Zombie Pet

Mr. T Lite

 I am particularly fond of these two photos from the top ten.

I am even more particularly fond of tried and true heavy metal gimmickry from Eurometal masters, Helloween.

Here’s their video, “I Want Out.” Please, do not adjust your monitors.

Now, to cleanse your palate and to refresh your idealism for the pagan holiday, I present a video from Beverly Hills multi-milionaire, Ozzy Osbourne. Witness his earliest gimmickry (featuring an extra large toothbrush) - this is rare, behind the scenes oddity at a 1970 soundstage with Black Sabbath doing Paranoid. Proto-metal, indeed.

I bid you all a very hearty farewell…before I go, wanna know what I think is really scary?

1. The Zillow Third Quarter survey, which concludes that the “Not My House, Not My Neighborhood” effect remains alive and well with residential real estate sellers nationwide

2. The New York Times lead off headline today: “Economy Shrinks With Consumers Leading The Way”

Y’all get back to work…

Read this 4th quarter forecast from Stratfor, via my friend and weekly advisor, John Mauldin.

John states: “What matters now are the “exogenous” factors: government guarantees of the commercial paper market, currency interventions, direct capital infusions, etc.

John offers a forecast from his friend George Friedman at Stratfor. “George’s team analyzes US government policy as well as the moves that are being taken by central banks and governments around the world as the private sector gets taken public all across the globe.”

I believe that anyone who cares about the Intown Atlanta real estate submarket should care about the “exogenous” or external factors that affect it.

Beyond your neighborhood, there is a geopolitical, military, and macroeconomic quagmire that appears to be insurmountable in some markets, some neighborhoods, some streets.

Companies have gone “poof!” Banks have squandered cash. Governments are getting bigger.

There is an ongoing war on terrorism.

Stratfor offers deep insight into Russia, the Middle East and other parts of the world - the link will take you to a high level intelligence briefing. I think that you will find the update to be a refreshing change of pace from the everyday news that you see on TV, and from the everyday gossip that you hear amongst neighbors.

So, make sure that you click on the slightly delayed 4th quarter forecast and get a better perspective on the rest of the world. As the article states, the US economy started the meltdown - Europe and Asia will give it its legs.

Be conservative and circumspect with your Intown Atlanta real estate decisions, OK? Call me if I can help.

In this article in Business Week last month, Ivan Boesky’s cousin (that’s right, Ivan Boesky’s cousin) says this about the Shanghai Stock Market (it’s the worst performing market in all of Asia - and that is saying something!)

“We feel our feet are touching bottom now,” he says hopefully, adding that next year could be good since stocks have fallen so far, so fast. “We’ve set the bar very low now.” In the new year, “We are set up now for some very easy layups.”

Which leads me to state that hope is not a strategy, Mr. Boesky.

Nevertheless, I thought of Mr. Boesky’s (I like saying Mr. Boesky) mention of “lay ups” when I contemplated the latest Intown Atlanta real estate numbers through September 2008.

So…Only 12 out of 100 Intown Atlanta Sellers are shooting lay ups.

And… only 36 out of 100 are scoring at all.

Watch for more details, but here’s 3 of the most interesting things that I gleaned from my handwritten notes at a presentation yesterday.

1. we had a 500% increase in $750K-1M price range “bank-owned foreclosures” between 2007 and 2008

2. if a seller is priced right, on average they gross 96.4% of their original list price - if a seller is priced wrong, on average they gross 87.6% of original list price…and stay on the market for 106 days, versus only 34 days for properties that are priced right

3. We have over 90,000 listings right now  - we’ve had 26,876 closed sales in the metro area through September - that’s down 23.4% from last year - so, out of 100 given listings, only 12 out of 100 go to closing without a price reduction, and only 36 make it to closing at all

The gap remains too wide and the buyer’s market is here to stay.

The opportunity to buy a first house, a second or a third property, or a “move up” dream home, is  inspirational right now, even if all that you have is 5%-10% or at the most, a 20% downpayment.

The banks are more strict now, the banks that are left standing - and we’ve definitely gained a lot by stifling the criminals and profligates in that business.

My friend Paul in Shanghai tells  me that the Chinese “don’t f*#@ around.”

I wish that Intown Atlanta sellers wouldn’t f*#@  around so f*#@ing much.  

With that wish in mind, I will do my very best to be stable and calm and try to help as many people as I can in the wake of the flood - even, sometimes, helping a few of the 88 out of 100 who “f*#@ around!”

At least 24 out of those 88 will sell their home in a somewhat timely manner.

Stay tuned - we’ll have lots of charts and graphs and video coming.

It does not take very long for Seth Godin to come along with a book nowadays.

I just obtained my copy of his new book Tribes and I’ll be reading it over the next few days. Regardless of his frequency, his books are always on point, always readable and entertaining, and always on my bookshelf.

I just know that after reading the highlights of Tribes, and after watching this video, I believe very truly that no one cares about me.

In the video, Seth answers the question: “Is social networking good for business? If so, what types of businesses?”

The video is hosted at American Express’ Open Forum site, which is loaded with good stuff for small businesses and marketers.

Good marketing matters to me because my daughter expects the utmost professionalism in my real estate practice.

Obviously, the shameless display of cuteness below is just one of my “good marketing” tactics.

Thanks to all of my clients and friends who exchange ideas with me, who refer business to The Rootdown Group and who truly make my world go ’round.

Thanks for going out of your way for me.

“In The Year 9595, I’m kinda wonderin’ if man is gonna be alive,
He’s taken everything this old Earth can give,
And he ain’t put back nothing…”

Rather prescient for a couple of 60’s singers, don’t ya think?

Watch this Zager and Evans classic performed on some long forgotten TV soundstage circa 1969…

Well, you could argue that what happened to East Point residential sales prices is what happened to the rest of the close in metropolitan Atlanta neighborhoods - sales prices peaked in June 2006 and have been in decline almost ever since – 25 out of the past 26 months through August 2008. But, that would not tell the whole story…

East Point is loaded with cute brick houses in good condition that are available for competitive prices.

For years, East Point didn’t have the bars, restaurants and community nightlife that made the neighborhood as special as East Atlanta Village or Decatur or Kirkwood, but in the past 7-8 years that has all changed.

Thumbs Up Diner arrived … 

The Corner Tavern has been holding it down for almost 4 years …

The edges of East Point now have easy access to lots of retail, a movie theatre and tons of restaurants. All this and you are only 10 minutes from downtown Atlanta. All this and some of the best maintained 20th century houses in the entire city. Good streets and good neighbors. East Pointers are value buyers who love sturdy houses, BIG lots and cool neighbors.

When I moved to Atlanta in 1988, fresh out of Furman University, this “good old boy” East Point native who happened to be in the mortgage business told me - “buy a house in East Point now!” He stated that East Point is close to Atlanta and the airport, and that lots of young hipsters were buying sturdy old houses down there for way less than $100,000.00. That was the late eighties. I knew he was on to something, but I never bought a house in East Point.

I’m writing this article because I helped a really cool client buy a sturdy 1924 built brick house on Linwood in East Point back in 2005, and now she wants to sell it. The house has preserved period architecture, a decorative fireplace, a roomy eat-in kitchen with a butler’s pantry and oak floors, an added family room, a master bedroom with private bath, 2 other sizeable bedrooms and another full bathroom with a marble floor, a sweet rocking chair front porch, crown moulding, glass door knobs and one of the most beautiful and plush gardens across the deep backyard - featuring 3 ponds, gorgeous plants and statuaries. She bought the house in 2005 for $197,500.00.

Now she wants to sell it in the declining market of fourth quarter 2008, and based on what I just reviewed - prices are down 15% FROM LAST YEAR on average in her particular submarket of east Point - 3/2 brick houses built before 1970.

So, I commissioned Greg, The Pricemaster to work up a “clustering analysis” for our client - his ability to look at broader trends and to digest tedious real estate data is exceptional, and here is what he found… Read the rest of this entry »