We are close to the bottom of the market,Warren Buffet agrees!
In a report that I read , Warren Buffet says
The worst thing in the world is if you had some crazy artificial program” to spur residential starts, “or we’d have this overhang for a while,” Buffett said at a press conference. “I want to have a sustainable recovery, and I don’t think you’re going to have to wait more than a year for that.”
Berkshire Hathaway Inc (BRKa.N) (BRKb.N), which Buffett runs, has several housing-related units, and Buffett said two in particular, Acme Brick and insulation maker Johns Manville, have “very poor” earnings now.
“That doesn’t bother me at all,” he said. “What would bother me is if we were to overstimulate them, and create a permanent overhang” over the housing market. via Reuters
The government has slowed down the bottom out of our market and it has been a disaster. Now we need to let the market hit the bottom, and let us agents do our job. Tell the buyers the prices will not be better than this, tell the sellers that forget the holding over a few thousand dollars, and let us agents do our job.
If Mr. Buffet sees the bottom coming in the next few months, I welcome it and we can hover down here for a few months, because only then can we climb out of this mess.
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