[2ndDivisionVet]

Makes sense: If you have two, three or four generations under one roof due to the Obama depression, you need a lot of space.

[marron]

To me, the whole “McMansion” thing was always a sneer at people deciding for themselves what they wanted and what they needed.

Just like the whole “SUV” controversy, where again people decide what they want and need, while others sneer and try to use government to stop them. If you see the need and are willing to pay the cost, that should be the end of the discussion.

[griswold3]

The trend is starting for the small cottage in the back yard just big enough for mom and dad while the main house is average.

[mosesdapoet]

Pardon my cynicism but this sounds like a developwr with a lot of Plorida ,where it gets pretty hot,) air to sell.

[Grim]

Oh yeah! Things are REALLY looking up.

Last Hurrah for Housing

Case-Shiller is a backward looking index. The increasing number of foreclosures, the complete collapse in new home sales, a massive increase in inventory, and the end of tax credits all suggest we are near the end of the line for this bounce in home prices.

Interestingly, even the home builders are against another home tax credit. Is that reflective of the massive distortions caused by the credit, the realization the tax credit was useless, or the fact that homebuilders recognize there is little chance Congress will back another tax credit?

Regardless, here's the deal: New Home Sales Consensus 330K, Actual 276K, a Record Low. As a followup please see How Many New Home Sales Was That?

Expect to see new all time low prices in some cities later this year or next year as pent-up demand dries up along with incentives that merely brought that demand forward.

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

[JerseyHighlander]

Beth Kassab is just cheerleading, the Orlando Sentinel is one and a half feet into the grave already, without real estate listings the newspaper is going to go bankrupt.

I’ll put it bluntly, in the Orlando metropolitan statistical area, there is now an INFINITE supply of McMansions.

What I mean is, there is now a supply of
MLS listed +
Foreclosed +
Shadow Inventory +
90+ day deliquent mortgages
in the single family residence category priced at over 400K to surpass the average length of home residence for householders who buy a 400k home in Orlando MSA.

Until such time as tens of thousands of new householders move into McMansions that already exist in the Orlando MSA, there will never be again a new boom in McMansion construction.

On top of that, the average median salaries of the top decile of Orlando MSA households can still not support the current prices of the existing McMansion inventory, Orlando has at least a 7% further drop in prices just to reach a sustainable Case-Shiller market equilibrium, or the rent equivalent market equilibrium.

[dragnet2]

McMansions will be on the rise again

Oh sure, and they'll heat them with cheap gas, cheap oil, and cheap air conditioning....

Big fat bloated homes ain't never coming back...

[RegulatorCountry]

These truly ugly vinyl boxes are actually selling here, not quite that large but 4-5 bedrooms, “flex” room that can serve as another, over 3,000 sq. ft. but cheap, cheap, cheap. Slab foundation, no architectural detailing or embellishments whatsoever, just maximized space.

I have to admit, the cost per sq ft is amazing, but there’s nothing to want about them, they’re just square, flat sided, tall and deep with a shallow pitched roof, with as few windows as the law permits anywhere but the front facade, and even that is plain.

There’s nothing remotely “McMansion” about these things other than the space.

[Teflonic]