RAY,
FHA is a minor PITA. CHFA is a major PITA.
Program sounds good to some, but a real hassle to deal with and most lenders dont want to deal with the govt red tape.
JP…
Cheaper homes are selling because in general people with less money are more foolish than people with more money.
Obviously it is easier to qualify for lower amount loans than higher amount loans.
There are ONLY multiple offers on homes that appear to be underpriced (this week)
There are not multiple offers on most listings.
The verbal blather about days on market is simply idiotic. If a house is priced right it will get offers within days, sometimes hours or minutes.
If the price is stupid(as most are) it won’t get an offer for weeks, months or maybe years while some sellers chase the market down, spending thousands a month in carry costs, because they refuse to “lose money”
I have never seen so many intelligent people being dragged into making foolish decisions based on emotion. It’s nothing more than a tri-fecta of the greater fool theory, a Ponzi scheme and government intervention all intersecting. Time will tell who is right.
The reality is that the housing market has collapsed only to be offset by the govt intervention to create the illusion that the market is stable through various financing schemes combined with consumer’s desire to feel entitled to something that they cannot afford which will utlimately balance out the collapse someday in the future.
Until then it’s a game of musical chairs of people buying and selling, most with no understanding of what they are really doing.
It’s exactly like the stock market. People involved with substantial amounts of money that are really clueless about what they are doing, but following the herd and doing it anyway.
With FHA income IS verified and the no appraisals are on refi’s only on certain loans. This is solely being done so nobody has to admit the loss, just pretend like all is well. (Mark to market would recognize the collapse immediately) HLS
