Rocky Balboa: Let me tell you something you already know. The world ain’t all sunshine and rainbows. It is a very mean and nasty place and it will beat you to your knees and keep you there permanently if you let it. You, me, or nobody is gonna hit as hard as life. But it ain’t how hard you hit; it’s about how hard you can get hit, and keep moving forward. How much you can take, and keep moving forward. That’s how winning is done. Now, if you know what you’re worth, then go out and get what you’re worth. But you gotta be willing to take the hit, and not pointing fingers saying you ain’t where you are because of him, or her, or anybody. Cowards do that and that ain’t you. You’re better than that!
The news is rough out there however there was good news today….
The Anderson Forcast at UCLA says that despite a rocky road we are not in a recession. However, it seems like political positions, some of the blogaratti have staked out their positions and simply will not deviate.
Taking on Anderson is the brain trust at my Alma Mater Pacific.They say that we may not be in a recession nationally, but we are in the Golden State. Of course these guys live at ground zero of the housing crisis. Stockton, California. While Anderson’s calls the downturn a function of the housing market. Pacific says that business and jobs are being lost. Anderson has a long historical scorecard of wins by the way when it comes to predicting and assessing the economy.
Either way, the point I want to make is that people are making money in this market.
I know of one trader who had a six figure day shorting Mortgage Companies. And speaking of Stockton, I know of another group considering buying up new -financially troubled communities. One tract at a time!
They figure they can get these developments so cheap that they can wait the market out and just rent back to all the people that lost their homes. Then maybe even sell the houses back to them.
The rules have changed. And yes it is easier for those that are liquid. No doubt.
But luxury houses are selling in every market I have looked at. You know the rich will keep those plastic surgeons and fancy car dealers busy come what ever market. They are liquid and immune. Perhaps a niche to consider ehh?