Forbes: Housing Woes Hit High End Too

[LA_Renter]

Oh yea…..the run on the banks thing too!

[SHILOH]

It is a clear fact reiterated ad nauseam that median income should match median home price in affordability across the US. Either 28% of income or 3.5 times income, either way – the current market is not in proportion. SD is no exception and the SD economy will not thrive otherwise. Wages have been stagnant. This is a big gigantic sham and the middle class is being destroyed over it…the backbone of the economy, the middle class, will be broken by the supposed burden of indentured servitude to a mortgage. All sectors of the socioeconomic structure will destabilize if that happens.

[newguy]

If you make 65K a year, and bought a house that’s 250K with 20% down (making it a 200K loan)…and you “can’t afford” it, then you have major problems.

Otherwise, I’m sure 95% of the population can easily manage a 200K, 30 year loan with 65K a year.

I just pointed out some of your quotes to show you how ridiculous you sound. Do you really think anyone can look for a better paying job? I’m sure one person can. But I doubt for all the millions of people who will have to default can’t just easily “make more money”.

[mgubnyc1]

It may be ridcilous but it is true, if you live in San Diego and have a household income of 65K and your a first time buyer you just flat out can’t afford to buy a house.
On the otherhand if you live, let’s say, Fayetteville AR you shouldn’t have a problem buying a home, but you’ll have a problem finding a job there paying 65K. Not fair is it!

[bsrsharma]

mgub: I have a nice place for you: Hamilton County, Indiana. Near Indianapolis. Income = 83K. House price = 215K. You can live debt free very quickly, if you are frugal. In fact, many San Diegans can buy a home there and retire.

http://www.internest.com/city/hamiltoncountyin.asp

[SD Realtor]

mgub I am puzzled where something being “fair” is a pertinent observation.

We are all frustrated and the situation regarding socal real estate is emotional. Yet not everything is fair. I went to a BBQ the other day and had a burger with a big guy that started sandiegojobsummit.com out of his garage. He got bought out by jobbing almost a year ago and he is now buying the home on Barrywood in Scripps that I looked at, loved and could not even come close to affording it.

Fair or not fair, you make what you can. Be prudent, save, work hard, try to be innovative.

One thing for sure, out of all the wealthy people I have met very very few of them did it by working a company job. They did it through their own means, through investments, through being creative and driven. They took chances, some failed only to come back and succeed.

None of them gave up because of the rules of the game.

SD Realtor

[SHILOH]

Boston Now (a tiny free daily) reports that “Mass. foreclosure filings skyrocket” in July – up 67% from the same July 06. 18 months of foreclosures climbing. They got the numbers from “The Warren Group,” a Boston-based real estate data publisher.

[newguy]

Agh. I should have been like JC and exited myself from this thread. It’s obvious mgubync1 has no reading comprehension level whatsoever.

First you said to everyone who’s having mortgage problems…to just “make more money”. While I’m sure a very few portion of the population will get lucky, most people (like hundreds of thousands of people) won’t be able to just magically make an extra 20K every year.

So, like the rational person I am, I pretty much stated that’s the dumbest thing I’ve ever heard.

Then you followed up with “So you think people making 65K should buy houses that’s 250K and 20% down.”

That has nothing to do with what I said previously…but to play along, I commented that it IS possible to live in a 250K house making 65K a year. In fact, you’ll be living a very comfortable lifestyle (does anyone want to object to this?).

Then you follow up with “if you live in San Diego …and make 65K, you just flat out can’t afford a house.”

Okay, where in my last post did I say the house is in San Diego? I just stated that with 65K a year, 250K house with 20% down is reasonable. True, you won’t be able to afford a house in San Diego (because I’m sure it’ll be more than 250K), but who says you can’t live in an apartment?

Anyways, I can’t believe I wasted my time doing this. Like JC, I’m out.

[mgubnyc1]

newguy, I didn’t mean to offend you, I am sorry!

But still come on, a family trying to support even 1 child and a 200K mortgage with even 1 car, with small payments is almost imposible. I know because I was in that situation, it’s not fun and as a matter of fact my mortgage was only 165K, granted it was at 7.25% it was hard and I wouldn’t do it again ESPECIALLY IN A DOWNWARD HOUSING MARKET!!

MGU

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