The old man gets it right, yet again

Remember the dot com bubble? One of the very few to come out of it unscathed was Warren Buffet - because he never got in. He said he never understood the business and so did not invest a cent. He was the lone wise voice then.

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The lone noise that isn’t a wail from amongst all of subprime clamor is from – you guessed it – Buffet's stable again.

“"I don't want to sound holier-than-thou, but it was irritating when there were all kinds of players out there in the market offering all kinds of products that were questionable," says Ron Peltier, CEO of HomeServices of America, the real estate arm of Berkshire Hathaway (BRKA, BRKB) and the nation's second-largest residential brokerage firm.

So what’s keeping Peltier busy now that the market has tanked? Again, no marks for guessing it right. It's Peltier's task to scope out deals with high-quality, but beaten-down, realty firms that might be ripe for acquisition.

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It reinforces my faith in common sense over sophisticated financial modeling anyday.

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