DON’T BE SHY! SELLER WILL ENTERTAIN OFFERS BETWEEN $319,000 AND $404,000.

[pizzaman]

OK esmith we’ll do it your way. I plugged these numbers into the handy dandy money.com What can I afford? calculator. Income 69,000, Down payment 50,000, Interest rate 6%, Taxes and insurance $4000 and the magic # is $262,000. So there you have it the median home price in Temecula using traditional lending standards should be $262,000 (at 28% DTI) which was roughly where it stood in the middle of 2002.

So next summer when the median hits $260,000 I’m going to buy a house (because renting sucks) and hope that we don’t overshoot and end up with 2001 prices. I feel so much better now that I have a plan.

[Ex-SD]

Pizzaman: Good analysis………..BUT………………………….
There are no guarantees as to how low prices will fall. Personally, I believe that Temecula prices will fall to at least 2001 prices and it’s highly likely that they could drop to 1998 prices. There’s just too much inventory and it’s growing daily. As more ARM’s reset, there’s going to be a lot more inventory.
There will be a severe shortage of qualified buyers and this will put enormous pressure on prices to go further down. There’s also going to be a lot of people out of work due to a worsening recession and this will also drive prices down. Renting for a minimum of at least one, additional year after the median hits $260k may just save you a lot of money. Best of luck to you, whatever you choose to do.

[Ex-SD]

Pizzaman: Good analysis………..BUT………………………….
There are no guarantees as to how low prices will fall. Personally, I believe that Temecula prices will fall to at least 2001 prices and it’s highly likely that they could drop to 1998 prices. There’s just too much inventory and it’s growing daily. As more ARM’s reset, there’s going to be a lot more inventory.
There will be a severe shortage of qualified buyers and this will put enormous pressure on prices to go further down. There’s also going to be a lot of people out of work due to a worsening recession and this will also drive prices down. Renting for a minimum of at least one, additional year after the median hits $260k may just save you a lot of money. Best of luck to you, whatever you choose to do.

[Ex-SD]

Pizzaman: Good analysis………..BUT………………………….
There are no guarantees as to how low prices will fall. Personally, I believe that Temecula prices will fall to at least 2001 prices and it’s highly likely that they could drop to 1998 prices. There’s just too much inventory and it’s growing daily. As more ARM’s reset, there’s going to be a lot more inventory.
There will be a severe shortage of qualified buyers and this will put enormous pressure on prices to go further down. There’s also going to be a lot of people out of work due to a worsening recession and this will also drive prices down. Renting for a minimum of at least one, additional year after the median hits $260k may just save you a lot of money. Best of luck to you, whatever you choose to do.

[Ex-SD]

Pizzaman: Good analysis………..BUT………………………….
There are no guarantees as to how low prices will fall. Personally, I believe that Temecula prices will fall to at least 2001 prices and it’s highly likely that they could drop to 1998 prices. There’s just too much inventory and it’s growing daily. As more ARM’s reset, there’s going to be a lot more inventory.
There will be a severe shortage of qualified buyers and this will put enormous pressure on prices to go further down. There’s also going to be a lot of people out of work due to a worsening recession and this will also drive prices down. Renting for a minimum of at least one, additional year after the median hits $260k may just save you a lot of money. Best of luck to you, whatever you choose to do.

[Ex-SD]

Pizzaman: Good analysis………..BUT………………………….
There are no guarantees as to how low prices will fall. Personally, I believe that Temecula prices will fall to at least 2001 prices and it’s highly likely that they could drop to 1998 prices. There’s just too much inventory and it’s growing daily. As more ARM’s reset, there’s going to be a lot more inventory.
There will be a severe shortage of qualified buyers and this will put enormous pressure on prices to go further down. There’s also going to be a lot of people out of work due to a worsening recession and this will also drive prices down. Renting for a minimum of at least one, additional year after the median hits $260k may just save you a lot of money. Best of luck to you, whatever you choose to do.

[Author]

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