Forbes: Housing Woes Hit High End Too

[JC]

Here is a recent Forbes article that may be of interest:

http://money.cnn.com/2007/08/19/real_estate/mortgage_luxury.fortune/index.htm

[JC]

Sorry for multiple posts, but the blog attached to this article is quite good too. http://talkback.blogs.fortune.com/2007/08/20/housing-markdown/

Similar thinking as presented on this thread but from all over the country…

[JC]

Sorry for multiple posts, but the blog attached to this article is quite good too. http://talkback.blogs.fortune.com/2007/08/20/housing-markdown/

Similar thinking as presented on this thread but from all over the country…

[JC]

Sorry for multiple posts, but the blog attached to this article is quite good too. http://talkback.blogs.fortune.com/2007/08/20/housing-markdown/

Similar thinking as presented on this thread but from all over the country…

[mgubnyc1]

one thing I don’t understand about Piggington’s why is it everyone loves bad news? Is it because your all waiting to pick a deal on a house somewhere west of the 5 at 1989 prices? is that the only reason you want the prices to fall further, because if it is you guy’s are all crazy, homes west of the 5 will not tumble like the Inland Empire or Las Vegas, keep on dreaming? that 2.5 million home may fall to 1.8 or 1.9 but if you can’t afford the 2.5 you probably can’t afford 1.9 even if it does fall that low. I agree all of those inland empire homes etc… are way overpriced but that does not mean all the real-estate in the USA is overpriced and should fall. IMO the only reason things got so out of control is because of all the fraud, and the exotic mortgages and intrest only loans these companies were giving to anyone with a pulse! It was not because the rates were low. If the mortgage industry loaned money responsibly we wouldn’t be in this situation no mater how low intrest rates fell. CW they shouldn’t get bailed out, this is only adding fuel to the fire.
The dam mortgage companies are still financing 100% LTV, intrest only etc… as long as it is conforming that is.
I don’t know what the answer is but having our prime real-estate in the USA lose value is not the answer or good for anyone.

[mgubnyc1]

one thing I don’t understand about Piggington’s why is it everyone loves bad news? Is it because your all waiting to pick a deal on a house somewhere west of the 5 at 1989 prices? is that the only reason you want the prices to fall further, because if it is you guy’s are all crazy, homes west of the 5 will not tumble like the Inland Empire or Las Vegas, keep on dreaming? that 2.5 million home may fall to 1.8 or 1.9 but if you can’t afford the 2.5 you probably can’t afford 1.9 even if it does fall that low. I agree all of those inland empire homes etc… are way overpriced but that does not mean all the real-estate in the USA is overpriced and should fall. IMO the only reason things got so out of control is because of all the fraud, and the exotic mortgages and intrest only loans these companies were giving to anyone with a pulse! It was not because the rates were low. If the mortgage industry loaned money responsibly we wouldn’t be in this situation no mater how low intrest rates fell. CW they shouldn’t get bailed out, this is only adding fuel to the fire.
The dam mortgage companies are still financing 100% LTV, intrest only etc… as long as it is conforming that is.
I don’t know what the answer is but having our prime real-estate in the USA lose value is not the answer or good for anyone.

[mgubnyc1]

one thing I don’t understand about Piggington’s why is it everyone loves bad news? Is it because your all waiting to pick a deal on a house somewhere west of the 5 at 1989 prices? is that the only reason you want the prices to fall further, because if it is you guy’s are all crazy, homes west of the 5 will not tumble like the Inland Empire or Las Vegas, keep on dreaming? that 2.5 million home may fall to 1.8 or 1.9 but if you can’t afford the 2.5 you probably can’t afford 1.9 even if it does fall that low. I agree all of those inland empire homes etc… are way overpriced but that does not mean all the real-estate in the USA is overpriced and should fall. IMO the only reason things got so out of control is because of all the fraud, and the exotic mortgages and intrest only loans these companies were giving to anyone with a pulse! It was not because the rates were low. If the mortgage industry loaned money responsibly we wouldn’t be in this situation no mater how low intrest rates fell. CW they shouldn’t get bailed out, this is only adding fuel to the fire.
The dam mortgage companies are still financing 100% LTV, intrest only etc… as long as it is conforming that is.
I don’t know what the answer is but having our prime real-estate in the USA lose value is not the answer or good for anyone.

[JC]

I can only speak for myself here. I don’t love bad news. I hate that lots of people are losing their homes. I also hate that even basic homes are “unaffordable” for those with average incomes and good savings habits.

I find any articles that focus on data relating to the housing market to be of interest because it helps me to plan for buying a home when it is responsible for me to do so.

I am not a speculator or an extreme bargain hunter. I am just someone who wants to own a home at some point. (And I am pretty motivated as I own a dog and the rentals available me are pretty undesireable). Seriously, you should see where I live…

Of course, I think you are just looking to inflame this communuity, so you will probably be pretty unimpressed with my response.

[JC]

I can only speak for myself here. I don’t love bad news. I hate that lots of people are losing their homes. I also hate that even basic homes are “unaffordable” for those with average incomes and good savings habits.

I find any articles that focus on data relating to the housing market to be of interest because it helps me to plan for buying a home when it is responsible for me to do so.

I am not a speculator or an extreme bargain hunter. I am just someone who wants to own a home at some point. (And I am pretty motivated as I own a dog and the rentals available me are pretty undesireable). Seriously, you should see where I live…

Of course, I think you are just looking to inflame this communuity, so you will probably be pretty unimpressed with my response.

[JC]

I can only speak for myself here. I don’t love bad news. I hate that lots of people are losing their homes. I also hate that even basic homes are “unaffordable” for those with average incomes and good savings habits.

I find any articles that focus on data relating to the housing market to be of interest because it helps me to plan for buying a home when it is responsible for me to do so.

I am not a speculator or an extreme bargain hunter. I am just someone who wants to own a home at some point. (And I am pretty motivated as I own a dog and the rentals available me are pretty undesireable). Seriously, you should see where I live…

Of course, I think you are just looking to inflame this communuity, so you will probably be pretty unimpressed with my response.

[Alex_angel]

mgub. I applaud you for your honesty and for a well written post. I agree with you. I just don’t see areas where a base price is set like Derby Hill all of a sudden dipping from 1.3 milion to 800k. I can see areas like Rancho PQ where homes went from $400k to $800k dipping down, but that’s because there’s wiggle room.

[Alex_angel]

mgub. I applaud you for your honesty and for a well written post. I agree with you. I just don’t see areas where a base price is set like Derby Hill all of a sudden dipping from 1.3 milion to 800k. I can see areas like Rancho PQ where homes went from $400k to $800k dipping down, but that’s because there’s wiggle room.

[Alex_angel]

mgub. I applaud you for your honesty and for a well written post. I agree with you. I just don’t see areas where a base price is set like Derby Hill all of a sudden dipping from 1.3 milion to 800k. I can see areas like Rancho PQ where homes went from $400k to $800k dipping down, but that’s because there’s wiggle room.

[stansd]

I graduated top 10% of my class from arguably the best MBA program in the country. I decided not to pursue investment banking or consulting so that I could spend time with my family and watch my daughter grow up.

I’d like to be able to afford a house 10 miles East of the 5. Currently I cannot because I’m not willing to lever my personal balance sheet to ridiculous levels.

Stan

[stansd]

I graduated top 10% of my class from arguably the best MBA program in the country. I decided not to pursue investment banking or consulting so that I could spend time with my family and watch my daughter grow up.

I’d like to be able to afford a house 10 miles East of the 5. Currently I cannot because I’m not willing to lever my personal balance sheet to ridiculous levels.

Stan

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