Save TG, he’s reaching for the knife

[Sandi Egan]

TG,

Consider this:

Being situated where it is, Temecula is not only one of the first places to be hit by the decline, it also will be among the last to pick up next time around. If you buy now, you are sure to be locked up in your property for a very long time. On the other hand, if you resist the urge now, in a year or two you will find yourself in a MUCH better situation. Sure, 400K for 3000 sqft sounds tempting, and you can negotiate it even lower by Feb. In a year you will still be able to buy a cheap house, but you will also have a great choice of locations, features, views… Sellers will entertain your offers like you can’t imagine.

Wait just a little longer, resist the temptation, and you will be rewarded: your house will not be just a good deal. It will be the home of your dreams.

[SD Realtor]

TG if you buy now then we will not be able to enjoy any more of the priceless gems you have bestowed upon us these many years…

Anyways my advice would be to wait wait wait….especially for the Temecula area.

SD Realtor

[SD Realtor]

TG if you buy now then we will not be able to enjoy any more of the priceless gems you have bestowed upon us these many years…

Anyways my advice would be to wait wait wait….especially for the Temecula area.

SD Realtor

[SD Realtor]

TG if you buy now then we will not be able to enjoy any more of the priceless gems you have bestowed upon us these many years…

Anyways my advice would be to wait wait wait….especially for the Temecula area.

SD Realtor

[SD Realtor]

TG if you buy now then we will not be able to enjoy any more of the priceless gems you have bestowed upon us these many years…

Anyways my advice would be to wait wait wait….especially for the Temecula area.

SD Realtor

[Eugene]

Two reasons not to buy.

1. ARMs are nowhere near done resetting.
2. Mortgage rates are still at historic lows.

1. Housing market will go through two waves of foreclosures. First wave – subprime buyers and buyers with resetting ARM’s. REOs from the first wave drop market prices and prepare the market for the second wave – “investors” (speculators) and quite generally anyone who bought a house with zero down since 2004.
We’re not entirely through the first wave yet. When you start hearing about people returning keys to the bank simply because they are $100,000 upside down on their mortgage, you will know that it’s time to start looking for a house.

2. If you’re planning to retire and die in that house, (or at least to live there 10+ years) mortgage rates don’t matter. If you foresee a possibility that you will have to sell and move before 2012, it’s best for you to wait.

P.S. Just to show how much further Temecula can fall if conditions are right. Here’s a new 3br 2100 sq ft house, 25 miles from the downtown of 4st largest city in the United States, 30 miles from the nearest ocean beach. Look at the price.

http://www.lennar.com/findhome/plan.aspx?DIVID=HLSLEN&COMID=4980&PLANID=4150

[Eugene]

Two reasons not to buy.

1. ARMs are nowhere near done resetting.
2. Mortgage rates are still at historic lows.

1. Housing market will go through two waves of foreclosures. First wave – subprime buyers and buyers with resetting ARM’s. REOs from the first wave drop market prices and prepare the market for the second wave – “investors” (speculators) and quite generally anyone who bought a house with zero down since 2004.
We’re not entirely through the first wave yet. When you start hearing about people returning keys to the bank simply because they are $100,000 upside down on their mortgage, you will know that it’s time to start looking for a house.

2. If you’re planning to retire and die in that house, (or at least to live there 10+ years) mortgage rates don’t matter. If you foresee a possibility that you will have to sell and move before 2012, it’s best for you to wait.

P.S. Just to show how much further Temecula can fall if conditions are right. Here’s a new 3br 2100 sq ft house, 25 miles from the downtown of 4st largest city in the United States, 30 miles from the nearest ocean beach. Look at the price.

http://www.lennar.com/findhome/plan.aspx?DIVID=HLSLEN&COMID=4980&PLANID=4150

[Eugene]

Two reasons not to buy.

1. ARMs are nowhere near done resetting.
2. Mortgage rates are still at historic lows.

1. Housing market will go through two waves of foreclosures. First wave – subprime buyers and buyers with resetting ARM’s. REOs from the first wave drop market prices and prepare the market for the second wave – “investors” (speculators) and quite generally anyone who bought a house with zero down since 2004.
We’re not entirely through the first wave yet. When you start hearing about people returning keys to the bank simply because they are $100,000 upside down on their mortgage, you will know that it’s time to start looking for a house.

2. If you’re planning to retire and die in that house, (or at least to live there 10+ years) mortgage rates don’t matter. If you foresee a possibility that you will have to sell and move before 2012, it’s best for you to wait.

P.S. Just to show how much further Temecula can fall if conditions are right. Here’s a new 3br 2100 sq ft house, 25 miles from the downtown of 4st largest city in the United States, 30 miles from the nearest ocean beach. Look at the price.

http://www.lennar.com/findhome/plan.aspx?DIVID=HLSLEN&COMID=4980&PLANID=4150

[Eugene]

Two reasons not to buy.

1. ARMs are nowhere near done resetting.
2. Mortgage rates are still at historic lows.

1. Housing market will go through two waves of foreclosures. First wave – subprime buyers and buyers with resetting ARM’s. REOs from the first wave drop market prices and prepare the market for the second wave – “investors” (speculators) and quite generally anyone who bought a house with zero down since 2004.
We’re not entirely through the first wave yet. When you start hearing about people returning keys to the bank simply because they are $100,000 upside down on their mortgage, you will know that it’s time to start looking for a house.

2. If you’re planning to retire and die in that house, (or at least to live there 10+ years) mortgage rates don’t matter. If you foresee a possibility that you will have to sell and move before 2012, it’s best for you to wait.

P.S. Just to show how much further Temecula can fall if conditions are right. Here’s a new 3br 2100 sq ft house, 25 miles from the downtown of 4st largest city in the United States, 30 miles from the nearest ocean beach. Look at the price.

http://www.lennar.com/findhome/plan.aspx?DIVID=HLSLEN&COMID=4980&PLANID=4150

[Anonymous]

TG,

Buying is OK. It is all a matter of price, not timimg. No one asks ‘when’ you bought the home…..just for ‘how much’.

The best advice i’ve heard over the times following many blogs is the 100x rental income metric. Rental incomes reflect people’s ability to pay based on housing vs. employment. If the house you want rents for $2,500/month, history has it, that it wont fall below $250K sales price. If you see rental prices comming down due to oversupply or job losses, or interest rates going up, adjust accordingly.

The majority of people will always buy houses when they can service the loan. People can always service the loan when the price is 100x rental (assuming 8% borrowing rates).

————————————————
The strategy to WIN becomes simple enough:

Select your best guess for:

– Interest rates
– rental prices bases on:
– supply
– employment
– median income

Then figure out the final price….100x is a good starting point, but you might want to research historical data. Temecula might have gone even less than 100x back in the mid 90s.

Then go to that perfect home, with the moat, the turret, and the drawbridge wearing footie pajamas and your burger king crown and offer exactly the price you are willing to pay with the proper cavats including offer expiration date (for short sales there has to be enough time to receive bank approval…ive heard it can be 2 months). When the realtor or owner laughs at you, show him the data and just tell him “ill buy it from you now, or from the bank later”

Walk away.

If the phone doesnt ring. Dont buy. If someone takes the offer, you can be confident in your decision.

Remember it isnt a question of when to buy, the question is how much. Forget the list price, you are the buyer, you decide, not them.

Houses are like hookers in Bangkok, if you dont like the one you’re looking at, there is always another just around the corner.

J

[Anonymous]

TG,

Buying is OK. It is all a matter of price, not timimg. No one asks ‘when’ you bought the home…..just for ‘how much’.

The best advice i’ve heard over the times following many blogs is the 100x rental income metric. Rental incomes reflect people’s ability to pay based on housing vs. employment. If the house you want rents for $2,500/month, history has it, that it wont fall below $250K sales price. If you see rental prices comming down due to oversupply or job losses, or interest rates going up, adjust accordingly.

The majority of people will always buy houses when they can service the loan. People can always service the loan when the price is 100x rental (assuming 8% borrowing rates).

————————————————
The strategy to WIN becomes simple enough:

Select your best guess for:

– Interest rates
– rental prices bases on:
– supply
– employment
– median income

Then figure out the final price….100x is a good starting point, but you might want to research historical data. Temecula might have gone even less than 100x back in the mid 90s.

Then go to that perfect home, with the moat, the turret, and the drawbridge wearing footie pajamas and your burger king crown and offer exactly the price you are willing to pay with the proper cavats including offer expiration date (for short sales there has to be enough time to receive bank approval…ive heard it can be 2 months). When the realtor or owner laughs at you, show him the data and just tell him “ill buy it from you now, or from the bank later”

Walk away.

If the phone doesnt ring. Dont buy. If someone takes the offer, you can be confident in your decision.

Remember it isnt a question of when to buy, the question is how much. Forget the list price, you are the buyer, you decide, not them.

Houses are like hookers in Bangkok, if you dont like the one you’re looking at, there is always another just around the corner.

J

[Anonymous]

TG,

Buying is OK. It is all a matter of price, not timimg. No one asks ‘when’ you bought the home…..just for ‘how much’.

The best advice i’ve heard over the times following many blogs is the 100x rental income metric. Rental incomes reflect people’s ability to pay based on housing vs. employment. If the house you want rents for $2,500/month, history has it, that it wont fall below $250K sales price. If you see rental prices comming down due to oversupply or job losses, or interest rates going up, adjust accordingly.

The majority of people will always buy houses when they can service the loan. People can always service the loan when the price is 100x rental (assuming 8% borrowing rates).

————————————————
The strategy to WIN becomes simple enough:

Select your best guess for:

– Interest rates
– rental prices bases on:
– supply
– employment
– median income

Then figure out the final price….100x is a good starting point, but you might want to research historical data. Temecula might have gone even less than 100x back in the mid 90s.

Then go to that perfect home, with the moat, the turret, and the drawbridge wearing footie pajamas and your burger king crown and offer exactly the price you are willing to pay with the proper cavats including offer expiration date (for short sales there has to be enough time to receive bank approval…ive heard it can be 2 months). When the realtor or owner laughs at you, show him the data and just tell him “ill buy it from you now, or from the bank later”

Walk away.

If the phone doesnt ring. Dont buy. If someone takes the offer, you can be confident in your decision.

Remember it isnt a question of when to buy, the question is how much. Forget the list price, you are the buyer, you decide, not them.

Houses are like hookers in Bangkok, if you dont like the one you’re looking at, there is always another just around the corner.

J

[Anonymous]

TG,

Buying is OK. It is all a matter of price, not timimg. No one asks ‘when’ you bought the home…..just for ‘how much’.

The best advice i’ve heard over the times following many blogs is the 100x rental income metric. Rental incomes reflect people’s ability to pay based on housing vs. employment. If the house you want rents for $2,500/month, history has it, that it wont fall below $250K sales price. If you see rental prices comming down due to oversupply or job losses, or interest rates going up, adjust accordingly.

The majority of people will always buy houses when they can service the loan. People can always service the loan when the price is 100x rental (assuming 8% borrowing rates).

————————————————
The strategy to WIN becomes simple enough:

Select your best guess for:

– Interest rates
– rental prices bases on:
– supply
– employment
– median income

Then figure out the final price….100x is a good starting point, but you might want to research historical data. Temecula might have gone even less than 100x back in the mid 90s.

Then go to that perfect home, with the moat, the turret, and the drawbridge wearing footie pajamas and your burger king crown and offer exactly the price you are willing to pay with the proper cavats including offer expiration date (for short sales there has to be enough time to receive bank approval…ive heard it can be 2 months). When the realtor or owner laughs at you, show him the data and just tell him “ill buy it from you now, or from the bank later”

Walk away.

If the phone doesnt ring. Dont buy. If someone takes the offer, you can be confident in your decision.

Remember it isnt a question of when to buy, the question is how much. Forget the list price, you are the buyer, you decide, not them.

Houses are like hookers in Bangkok, if you dont like the one you’re looking at, there is always another just around the corner.

J

[waiting hawk]

You already won by waiting and you made the right choice. Either way would be fine. I am looking and will buy at anytime when the price of a cabin or primary is at the rental value with money down. Go with ocrenters advice and move on. If they drop further than you would ever have thought, just buy a few more 😉

[waiting hawk]

You already won by waiting and you made the right choice. Either way would be fine. I am looking and will buy at anytime when the price of a cabin or primary is at the rental value with money down. Go with ocrenters advice and move on. If they drop further than you would ever have thought, just buy a few more 😉

[Author]

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