Jun 30

It’s stiffling hot by 10am, I can hardly pull out of my aparment complex in the morning because there’s so many kids in the street, the grass is illuminated nightly with swarms of lightening bugs, and firework stands are popping up everywhere. I guess that means it’s summertime- in all it’s glory. 1/2 gone before I even could buy my sunscreen. I haven’t been to a single concert, gone to the lake a single time, been camping, or even to Colorado and the summer’s half gone. With fourth of July right around the corner, I can’t help but to be a little sad knowing I’ve spent the whole summer working and going to school. As I sit in my apartment exhausted everynight trying to keep my eyelids open for homework after a long day’s work…. the days I can’t get off my mind: ‘boating buddies’ and trampoline jumping, hide-and-go seek once it got dark, sitting at Sarah’s house smashing on popsicles like it was our job inbetween visits to the swimming pool. Dan and I having sleeping contests to see who made it the farthest past noon without getting up. The feel of peeling sunburns and bleach blonde hair- white from the sun and green from the chlorine. The summer visits to Albuquerque: getting to fly without mom and dad and big wheel races around the pool. Eating grandma’s monster cookies and playing cards with grandpa until he couldn’t sit any longer. I wouldn’t have ever imagined that there would come a summer when I would let half of it fly by with out my fingers being popsicle purple, my shoulders summertime brown, my hair chlorine green, and my clothes dirty head to toe. I haven’t even smelled the smell of grass once this entire summer. I shouldn’t even be allowed to call it summertime.

So here’s to the veedavoo days, the family roadtrips, and the days when Dan and I got to be together every single day. To the days of ice cream, kool-aid, and the summers I actually got to see my long lost cousins. When families were together and always close by, when friends were always within walking distance, and the long days always seemed too short. I’ll never forget…

And even if it’s not this month or maybe not even the next… Dad, we’re going boating. Dan, we’re going to play outside, and Mom, we’re going to plant flowers. I miss you guys.

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Jun 30

And I just don’t like them. I know its frustrating to have a condo purchased for 99,000 that may no longer be worth that (especially since I am not making any great money on my house either). That is what happens tho in overheated indutries I think… just watch the infomercials. Everybody and their nephew thinks they can be a big real estate investor. This leads to speculation and over-inflated prices. “… At the beginning, [prices are] driven by fundamentals, and at some point, speculation drives [them]. What the wise man does in the beginning, the fool does in the end.” to quote the Oracle of Omaha from the most recent Berkshire Hathaway Annual Meeting.

Speaking of the Oracle, he spoke on the subject of residential real estate during Q&A:

Question: What are your thoughts on the residential real estate market in the U.S.? Where is it headed? How is California different?

Warren Buffett: We managed one time to develop a great piece of property in California for over 20 years. That’s not an exaggeration. We nurtured the land value, and we cashed out for 5 or 6 million dollars. We finished at the wrong time. What do you think it would be worth now, Charlie?

Charlie Munger: Maybe $100 million. [Gasps from crowd].

Warren Buffett: Everything is wonderful about it — terrific climate, wonderful location, on the water. But from time to time, even in great localities — you’ve seen it happen in New York a couple of times — the swing in values has just been huge. What we’re seeing in our residential brokerage business is a slowdown everyplace, most dramatically in the hottest markets. The market where you see the greatest falloff tends to be the high end, where people have bought for investment rather than use. People will pay $300,000 and mortgage $270,000 for the house, and if it goes to $250,000, they won’t sell it or move if they have a job. But when you have investment or speculation-type holdings, when you’ve had day traders of the Internet move into the day trading of condos, then you get a market that can move in a big way.

Real estate is different from stocks. If you own real estate, there is a great tendency to look at the one that sold down the street a few months ago. In Dade and Broward counties (in Florida), for example, where the average condo was $500,000, if you go back to 2004, there were fewer than 9,000 condos for sale, and around 2,900 would sell per month, so turnover was less than four months. Now, there are 30,000 condos for sale, or $15 billion in property, and turnover is less than 2,000 per month. We have had a bubble in residential real estate to some degree. I think there will be downward pressure in prices, especially on higher-end properties. In Omaha, prices will be OK.

Charlie Munger: Bubbles came in Manhattan and California. In Omaha, housing is quite reasonable, so the [rural] country is not all the same at all.

Warren Buffett: I just got word that attendance [at the meeting] is 24,000 this year. Even better, at Nebraska Furniture Mart, which had 1997 sales of $5.5 million, sales last year were $27 million, and we’re likely to do over $30 million this weekend, which is equal to normal monthly sales.

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Jun 30

They critisize other women, from their friends to their mothers and constantly use us as emotional crutches. They talk in “code” and are incredibly jealous. Regardless of how much we can’t live without them, there are certain things we can definitely do without…

Kind of poor sterotypes but overall a pretty entertaining article :-)

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Jun 30

Local officials in the rural Alaskan town of King Cove have put an old school up for sale on eBay, saying they hope to raise $1.8 million.


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Jun 29

I’ll decide on a permaent look for the site soon. I kind of like this one but I think it may be a bit hard to read. Where do I get these great new looks? From my upgraded WordPress install I did using my EXCELLENT web host… www.dreamhost.com.

They are the best!! If you are looking for a hosting company, I highly recommend them for a huge number of reasons. Anyway, something more interesting write soon. BYE!

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