OK, I am Calling the Market Top

As readers will know, I am frustrated that the Feds continue to fuel a huge financial asset bubble.  While I was wrong, so far, that the Feds would create consumer and industrial price inflation from their massive money printing operation, they have created an enormous price inflation in financial assets.   Every week they pour more newly printed dollars into the hands of financial asset holders, and corporations have joined in the fun by taking advantage of low borrowing rates to buy back record amounts of their own shares.   With both the Fed and publicly-traded corporations taking so many financial assets off the market at the same time investors have new cash to invest, someone has to create some new assets to buy.

Enter:  The $500 million spec home.  I kid you not.

LOL, I am betting the neighbors are not happy

click to enlarge

As an upside, I suppose they are creating a future tourist attraction.  Many of the great Gold Coast and Newport mansions of the late 19th century were too expensive for later generations to operate and ended up in the hands of non-profits and governments.

5 Comments

  1. Mike Powers:

    There are several parks in California which were originally some private rich person's property, which were abandoned and fell into disrepair when they died without heirs; the state took the land back and left the remains of the structures there for people to wander around in.

  2. Dan Farson:

    Gillette Castle State Park, Connecticut is a classic case. http://en.wikipedia.org/wiki/Gillette_Castle_State_Park

  3. frankensteingovernment:

    This coupled with some recent sht artwork sales in the 200m range have me convinced the top is in also.

  4. Bram:

    That looks awful. Like an office building with a bedroom.

  5. markm:

    "An office building with a bedroom" is right. It dwarfs the White House (55,000 square feet).