounts to any money.

  8. CNBC — Bitcoin shows its wild side once again, dropping $3,000 in minutes over weekend (12/11/2023):

    “Bitcoin continues to stay red hot,” Wolfe Research’s Rob Ginsberg said in a recent client note. “The coin seems to be trading with a fervor not seen since the early months of ’21 when it ripped to its all-time high. The months of October and November saw price head another 56% higher.”

    Fervor?

  9. The Joe Biden Economy.

    New York Times (via Archive) — Record Rent Burdens Batter Low-Income Life (12/11/2023):

    “Unaffordable rents are changing low-income life, blighting the prospects of not only the poor but also growing shares of the lower middle class after decades in which rent increases have outpaced income growth.

    Nearly two-thirds of households in the bottom 20 percent of incomes face “severe cost burdens,” meaning they pay more than half of their income for rent and utilities, according to the Harvard Joint Center for Housing Studies.

    Among working-class renters — the 20 percent of people in the next level up the income scale — the share with severe burdens has nearly tripled in two decades to 17 percent.

    The federal government deems shelter affordable if it takes 30 percent or less of household income, a goal that only about half of the nation’s 44 million renter households meet.

    In consuming half or more of a family’s income, severe rent burdens steal from essential needs like food and medicine. They destroy the ability to save. They force frequent, destabilizing moves, unsettling parents at work and children in school. They flood fragile households with stress.”

    https://archive.is/mKdOb

    Sounds like one of those “we’re all in this together” kind of things.

    1. So if Trump (or any other Republican) gets into the White House, they’re going to fix high rents, particularly for the lowest 20%?

      1. I never said that. Neutral observation on the state of the present economy compared to 2019, which albeit not perfect was a mostly functioning economy for many people including lower income households.

        And they’ll vote like they want that 2019 economy back.

        “It’s the economy, stupid” — James Carville, 1992

  10. WTH? Construction Sites Burning?
    Angry Mortgage Podcast
    2 hours ago

    There have been so many Home Construction site fires in Southern Ontario this year, way to may than normal, what the heck is going on? Some were clearly Arson, what about the others? Accidents? Who Benefits from these new construction homes burning down?

    https://www.youtube.com/watch?v=TfST1AmCiFg

    5:37.

  11. Communism.

    Washington Post (via Archive) — Banning fossil fuels is now a make-or-break issue at climate talks (12/10/2023):

    “At this year’s U.N. Climate Change Conference in Dubai, known as COP28, nations have at last turned their attention to this highly contested driver of planetary warming and are considering historic language pledging to close out the era of coal, oil and gas.

    There are many camps in this debate. Some oil-rich nations want no language at all. Some, such as the United States, support a “phasedown” of fossil fuels. Others see that as far too weak, and are demanding a clear timeline for a “phaseout” of fossil fuels.

    Many climate experts say a long-range target for a fossil fuel phasedown — say, mid-century — won’t be as meaningful as a pledge to wean off dirty fuel more quickly. Climate science shows that the next several years are crucial. One recent projection showed that the world has seven years remaining at current emissions before it might heat beyond the 1.5-degree threshold written into the Paris agreement.”

    https://archive.is/TTOOc

    You will live in the pod in your 15 minute prison city, you will eat the bug paste, you will have no heat or AC, and the lifestyles of the Parasite Class will remain unchanged.

    1. Ok, so the book BEHIND THE GREEN MASK, that came out in 2011, exposed the plan of the Globalist creating a ONE WORLD ORDER, by implementation of the 2021 UN Sustainable Earth Agenda, that is called UN 2030 Sustainable Earth now.
      IT was a end goal plan launch in 1997, to end Respresentative Governments Globally, gain control of water, minerals, health, land use, food, information, currency, human rights and freedoms, by Nato, UN and WHO in collusion with Private Party Entities like Monopoly Corporations, Rich Entities, Banks, Pharmacy, etc., all unelected Entities in partnership with Global Governments.
      A transfer of power to a Central One World Power that would supercede all Sovereign States, all Countries, for this UN 2030 Sustainable Earth Agenda power grab.
      Global Emergencies would be basis for power grab like Climate Change, Panademics, World Equity, and 17 goals for Sustainable earth. Control of all resources and consumption, currency, etc, by the unelected Globalist to force the Agenda on member Countries.
      Congress just introduce Bill to withdraw from UN, that won’t be signed by Biden because Biden is acting to advance the One World Order. No borders is one of the goals of this insurrection to create a One World Order.
      A breakdown of all current systems for One World Order dictorship.
      A fascist dictorship between Global Governments and Private Party Entities, dictated by UN, NATO/WHO and forced on humanity globally.
      As you saw, with Covid 19, there was a lockstep Global Response by Countries of World to the alleged Covid 19 virus.
      Currently, the Climate Submit is declaring the need to speed up global solutions to the alleged “Climate Change Emergency” which is disputed by thousands of Scientists now that the premises are false, and ZERO co2 by 2050 would be disaster to Earth and humans.
      Their Great Narratives cannot be challenged or disputed, in spite of how fraudulent, ridiculous or absurd the great emergencies are.
      They plan to take 50% of the jobs by AI and Robots in next 10 years, with no replacement. TECHNOLOGY, will be the means of enslaving human populations. CHINA IS THE MODEL for this plan.
      The plan was hatched over a half century ago, to subjugate the world to this plan by a psychopathic Cult of RICH Entities that comprise a small percentage of population.
      HOW do you like their fake vaccine assault on World that has killed millions and injured even more.
      They hate Trump because he withdrew from WHO, a corrupt organization so fundamental in their power grab using Health Emergency tyranny .
      Biden quickly voided Trumps withdraw from WHO, and Biden by Executive Order is implementing a TREATY with WHO, that they supercede our US Constitution, to dictate long list of Global response to anything they deem a Emergency, including equity on the list.

    2. Apparently, Brandon is promising to phase out coal and nat gas generated electricity. Sounds like they want to do the Clownifornia model coast to coast.

      1. Apparently, Brandon is promising to phase out coal and nat gas generated electricity. Sounds like they want to do the Clownifornia model coast to coast.

        Has anyone seen any estimates for how many square miles of solar panels and how many thousands of windmills will be required.

  12. Linked from WRSA.

    Yuval Noah Harari discusses the creation of a massive class of useless people and what should be done with them (12/11/2023):

    “In 2015 and 2017, historian and philosopher Yuval Noah Harari discussed how a massive class of useless people was being created. The artificial intelligence revolution is beginning to create “the useless class,” he said.

    When asked if his 2015 book provided any solutions, he responded: “At present, the best guess we have is to keep them [the useless class] happy with drugs and computer games.”

    He clarified he was not predicting the future but rather laying out possibilities. “It’s not a prophecy; it’s seeing all kinds of possibilities before us,” he said.

    As he saw it, there were only two possibilities; both would result in a massive number of useless people. He said:

    “One possibility is this creation of a new massive class of useless people. Another possibility is the division of humankind into different biological castes, with the rich being upgraded into virtual gods, and the poor being degraded to this level of useless people.”

    “The artificial intelligence revolution is beginning to create the useless class. As computers outperform humans in more and more tasks, they are likely to push them out of more and more jobs. And then the danger is that you will have millions of people even billions of people who don’t have any economic value and therefore they also don’t have any political power.”

    https://www.2ndsmartestguyintheworld.com/p/yuval-noah-harari-discusses-the-creation

    When was this guy elected to govern anybody or make decisions about anything?

    1. Yuval Noah Harari discusses the creation of a massive class of useless people and what should be done with them

      Watching the news it seems that the “solution” is to import as many unskilled, low IQ people into the US and the EU as possible.

      1. 30,000 people from Venezuela coming to Denver in just the last year.

        They’re in all the Home Depot parking lots looking for sleazy contractors to hire them under the table with no insurance no OSHA regs etc.

        And the fentanyl continues unabated. Kill off the natives, and replace them with government dependant slaves.

    2. “Another possibility is the division of humankind into different biological castes…”

      Sounds familiar…

      “Brave New World is a dystopian novel by English author Aldous Huxley, written in 1931 and published in 1932. Largely set in a futuristic World State, whose citizens are environmentally engineered into an intelligence-based social hierarchy, the novel anticipates huge scientific advancements in reproductive technology, sleep-learning, psychological manipulation and classical conditioning…”

  13. The Joe Biden Economy.

    MarketWatch — Is the U.S. in a ‘silent depression’? TikTok creators say yes, but economists disagree (12/11/2023):

    “It must be the “worst economic time in American history.” The prices of cars and homes are “worse than 1930.” How is anybody “affording life right now”?

    By most traditional measures, the U.S. economy is in a decent place right now: employers are still hiring; GDP is growing; and though it might not always feel like it, price increases have eased.

    You wouldn’t necessarily know that from scrolling through TikTok, where dozens of viral videos bemoan high prices and housing costs and expressions of economic angst abound.

    Some users have gone a step beyond just lamenting the current cost of living. Instead, their videos argue, the country is suffering from something much worse: a “silent depression” that’s placing levels of economic strain on Americans comparable to — or even worse than — those seen during the Great Depression.

    “Americans are being gaslit into thinking we’re just getting lazier,” one user says, in a video that’s received more than 13 million views and two million likes on the app. “We’re in the worst economic time in American history. We have the lowest purchasing power we have ever had.”

    ^ This last sentence here, what is the point of alleged “full employment” when half the country can’t afford food or gas or a place to live?

    “The point that I make in (my) video is that we are facing a new kind of challenge today,” Freddie Smith, whose video describing the “silent depression” has nearly 9 million views, told MarketWatch in an email. “People are working longer hours, but keeping less of their money, due to the high cost of housing, daycare, student debt and consumer debt.”

    https://www.marketwatch.com/story/is-the-u-s-in-a-silent-depression-tiktok-creators-say-yes-but-economists-disagree-4226a76e?mod=home-page

    1. “People are working longer hours, but keeping less of their money, due to the high cost of housing, daycare, student debt and consumer debt.”

      And they will pull D lever next November.

      I have never been approached by so many panhandlers with sob stories. I’m sue many, if not most, are scammers, but my gut tells me that not all are.

      1. “sob stories”

        Who has time for that? The longer and more complex the story gets, you know it’s a scam.

        My radar can detect a junkie or tweaker a mile away, just avoid them completely.

      2. The panhandlers who sit outside WalMart don’t even speak English. They even bring their kids with them to raise the sympathy level.

  15. Do you worry China won’t be able to stop its spiral into deflation?

    Rest assured: Like COVID, deflation is contained to China.

    1. not questioning your academic work PB 🙂 …. but

      Housing will be (very) deflationary in China for sure. But labor costs seem to be going up for both experienced and entry level workers. Government fees are going up, and energy costs are going up.

      So what is the balance

      1. But labor costs seem to be going up for both experienced and entry level workers.

        I heard the exact same thing from a Saint Lucian banker in Saint Lucia (on vacation). He said China has a shortage of skilled people and need to pay more to get the employees and they are trying to import more skilled people which is more expensive.

        1. forgot to mention. This same Saint Lucian banker says there is going to be a world wide real estate crash over the next 2-3 years.
          His Dad is pressuring him to buy a house but he says “not now.”

    2. The One World Order Plan is to destroy all current systems. They have spent the last 25 years inflitrationg in a very covert way to set up this one World Dictorship they pre planned.
      Overriding the US Constitution , invasion of US Border, taking free speech, guns, etc would be a hurtle for these Entities. But their capture of treasonous government , government agencies, science, institutions, health system, schools, land use, etc. was done was basically done in all States.
      From transferring US jobs to places like China, and gutting US manufacturing. Wars, Commie Obama care, sanctuary CIITIES, migration, gain of function bio weapons , land use zoning change, etc , all PART OF PLAN to destroy Goverment by the people with Constitutional protections.
      You must give up your freedoms for a dictorship because they will save you from Climate Change and Viruses. You will own nothing, eat bugs,trapped in surveillance in 15 min Cities. No cars, limit on travel, mandated vaccines, withdraw of fossil fuels.
      The Plan is populations will live in City Centers, and they will eliminate urban and rural populations, and let that land go back to nature. They will take Private party farm land for total control over food production. WHY DO you think Bill Gates and China are buying up US farmland
      The game plan is so obvious now as they have become rather overt about this take over. GENOCIDE by various means is evident in their plans also, which makes them as EVIL as it comes.

    3. Gold Sinks Through $2000, Silver -13% from Last Week’s Peak as China Deflation Deepens
      Monday, 12/11/2023 16:45

      GOLD PRICES fell further below $2000 on Monday in London, dropping to 3-week lows more than $160 per Troy ounce beneath last Monday’s new all-time high at the start of a busy week of central bank meetings and economic data, writes Atsuko Whitehouse at BullionVault.

      China’s gold price held firmer overnight, falling only 0.7% to ¥471 per gram and putting the Shanghai premium above London quotes at a 3-week high of $42 per ounce as the world’s No.2 economy’s deflation worsens.

      The Shanghai gold premium, effectively an incentive for new bullion imports into the precious metal’s No.1 consumer nation, dropped to $9 last Monday when gold prices hit a fresh all-time high at ¥480 per gram.

      That incentive soared to a historic high for the Shanghai gold premium of $120 in September as imports were restricted by the People’s Bank while it eased domestic monetary policy to try reversing China’s economic slowdown.

      Latest data published Saturday by the National Bureau of Statistics (NBS) shows that China’s cost of living fell the fastest in three years in November, down 0.5% from a year earlier, while factory-gate deflation deepened to 3.0%, making the 14th straight month of decline and the biggest since August.

      “Downward pressure will continue to rise in 2024 as developers and local governments continue to deleverage and as global growth is expected to slow,” says Xu Tianchen, senior economist for China at the Economist Intelligence Unit, noting that the data would be alarming for Beijing’s policy makers.
      …
      https://www.bullionvault.com/gold-news/gold-price-news/2000-silver-china-deflation-shanghai-premium-121120231

      1. “Gold Sinks Through $2000, Silver -13% from Last Week’s Peak as China Deflation Deepens”

        Yes, I was being sarcastic when I suggested China’s deflation would be contained to China…like COVID was.

        Apparently CR8Ring gold prices are a spillover effect from falling demand for the precious metal in its No.1 consumer nation.

        1. CR8Ring gold prices

          It doesn’t look like that if you zoom out from the day trader perspective.

          When debts come due, assets will be sold.

          I hear they are suppressing mortgage interest rates over there. Good luck finessing off the tsunami.

      2. The August 6, 2020 London fix for gold was over $2060. That’s more than $60 above it’s current price. It would appear gold no longer functions as an inflation hedge?

        Source: London Fix Historical chart for August 2020 on Kitco.com
        https://www.kitco.com/scripts/hist_charts/monthly_graphs.plx?auaug20=on&submitau2=View+Charts

        Chart of the London Fix, 2000 to present:
        https://www.kitco.com/scripts/hist_charts/yearly_graphs.plx?au00-pres=on&submitauC=View+Charts

    4. Pork prices in China are crashing to multi-year lows as the world’s 2nd-largest economy grapples with deflation
      Phil Rosen Dec 11, 2023, 6:45 AM PST
      china pork
      Chinese pork prices tumbled more than 6% last week, Bloomberg data shows, highlighting deflation concerns in the world’s second-largest economy. Reuters/Claro Cortes IV
      Pork prices in China have tumbled to their lowest mark since April 2022, Bloomberg data shows.
      Softening prices on China’s most popular protein are the latest warning sign China is dealing with deflation.
      Beijing announced in November it would buy pork for its strategic reserves, but that hasn’t stemmed the price drop.

      Pork prices in China plunged more than 6% last week to hit its lowest level since April 2022, according to Bloomberg data.

      In its third cycle of purchases for the year, Beijing had said in November it was buying up more pork for its strategic reserves, but that hasn’t prevented prices from falling. At the same time, per Bloomberg, authorities have requested farmers to sell hogs as soon as they are ready rather than hoarding them.

      Falling pork prices signify the latest indicator that China has yet to escape concerns around deflation and wobbly economic growth.

      The country’s consumer price index fell 0.5% year-over-year in November, the national statistics bureau reported on Saturday, a weaker-than-expected reading and the most significant slide since November 2020. An official from the People’s Bank of China pointed to softening pork prices as a primary drag on consumer prices.

      Not long ago, as China was preparing to unwind pandemic lockdowns, global strategists were anticipating booming demand and an economic rebound. Yet mountains of debt in the real estate sector, low consumer optimism, unfavorable demographics, and more have all prevented the economy from seeing a post-COVID boom in growth and activity.

      China’s agriculture ministry said last week that pork consumption over the coming spring holiday season will remain weak, while hog output should climb.
      …
      https://markets.businessinsider.com/news/commodities/china-economy-outlook-crashing-pork-prices-deflation-consumer-beijing-commodities-2023-12

  16. BATRA’S BURNING QUESTIONS: Where Trudeau failed, Poilievre now owns the housing issue
    Toronto Sun
    1 hour ago

    Toronto Sun Editor-in-Chief Adrienne Batra and Sun political columnist Warren Kinsella discuss the impact of a lengthy video released by Conservative leader Pierre Poilievre on the topic of Canada’s housing crisis. The video was well made and impactful as it resonates with the people.

    https://www.youtube.com/watch?v=R5ypZxXs8Yw

    10:23.

  17. ‘Jon Fetherston looks through his neighbor’s sliding glass door at the sprawling farmland capped by a line of trees that still cling to their autumn colors’

    That’s a view worth thousands Jon, has to be.

  18. Yahoo
    Moneywise
    ‘There’s no real good end’: This Wall Street bear says the US is in the ‘greatest credit bubble of human history’ — and it’s going to pop. How to prepare your portfolio for a ‘huge crash’
    Bethan Moorcraft
    Sun, December 10, 2023 at 3:45 AM PST·5 min read

    One of Wall Street’s biggest bears has delivered a scathing review of the Federal Reserve’s monetary policy — accusing central bankers of creating the “greatest credit bubble in human history.”

    Mark Spitznagel, chief investment officer of Universa Investments, believes the Fed has created a “tinderbox time bomb” that will explode into a mega inferno — in the shape of a major market crash — in the next few years.

    Known for his pessimistic stance on the economy, Spitznagel has voiced his concerns about the nation’s monetary policy time and time again. But in a recent interview with New York Magazine’s Intelligencer he went in hard on the Fed and global central banks in general for how they’ve rebuilt since the Great Recession.

    “Credit bubbles end. They pop. There’s no way to stop them from popping,” he said, adding that the Fed has brought the economy to a place “where there’s no turning back.”

    An inferno waiting for a spark
    …
    https://finance.yahoo.com/news/theres-no-real-good-end-114500833.html

  19. ‘”To think that after a 13-year bull market, we will not see a normal cyclical bear market recession, is to believe that the business cycle has been miraculously repealed after 400 years of historic stock market cyclical data. They believe this time will be different. It never is,” he said of investors’ recession outlook.’

    https://markets.businessinsider.com/news/stocks/recession-2024-economy-stock-market-signal-sp500-rally-inflation-unemployment-2023-12

  21. ‘At $411,000, hers was the most expensive house on the lot, and prices have only appreciated since then. What would be the dealbreaker for a potential buyer? The falling insulation in the basement? The pipes that keep freezing? The windows that leak? ‘Even if I wanted to sell, I’d feel guilty selling,’ she said. ‘I feel like I would have to disclose a lot of things, and I wouldn’t want to do that’

    So yer fooked Marcia.

  22. ‘He paid £25,000 as a deposit in January, according to bank statements seen by the BBC. He then transferred the £25,610 balance in the following three months – in the hope of speeding up the work.’

    So you paid them more money because they were slow.

    ‘Instead Mr Varghese said it became harder and harder to contact the company and said he lost his life-savings. ‘I had no peace at all. I couldn’t even speak to my wife, speak to my kids,’ he said. ‘I felt guilty because I think I am the one who is responsible for all this, even though I didn’t do anything though’

    Of course yer guilty Jismon, you fooked up.

    1. “If you don’t like the alleged censorship on Twitter why don’t you go make your own Twitter?”

      Buys Twitter.

      If the globo media fire you from your show or deplatform you in other ways?

      Make your own platform.

      Produce your own show.

    1. Yahoo
      Moneywise
      ‘You’ve been lied to’: Ramit Sethi says he’s a multimillionaire but doesn’t own his house — or invest in property. Here’s the ‘true cost’ of buying a home and what you should do instead
      Vishesh Raisinghani
      Mon, December 11, 2023 at 5:00 AM PST·4 min read

      Personal finance coach Ramit Sethi made a surprising confession recently — despite his wealth, he’s still renting. Sethi has described himself as a multimillionaire, so he can easily afford to buy, but chooses not to.

      “You’ve been lied to” about homeownership, he says.
      …
      https://finance.yahoo.com/news/youve-lied-ramit-sethi-says-130000716.html

  27. Would you take out a 100 year mortgage?

    Who gets to finish making the payments if the original signer doesn’t survive to make the final payment?

    And if 100 year mortgages are possible, then why not 1000 years? We could all borrow enough to buy an LA mandion and enjoy living in bad traffic forever.

    2. Moneywise
      ‘America will become a renter nation’: Grant Cardone warns the US could see 100-year mortgages — says we might even rent our clothes. How to buy real estate without going deep into debt
      Jing Pan
      Tue, December 12, 2023 at 4:00 AM PST·5 min read

      With elevated interest rates and persistently high home prices, American homebuyers have felt firsthand the squeeze on their budgets.

      According to real estate mogul Grant Cardone, the necessity for substantially longer mortgage terms is on the horizon.

      “The savior of America will not be lower prices, it will be longer mortgages,” he said in a recent TikTok video. “In your lifetime, you will see mortgages go from 30 to 40, 50 and maybe even 60 years. You could, if you live long enough, see a 100-year mortgage in America.”
      …
      https://finance.yahoo.com/news/america-become-renter-nation-grant-120000726.html

      2. that’s impossible. people are motivated by their dreams and hopes. the dream of working hard for 15-20 years, pay off your home and live a more relaxed and decent life. nobody dreams of paying a mortgage or rent until they die. and when the dream is gone, entire society collapses. nobody dreams about a life as a slave. people will simply give up on “civilized” life, grab a mule, their guns and move into the woods. pretty soon 1/2 country will be robin hoods, highway robbers and rebels.
        you need hope to build something, and nothing gets done out of pure desperation.

        1. grab a mule

          I never considered that.

          I dropped out of the bubble culture over a decade ago. I could still go back to living on my boat if things get interesting.

  28. We often discuss how those fleeing from failing blue states continue to vote blue when arriving at their new destinations. Some statistical data from the Colorado Sun:

    Looking closer at the survey’s results, Coloradans who have lived in the state for 20 years or longer had a more negative outlook on the state’s direction, according to Kevin Ingham, who leads Aspect Strategic. Those who think the state is headed in the wrong direction are most consumed by cost of living concerns.

    “For those voters that we call settled transplants — those are people who’ve been here between five and 20 years — they see the direction of the state is (headed) in the right way by nearly a 20-point margin,” he said. “And then newcomers who have been here less than five years, they are brimming with optimism, but 77% saying we’re heading in the right direction.”

    I suppose that compared to wherever they came from, things still look good to the new arrivals in the Centennial state; but to those of us of have been here longer we can see the change and it hasn’t been for the best.

    2. I suppose that compared to wherever they came from, things still look good to the new arrivals in the Centennial state

      They’ve been sh!tting in their nest for so long, they no longer know what clean looks like. Don’t worry, they’ll keep on sh!ttin’ in the new place. There’s no understanding of cause and effect.

        1. “murder muh baby”

          That TX case with the Trisomy 18 fetus doesn’t pass my smell test. Mom “fled” the state anyway.

    3. When asked how they would vote on Initiative 50, the 2024 ballot measure from a conservative political nonprofit capping statewide property tax increases at 4% annually, 34% said they would vote “yes” on the question, while 35% said they would vote “no” and another 31% said they were undecided.

      So 35% actually want property taxes to skyrocket and 31% are undecided.

      I guess they believe that the solution to the cost of living crisis is more taxes, probably because they are in some way members of the Free Sh!t Army

    4. This month will be 14 years in the state for me, and it is headed in the wrong direction, especially in the last 3 to 5 years.

      Property crime and the invasion of homeless top the list of why.

  31. Toronto Real Estate Market Update – Are Sellers Giving Up? (Dec 6, 2023)
    Team Sessa Real Estate
    32 minutes ago

    In this episode we take a look at the current Toronto Real Estate home prices and market trends for week ending December 6, 2023. We also discuss the difference between agents and provide an example of a small thing done to increase the competitive advantage for a buyer.

    https://www.youtube.com/watch?v=-flIiLS0-Eo

    23 minutes.

  35. Yahoo News
    Business Insider
    Inflation is ‘permanent’ and you’ll never regain your lost purchasing power, says a Wall Street guru
    Huileng Tan
    Tue, December 12, 2023 at 9:05 PM PST·2 min read
    Grant, founder and editor of Grant’s Interest Rate Observer.
    Brendan McDermid/Reuters

    – Wall Street guru Jim Grant told Fox Business Network inflation is “permanent.”

    – Grant said the Fed is likely to cut rates later rather than sooner.

    – Grant has been the editor of “Grant’s Interest Rate Observer” for the past four decades.

    Market watchers expecting the US Federal Reserve to cut interest rates soon may be disappointed.

    Jim Grant — who’s been editing “Grant’s Interest Rate Observer” for the past four decades — expects Fed chair Jerome Powell to be cautious as inflation remains above the central bank’s target level.

    “I think that chairman Powell is still mortified at the Fed’s failure to identify the upsurge in inflation that began in 2020 and 21, and the last thing he wants to do is declare a preliminary and premature victory,” Grant told Fox Business Network on Tuesday.

    In 2021, the Fed described high inflation as “transitory,” but price increases continued and hit a four-decade high of 9.1% in June 2022 before easing.

    “Inflation is not transitory,” Grant told the network. “It is permanent in that you never regain the purchasing power you have lost to inflation.”
    …
    https://www.yahoo.com/news/inflation-permanent-youll-never-regain-050533616.html

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