Friend wants to buy and I can’t talk him out of it – Wants to live closer to DT, but north of 805 Merge

[EconProf]

Have him list and total the monthly costs of owning the proposed property.
Add to the list 1% of the purchase price.
That is (conservatively) the fall in value of the property each month he owns it at current rates.
If he challenges that figure, tell him the rate has accelerated in recent months.

[urbanrealtor]

I don’t really see the 1% as a sustainable number anymore than the the other way around a few years ago.

Market timing sure worked well for many in Temecula 4 years ago.

Bottom line: if you can buy what you like for about what you would pay in rent (which is a very real situation in much of the county), then its not a bad idea.

If you are over extending, then wait to see if it comes down or reconsider your priorities.

To quote our brilliant president, this is not rocket surgery. These are just fundamentals. Again fundamentals are better than market timing.

[urbanrealtor]

I don’t really see the 1% as a sustainable number anymore than the the other way around a few years ago.

Market timing sure worked well for many in Temecula 4 years ago.

Bottom line: if you can buy what you like for about what you would pay in rent (which is a very real situation in much of the county), then its not a bad idea.

If you are over extending, then wait to see if it comes down or reconsider your priorities.

To quote our brilliant president, this is not rocket surgery. These are just fundamentals. Again fundamentals are better than market timing.

[urbanrealtor]

I don’t really see the 1% as a sustainable number anymore than the the other way around a few years ago.

Market timing sure worked well for many in Temecula 4 years ago.

Bottom line: if you can buy what you like for about what you would pay in rent (which is a very real situation in much of the county), then its not a bad idea.

If you are over extending, then wait to see if it comes down or reconsider your priorities.

To quote our brilliant president, this is not rocket surgery. These are just fundamentals. Again fundamentals are better than market timing.

[urbanrealtor]

I don’t really see the 1% as a sustainable number anymore than the the other way around a few years ago.

Market timing sure worked well for many in Temecula 4 years ago.

Bottom line: if you can buy what you like for about what you would pay in rent (which is a very real situation in much of the county), then its not a bad idea.

If you are over extending, then wait to see if it comes down or reconsider your priorities.

To quote our brilliant president, this is not rocket surgery. These are just fundamentals. Again fundamentals are better than market timing.

[urbanrealtor]

I don’t really see the 1% as a sustainable number anymore than the the other way around a few years ago.

Market timing sure worked well for many in Temecula 4 years ago.

Bottom line: if you can buy what you like for about what you would pay in rent (which is a very real situation in much of the county), then its not a bad idea.

If you are over extending, then wait to see if it comes down or reconsider your priorities.

To quote our brilliant president, this is not rocket surgery. These are just fundamentals. Again fundamentals are better than market timing.

[Author]

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