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[NIMBY] Peter Schiff’s Predictions Met With Disdain, Yet Were Accurate

I try my best to keep an even keel on what I observe about our regional housing market – the benefit is it enables me to be criticized by more people as too negative and too positive. 😉

It’s been quite a fascinating year to observe how so many became so wedded to their original beliefs despite how much the world is changing around them.

This applies to TV pundits.

Here’s a few Peter Schiff [1] clips that many of you may have seen, but its worth refreshing your memory. What is particularly interesting in this clip is the lack of content within any responses given by all those who disagreed with Schiff. Just disbelief, distrespect and misinterpretation of historical trends.

…such as Ben Stein’s description of the subprime problem as tiny, Arthur Laffer’s penny bet and and Mike Norman’s disrespectful tone and lack of understanding about bank underwriting and housing despite being a business radio host (his show was cancelled in 2009 and he blamed “Schiff and cockroaches who believed Schiff” [2]) stand in stark contrast to reality.

While on this topic, I continue to have regular exchanges of emails with some real estate agents who suggest that Manhattan, Fire Island, The Hamptons, etc. (high end enclaves) are basically immune from the world’s economic problems because “They are an island, can’t be expanded, there’s nowhere like them, etc.”

Here’s a recent exchange:

As a real estate broker, I know what I see. I see Manhattan being an island, indeed. Once value was perceived, people began buying. I haven’t been happy about some of your negative statements, not because I am in denial but because I truly see a different reality.

This agent later told me in the exchange that their spouse was laid off and times are tough for everyone (but not their customers?).

Of course there are many agents who have adapted and have been successful in this market. It’s not about being more positive, it’s about helping customers navigate it and finding opportunity.