High End of the Market

[JES]

Conventional Wisdom:
“The high end properties should continue to sell and areas like Del Mar, LaJolla and the higher end parts of North County will stay strong…”

Quote from recent article:
We had a buyer, a doctor with an 800 (point) credit score, a down payment of more than 20%, and the (lender) backed out at the last minute,’ says Lisa Gregory, an agent in San Diego, who represents the seller. ‘We were stunned.’

[Ex-SD]

The lenders know that all properties in San Diego are severely overpriced and they want to stay away from the high-end until they are convinced that they’ve dropped near the bottom. I would bet that the Doctor is going to have to pony up close to a 40% down payment and still pay a high interest rate before he finds a lender because nobody knows just how far the housing market will drop.

[Ex-SD]

The lenders know that all properties in San Diego are severely overpriced and they want to stay away from the high-end until they are convinced that they’ve dropped near the bottom. I would bet that the Doctor is going to have to pony up close to a 40% down payment and still pay a high interest rate before he finds a lender because nobody knows just how far the housing market will drop.

[Ex-SD]

The lenders know that all properties in San Diego are severely overpriced and they want to stay away from the high-end until they are convinced that they’ve dropped near the bottom. I would bet that the Doctor is going to have to pony up close to a 40% down payment and still pay a high interest rate before he finds a lender because nobody knows just how far the housing market will drop.

[bsrsharma]

Real Rich folks pay cash; Debt is for sissies!

The good doctor should learn the new mantra.

Many years ago, I saw (in another country) this plaque on the wall of a store and admired – “In God We Trust, Rest Pay Cash”.

[bsrsharma]

Real Rich folks pay cash; Debt is for sissies!

The good doctor should learn the new mantra.

Many years ago, I saw (in another country) this plaque on the wall of a store and admired – “In God We Trust, Rest Pay Cash”.

[bsrsharma]

Real Rich folks pay cash; Debt is for sissies!

The good doctor should learn the new mantra.

Many years ago, I saw (in another country) this plaque on the wall of a store and admired – “In God We Trust, Rest Pay Cash”.

[JES]

The good doctor should move to my part of the country, Iowa. I went to a neighborhood party last month and discovered that we have no less than 7 doctors living on our street. Nicest neighborhood in the city, and homes are priced in the mid 200s. And the doctors are likely making nearly the same salary that they would in San Diego, perhaps 10% less. The irony is that there seems to be some real pressure for new doctors to move into our ‘high end neighborhood’ and ‘stretch’ their finances. I actually heard someone tell me this a few weeks ago! Yes, they are making 120k starting salary and they consider buying a 250k home stretching it.

[JES]

The good doctor should move to my part of the country, Iowa. I went to a neighborhood party last month and discovered that we have no less than 7 doctors living on our street. Nicest neighborhood in the city, and homes are priced in the mid 200s. And the doctors are likely making nearly the same salary that they would in San Diego, perhaps 10% less. The irony is that there seems to be some real pressure for new doctors to move into our ‘high end neighborhood’ and ‘stretch’ their finances. I actually heard someone tell me this a few weeks ago! Yes, they are making 120k starting salary and they consider buying a 250k home stretching it.

[JES]

The good doctor should move to my part of the country, Iowa. I went to a neighborhood party last month and discovered that we have no less than 7 doctors living on our street. Nicest neighborhood in the city, and homes are priced in the mid 200s. And the doctors are likely making nearly the same salary that they would in San Diego, perhaps 10% less. The irony is that there seems to be some real pressure for new doctors to move into our ‘high end neighborhood’ and ‘stretch’ their finances. I actually heard someone tell me this a few weeks ago! Yes, they are making 120k starting salary and they consider buying a 250k home stretching it.

[temeculaguy]

JES that sounds so cool it is hard to believe. I think there is more to the story regarding the op, there has to be because the only loans that should hold would be the high fico, high down payments. He must have a lot of debt or his income didn’t support the payment. Fico and Down payment are not the only two factors in the equation, just because he is a doctor doesn’t mean he should get a loan if his house payment and debt service is 2/3 of his income. BTW I have to be right, having an 800 fico and 20% down myself, sitting on the sidelines and not wanting a jumbo or any more than 30% income to housing ratio I strangely resemble this guys boat if there arent other untold factors. If I’m wrong and I get tossed into the loser bracket like the good doctor, I’m screwed and my plans to rule the world will have been foiled, damn you superman.

[temeculaguy]

JES that sounds so cool it is hard to believe. I think there is more to the story regarding the op, there has to be because the only loans that should hold would be the high fico, high down payments. He must have a lot of debt or his income didn’t support the payment. Fico and Down payment are not the only two factors in the equation, just because he is a doctor doesn’t mean he should get a loan if his house payment and debt service is 2/3 of his income. BTW I have to be right, having an 800 fico and 20% down myself, sitting on the sidelines and not wanting a jumbo or any more than 30% income to housing ratio I strangely resemble this guys boat if there arent other untold factors. If I’m wrong and I get tossed into the loser bracket like the good doctor, I’m screwed and my plans to rule the world will have been foiled, damn you superman.

[temeculaguy]

JES that sounds so cool it is hard to believe. I think there is more to the story regarding the op, there has to be because the only loans that should hold would be the high fico, high down payments. He must have a lot of debt or his income didn’t support the payment. Fico and Down payment are not the only two factors in the equation, just because he is a doctor doesn’t mean he should get a loan if his house payment and debt service is 2/3 of his income. BTW I have to be right, having an 800 fico and 20% down myself, sitting on the sidelines and not wanting a jumbo or any more than 30% income to housing ratio I strangely resemble this guys boat if there arent other untold factors. If I’m wrong and I get tossed into the loser bracket like the good doctor, I’m screwed and my plans to rule the world will have been foiled, damn you superman.

[eyePod]

“In God We Trust, Rest Pay Cash”. I am saying that reminds me of my time in India. I think I’ll go knock his door. Buy the merchandise or out sir!

[eyePod]

“In God We Trust, Rest Pay Cash”. I am saying that reminds me of my time in India. I think I’ll go knock his door. Buy the merchandise or out sir!

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