Everybody panic now

I have occasionally posted on the state of the real estate market. It is about time to panic, looking at the developments of late.

2 out of the top 20 subprime lenders have gone under. A few more are on the brink. Banks/lenders like Coast Financial (CFHI), HomeBanc (HMB) and IndyMac (NDE) have warned, and have seen their stocks crumble.

To top it, HSBC and New Century Financial have come out today with more unexpected (really ? what were they expecting ?) news, that is stunningly bad.

At some point we will see the mainstream media take these events of the last two months much more seriously. That is when panic should set in, possibly affecting the equity markets as well.

Wait and watch. This should be a fun ride. I am hoping that the ride is named 1987 and not 1929.