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Author
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Topic: Home prices
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Leonard
HMFIC
Member # 2
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posted March 14, 2008 07:50 AM
I figure that if I can scrape together enough incentive money, I can unload my house before it goes from zero to some negative number. As Henny Youngman used to say; "Take my house. Please"!
Why should anyone pay me anything when they can have it free if they wait a while longer?
I am telling you, these mortgage brokers and bankers that have caused this mess should serve time; unless there is a way we can hang them by their thumbs? They all got their big commissions.
It's affecting more than $4.00 gas. The equity losses suffered by the average joe are probably in the gazillions?
Good hunting. LB
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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3 Toes
El Guapo
Member # 1327
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posted March 14, 2008 09:20 AM
Not here Leonard. The big oil, gas and coal boom has this place in an uproar. They can't build them fast enough. People living anywhere they can. I couldn't begin to get in at these market levels so I rent.
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Violence may not be the best option....
But it is still an option.
Posts: 1034 | From: out yonder | Registered: Apr 2007
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Leonard
HMFIC
Member # 2
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posted March 14, 2008 09:48 AM
That's the other side of the coin, Cal. They say that the renting market is accelerating through the roof, everywhere?
But still, people are watching their hard earned equity disappear overnight. The people that have manipulated this crisis will gain coming and going. It will trickle down in many ways.
Greedy bastards. LB
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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KevinKKaller
Knows what it's all about
Member # 559
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posted March 14, 2008 02:29 PM
Ya I have lost $100K On my place in AZ so far.
I just hope it comes up soon. YA RITE!
Owning 2 properties is killing me!
Good Hunting Kevin
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Maker of K-Kalls
Posts: 126 | From: Idaho | Registered: Feb 2005
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stevecriner
UNKNOWN-before he was famous?
Member # 892
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posted March 14, 2008 02:45 PM
they have dropped maybe 20% her but most is holding strong. Just isnt anyhting selling nor is any building. Lucky me I get to broke! Cal were do you live. Im intrested to learn of this boom....
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"I love coyotes and put up with dogs....My neighbor has a slew of them."
Posts: 321 | From: missouri | Registered: Jul 2006
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Jrbhunter
PAYS ATTENsION TO deTAIL
Member # 459
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posted March 14, 2008 02:56 PM
New builds are sluggish here... several of the homes being constructed in my area have gone back to the bank before anyone even moved in- leaving the homes on the market at unbeatable prices!
I purchased a home this week that was listed at 6% below fair-market-value. I offered them 10% less than that, they took it. The house was on the market for 11 days. The (very similar) house next door sold six months ago for 5-10% over fair-market prices. It's a buyers market here... sellers are nervous and bankers will stay up until midnight writing a good mortgage.
Land over 10 acres has held it's value very well... and statewide property taxes were cut today! I looked at a few farms before purchasing this home on 2 acres: hard to justify $5,000 an acre for hilly trashwoods.
Posts: 615 | From: Indiana | Registered: Dec 2004
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Cdog911
"There are some ideas so absurd only an intellectual could believe them."--George Orwell.
Member # 7
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posted March 14, 2008 04:03 PM
What I used to call "hilly trash woods" is now "prime Kansas deer hunting acreage, next, on the Outdoor Channel". ![[Mad]](mad.gif)
Lisa and I were lucky to have come into some money a year and a half ago and the first thing we did was paid off the balance of our mortgage. My guess at that time, looking forward, was that all this was coming as the election neared and I wanted to distance myself from one part of the big game, as far as I could. Our house isn't big by any means, but it's in a pretty nice neighborhood and seems to be holding its value so far. I remember there was a time when you could buy a home and never worry about losing your money. They called it a "solid investment". Yeah,... right. Two years ago, the DoD announced they were moving the First Infantry Division back to Fort Riley and everything went absofriggin' nuts. Houses worth maybe 80k were pricing and selling at $120k. Those people turned around and gave up all that equity and overpaid at least as much on a $175k+ house, leaving them, net, even further in debt than they were before. The realtors made a killing in commission, and all the locals that were smart and happy staying right where they were got bent over big time when appraisal notices came out. One elderly woman about collapsed on her porch when I handed her hers, and she opened it while I stood there. She'd made no improvements on her home in ten years and her value went up 82% overnight. The really sad thing, to me, was that the entire ordeal was just a way to profit off servicemen and women that were moving back to Fort Riley. Congress has finally started paying them a livable wage, and the profiteers just rob them blind on homes in decent towns away from the military stuff common around the fort. On top of that, it turns out that the troop rotations are so rapidly turning over that the net change in population is a fraction of what they said it would be and the city right next to the Fort has over 14 million dollars in infrastructure improvements that they didn't and won't need now, and the city is at risk of going bankrupt because of empty promises from the federal government.
Just on my route, and in my neighborhood, I know at least a dozen different new homeowners that found themselves upside down in their mortgages within three months of buying their homes. Most are military and more than half have their houses on the market because they've been transferred to another post or their spouses are deployed and they're moving closer to relatives. It really is a major mess, and they still have to contend with the same issues as everyone else, as far as the mortgage crisis goes.
There is no winning this for anyone. It's going to cost a mint over the next few months, and I only hope it all settles down after whoever gets elected President gets into office. One of my advisors called me a while back and suggested that I reinvest a sizable portion of my portfolio in international funds to counter the falling dollar. Man, I need to pay that guy more.
Sadly and scary both, if it's a Democrat that wins, plan on just endorsing that rebate check back over to them because they just passed a bill yesterday that kills a couple Bush tax breaks and the result will be that your tax increase will be the amount of that check and then some. It was good while it lasted.
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I am only one. But still, I am one. I cannot do everything, but still, I can do something; and, because I cannot do everything, I will not refuse to do something that I can do.
Posts: 5438 | From: The gun-lovin', gun-friendly wild, wild west | Registered: Jan 2003
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TA17Rem
Hello, I'm the legendary Tim Anderson, Field Marshall, Southern Minneesota Sector
Member # 794
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posted March 14, 2008 08:04 PM
The price of land has sky-rocketed here, a acre of land goes for around 18,000 and since the price of grain is up the rent for farm land or sales is going up as well. Had a company spring meeting last week and we are booked up for jobs like we where a few years ago and many more big jobs are being let. Houseing developement, new stores, ethonal plants, RXR is also exspanding, installing more side tracks and such...
Lance i got a package in the mail for the big rebate from what i made out if you paid in more than or made more than 3000.00 last year they are going to give you some free money as well. "Congradulations" ![[Razz]](tongue.gif)
[ March 14, 2008, 08:09 PM: Message edited by: TA17Rem ]
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What if I told you, the left wing and right wing both belong to same bird!
Posts: 5063 | From: S.D. | Registered: Jan 2006
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JD
HONORARY OKIE .... and Tim's at fault!
Member # 768
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posted March 14, 2008 08:14 PM
Not to be harsh but I`ve been scraping together a living in construction & real property here in the heartland for long enough that I just don`t give 2 shits about the left, right or lower coasts & all there financial woes, I`ve made fortunes in this business & I`ve lost fortunes & so it goes for everyone in this world. The banks are to blame but lets not all go liberal here, it doesn`t take a gawddamned genius to know that when that "interest only" loan for $500,000 comes due in 3 to 5 years that YOU as a homeowner are going to have to make the payments....the WHOLE payment not the 800 a month that you`ve been paying......it`s not rocket science.
What is really unfortunate is that the majority of us HAVE a friggin brain but yet we will pay for this mess.
I say the banks are to blame but so are the folks who signed there name, I understand investment property & you damn sure shouldn`t invest what you can`t afford to lose & if it sounds to good to be true....it is!!!
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Jason
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What do Obama & TA17Rem have in common........both are clueless asshats!!!
Posts: 1456 | From: NE. | Registered: Dec 2005
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TA17Rem
Hello, I'm the legendary Tim Anderson, Field Marshall, Southern Minneesota Sector
Member # 794
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posted March 14, 2008 08:31 PM
Oh boy thats alot of RED...
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What if I told you, the left wing and right wing both belong to same bird!
Posts: 5063 | From: S.D. | Registered: Jan 2006
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Leonard
HMFIC
Member # 2
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posted March 14, 2008 08:52 PM
Interesting graphic, JD. I don't see any BLUE in California?
I agree that the dumb asses that signed up for these mortgages are culpable and I do not see why the government or the bankers should bail them out.
What's unfortunate is that those sorry bastards have dragged down a lot of innocent people along with them, and nobody is talking about throwing them (responsible people) a lifesaver.
I still say, when those slick salesmen push a loan based on "stated income" and there apparently(?) are no checks and balances. At one time, you had to qualify for a home purchase and include a reasonable down payment. These custom interest only loans followed by more bullshit paper didn't originate with the borrower.
Make no mistake, the buyer is responsible, as far as I'm concerned, but guess what? I bet they walk away and get away with it after causing what looks like a recession trend?
It's the irresponsible loan officers that should be taking the heat for this mess, and yeah, the people that bit off more than they could chew are not absolved, but I bet when it all shakes out, none of them will pay. I will pay. I don't even want to mention how much the value of my home has depreciated. If I put my house on the market, and there are a couple repos in the neighborhood, guess what? I either conform with what the banks want for those houses, or I don't sell because the buyers are looking for a steal.
Fortunately I don't have to sell, and I sure as hell ain't giving it away. Unfortunately, AZ is not looking to be in my immediate future.
But, what about those people that are relocating, or involved in a divorce, or an estate sale? That's what I'm talking about. These people are being squeezed. Unfortunate.
Again, it's the mortgage banking industry that I blame for this mess. They SHOULD HAVE SAID NO! Somebody has to tell these idiots they can't afford what they want, and they didn't.
Good hunting. LB
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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JoeF
resides "back east"
Member # 228
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posted March 15, 2008 03:35 AM
LB, I'd sell your house ASAP and rat-hole the money in some conservative investment for about a year. There ought to be some great buys to be had about then.....
Interesting map above - is it just a coincidence, just me, or does anyone else notice that the counties coded in red also traditionally vote Democrat in presidential elections....
Dumb asses!
I think this housing thing is going to get way worse than most are saying. People are way overdoing it when it comes to single family homes. Most are about twice the size that one could get by with.
Posts: 646 | From: Midwest | Registered: Aug 2003
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Cdog911
"There are some ideas so absurd only an intellectual could believe them."--George Orwell.
Member # 7
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posted March 15, 2008 03:39 AM
I agree with all that has been stated on borrower/ buyer culpabability, and add that even if things are good where you live, you're still in the mix. That is, if you have any investments. Most of my retirement is based upon the institutions that have gotten us where we are, and they're bleeding assets daily. I'm all for letting them go down, and hoping they learn the lesson. The government (us) cannot afford to bail this one out right now.
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I am only one. But still, I am one. I cannot do everything, but still, I can do something; and, because I cannot do everything, I will not refuse to do something that I can do.
Posts: 5438 | From: The gun-lovin', gun-friendly wild, wild west | Registered: Jan 2003
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browning204
Knows what it's all about
Member # 821
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posted March 15, 2008 05:15 AM
I just signed papers on a new home a couple days ago. It was a forecloser as was most the houses I looked at. I didn;t know they where until the realtor showed them to us.
So we decided on the house in the town with the better school systems, the high school is really a prep school in sorts.
anyway, the asking prise was $199,000 I got it for $171,000. When we pulled all the paperwork for it we found out that the bank owned it for $350,000 and it appraised for $240,000.
just a half acre of land but next to a lake. Its nice.
Posts: 167 | From: New Hampshire | Registered: Mar 2006
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browning204
Knows what it's all about
Member # 821
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posted March 15, 2008 05:23 AM
oh ya, Good for me or anyone else that has the chance to buy in this market. And I agree that alot of this mess is because of people living outside of their means. But alot of it is not their faults, companies closing, gas prices, death of head of household, whatever. But the truth is, it is sad. I have a 18 month old girl and a 7 week old boy. I can't even think of having to go home and look at my little girl and saying "we have to move away from our home and we can't come back" or "we have to give away the doggy so we can rent" or "we can't bring all your toys because they don't fit in the smaller place"
All these people losing houses is bad news.
Posts: 167 | From: New Hampshire | Registered: Mar 2006
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Leonard
HMFIC
Member # 2
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posted March 15, 2008 08:46 AM
Yeah, good advice, Joe. Sell and move in with my daughter, Marin Hot Tubbers. I'd be a square peg in a round hole. Too much red in the Sun Belt. It's the Liberal's fault! Maybe I should go back to my roots, Minn e so ta ? Ice fishing, mosquitoes, knotty pine; Anderson's and Olson's under every rock?
Good hunting. LB
I already have a radio....
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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Leonard
HMFIC
Member # 2
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posted March 15, 2008 08:49 AM
And, that's another thing, Browning. The House flipping sharks that started this shit are now friggin' vultures, looking to buy up property for ten cents on the dollar.
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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Az-Hunter
Hi, I'm Vic WELCOME TO THE U.S. Free baloney sandwiches here
Member # 17
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posted March 15, 2008 10:02 AM
Leonard....I'll bet you 20 dollars, it's a high percentage of the "house flippers", that got caught with their pants down, compared ot folks getting a divorce or relocating. I think the only mortgages available in the future should be fixed, 10-15- or 30 year jobs, screw all the no interest deals, they were designed for speculators, nothing more. If I were king, I wouldn't do a damned thing for the housing market, other that let it ride itself out. If you got yourself in a fix, more than likely it was becasue the buyer was intending to make a fast buck....to bad.
Posts: 1627 | From: 5 miles west of Tim | Registered: Jan 2003
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JD
HONORARY OKIE .... and Tim's at fault!
Member # 768
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posted March 15, 2008 10:14 AM
Now, now, house flippers didn`t start or proliferate any of this. You`ve watched too many episodes of "flip that house" where a couple illiterate idiots drive around in BMWs & put on a show for the camera. "Flipping" is just the latest buzzword to help hollywood sell their latest version of entertainment, which sucks if you have any grasp on reality.
Investment property isn`t something new, it`s been around since the first caveman realized that he could trade a decent cave for a stack of T-Rex steaks & a pile of furs.
It`s no different than any other source of income based in a capitalistic society, the market will sustain a certain trade price & ambitious folks find a way to buy low & sell high, which is the reason that every single person reading this can afford to buy groceries this week. Your bosses create a product from lesser valued items & sell for a profit....NO??
Flippers do nothing more than take a piece of shit & fix it up, whether it be a little or a lot, & then sell it for whatever price the market will bear. They didn`t create the market, they only took advantage of it much the same way as any other business or company that turns a profit. I`m sure that thousands of wanna-be investors are currently losing everything they ever owned due to lack of foresight....& so it goes.
Your right Leonard, there are a lot of innocent victims in this mess, I personally know a few people who will never recover from this mess in their lifetime, I myself just managed to finally sell a couple pieces of prime real estate that I owned as an investment, I feel as though I`ve been blessed by God himself in that I didn`t get stuck paying for them for the next 10 years. Some aren`t so fortunate & I`m with you 100% in that I`d like to see some bankers drawn & quartered in the village square each evening at dusk while the idiots who bought into these loans are forced to watch the fate that they will narrowly escape. But in the end it will be the truly innocent who will pay this debt.
BTW.....Real property has historically ALWAYS shown a long term increase, this situation doesn`t change anything in that respect. Think LONG!! (that`s what I always tell my wife) ![[Smile]](smile.gif)
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Jason
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What do Obama & TA17Rem have in common........both are clueless asshats!!!
Posts: 1456 | From: NE. | Registered: Dec 2005
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JD
HONORARY OKIE .... and Tim's at fault!
Member # 768
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posted March 15, 2008 10:20 AM
Vic, I totally agree, business is business & if it fails that`s too bad. I`ve never had any thought in my mind over the years that if my business deals went south anyone would come to bail me out.
I guess maybe we should look into becoming liberals, it must be comforting to know that you can blast through life without fear of consequence.
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Jason
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What do Obama & TA17Rem have in common........both are clueless asshats!!!
Posts: 1456 | From: NE. | Registered: Dec 2005
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Leonard
HMFIC
Member # 2
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posted March 15, 2008 10:30 AM
Maybe not in NE, JD. But in Kalifornia, there was a lot of amateur house flipping, make no mistake, and if they didn't "cause" the problem, they sure as hell were throwing gasoline on the fire.
And AZ. Thanks, but don't be too concerned about my situation. I may have lost quite a bit on paper, but I don't have a house payment, either.
Good hunting. LB
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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Locohead
World Famous Smoke Dancer
Member # 15
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posted March 15, 2008 03:37 PM
I make my living in the construction industry. If 500,000 building permits was a yearly average a few years ago then today there are only 200,000 new starts in CO.(I pulled those numbers out of my you know what just to make a point) You have to work harder at getting the work but its out there. I only need to paint 20 or 30 of those new houses to make a living. Prices for production are going way way down. I am constantly being under bid latley. I've lost builders I've had for many years to cheaper bids. Not just a little cheaper but up to 30% - 40% cheaper.
This year I have more work than ever. My advise for any of you guys in construction is to take digital pictures of some of your nicer high-end homes and make a little brochure. Solicit the $1,000,000 - $10,000,000 home builders.
In my experience, here in Denver, the super wealthy people are still spending lots of money in this BAD market just as much as any other market. The many many affordable new homes are just sitting for up to a year or more for many ofg them.
The builders I am working for today are very busy building super monster houses for their clients. And they pay a nice premium for good quality. THIS is the market YOU want to be in. In the meantime, there are jillions of new homes just sitting, builders can't even sell them at a loss.
I suppose the super wealthy folks prefer the bad markets and recessions because everything is cheap and they have money to spend!
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I love my critters and chick!!!! :)
Posts: 2219 | From: CO | Registered: Jan 2003
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Leonard
HMFIC
Member # 2
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posted March 15, 2008 03:55 PM
Yes, of course, Danny. But, Hillary and Pelosi are going to see to it that we little people survive by taxing those rich sob's.
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EL BEE Knows It All and Done It All.
Don't piss me off!
Posts: 31450 | From: Upland, CA | Registered: Jan 2003
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Locohead
World Famous Smoke Dancer
Member # 15
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posted March 15, 2008 04:03 PM
LOL I doubt it will work though; the wealthy always seem to find a way to weasel out of paying. (Am I stating the obvious? Maybe you were being facishous,(sp.) but I missed the fascisous smiley.
I read once, if you own your own business and you want to prosper, make the wealthy your customers.
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I love my critters and chick!!!! :)
Posts: 2219 | From: CO | Registered: Jan 2003
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Az-Hunter
Hi, I'm Vic WELCOME TO THE U.S. Free baloney sandwiches here
Member # 17
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posted March 15, 2008 08:51 PM
Worry not Leonard, your paper loss is just that. Your investment still has intrinsic value,and given a couple years, I imagine it will soar again. The upshot is, shouldn't your property taxes reflect the loss in value? If not, I'd be down at the county courthouse with a protest in hand?
Posts: 1627 | From: 5 miles west of Tim | Registered: Jan 2003
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