Why there's still a housing crisis in America.

According to an AP news article I read this morning, July home sales in the United States plunged 27% ... the largest monthly drop since 1968 when the National Association of Realtors began keeping records. Although sales have weakened steadily since the Federal tax credit expired on April 30, the key reason why home sales are suffering is that most sellers are reluctant to lower their prices and buyers are holding back because they think home prices haven’t bottomed out.

I know this is true in the Los Angeles area because I did a little online real estate research a few minutes ago and came across a typical, ridiculously overpriced southern California listing ... which is exactly why Sam and I bailed out three years ago and moved to Texas! This 55-year-old house in Torrance is listed for $698,000. It’s got 1,105 square feet of space with three teeny crackerbox bedrooms and a one-car detached garage, a “newer” stove (probably from the Nixon era) and carpets that were cleaned back in 2008. No kidding, the walk-in closet in my master bedroom is bigger than this.

To help you compare the value, here’s a home in suburban Dallas (actually, Sunnyvale) less than a mile from where Sam and I live. It’s three years old, lists for $655,000 ($43,000 less than the house in Torrance), and has 5,785 square feet of space on two acres of land with five bedrooms, five bathrooms, a media room, three fireplaces, a five-car garage, a guest house and a built-in pool, spa, cabanas and outdoor kitchen.

Out of curiosity ... how would YOU rather spend your money?

I should probably add that Sam and I did NOT buy a 5,785 square foot home when we moved to Texas, and we also didn’t spend $655,000 or anything remotely close to that. We didn’t have to, because normal-size houses (even brand new) are amazingly affordable, especially after you relocate from a city like Los Angeles. And I should also tell you that Texas has NO STATE INCOME TAX, just in case you need another incentive to start packing your dishes.

And now I’m waiting for thunderstorms to materialize. The sky is getting darker, the clouds look a little “iffy,” and Weather.com says we’ve got a 60% chance of storms through 10 p.m. tonight. After receiving no measurable precipitation in Mesquite since the first week of August we’re definitely ready for RAIN around here. As a matter of fact, I’m even doing my world-famous Tuesday afternoon rain dance, which involves a Clif bar, some raisins, watching a Spencer Tracy movie and ordering Chinese food for dinner. (Okay, none of this has anything to do with rain. I lied.)

Y’all have a nice day. Thank you.