This is exactly what happened in Houston during the oil boom and bust period
in the 80's. 6000 sq. foot homes were selling for $200,000 due to all the
bankruptcies. Banks were doing anything to clear their books of homes
people could not afford to buy.

--

Starbuck

"External reality is sort of an affectation of the nervous system." -- Jaron
Lanier

wrote in message
...
On Sun, 18 Sep 2005 18:07:34 GMT, "NOYB" wrote:

There are too many baby boomers looking to retire
down here.


The real bust will happen when SS goes upside down, the market tanks
and private pensions start failing.

The first time one of those boomers actually loses money on a bad
investment in a home things will start tumbling pretty fast. It will
really affect "want" houses worse than "need" houses but all will see
the effect. The real problem will be people who owe a lot more than
the home is worth. They may end up just walking away from the
mortgage. Banks are stuck with a lot of hard to sell property that is
a negative cash flow. They end up cutting their losses and taking what
they can get. That is when things tumble.

A nice waterfront property with salt water access will always demand a
premium but a lot of those McMansions that are just depending on
ambiance and a gate guard are going to be screwed.