Forbes: Housing Woes Hit High End Too

[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

[cashman]

mgub, I have to disagree with you here. In the last housing downturn of the 90’s, I saw premium properties in Balboa Island (part of Newport Beach) sell for 50 percent off their peak prices of 1989-1990. I was amazed. I’m sure it can, and will happen again.

[cashman]

mgub, I have to disagree with you here. In the last housing downturn of the 90’s, I saw premium properties in Balboa Island (part of Newport Beach) sell for 50 percent off their peak prices of 1989-1990. I was amazed. I’m sure it can, and will happen again.

[cashman]

mgub, I have to disagree with you here. In the last housing downturn of the 90’s, I saw premium properties in Balboa Island (part of Newport Beach) sell for 50 percent off their peak prices of 1989-1990. I was amazed. I’m sure it can, and will happen again.

[mgubnyc1]

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

Well stan if the banking industry was more responsible and more importantly ACCOUNTABLE when intrest rates were low I think you could have, I don’t think the prices would have jumped as fast.

JC, maybe you should look into a better paying job? I agree homes are a little expensive, but why should good people lose value in their homes so you could afford to live there?
why should the honest hardworking family guy lose 100K??
Those mortgage companies that allowed people to overpay and cash out at escrow with 100K and a neg am intrest only loan someone should have to pay that honest hardworking family guy that overpaid for the house next door because of it!! I also think realators ond their brokers should also have some accountabiliy, they all knew what was going on!

[mgubnyc1]

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

Well stan if the banking industry was more responsible and more importantly ACCOUNTABLE when intrest rates were low I think you could have, I don’t think the prices would have jumped as fast.

JC, maybe you should look into a better paying job? I agree homes are a little expensive, but why should good people lose value in their homes so you could afford to live there?
why should the honest hardworking family guy lose 100K??
Those mortgage companies that allowed people to overpay and cash out at escrow with 100K and a neg am intrest only loan someone should have to pay that honest hardworking family guy that overpaid for the house next door because of it!! I also think realators ond their brokers should also have some accountabiliy, they all knew what was going on!

[mgubnyc1]

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

Well stan if the banking industry was more responsible and more importantly ACCOUNTABLE when intrest rates were low I think you could have, I don’t think the prices would have jumped as fast.

JC, maybe you should look into a better paying job? I agree homes are a little expensive, but why should good people lose value in their homes so you could afford to live there?
why should the honest hardworking family guy lose 100K??
Those mortgage companies that allowed people to overpay and cash out at escrow with 100K and a neg am intrest only loan someone should have to pay that honest hardworking family guy that overpaid for the house next door because of it!! I also think realators ond their brokers should also have some accountabiliy, they all knew what was going on!

[Arraya]

why should the honest hardworking family guy lose 100K??

Are you kidding with that… Because it should not be worth that in the 1st place. You talk of the unreasonable equity gains like they were worked for.

You are arguing two sides of the issue at the same time.

Conceding what caused the over inflated prices yet not willing to give it up…

That’s funny.

[Arraya]

why should the honest hardworking family guy lose 100K??

Are you kidding with that… Because it should not be worth that in the 1st place. You talk of the unreasonable equity gains like they were worked for.

You are arguing two sides of the issue at the same time.

Conceding what caused the over inflated prices yet not willing to give it up…

That’s funny.

[Arraya]

why should the honest hardworking family guy lose 100K??

Are you kidding with that… Because it should not be worth that in the 1st place. You talk of the unreasonable equity gains like they were worked for.

You are arguing two sides of the issue at the same time.

Conceding what caused the over inflated prices yet not willing to give it up…

That’s funny.

[mgubnyc1]

I saw premium properties in Balboa Island (part of Newport Beach) sell for 50 percent off their peak prices of 1989-1990. I was amazed. I’m sure it can, and will happen again.

Cashman, who is this good for? what if they fall 80% would that make it an even better deal for you?

how about all the other prime real-estate around the country, what if they also fall 50%, then intrest rates drop to 0% and still no one is buying, then investors all over the world take thier money out of the country and were fall into one of the worst depressions ever, would you like that to? becareful what you wish for!

[mgubnyc1]

I saw premium properties in Balboa Island (part of Newport Beach) sell for 50 percent off their peak prices of 1989-1990. I was amazed. I’m sure it can, and will happen again.

Cashman, who is this good for? what if they fall 80% would that make it an even better deal for you?

how about all the other prime real-estate around the country, what if they also fall 50%, then intrest rates drop to 0% and still no one is buying, then investors all over the world take thier money out of the country and were fall into one of the worst depressions ever, would you like that to? becareful what you wish for!

[mgubnyc1]

I saw premium properties in Balboa Island (part of Newport Beach) sell for 50 percent off their peak prices of 1989-1990. I was amazed. I’m sure it can, and will happen again.

Cashman, who is this good for? what if they fall 80% would that make it an even better deal for you?

how about all the other prime real-estate around the country, what if they also fall 50%, then intrest rates drop to 0% and still no one is buying, then investors all over the world take thier money out of the country and were fall into one of the worst depressions ever, would you like that to? becareful what you wish for!

[JC]

A “little” expensive?? 🙂

Let’s do a quick reality check. If you want to buy a 250k home (good luck finding a decent condo for that price), you probably need to make > 80k in income and put 50k down.

Average income in these parts = roughly 65k and from what I read the savings rate is pretty poor.

I really do have a lot of sympathy for the average working guy (or girl) who may have been misled by unscrupulous brokers.

I actually experienced some pretty crappy behavior when I first went to get a loan a few years ago. I was approved for a large amount; however, it did occur to me that I would have to pay all of that back. Also, it really wasn’t that hard to do some quick calculations to see how much the loan would cost me.

So, I wonder if the accountability should not be shared? It seems that brokers, realtors, regular homebuyers and speculators all played a role in this?

P.S. I do fine income wise, but thanks for thinking of me. 😉

[JC]

A “little” expensive?? 🙂

Let’s do a quick reality check. If you want to buy a 250k home (good luck finding a decent condo for that price), you probably need to make > 80k in income and put 50k down.

Average income in these parts = roughly 65k and from what I read the savings rate is pretty poor.

I really do have a lot of sympathy for the average working guy (or girl) who may have been misled by unscrupulous brokers.

I actually experienced some pretty crappy behavior when I first went to get a loan a few years ago. I was approved for a large amount; however, it did occur to me that I would have to pay all of that back. Also, it really wasn’t that hard to do some quick calculations to see how much the loan would cost me.

So, I wonder if the accountability should not be shared? It seems that brokers, realtors, regular homebuyers and speculators all played a role in this?

P.S. I do fine income wise, but thanks for thinking of me. 😉

[Author]

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