Sometimes a picture is worth a thousand words….does that mean two are worth two thousand?
From the Businomiics Blog; the underlying data comes from the Census Bureau.
While local markets don’t always conform with national patterns, this is another confirmation that a housing recovery is not just around the corner.
Steve Diamond says: well the first chart looks strangely reminiscent of the housing price charts up until last year…when the new price highs hit a top and started tumbling…what is good for the goose, right? So shouldn’t we expect a reversion to the mean for homeowner vacancy rates, too?
RK says: Yves:
I read an interesting linkage developing between
the bursting housing bubble and a segment of commercial real estate- apartment complexes. The high level of undocumented workers in construction during the boom are now being laid off and are leaving. They were by and large renters. In addition, the recent state restrictions on RENTING to undocumented people are having the same effect. The result is that many of these complexes are hollowing out, and turning cash flow negative.
Anonymous says: The first chart, “Homeowner Vacancy Rate” appears mislabeled on its Y-axis. Shouldn’t it be “Percent of all Homeowner Units”, not “Percent of all Rental Units”?
Bill Conerly says: Anonymous is correct about the mislabeling; sorry; my bad.
Bill Conerly, businomics.typepad.com
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Yves,
Nice to see a link for you at Wall Street Journal – MarketBeat
Blogs We’re Reading:
Naked Capitalism
Financial Armageddon
Fundmastery
Vinny Catalano
Blog of Market Psychology
Keep up the great work on these stories, your one of the very best resources around these days!