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The BEST Restaurants in Palm Springs

by Brant Cox – original article

Every decent city in America has their escape place. New York has the Hamptons and the Jersey Shore, and Chicago has, well, Wisconsin. And Los Angeles? We get Palm Springs. Only the best escape destination in the entire country. When you have a town that was created solely on the idea of sitting by the pool and getting as hammered as f*cking possible, there’s little to complain about. Where should you be eating in between all those mojitos and dancing at Coachella though? Between the classic old haunts where Marilyn Monroe used got her freak on, to the new, modern spots popping up all over downtown, Palm Springs is a culinary destination to be reckoned with. Here’s our updated guide on exactly how to navigate it.

Breakfast / Brunch King’s Highway 701 E. Palm Canyon Dr


It’s not often you eat brunch in an abandoned Denny’s and want your friends to see it on Instagram. Located inside America’s hipster safe house (Ace Hotel), King’s Highway is the all-day cafe for everyone who just can’t with the pool anymore. Don’t be fooled though. With a recently overhauled menu of things people like to eat before noon, King’s Highway has sneakily become one of the best breakfasts in town and has a not-cheesy retro atmosphere going for it, too.

Wilma and Frieda’s Cafe 73575 El Paseo



Wilma and Frieda’s is out in Palm Desert, but wherever you find yourself after a long night of Mai Tais, this is a brunch must. Open only from 8am-3pm, Wilma and Frieda’s is next to a Saks Fifth Avenue in a high-end shopping plaza, but don’t let that fool you – this place is all about comfort. Think short rib eggs benedict and a blackberry vanilla custard French toast. And with everything hovering under $15, it’s really affordable too.

Norma’s 4200 E Palm Canyon Dr.


Norma’s might not have the best brunch in Palm Springs, but it definitely has one of the best patios to eat it on. Technically serving as the all-day cafe at Parker Palm Springs, Norma’s at 12:30pm on a Saturday is an all-out scene — the kind of scene you came to Palm Springs to experience. Rich old women drinking chardonnay before lunch, stressed-out bridal parties guzzling mimosas, and you and your friends going to town on taco salads and Bloody Marys before hitting the pool for the next 72 hours.

Cheeky’s 622 N Palm Canyon Dr

If you hear someone shout “brunch!” in Palm Springs, it probably means they’re on their way to Cheeky’s. Open only until 2pm each day, this cafe has become the absolute go-to morning dining destination in Palm Springs. Just be warned: the line gets ridiculous. But for those who tough it out, a fantastic rotating menu of all the breakfast foods your hungover stomach wants awaits. Two words: bacon flight.

Chi Chi 415 S Belardo Rd


When the Viceroy Palm Springs became the Avalon Hotel, it not only gave us a fantastic new place to stay, but also a great new poolside restaurant to go along with it. It’s a calm, tranquil setting, and the Latin-tinged brunch menu is a perfect complement. Photo: Jakob Layman

The Purple Palm 572 N Indian Canyon Dr.


 In the heart of Palm Springs sits the fantastic Colony Palms Hotel. And at the heart of the Colony Palms sits Purple Palm – the immaculate all-day poolside restaurant straight from your desert dreams. The weekend brunch goes from 8am-3pm, ideal for all your hazy Coachella mornings, and there’s a special sunset menu from 3-6pm for when you just need a breather from the mayhem. The American-ish menu is very solid and the ambience can’t be beat.

Lunch

The Real Italian Deli 100 S Sunrise Way


The Real Italian Deli is one of those places everybody wishes they had around the corner from their apartment. The small, order-at-the-counter spot is located in a run-down stripmall a few miles outside of downtown Palm Springs, but despite its lackluster surroundings, it’s home to some of our favorite sandwiches in town. You’re going to want the Parma sandwich (prosciutto and mozzarella) on a housemade torpedo roll with a side of their fantastic mac salad. Bonus: There’s a grocery component here too if you’re in the mood to cook up an Italian feast tonight at the vacation rental. Photo: The Real Italian Deli / Facebook

Draughtsman 1501 N Palm Canyon Dr.


Most day-drinking scenarios in Palm Springs revolve around strongly poured cocktails by the pool, but Draughtsman is here to change that (or at least give you more options). The massive bar/restaurant on the north side of town has a solid craft beer list, good bar food (get the burger), and is the kind of place you come for a quick bite to eat and end up staying for several hours. Why? That side patio with all the games you could ever want. There’s cornhole, hook and ring, foosball, and life-size Connect Four. Photo: Draughtsman / Facebook

Sherman’s Deli and Bakery 401 E. Tahquitz Canyon

Way One can come to expect certain things from Palm Springs. Plenty of pool time, lots of golf, and drunk old people at stop lights asking you if you know their grandson. But an NYC-style kosher deli in the heart of the city? Not particularly. And yet, there’s Sherman’s, a Palm Springs institution, dishing out immensely respectable versions of all the old classics. It might be 114 degrees out, but sometimes a hot pastrami on rye is simply what needs to happen.

The Barn Kitchen at Sparrows Lodge 1330 E Palm Canyon Dr.


Located in one of the most underrated little hotels in Palm Springs, The Barn Kitchen at Sparrows Lodge has expanded its menu to include a lunch situation that’s open to the public (dinner is not) and has quickly become one of our favorites in town. The ham and mustard melt has no business being as good as it is, and the smoked salmon spread is all you need as the temperature hits triple digits. This is the casual, hidden lunch oasis you can’t find anywhere else in Palm Springs. Photo: Barn Kitchen / Facebook


Frankinbun 540 S Indian Canyon Dr.


Frankinbun is a small joint on the south end of downtown Palm Springs serving hot dogs like you’ve never had before – on French baguettes. But if you’re not feeling one of their traditional dogs, we recommend going for the currywurst, chicken and waffles on a stick, or something they call the tornado potato. This is your power move when brunch got a little too drunk and you need some further sustenance to get through your Saturday.

Trio 707 N. Palm Canyon Dr.


Lunch is often the forgotten meal in Palm Springs and Trio is hell-bent on changing that. How? Well, for starters, an eight-hour happy hour isn’t too shabby. And if that doesn’t suit your needs, you can go for the $19 three-course prix fixe menu. Ultimately, Trio nails the casual walk-up vibe you want for lunch and is also big enough for your whole crew to find a seat.

Ruben and Ozzy’s Oyster Bar 241 E. Tahquitz Canyon Way

Not everything has to be a big deal in this town, and in the case of Ruben and Ozzy’s, they made a business out of providing an alternative. You come to Ruben and Ozzy’s because the midday sun is taking zero prisoners and you need a beer and some oysters. This is a glorified dive bar with a great patio to get your buzz on for cheap. And with $4 alcoholic oyster shooters, danger is near.

Dinner

Counter Reformation 4200 E Palm Canyon Dr.


Counter Reformation is one of the newest spots in all of Palm Springs, but it’s already operating on a higher level than just about everyone else. Hidden in a corner of the massive Parker Palm Springs, this is a wine bar that happens to have some of the best food in town. The place is small (it’s one long bar with counter seats), but the vibe is fun and cool. You’re going to want the cheese plate, the beef charcuterie, and the hen of the woods. Also, lots and lots of wine. More places like this please, Palm Springs.


Copley’s 621 N. Palm Canyon Dr


As far as Palm Springs is concerned, Copley’s still might be considered a relative newcomer. And yet, this decade-old restaurant is easily one of the best restaurants in town. Located in the courtyard of the former Cary Grant estate, the almost entirely outdoor space (with ridiculous mountain views) is that essential Palm Springs setting you came all the way out here looking for. Not to mention, the food is pretty good too. If you’re looking for that quintessential Palm Springs date night, this is it.


Workshop 800 N Palm Canyon Dr


Farm-to-table (desert-to-table?) menus have quickly become the norm in Palm Springs dining culture, but Workshop’s still stands far above the rest – making it one of the most popular dinner spots in town. You probably didn’t think you’d come to Palm Springs and eat octopus carpaccio or duck leg confit, but here you are and you’re going to love it. The restaurant is also located inside a ridiculous all-concrete, chapel-like space that puts even some of LA’s great spaces to shame. Photo: Workshop / Facebook

Rooster And The Pig 356 S. Indian Canyon Dr


Taking a page out of the LA dining handbook, Rooster And The Pig proves some of the best food in town can be found in weird strip malls. This is modern Vietnamese food and despite being open for a few years now, there’s still nothing else like it in Palm Springs. The space is small and modern, but with an atmosphere that makes you feel welcome the second you walk in. If you’re looking a good dinner in PS that doesn’t involve the usual long waits and big slabs of steak, make moves to Rooster And The Pig. Photo: Rooster and The Pig / Facebook

Johannes 196 S Indian Canyon Dr.


An Austrian-fusion restaurant might be the last place you’d choose to go to in Palm Springs, but this 15-year-old institution has other plans. The atmosphere inside this homey restaurant is quiet and casual, with fantastic service, good wine, and a schnitzel that had us at hello. If you’re looking to avoid that overcrowded tourist scene, you should go here. Photo: Johannes / Facebook

Truss & Twine 800 N Palm Canyon Dr.


For as much fun as it is to look at all the furniture stores you can’t afford, the north end of Palm Canyon can get a little sleepy when it comes to nightlife. But Truss and Twine is here to change that. The all-concrete bar certainly has the industrial look on lock, but if you’re looking for some snacks and a well-made cocktail before a night on the town, this is your spot. The waitstaff is friendly, there’s a daily happy hour from 4pm – 6pm, and they have these prosciutto-wrapped pretzel things that are downright addictive. Photo: Audra Ma

SO.PA 1050 E. Palm Canyon Dr. 


The L’Horizon resort underwent a massive overhaul and came out looking like its old 1950's glamorous self. And with it came SO.PA, the beautiful all-day, all-outdoors restaurant with a heavy Middle Eastern lean. Think crispy California squid with spicy yogurt, Alaskan trout with lentils, and a housemade hummus we’d buy tubs of. Your date night in the desert is set. Photo: SO.PA / Facebook

Felipe’s Edit 400 S El Cielo Rd. Ste A


Solid Mexican food in Palm Springs is not always easy to come by. Which is why you need to know about Felipe’s. Open for breakfast, lunch, and dinner, this family-run cafe is serving familiar Mexican classics better than anybody in Palm Springs. The tiny spot is out by the airport, perfect if you’re flying in for Coachella or aren’t in the mood to deal with the downtown crowds. The Hawaiian torta is a must. Photo: Felipe’s / Facebook


Birba 622 N. Palm Canyon Dr


Right next door to Cheeky’s (with the same address) is Birba. Home to hands down the best pizza in Palm Springs, Birba is also the perfect casual big group jumping-off point before a night out in Palm Canyon. With bar, lounge, and table seating, you can make Birba into whatever you damn please. Expect a lively (but not sceney) courtyard atmosphere and a lot of white pizza in your mouth. Photo: Birba / Facebook

Melvyn’s 200 W. Ramon Rd.


Not so much a throwback as a perfectly-preserved relic, Melvyn’s was a favorite of Sinatra and the rest of the Rat Pack. Stay on the staff’s good side (not an easy task), and they’ll treat you to some carefully-practiced banter as they prepare their famous Steak Diane (pan-fried beefsteak with pan juices served tableside). Put away your iPhone, tuck in your shirt young man, and enjoy a classic dinner from a different era.


The Tropicale 330 E. Amado Rd

With an old-school Miami supper club vibe, The Tropicale is a grown-up, kitschy oasis and perhaps your best spot to finally pull off that flowered button-down you got in Nassau. This is certainly a fine dining experience (and a great one at that), but with a fantastic cocktail list and an even better back patio, the recipe is right for things to get weird. The Tropicale is down to party.

Spencer’s 701 W. Baristo Rd\


Pressed up against the base of Mount San Jacinto Mountain in The Palm Springs Tennis Club, Spencer’s is an icon and one of the all-time great restaurants in the city. Come for a wine-soaked power lunch on the patio with your interior decorator or bring the parents along for dinner to get a glimpse of how the upper crust really do it. You don’t come to Spencer’s to skimp, and that means the Black Angus Petit Filet is your order.

Well, we’re not usually the type to forward links to our friends and clients….but we felt this was really useful info which you will hopefully get to enjoy in person sometime soon. The link below lists the best restaurants here in the Palm Springs area. I think we both are going to start going down the list of these and give them a try.
Posted by Cat Moe on April 25th, 2017 3:04 PM

Article by KCM Crew



If your house no longer fits your needs and you are planning on buying a luxury home, now is a great time to do so! We recently shared data from Trulia’s Market Mismatch Study which showed that in today’s premium home market, buyers are in control. The inventory of homes for sale in the luxury market far exceeds those searching to purchase these properties in many areas of the country. This means that homes are often staying on the market longer, or can be found at a discount. Those who have a starter or trade-up home to sell will find buyers competing, and often entering bidding wars, to be able to call your house their new home. The sale of your starter or trade-up house will aid in coming up with a larger down payment for your new luxury home. Even a 5% down payment on a million-dollar home is $50,000. But not all who are buying luxury properties have a home to sell first. In a recent Washington post article, Daryl Judy, an associate broker with Washington Fine Properties, gave some insight into what many millennials are choosing to do: “Some high-earning millennials save money until they are in their early 30s to buy a place and just skip over that starter-home phase. They’ll stay in an apartment until they can afford to pay for the place they want.” Bottom Line The best time to sell anything is when demand is high and supply is low. If you are currently in a starter or trade-up house that no longer fits your needs, and are looking to step into a luxury home… Now’s the time to list your house for sale and make your dreams come true.
Posted by Cat Moe on April 6th, 2017 9:35 AM


A famous modernist home in Palm Springs designed by John Lautner, known by many for its brief appearance in a Bond film, has recently been re-listed, quickly drawing attention and offers. The one-of-a-kind dwelling, which hasn’t been open to the public for years, returns to the market after a lengthy legal battle and is asking $8M, according to The Desert Sun.

Real estate investor Michael Kilroy purchased the Elrod Home, as well as two other properties (the Steve McQueen House and Boat House), for $11 million.  Years later, Kilroy fell on hard times and in 2012, UK-based lender Lloyds Bank sued Kilroy, claiming he had stopped payment and owed $1.8 million. In addition, the nearby Southbridge Property Owners Association also sued, claiming Kilroy owed $150,000 in fees.

 

Last April, Kilroy filed a petition for bankruptcy, and the creditors agreed he had until the end of 2016 to sell. Last week, local broker Nelson Moe Properties listed the home.

Designed for a noted interior designer and considered a key example of Lautner’s exemplary means of blending architecture and nature, the Elrod House is one of the most famous Modernist homes in Palm Springs. Highlights of the home's layout include a circular concrete canopy framed by glass windows and a projecting pool deck that seems to float above the landscape.

This isn’t the only John Lautner-designed home to be in the news this year. In February, it was announced that his famous, dramatically slanted Sheats-Goldstein Residence, which made a cameo in The Big Lewbowski, was donated to the Los Angeles County Museum of Art (LACMA).

pic13

2175 Southridge Drive, Palm Springs, California [Nelson Moe Properties]

Iconic John Lautner '60s House Will Be Donated To L.A. Museum [Curbed]

 

John Lautner's Elrod House in Palm Springs Wants $10.5M [Curbed]

John Lautner Houses in the Movies: James Bond to Big Lebowski [Curbed]

Thank you Patirck Sisson with L.A. Curbed http://www.curbed.com/authors/patrick-sisson for including our iconic famous high end real estate home as one of your articles!
Posted by Cat Moe on June 6th, 2016 12:32 PM
Plan-to-Purchase-_-corrected-e1444431443646

2015 Survey Exclusive: Wealth, Real Estate & the High-Net-Worth Investor

Article by Real Estate News

Rising home prices? C’est la vie, say a majority of today’s high-net-worth (HNW) individuals. According to new research Coldwell Banker Previews International®/NRT commissioned from Ipsos MediaCT, 54% of HNW individuals say they plan to make a real estate investment this year, up from 48% in 2014. The report surveyed the wealthiest 1.5% of the U.S. population with an average net worth of $8.5 million, and their outlook on real estate was generally positive. An overwhelming majority — 94% — expect their property to grow, on average, 16% in value over the next five years. However, appreciation is not their primary motivator for wanting to buy. Those considering a purchase are twice as likely to be looking for a residence for personal use, as opposed to purely for investment/rental purposes. Still, 40% of respondents cited investment attractiveness as a reason to be in the real estate market. “Property has been a mainstay of high-net-worth investor portfolios for decades, but what is notable now is that so many those investors continue to be bullish about real estate, even in the face of rising real estate prices in many U.S. cities,” says Ginette Wright, vice president of marketing for Previews®/NRT. “Financial market uncertainty and other recent global economic factors, such as a potential slowdown in China, all seem to have contributed to their view of real estate as a safe haven.” Young, Free and Willing to Pay a Premium Even younger affluent generations are taking an interest in real estate. The survey found that 69% of HNW millennials (those under age 35) say they plan to purchase a new property in the coming year — running contrary to the myth that millennials are reluctant to enter the housing market. Compare that to 50% of Gen Xers (ages 35-49) and 17% of baby boomers (50 and older), who expect to purchase new property in the coming year. Millennials are also leading the movement toward embracing a “live anywhere” lifestyle, a trend spotted in last year’s survey. Plan-to-Purchase-_-corrected In addition to being more inclined to invest in real estate, younger wealthy consumers are also purchasing homes at substantially higher prices than baby boomers. Gen Xers paid an average of $5.24 million for their last home, and millennials spent $4.96 million. Baby boomers, who tend to be in downsizing mode, reported an average closing price of $1.55 million on their last home purchase. Most Wanted: Tech and Green Features What features and amenities do HNW individuals most desire? A home that’s move-in ready was at the top of their list, followed by modern appliances and technology, as well as the latest in “green” features. A growing share of HNW individuals say that a fully automated and wired home environment and a LEED-certified green home are becoming more important.
Posted by Cat Moe on December 9th, 2015 1:45 PM

Selling in the winter offers at least two positives – less competition and new customers.  During the winter, most people have taken their listings off the market, but agents can help buyers who have been forced into sudden moves, like executives with job transfers who are looking to purchase a property quickly.

To take advantage of the season, make sure your home is properly staged for the winter. This can help your property receive a higher offer and get off the market sooner.

Start on the Outside

There is no question that curb appeal is one of the first things that attract a potential buyer, but more often than not, they are forgiving of a snow-covered property during the winter months. Most buyers understand that snow piles up in the yard and trees stay barren during cold weather.

What they will not tolerate however is the inability to get to your open house because of bad weather. If heavy snow threatens before the open house, you may need to provide alternative directions to visitors or move the showing to when the weather is more favorable.

If snow covers the ground, clear a safe path from the street to the front door. Spreading sand or salt on the walkway can improve footing. Do not forget to also clear a pathway to any outdoor areas that you want buyers to visit, such as a storage shed or guest house.

Make it Comfortable

Be sure to ask your client to turn on the heat in all the rooms for a warm walk-through. Before the open house begins, walk through the property and check the warmth level in each room. If any room or area feels chilly, buyers may assume that the home lacks adequate insulation or has heating issues.

If the source of the cold air is a draft from a hole or a poorly sealed window, seal any gaps to eliminate the problem. Poor air circulation may also be an issue. You can remedy this by moving furniture away from vents wherever the room allows.

Show Warmth

What buyers see can affect their perception of warmth. Barren areas, solid colors, shine and reflective surfaces reinforce a “cool” aesthetic and are best reserved for summer staging. In the winter, ensure that warm fabrics, rugs, pillows, curtains, bed linens and tablecloths adorn the home for visual warmth. Layer throws and pillows on sofas and beds so visitors can envision cozy days spent on the couch. Use richly textured materials such as furry blankets and wooden accessories.

Bring in the promise of warmer times by putting containers filled with winter-blooming plants in strategic locations. Place a hanging plant near the entry, a winter bouquet on the dining room table or a bunch of small flowers on the side tables flanking the couch.

Staging your winter listings should not take any more time, effort or money than in the summer. Adequate preparation and a bit of attention to detail can make the difference between marketing a cozy home that buyers will bid on and a property that languishes on the market for months because it seems as cold as the weather outside.




Posted by Cat Moe on February 25th, 2015 2:04 PM



Posted by RE-Insider on 2/09/15 • Categorized as Industry News

While many aspects of the real estate market have seen encouraging changes in recent weeks, one new development could spell disaster in the near future. Recently, the total number of homes available nationwide fell for the first time in 16 months, while many Californian markets saw significant drops from previous months. Now, there is a growing concern that the tightening inventory could accelerate price gains – a change which could ultimately force many would-be buyers out of the market.

A new report from the National Association of Realtors recently stated that the number of homes available on the market dropped in the month of December, waning by a modest 1% from the year before but marking the first year over year decline in 16 months.

Although several metro areas throughout California saw improvements year-over-year, many still saw significant drops in inventory from previous months.

Orange County for example – which is already facing a housing shortage and believed to have a deficit of 30,000 to 60,000 homes – had a significant improvement of 43.9% year-over-year but still dropped 8.5% from the month before. San Francisco’s inventory, on the other hand, declined by 15% year-over-year and 40% from the month before. San Diego saw a more modest drop, with inventory sinking by 1.7% from the year before and 16.9% from the previous month.

Bakersfield was the only metro area which saw positive gains on both a yearly and monthly basis, increasing by a whopping 52.1% and 4.1% respectively, according to data collected by Redfin.

While sellers may at potentially increasing prices, it’s likely that buyers and their agents will start to feel the pressure of a tightening inventory.

“Months’ supply is already low at 4.4 months,” said National Association of Realtors Chief Economist Lawrence Yun in an analysis of the trend. “More inventories are needed, not less. Or else, home prices could reaccelerate.”

It’s believed that a part of the drop was a result of declining foreclosure inventories, so agents and brokers who deal heavily in distressed properties should be aware that business opportunities could be shrinking as well.

Do you think the recent drop in available listings will price out new buyers? What are your thoughts?

Posted by Cat Moe on February 25th, 2015 1:43 PM

Article posted by RISMedia

2015 will show an economic improvement, according to the Economic Advisory, Committee of the American Bankers Association, who predicts that the U.S. economy will grow nearly 3 percent on an inflation-adjusted basis this year compared to 2.5 percent last year.

The committee, which includes 15 chief economists from among the largest banks in North America, sees an improved fundamental backdrop for growth.  Sectors that were severely damaged during the 2008-2009 crisis better health.  Household balance sheets have also improved, with strong gains in asset prices and a dramatic drop in debt service burden.

The fiscal and monetary policy environment is supportive of growth. Fiscal policy is no longer a headwind as budget brinkmanship battles abate and tax and spending polices stabilize.  The group forecasts the federal budget deficit will stabilize at $470 billion in fiscal year 2015.

The committee expects the Federal Reserve to maintain near-zero interest rates through mid-2015. Thereafter, the bank economists see a very gradual normalization of interest rates over the next several years.

"We expect the Fed to calibrate its policy to minimize any shock to growth," says Ethan Harris, chairman of the group and co-head of global economics research at Bank of America Merrill Lynch.

The group sees failing energy prices as a net positive for the economy.  Low prices will hurt the oil patch, cutting into mining employment and capital spending.  However, this will likely be more than offset by the boost of energy consumers.

"Gas at about $2 a gallon is like an across-the-board tax cut," says Harris. "Cash savings at the pump leave more money for consumers to save or spend elsewhere."

Despite the weakness in energy sector investment, the group sees business investment as a strong point for the economy. The consensus forecast is that business investment will rise 5 percent on an inflation-adjusted basis this year.

The Committee sees continued monthly job gains of 200,000 or higher through this year. However, the bank economists expressed concerns that job gains had not yet triggered healthy wage growth.

"Top earners have fared well since the last recession, but the same can't be says for middle and lower-income families," says Harris. "Wages have barely kept up with inflation over the last six years, straining household budgets."

Nonetheless, the Committee believes the ongoing drop in unemployment will start pushing wage growth higher.

"Solid job growth, improving wages and lower energy costs should encourage more families to spend," says Harris. The Committee expects 3 percent real consumption growth in 2015.

The group expects residential investment to be stronger this year with gains in single and multi-family starts and home sales. The EAC expects home prices nationally to rise 3.5 percent this year.

"With home prices on the rise, families are once again viewing homes as good investments," says Harris. "Even if mortgage interest rates rise some this year, more people are going to want to buy a first or larger home."

The group's consensus is that mortgage rates will rise only from about 4 percent now to 4.5 percent by year-end.

The group forecasts that consumer credit growth will be modest this year and business lending growth will be stronger, but will return to a more normal pace of growth.  In 2015 and 2016, loans to individuals are expected to grow about 6 percent and loans to businesses will grow about 10 percent.

"We're optimistic that business lending will grow at a double-digit rate this year to finance healthy business investment, "says Harris. "Stronger growth in business lending will be critical for the economy.  Banks are ready to meet demand as businesses take the next step forward."

The Committee sees low inflation resulting from failing energy prices, which will temporarily push year-over-year headline inflation into negative territory.

"Outside of energy, the improving domestic economy could put upward pressure on prices, but the weak global backdrop and a strong dollar should limit any inflation acceleration," says Harris.

The Committee believes the greatest near-term risks to the U.S. economy come from outside the country.

"Disappointing growth in Europe, China and Japan is a reminder that the global economy still faces major challenges, "says Harris.

The Committee also sees major long-run budget challenges.

"As the baby boom generation retires, the federal budget deficit will balloon again, posing a major challenge to future generations, "says Harris.

Nonetheless, the Committee sees a generally positive U.S. economic outlook for 2015 with above-trend growth, low inflation and a go-slow Fed.


Thought that is was a good article so wanted to post it for our readers.  Let us know what your thoughts are on this positive growth!  Contact us if you would be interested in getting an home evaluation or speaking to us about purchasing a home.

Posted by Cat Moe on January 21st, 2015 1:32 PM

By Michael Neal


A precious blog post illustrated that U.S house prices are recording a range of annual gains with some areas of the country rising faster than others.  Similarly, in the context of the global economy, annual house price growth in the U.S. has been faster than some countries while lagging in other countries.

The International Monetary Fund’s Global Housing Watch calculates a real seasonally adjusted house price index for 52 countries including the United States.  House prices in these countries are used to calculate two separate global house price indexes.  One global house price index assigns an equal weight to each country and the second global house price index is adjusted to account for the size of each country’s economic output (GDP).

Figure 1 below shows that the rate of growth recorded in the US places it in the 2nd quintile amongst countries for which house price data are available.  According to the International Monetary Fund, real and seasonally adjusted annual house price growth in the U.S. was estimated to be 3.6% between the second quarter of 2013 and the second quarter of 2014, thereby contributing to the 1.3% increase in real seasonally adjusted global house prices.  The IMF comparison utilizes the Federal Housing Agency (FHFA) house price index.


Earlier blog posts have illustrated how typically, house prices in areas that fell the most remain farther from their peak level.

Similarly, in an international comparison, real seasonally adjusted house prices in the U.S. fell more than collective would house prices, but they are farther from returning to their peak level. As Figure 2 illustrates, house prices in the U.S reached their peak in the fourth quarter of 2006 and fell to 73% of that peak by the second quarter of 2011.  As of the second quarter of 2014, U.S. house prices peaked in the first quarter of 2008 and fell to 91% of that level in the second quarter of 2009.  However, as of the second quarter of 2014, global house prices are at 94% of their peak level.




Posted by Cat Moe on December 9th, 2014 3:00 PM

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