The good people of my fair city are getting slack-jawed over real estate. Even with interest rates rising (should SHOULD diminish any asset that depends so heavily on debt), prices just keep getting crazier. Right on the front page this morning is a 900 square foot shack in a crappy part of town that sold for two and a half million bucks, way over the asking price.
Things are bound to get dicey on a day like this…….
……..and then it takes a turn for the worse………
I happened to see this sign while walking Coda around the Stanford campus tonight. It really does say it all.
As many of you know, the real estate market in Palo Alto has been going bananas for years, particularly recently. I’ve written about this phenomenon here, here, here, and – my favorite – here.
I’ve lived in Palo Alto since 1991, and at the time, it was a terrible stretch for the very-young Tim to buy a house in town. In retrospect, it was one of the greatest (and few) “long’ positions of my life, since it’s worth about twelve times what I paid for it back then.
I sure wish I could buy a put option on it, though, because we’ve got to be at some kind of zany top, given the front page headline on this morning’s Daily Post. Here ya go:
