Feeds: 
symbol identifies content for paid subscribers only.
Nicolas Retsinas, Housing Bubble Denier, Is USA Today Expert On the Housing Market
When USA Today wanted to speak to a housing market expert on the rise in the housing vacancy rate, it turned to Nicolas Retsinas, the head of Harvard University's Joint Center for Housing Studies. This was an interesting choice since Mr. Retsinas is perhaps best known as one of the people who denied the existence of a housing bubble in 2003 and encouraged low and moderate income families to buy homes.
Some of the assertions that can be found in this publications are:
"More importantly, it takes concentrated job losses - the likes of which have not been seen during this business cycle - to drive down home prices;" and
"Moreover, when house prices deflate, they do so slowly."
--Dean Baker
COMMENTS (7)
You are right!
Did they also say there was no bubble because the increase in value was primarily due to house improvement (look at Home Depot)?
Posted by: James | February 13, 2009 11:22 AM
Looks to me like the guy is just a liar for hire. No person who has researched the matter could make the claims you quote; there's an abundance of history that proves such claims false and ridiculous.
Posted by: Matt | February 13, 2009 3:16 PM
In fairness, that was 2003, before the truly ridiculous excesses in home prices and lending practices had occurred
Posted by: PE | February 13, 2009 4:29 PM
"Moreover, when house prices deflate, they do so slowly."
ROFLMAO!
This week I met with a client who had recently taken a buy-out from a company, sold his house in Prince William County, VA and bought another house near his daughter in SW VA.
At the time he was trying to sell his PWC house, the bubble had already popped and there were 3 houses in his nearby neighborhood like his. They lowered in prices more or less in unison for a while.
Finally this guy says to his RE agent, "Drop the price $20,000 NOW. If it doesn't sell, I stay here and ride it out." The agent wasn't happy, but he did it. The housae luckily sold in a few days before the other 2 houses caught up.
My client bought a much better house in SW VA than he could have afforded in NoVA and paid cash for it.
The other 2 houses like his? Still on the market over a year later at $100,000 less than they were when he sold.
Posted by: D Flinchum | February 13, 2009 7:12 PM
Some damn fine hookers come out of HBS. (all ya need is THAT sheepskin [to lay on]and a street corner)
Posted by: Mike Meyer | February 14, 2009 9:42 AM
damn fine hookers come out of HBS
And, unlike most grads, they are prepared to earn an hones hour's pay for an honest hour's work.
Posted by: jollyroger | February 14, 2009 3:21 PM
"Moreover, when house prices deflate, they do so slowly."
Which is what Krugman wrote in Peddling Prosperity in 1991.
Posted by: Anonymous | February 15, 2009 7:10 PM