It was such a pleasure to have you on my show. Your comments regarding the detrimental effects of lax loan standards on the recovery of the housing market, the challenge of overdeveloped condominiums, and the importance of limiting the rate of foreclosure to stabilizing the real estate market, gave the audience an excellent perspective on several important issues. I look forward to speaking with you again soon. In the meantime, please call me at xxxxxx if I can be helpful in any way.
All my best.
Maria Barteromo, Fox Business News
Mr. Jack McCabe:
I am so pleased to having received your email on Tuesday, 1/6. Especially, since within the past week I quoted you in our 2005 conversations regarding the three decades of building permits on the drawing boards in Florida.
We spoke many years ago before the Florida market and the entire nation’s real estate market crashed. Following our conversations, in approximately 2005, I went on a family vacation for a relative’s anniversary and what you had informed me of building permit excessesin in Las Vegas proved to be true. There were numerous excavation sites to make room for the high-rise buildings that never got completed. Then I witnessed the same increase in permits in New York and sold my holdings. I am grateful.
Jack, I could not agree with your current prediction more. What I will also inform you is that New York City and some of the high end areas in the suburbs are experiencing the same massive price and volume appreciation in 2016 as back then. For now, lets just keep an eye on it, but in some ultra wealthy communities, the high end homes have come down 15% already, with the price of knock downs increasing from $700,000 to $800,00 two years ago to $1,100,000 to $1,300,000 today. A forty percent increase in land acquisition expense! Additionally, in December I was vacationing just south of Aventura, Florida and witnessed the current high end luxury market along the entire stretch of coast with what the Florida paper called "two decades of building permits in the pipeline”. Deja Vu.
Many thanks my friend. I am forever thankful that our paths crossed in 2005 and you shared your knowledge with me.