Southwest Airlines Spirit Magazine Sells Out!

Southwest Airlines in-flight magazine, Spirit, is your typical in-flight magazine.  Letter from the Editor?  Check.  Crossword Puzzle?  Check.  List of beverages?  Check.  Slimy Advertising disguised as a legitimate article?  Check.  Wait a minute.  What was that last one?

That's right.  Southwest has completely sold out.  So, I find this article about real estate in the Spirit magazine.  It looks a lot more interesting that whether or not you should see Luke or Owen Wilson's movie coming out soon (if you are going to see either, see Owen's).

The article begins with this...

"It's been a wild ride!

For the past two years or so, real estate in various parts of the country - mostly on the coasts and in resort areas - have been selling at ever-soaring prices.  Homeowners who bought when the market was normal were finding they could sell for a tidy profit.  Confident investors were buying and selling multiple properties on a weekly basis and watching their ROI rise.

Is the party over?  Not completely, according to the National Association of Realtors(r) (NAR).  Recent studies indicate that while home sales should generally level out, they will remain at historically high levels."

My commentary:  Yes, it has been a wild ride.  I have yet to go on a roller coaster that just goes up, and stays there.

For the past two years?  That's funny, but everywhere I look prices increased substantially from 2000 to 2005.  Most numbers show median prices peaking sometime around mid to late 2005, and so far flattening out, or in some areas (like the ones she mentions), coming down from peak levels.

I am amused by her tossing in the term ROI without defining what it means.  This is not an investment, finance or real estate publication.  It is the Southwest Airlines in-flight magazine.  Seems to me an attempt to sound sophisticated.

And is the party over?  Well, everyone has their opinion.  I believe the party is over, but who cares what I think.  I'm just one guy.  She goes on to cite studies by the NAR, noting that prices will remain at historically high levels.  Maybe in some markets, but others will experience decline.  Gee, does the NAR have any self interest whatsoever in keeping optimism about real estate high?

Another fantastic choice of words:  "Housing inventories have been improving..."  Improving?  Is that a great euphemism for sky-rocketing, or what?

The article continues for 22 pages!  The font, the spacing, everything about it looks like a regular article.  It explains in detail all the wonderful places that you could buy new property, specifically luxury and senior living condos.  They specifically mention development in Las Vegas, Florida, New York, Vegas some more, and Texas.  Other than Texas, these are all areas that have had outrageous appreciation, and appear to be at higher than average risk for cooling.

The developers of specific properties in all of these areas are mentioned by name, of course.  Oh, not only by name, but get a load of these descriptions: 

• "The W Hotel brand is synonymous with sophistication, and the W Las Vegas is a true showplace." 
• "Rising like a jewel on the Las Vegas skyline is the Platinum Hotel and Spa." 
• "The island (South Padre) is getting a dose of resort-style living with two recent developments from condo/loft wunderkind Randall Davis."

I had a hard time reading the article without reaching for the bags they so conveniently offer along side the in-flight magazine.  Of course, web sites are all provided in case you happen to be interested in owning a place in one of these choice developments.

So, I'm thinking, "this is a terrible article.  It's like the author was paid off or something."  Then I look back at the top of the page and see in font smaller and thinner than any other print, anywhere in the magazine, "special advertising section"

Go figure.

Comments

[frankyj]

I hate those types of ads. They're in all kinds of magazines nowadays. They usually have "Special Advertising Section" at the top or bottom, but it's sneaky. Especially, as you noted, that "The font, the spacing, everything about it looks like a regular article". Sneaky, sneaky, sneaky.