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smshorttimer.
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August 8, 2008 at 10:27 AM #254743August 8, 2008 at 10:27 AM #254801
DWCAP
ParticipantI personally dont think we will see much more decline in places like MM just due to foreclosures. As the relators point out, fundaments in MM and even some similar places such as clairmont, are about as “normal” as todays market place could support.
That isnt to say that there wont be more price reductions, only that they wont come in the same way as in the past. Fannie and freddie are in crisis mode and changing their buisness. interest rates and fees are going up, and buyers are being squeezed out by that. Fannie is ending ALtA loans. Wouldnt supprise me one bit if that took 20% of MM buyers out of the pool. AltA was great for the would be donald trumps, and is going the way of subprime if Fannie/Freddie wont buy them anymore. Less demand……..
The last leg to chop off will be the move up buyer. The person who can be an upper end buyer in MM, or a lower end buyer in CV/PQ if prices in those areas will fall. The bottom end of the buyer pool is dead, subprime isnt coming back. AltA is following, and the buyer pyramid starts looking like a diamond shaped as the two ends just cant get financing.
The “trade up” effect plus the further reduction in financing will be the last 15-20%. 350k will become 280k, but I dont know if well actually see 280k as a number. Maybe there are enough asian families and bubble sitters to drag it out so inflation eats the rest. I dont think so, but I am kinda biased. (Fall baby; fall) Just my idiot opnion.August 8, 2008 at 10:27 AM #254851ParticipantI personally dont think we will see much more decline in places like MM just due to foreclosures. As the relators point out, fundaments in MM and even some similar places such as clairmont, are about as “normal” as todays market place could support.
That isnt to say that there wont be more price reductions, only that they wont come in the same way as in the past. Fannie and freddie are in crisis mode and changing their buisness. interest rates and fees are going up, and buyers are being squeezed out by that. Fannie is ending ALtA loans. Wouldnt supprise me one bit if that took 20% of MM buyers out of the pool. AltA was great for the would be donald trumps, and is going the way of subprime if Fannie/Freddie wont buy them anymore. Less demand……..
The last leg to chop off will be the move up buyer. The person who can be an upper end buyer in MM, or a lower end buyer in CV/PQ if prices in those areas will fall. The bottom end of the buyer pool is dead, subprime isnt coming back. AltA is following, and the buyer pyramid starts looking like a diamond shaped as the two ends just cant get financing.
The “trade up” effect plus the further reduction in financing will be the last 15-20%. 350k will become 280k, but I dont know if well actually see 280k as a number. Maybe there are enough asian families and bubble sitters to drag it out so inflation eats the rest. I dont think so, but I am kinda biased. (Fall baby; fall) Just my idiot opnion.August 8, 2008 at 11:19 AM #254584PadreBrian
ParticipantLike others have said rents only go down when people leave the area. That ain’t happening. Qualcomm or a bio-tech would have to go out of business…that ain’t happening either.
August 8, 2008 at 11:19 AM #254757ParticipantLike others have said rents only go down when people leave the area. That ain’t happening. Qualcomm or a bio-tech would have to go out of business…that ain’t happening either.
August 8, 2008 at 11:19 AM #254763ParticipantLike others have said rents only go down when people leave the area. That ain’t happening. Qualcomm or a bio-tech would have to go out of business…that ain’t happening either.
August 8, 2008 at 11:19 AM #254821ParticipantLike others have said rents only go down when people leave the area. That ain’t happening. Qualcomm or a bio-tech would have to go out of business…that ain’t happening either.
August 8, 2008 at 11:19 AM #254870ParticipantLike others have said rents only go down when people leave the area. That ain’t happening. Qualcomm or a bio-tech would have to go out of business…that ain’t happening either.
August 8, 2008 at 2:08 PM #254724Participant-“Analysts said the quarterly results indicate that mortgage rates would most likely continue to rise because Freddie Mac expects to scale back growth in how many mortgages it purchases.
“Freddie and Fannie have been propping up the mortgage market by continuing to buy larger numbers of loans,” said Paul Miller of the Friedman, Billings, Ramsey Group, an investment firm in Arlington, Va. “If they start pulling back, mortgage rates are going to start climbing to north of 6.5 percent. People will start panicking at 7 percent.”
The average interest rate on a 30-year fixed mortgage as of July was about 6.5 percent, according to Freddie Mac.”
Forgot to add this part in. The GSE’s just can’t keep proping up this market like they have been. We will see some pain all over SD if interest rates hit 7+% this winter.
August 8, 2008 at 2:08 PM #254897Participant-“Analysts said the quarterly results indicate that mortgage rates would most likely continue to rise because Freddie Mac expects to scale back growth in how many mortgages it purchases.
“Freddie and Fannie have been propping up the mortgage market by continuing to buy larger numbers of loans,” said Paul Miller of the Friedman, Billings, Ramsey Group, an investment firm in Arlington, Va. “If they start pulling back, mortgage rates are going to start climbing to north of 6.5 percent. People will start panicking at 7 percent.”
The average interest rate on a 30-year fixed mortgage as of July was about 6.5 percent, according to Freddie Mac.”
Forgot to add this part in. The GSE’s just can’t keep proping up this market like they have been. We will see some pain all over SD if interest rates hit 7+% this winter.
August 8, 2008 at 2:08 PM #254903Participant-“Analysts said the quarterly results indicate that mortgage rates would most likely continue to rise because Freddie Mac expects to scale back growth in how many mortgages it purchases.
“Freddie and Fannie have been propping up the mortgage market by continuing to buy larger numbers of loans,” said Paul Miller of the Friedman, Billings, Ramsey Group, an investment firm in Arlington, Va. “If they start pulling back, mortgage rates are going to start climbing to north of 6.5 percent. People will start panicking at 7 percent.”
The average interest rate on a 30-year fixed mortgage as of July was about 6.5 percent, according to Freddie Mac.”
Forgot to add this part in. The GSE’s just can’t keep proping up this market like they have been. We will see some pain all over SD if interest rates hit 7+% this winter.
August 8, 2008 at 2:08 PM #254961Participant-“Analysts said the quarterly results indicate that mortgage rates would most likely continue to rise because Freddie Mac expects to scale back growth in how many mortgages it purchases.
“Freddie and Fannie have been propping up the mortgage market by continuing to buy larger numbers of loans,” said Paul Miller of the Friedman, Billings, Ramsey Group, an investment firm in Arlington, Va. “If they start pulling back, mortgage rates are going to start climbing to north of 6.5 percent. People will start panicking at 7 percent.”
The average interest rate on a 30-year fixed mortgage as of July was about 6.5 percent, according to Freddie Mac.”
Forgot to add this part in. The GSE’s just can’t keep proping up this market like they have been. We will see some pain all over SD if interest rates hit 7+% this winter.
August 8, 2008 at 2:08 PM #255009Participant-“Analysts said the quarterly results indicate that mortgage rates would most likely continue to rise because Freddie Mac expects to scale back growth in how many mortgages it purchases.
“Freddie and Fannie have been propping up the mortgage market by continuing to buy larger numbers of loans,” said Paul Miller of the Friedman, Billings, Ramsey Group, an investment firm in Arlington, Va. “If they start pulling back, mortgage rates are going to start climbing to north of 6.5 percent. People will start panicking at 7 percent.”
The average interest rate on a 30-year fixed mortgage as of July was about 6.5 percent, according to Freddie Mac.”
Forgot to add this part in. The GSE’s just can’t keep proping up this market like they have been. We will see some pain all over SD if interest rates hit 7+% this winter.
August 8, 2008 at 2:54 PM #254759sdrealtor
Participant7% wont do a thing IMO. The loan amounts I am seeing in MM are 200K to 250K. We are talking about an extra couple hundred bucks a month for dual income frugal households that have incomes of 80K to 200k.
Get real pal
August 8, 2008 at 2:54 PM #254932Participant7% wont do a thing IMO. The loan amounts I am seeing in MM are 200K to 250K. We are talking about an extra couple hundred bucks a month for dual income frugal households that have incomes of 80K to 200k.
Get real pal
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