L.A., other hot housing markets are getting frothy, report says - latimes.com: "Everybody I know is trying to do flips right now. It's like the day trading of the 1990s," Nordine said. "We went straight from Armageddon to speculation; there was nothing in between this time."
Still, Nordine is advising clients to buy now if they can, citing low interest rates and low risk of another foreclosure crisis.
"That is how the American economy works now," he said. "It seems as if we just go from one bubble to the next."
The roller coaster is climbing to the clouds again in some metro areas such as DC and LA. And when the housing market gets bubbly, it can bode ill for receipts in Privatopia. HOAs have much smaller assessment bases than municipalities and counties and consequently less ability to absorb housing market volatility and the inevitable bubble bursts and painful hiccups in assessment cash flow.