Poof - 25% Underwater Overnight

How would you like to wake up in a house that declined 25% in value overnight?
If you are a proud Centex owner at "Martins Crossing" in Florida, it just happened to you.

SAVE $105,000 - Centex Close Out - NOW $294,000 - NEW Single Family Home in Martins Crossing - 4 Bedroom, 2 Bathroom, 2 Car Garage - 1,695 sf.
BEST DEAL OF THE YEAR!

Let's see.

Save $105,000
Now  $294,000
=============
PP   $399,000

$105,000/$399,000 = 26.32%

Poof.
$105,000 just went up in smoke.
That ENTIRE subdivision just took a $100,000+ hit.

Wait a second.
This can't happen, can it?
They are not making land in Florida anymore are they?
People want to move to Florida right?
Did it matter?

This exact scenario is going to play out in bubble area, after bubble area, after bubble area.
The party has just started.

Mike Shedlock / Mish
http://globaleconomicanalysis.blogspot.com/