CASE SHILLER ESULTS
October 30th, 2008Standard and Poor's has released their Case-Shiller Home Price Indices for August.
SOUTHERN CALIFORNIA SALES JUMP
October 21st, 2008Dataquick has announced that sales in Southern California jumped dramatically in September:
ANOTHER TOM AND SEAN LISTING
October 21st, 200837 Hoolalei in the Keala Hills subdivision is conveniently located to shopping and beaches. This immaculate three-bedroom, three-bath home features a great room with vaulted ceiling, an enormous master suite, views of Haleakala, a fenced yard, a quiet private neighborhood and an attached 500 square foot ohana for guests or income. Offered at $799,000, this home represents an unusual value. The property is being staged and will be available for showings in the next few days.
THE BAILOUT VERSION 2
October 13th, 2008
The Federal Government will buy approximately $125 billion of preferred stock in nine large banks in the first step of injecting $250 billion in banks across the country. Here are the key components of the plan:
WHAT TO LOOK FOR
October 13th, 2008If there is one key tool that will tell us when the credit crunch and problems in the financial markets are easing? It is the TED Spread. That is the gap between three-month US Treasuries (the risk free rate) and three month Libor (the rate at which banks lend to one another). Historically that rate has been a fraction of one percent. It spiked in September 2008 to over 2% and has increased since last month to well over 4%. A chart can be seen here. When this ratio declines it will be good news and when it it under 1% this crisis is likely nearing its end.
THE LATEST
October 12th, 2008
Another eventful weekend. The Morgan Stanley Mitsubishi transaction is being renegotiated but is likely to be completed. Were that to not happen, it would really rattle the markets. Germany has announced a $400 billion bailout of its banks. European leaders are considering guaranteeing all interbank lending. Clearly there is now worldwide political will to infuse capital into banks in return for a taxpayer ownership stake. This is MUCH better idea in our view than buying troubled mortgage assets directly.
ANOTHER TOM AND SEAN CLOSING
October 12th, 2008We are pleased to announce the sale of Wailea Ekolu 1603. This beautiful two-bedroom condominium has been thoroughly renovated. Once again the LEADING EDGE REAL ESTATE MARKETING SYSTEM succeeds in a difficult market.
WORLDWIDE RATE CUT
October 8th, 2008
In response to the ongoing financial crisis, central banks from six countries have announced a joint interest rate cut:
THE CREDIT CRUNCH HITS MAUI
October 8th, 2008
We have been saying for several months that the direct impact of the issues facing the credit markets on Maui has been small. That is no longer the case.
