selling at loss, Anyone?

[IONEGARM]

[quote=UCGal]To the OP –
Can you add more square footage to your existing home? That seems to be the appropriate compromise. It’s a lousy time to sell and there’s potential risk to buying at this point. Can you make the home you already have a home you can stay in long term?[/quote]

Lousy time to sell? Low inventory, 5% interest rates and tax credits…

Sure the economy isn’t great but when the economy picks up, rates will go up. The ability of future buyers to have any sort of additional purchasing power is highly suspect. Waiting to sell to “get your price” is thinking that all sort of incredible things will happen.

[Echoooo]

UCGal- adding more footage is not an option. Thanks!
My thinking is very simple. My house has depreciated about 10%, but the bigger houses in a nearby neighborhood have come down about 30%, so why not take the advantage and move up? The only thing not sure is if the price will come down more.

[Echoooo]

UCGal- adding more footage is not an option. Thanks!
My thinking is very simple. My house has depreciated about 10%, but the bigger houses in a nearby neighborhood have come down about 30%, so why not take the advantage and move up? The only thing not sure is if the price will come down more.

[Echoooo]

UCGal- adding more footage is not an option. Thanks!
My thinking is very simple. My house has depreciated about 10%, but the bigger houses in a nearby neighborhood have come down about 30%, so why not take the advantage and move up? The only thing not sure is if the price will come down more.

[Echoooo]

UCGal- adding more footage is not an option. Thanks!
My thinking is very simple. My house has depreciated about 10%, but the bigger houses in a nearby neighborhood have come down about 30%, so why not take the advantage and move up? The only thing not sure is if the price will come down more.

[Echoooo]

UCGal- adding more footage is not an option. Thanks!
My thinking is very simple. My house has depreciated about 10%, but the bigger houses in a nearby neighborhood have come down about 30%, so why not take the advantage and move up? The only thing not sure is if the price will come down more.

[cabal]

[quote=CA renter][quote=CONCHO]For example, if a foreclosure appraises at 500K but a shrewd buyer negotiates a deal at 400K, a follow on buyer for a similar house will baseline his purchase price at 400K, not the correct 500K. In effect you have a circular death spiral in home prices to the benefit of the buyer.

Funny how no one complained about it when it was working the other way around. In a neighborhood of $400K houses, whenever any house on the block sold for $500K, everyone on the block was immediately $100K richer and would tell you all about it every chance they got. I guess it’s just not as much fun on the way down :-([/quote]

Funny! That’s the first thing that came to my mind as well.

When fraudulent transactions and no-down, neg-am loans were used by speculators with no skin in the game, the rising prices of comps were “based on fundamentals.” When prices drop as this fraud is wrung out of the market, somehow prices are “below market.” Funny how that works…[/quote]

There are many unwilling participants of this wild roller coaster ride who view a primary residence as a place to raise a family, not an investment. It is a reasonable expectation to sell at a price consistent with historical norms when life circumstances dictate. Moreover, it is understandable if not expected, to reject offers 100K-200K below historical norms. No one is asking to sell at inflated prices. Schadenfreude and other undesirable traits may obscure this very basic and obvious point.

Many will agree that all is fair in love and war and real estate investing. I do not envy folks who made a killing riding the bubble, nor do I have sympathy for those who purchased at the peak and lost everything. These are risk reward consequences of free choice. I pass no judgment on those that knowingly and eagerly sold an overpriced asset at the peak to a naive buyer. Some may call this an immoral act. However, I do find it insincere that the same people now have the audacity to complain that the same overpriced asset is not depreciating fast enough for their liking because they’re tired of renting coupled with the desire to make a second killing. I don’t personally know any of these nefarious people, does anyone?

Regarding our realtor, we picked that person simply because enough information and choice presented itself to make a decision. No need to complicate the process and fall into an analysis paralysis trap.

[cabal]

[quote=CA renter][quote=CONCHO]For example, if a foreclosure appraises at 500K but a shrewd buyer negotiates a deal at 400K, a follow on buyer for a similar house will baseline his purchase price at 400K, not the correct 500K. In effect you have a circular death spiral in home prices to the benefit of the buyer.

Funny how no one complained about it when it was working the other way around. In a neighborhood of $400K houses, whenever any house on the block sold for $500K, everyone on the block was immediately $100K richer and would tell you all about it every chance they got. I guess it’s just not as much fun on the way down :-([/quote]

Funny! That’s the first thing that came to my mind as well.

When fraudulent transactions and no-down, neg-am loans were used by speculators with no skin in the game, the rising prices of comps were “based on fundamentals.” When prices drop as this fraud is wrung out of the market, somehow prices are “below market.” Funny how that works…[/quote]

There are many unwilling participants of this wild roller coaster ride who view a primary residence as a place to raise a family, not an investment. It is a reasonable expectation to sell at a price consistent with historical norms when life circumstances dictate. Moreover, it is understandable if not expected, to reject offers 100K-200K below historical norms. No one is asking to sell at inflated prices. Schadenfreude and other undesirable traits may obscure this very basic and obvious point.

Many will agree that all is fair in love and war and real estate investing. I do not envy folks who made a killing riding the bubble, nor do I have sympathy for those who purchased at the peak and lost everything. These are risk reward consequences of free choice. I pass no judgment on those that knowingly and eagerly sold an overpriced asset at the peak to a naive buyer. Some may call this an immoral act. However, I do find it insincere that the same people now have the audacity to complain that the same overpriced asset is not depreciating fast enough for their liking because they’re tired of renting coupled with the desire to make a second killing. I don’t personally know any of these nefarious people, does anyone?

Regarding our realtor, we picked that person simply because enough information and choice presented itself to make a decision. No need to complicate the process and fall into an analysis paralysis trap.

[cabal]

[quote=CA renter][quote=CONCHO]For example, if a foreclosure appraises at 500K but a shrewd buyer negotiates a deal at 400K, a follow on buyer for a similar house will baseline his purchase price at 400K, not the correct 500K. In effect you have a circular death spiral in home prices to the benefit of the buyer.

Funny how no one complained about it when it was working the other way around. In a neighborhood of $400K houses, whenever any house on the block sold for $500K, everyone on the block was immediately $100K richer and would tell you all about it every chance they got. I guess it’s just not as much fun on the way down :-([/quote]

Funny! That’s the first thing that came to my mind as well.

When fraudulent transactions and no-down, neg-am loans were used by speculators with no skin in the game, the rising prices of comps were “based on fundamentals.” When prices drop as this fraud is wrung out of the market, somehow prices are “below market.” Funny how that works…[/quote]

There are many unwilling participants of this wild roller coaster ride who view a primary residence as a place to raise a family, not an investment. It is a reasonable expectation to sell at a price consistent with historical norms when life circumstances dictate. Moreover, it is understandable if not expected, to reject offers 100K-200K below historical norms. No one is asking to sell at inflated prices. Schadenfreude and other undesirable traits may obscure this very basic and obvious point.

Many will agree that all is fair in love and war and real estate investing. I do not envy folks who made a killing riding the bubble, nor do I have sympathy for those who purchased at the peak and lost everything. These are risk reward consequences of free choice. I pass no judgment on those that knowingly and eagerly sold an overpriced asset at the peak to a naive buyer. Some may call this an immoral act. However, I do find it insincere that the same people now have the audacity to complain that the same overpriced asset is not depreciating fast enough for their liking because they’re tired of renting coupled with the desire to make a second killing. I don’t personally know any of these nefarious people, does anyone?

Regarding our realtor, we picked that person simply because enough information and choice presented itself to make a decision. No need to complicate the process and fall into an analysis paralysis trap.

[cabal]

[quote=CA renter][quote=CONCHO]For example, if a foreclosure appraises at 500K but a shrewd buyer negotiates a deal at 400K, a follow on buyer for a similar house will baseline his purchase price at 400K, not the correct 500K. In effect you have a circular death spiral in home prices to the benefit of the buyer.

Funny how no one complained about it when it was working the other way around. In a neighborhood of $400K houses, whenever any house on the block sold for $500K, everyone on the block was immediately $100K richer and would tell you all about it every chance they got. I guess it’s just not as much fun on the way down :-([/quote]

Funny! That’s the first thing that came to my mind as well.

When fraudulent transactions and no-down, neg-am loans were used by speculators with no skin in the game, the rising prices of comps were “based on fundamentals.” When prices drop as this fraud is wrung out of the market, somehow prices are “below market.” Funny how that works…[/quote]

There are many unwilling participants of this wild roller coaster ride who view a primary residence as a place to raise a family, not an investment. It is a reasonable expectation to sell at a price consistent with historical norms when life circumstances dictate. Moreover, it is understandable if not expected, to reject offers 100K-200K below historical norms. No one is asking to sell at inflated prices. Schadenfreude and other undesirable traits may obscure this very basic and obvious point.

Many will agree that all is fair in love and war and real estate investing. I do not envy folks who made a killing riding the bubble, nor do I have sympathy for those who purchased at the peak and lost everything. These are risk reward consequences of free choice. I pass no judgment on those that knowingly and eagerly sold an overpriced asset at the peak to a naive buyer. Some may call this an immoral act. However, I do find it insincere that the same people now have the audacity to complain that the same overpriced asset is not depreciating fast enough for their liking because they’re tired of renting coupled with the desire to make a second killing. I don’t personally know any of these nefarious people, does anyone?

Regarding our realtor, we picked that person simply because enough information and choice presented itself to make a decision. No need to complicate the process and fall into an analysis paralysis trap.

[cabal]

[quote=CA renter][quote=CONCHO]For example, if a foreclosure appraises at 500K but a shrewd buyer negotiates a deal at 400K, a follow on buyer for a similar house will baseline his purchase price at 400K, not the correct 500K. In effect you have a circular death spiral in home prices to the benefit of the buyer.

Funny how no one complained about it when it was working the other way around. In a neighborhood of $400K houses, whenever any house on the block sold for $500K, everyone on the block was immediately $100K richer and would tell you all about it every chance they got. I guess it’s just not as much fun on the way down :-([/quote]

Funny! That’s the first thing that came to my mind as well.

When fraudulent transactions and no-down, neg-am loans were used by speculators with no skin in the game, the rising prices of comps were “based on fundamentals.” When prices drop as this fraud is wrung out of the market, somehow prices are “below market.” Funny how that works…[/quote]

There are many unwilling participants of this wild roller coaster ride who view a primary residence as a place to raise a family, not an investment. It is a reasonable expectation to sell at a price consistent with historical norms when life circumstances dictate. Moreover, it is understandable if not expected, to reject offers 100K-200K below historical norms. No one is asking to sell at inflated prices. Schadenfreude and other undesirable traits may obscure this very basic and obvious point.

Many will agree that all is fair in love and war and real estate investing. I do not envy folks who made a killing riding the bubble, nor do I have sympathy for those who purchased at the peak and lost everything. These are risk reward consequences of free choice. I pass no judgment on those that knowingly and eagerly sold an overpriced asset at the peak to a naive buyer. Some may call this an immoral act. However, I do find it insincere that the same people now have the audacity to complain that the same overpriced asset is not depreciating fast enough for their liking because they’re tired of renting coupled with the desire to make a second killing. I don’t personally know any of these nefarious people, does anyone?

Regarding our realtor, we picked that person simply because enough information and choice presented itself to make a decision. No need to complicate the process and fall into an analysis paralysis trap.

[34f3f3f]

I read a book a while back that suggested the bond market is the surreptitious driver of everything. However, my understanding is that a huge pool of cash was chasing better rates than US Treasuries were providing, and that it was MBSs and CDOs that filled this gap. The rest is history.

California is probably a bit of a unique case, and since the effects of both the subprime crisis were magnified it’s perhaps not surprising that government intervention has had an exaggerated effect.

Emotions have a habit of driving one’s point of view, but a snap shot of where we are currently still paints a sullied picture, which may not be ever-worsening, but is still never-lessening. I’m speaking of jobs and foreclosures, and hedged predictions by many eminent pro’s of a double dip. While you may ignore this at your peril, it’s not possible to say with real certainty where things will go from here.

[34f3f3f]

I read a book a while back that suggested the bond market is the surreptitious driver of everything. However, my understanding is that a huge pool of cash was chasing better rates than US Treasuries were providing, and that it was MBSs and CDOs that filled this gap. The rest is history.

California is probably a bit of a unique case, and since the effects of both the subprime crisis were magnified it’s perhaps not surprising that government intervention has had an exaggerated effect.

Emotions have a habit of driving one’s point of view, but a snap shot of where we are currently still paints a sullied picture, which may not be ever-worsening, but is still never-lessening. I’m speaking of jobs and foreclosures, and hedged predictions by many eminent pro’s of a double dip. While you may ignore this at your peril, it’s not possible to say with real certainty where things will go from here.

[34f3f3f]

I read a book a while back that suggested the bond market is the surreptitious driver of everything. However, my understanding is that a huge pool of cash was chasing better rates than US Treasuries were providing, and that it was MBSs and CDOs that filled this gap. The rest is history.

California is probably a bit of a unique case, and since the effects of both the subprime crisis were magnified it’s perhaps not surprising that government intervention has had an exaggerated effect.

Emotions have a habit of driving one’s point of view, but a snap shot of where we are currently still paints a sullied picture, which may not be ever-worsening, but is still never-lessening. I’m speaking of jobs and foreclosures, and hedged predictions by many eminent pro’s of a double dip. While you may ignore this at your peril, it’s not possible to say with real certainty where things will go from here.

[34f3f3f]

I read a book a while back that suggested the bond market is the surreptitious driver of everything. However, my understanding is that a huge pool of cash was chasing better rates than US Treasuries were providing, and that it was MBSs and CDOs that filled this gap. The rest is history.

California is probably a bit of a unique case, and since the effects of both the subprime crisis were magnified it’s perhaps not surprising that government intervention has had an exaggerated effect.

Emotions have a habit of driving one’s point of view, but a snap shot of where we are currently still paints a sullied picture, which may not be ever-worsening, but is still never-lessening. I’m speaking of jobs and foreclosures, and hedged predictions by many eminent pro’s of a double dip. While you may ignore this at your peril, it’s not possible to say with real certainty where things will go from here.

[Author]

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