Martha’s Vineyard Real Estate

by admin on March 17, 2010

More good news for the residential housing market.  Warren Buffett (The Oracle of Omaha) wrote in his annual letter to Berkshire Hathaway shareholders on February 27, 2010, that:

  “Within a year or so, residential housing problems should largely be behind us.  Prices will remain far below ‘bubble’ levels, of course, but for every seller or lender hurt by this there will be a buyer who benefits.  Indeed, many families that couldn’t afford to buy an appropriate home a few years ago now find it well within their means.” 

He is predicting that the demand for affordable homes will catch up with the excessive supply that has decimated prices over the last three years. 

I am a big fan of Warren Buffett.  Did you know that back in 1965, when he took control of Berkshire Hathaway, shares of Berkshire traded around $15. 
Today, shares of Berkshire class A stock  trade around $123,000 per share.  He is a proponent that you buy an asset when it’s below its intrinsic value.  His results speak for them self. 

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