We're dooooomed.

I was having a conversation/bitch session with a mortgage broker I used to do appraisals for yesterday. He posed a very interesting question: Where will the next wave of buyers come from? Most people who bought a home in the previous 3 years are now backwards in them and it will be a while, 2-4 years, before they are back to breaking even. So, these folks will not be players in any real estate recovery, at least for quite a while.

I wish to hell somebody was looking for a home. Mine's been on the market for about 6 weeks with very little interest. Seems nobody is willing to pay what I paid 3 years ago for it. I wanted to upgrade with a larger piece of land and shop. But I won't go below what I paid for it.

You'd think the mortgage industry and the federal government would have learned their lesson since the housing bubble's collapse. But you'd be wrong.------ Essentially, nothing has changed, except the names of the government-sponsored enterprises.-----



THE KEY ANSWER TO THIS !!!!!!!


WHY THE FARK DID IT HAPPEN!!! WHO CONTROLS ALL OF THESE FACTORS? WHO HASSS THE MONEYYYYY!!!!!!!


nothing's changed except all of the "big guys" assimilating all their competition at bargain prices....then this [censored] TALK ABOUT ONE BANK FOR THE WHOLE WORLD. i will PERSONALLY take up arms against any government who tries to take the right of choice away so blatantly like that. They are getting ballsy now. they see the end. They are buying companies left and right. choice is now something THEY GIVE us to think we have it.

waatch the OBAMA deception.....watch it!!!


come on man...look around....

DaveD,
If you are moving up in the market you are looking at the process in the wrong light. The upper end has, at least here, been hit much harder than the lower end of the market. Unless your market has fallen more then the upper end, then you should come out ahead, especially since your selling and buying costs should have fallen. You may be able to sell your home for 10% less then you paid, but buy for 25% less than when you purchased. Overall, a 15% gain. The lower end is actually getting hit a little harder right now because of the first time homebuyer money available. True, more lower end homes are in foreclosure, but there are very few move up buyers because so many people are upside down. I have seen some fantastic deals on upper end properties. Take a look, compare where you will be today compared to where you will be when the market changes and you probably will see that it is worth doing now.

I put my house on the market as soon as I heard that Wamu was caught paying (read "favoring") appraisers to inflate the price of homes in the hopes of lending more money during lax mortgage regulation. I've watched the value drop about $80-90,000 since then. I just closed yesterday, the house appraised at $25,000 under county assessed value. Homes in my neighborhood are just starting to short sell, some at half of their assessed value, makes it tough on any one who was responsible and played by the tried and trusted rules. I still had equity as I bought very low and never re-financed to purchase a new Audi A-4. I've decided that re-enrolling in college is the best way to sit out the rest of the recession and by the time the market truley recovers, I'll have a master's degree. Taking the money I have now and am going to purchase a large blue-water sailboat, let the world burn down around me, I really don't care, could get to Tahiti on less than $1,000.00. Greed is at the heart of the bubble as it was the last time it happened and the time before that. As a species, I don't think we'll ever learn that lesson. Buy low sell high, power to the people, ah salam alehkem, etc.

There will be another round of bad loans hitting soon...

We've had a condo at Dash Point on the market since January for a very resonable price. However, we've only had two offers- both tried to lowball us over $60K each time.

Fortunately the damn place is paid for, but I am tired of dealing with both renters and now paying through the nose for homeowner association dues and no one living in it. I'll prehaps look at a lease/own option for a very responsible person or couple.

Wow, so much wrong with that math...

The issue here is that consumers just don't have the confidence in the economy to risk making big purchases, like homes. In this economy people are worried about their jobs and our nations financial health, and they worry if they did lose their job - could they get another one.

The problem can't be with a lack of funding for loans, as there are some great loan packages out there right now, and with very low interest rates (like 5.5% fixed). Lots of ways to finance a home, plus there's the $8k new home buyer credit that is still available (providing you can close in a hurry).

The "move-up" buyer is not in the marketplace, either. Once the economy improves, people may feel comfortable enough to sell one home and move up in price/quality of their home. THIS is what makes the real estate market work, IMO.

fishpolelease: Congrats on the sale! I agree though, as 10% under assessment is a big hit. Still, as said there are some superb buys available out there ( including my house), so if you do decide to buy a home there is a LOT to choose from.

http://www.piscatorialpursuits.com/forum/ubbthreads.php/topics/513095/Outstanding_Salmon_hole_on_the

Mike

You will be glad to know that the AG of NY fixed that WAMU problem. WAMU was pressuring an appraisal management company to pressure the appraisers to inflate appraised values. The settlement between the AG of NY and Fannie Mae as the result to the WAMU deal is that Fannie Mae will not accept any mortgages that the lender directly ordered the appraisal from the appraiser. Simply put: Bank pressures appraisal management company to pressure appraiser. The Fix: Make banks order appraisals from management companies who then in turn contact the appraiser. The fix is the same as the problem. Typical.

ISO,
Thanks for the congrats. I wouldn't be in the market right now as I'm looking too forward to "camping" on a sailboat that will take me anywhere, kind of living out a life long dream thing. I've viewed your listing before though, you seem to be right priced with an outstanding view (that's really what sold my home) and hopefully someone will pick it up with the incentives out there right now. It's a tough market though, be prepared to negotiate. I consider myself very fortunate as alot of the neighborhood homes on the market (not including the foreclosures) have been sitting there for awhile. Lots of inventory that needs to go away before the demand returns for better sale prices for homeowners. Our local market picked up a little beginning in May of this year (year to year and month to month), but the recent cascade of foreclosures put a hurt on everyone else and readjusted appraisal values for everyone within a mile.

DBA,
I hear you, it's why I feel the housing market isn't gonna recover as fast as MSNBC says it will. The WAMU deal was just the indicator that the housing bubble existed and that the market would have to correct. A few months earlier and I could have sold at the peak. But oh well, in two summers I'll be sailing transpac for a cheap Hawaii excursion during a summer break in my second youth, things could be a lot worse.

I'm right in the middle of buying my first house and it's been an absolutely hellish ordeal. Not so much from the actual financial hardship or anything(i have 20% down ready to go), but the fact that I've made the huge mistake of going through bank of america for my loan.

Almost every piece of paper they've sent me has arrived at least a week late, and the east coast loan agent they've assigned me won't even talk to me(yes, I do call during "their" business hours, but aside from talking to her once, 2 weeks ago, every time I've called I've gotten her voicemail). I'm supposed to close on this house in a week and I can't even get her to return my calls??? GDTMMM!

You'd think the bastards would want my business, of course they had no problem taking the $400 loan application fee, but other than that, absolute silence in the past 2 weeks. Oh, and they just started charging an $8.95 a month "service charge" because I don't have direct deposit at my new job...which is more than i made in interest last year on that account with $15k in it!

Thats BOA for ya. Their customer service sucks ass.

Don't worry.........this will all change once Obama is out of office.

Or was it that this was all supposed to change when Obama got into office?








Meet the new boss...................same as the old boss.

The guy that bought my place went through BofA, he had his father as a co-signer and still wound up putting down about 40%, that seemed pretty ridiculous when I signed the closing docs. My agent has told me that most banks are regularly missing closing dates, "like they don't even care" is what she said, 3 extensions on one deal (over 4 months to close). The pay-off in the patience game with these guys should be worth it if you feel like you're buying at the bottom. Lots of great buys available if you can get the bank to open the vault.