Or maybe, just maybe, Powayseller is wondering if by paying 8% in closing costs to sell their home, plus moving expenses twice, (at least twice – maybe more), plus the hassles of moving, and the loss of a tax advantage, that maybe they would have been better off by staying in their house, and continuing to pay down priciple on their loan, unless prices drop by a total of more than 12-15%, which may or may not happen. Also, resale prices on SFRs in Poway have not dropped by much at all up to this point.
Powayseller, I hope that things do work out for you – I think you will be able to tell when the market has bottomed out, whenever that is. But no one knows for sure how far prices will drop. There are too many variables, (strength or weakness of the national and local ecomomy, wars, long-term interest rates, inflation, etc.) But it could be a lot less than you predict.
We have indeed lost equity in our house in the last year, but I don’t care, because we’re not moving. I did cash out of two investment properties in the last two years, and paid the capital gains tax. If prices do drop by more than I think, it’s OK, because I have two daughters in their early to mid-20’s who may want to buy in the next three years or so – so it would be better for them.
sdrealtor – I wonder if you are talking crap about the market to your clients who are interested in buying. Let me guess – probably not. How can you let anyone buy if the future looks so bleak?