Yeah, but what about my equity?

[Darrell Young]

The question remains; what to do with your equity. Are you safe in your current investment? That equity is usually based on current value. Current value is obtained when more people want what you have. The bubble concept itself is “more inventory than demand”. If that is happening; how will you preserve your equity?

In another forum, I introduced Amarillo, Texas and a top of the line home there. (www.21sandhills.com) Of course, I got flamed by many who didn’t understand this message. The message is this: take your equity out NOW, before more of it evaporates. Roll that equity into another home elsewhere (yes, a big life change) in a “lesser” economy.

Don’t make the mistake of thinking there’s one big bubble folks. There are numerous bubbles, they’re everywhere. There are regional bubbles, local bubbles, national bubbles, California (sun-tanned, with golf shoes) bubbles and even New England (with clam chowder all over their chins) bubbles.

Check http://www.living-in-amarillo.info for more detail on the factual/statistical way of life here.

San Diegans, the question remains, what to do if your bubble “bursts”. Some bubbles NEVER burst; because the other things required to prevent that from happening are in plenty of supply: “steady income”, “property taxation under control”, “growing business climate” and overall health of an economy. For more about this growing economic climate; visit my website (www.amarealtor.us). Look for the blue oval buttons.

My message today is this: I’ll show you a top of the line home for top of the line prices in a growing top of the line neighborhood. Still, this is about as expensive as new housing gets here in Amarillo. The VAST majority of homes for sale here are not even 1/3 of this. This is the pinnacle of price. Go to http://www.21sandhills.com. This is what you get for $167/SF in Amarillo. Thats no misprint. $167/SF. California has seen $400-500/SF.

ROLL, ROLL, ROLL that equity friends. Do it now before you lose it.

A short story to demonstrate my point: At my urging, my father bought EMC stock at $17 per share years ago. The stock rocketed all the way up to $127 per share. He bought $10,000 worth at $17 back in 1996 (or thereabouts). His wife, a newcomer to investing, refuse to sell because she hates taxes. Do the math on this one.

My brother, living in Rancho Cucamonga (even now) begged him to sell, trading his “equity” for the purchase of two homes in two different States, Arkansas and Las, Vegas Nevada. They refused and, as advised, “went for the long term”.

They rode the stock back all the way back down to around $30/share before letting it all go. They still grimace when we tease them about the “ride”.

Californians have been given a “ride”. The question remains; will you get off? OR, will you ride it on back down?

Learn the lesson of the 2000/2001 stock market. Get out now.

For more information on living well in other States besides California, give me a call or visit my website; http://www.living-in-amarillo.info

[(former)FormerSanDiegan]

Garage Sale

I am planning on having a garage sale in a few weekends to clear stuff I won’t need. But since this forum seems to be the place to sell things, I’ll check here first …
Anybody need a Three Boogie boards, surfboards, Three wet-suits, a case of sun screen, 4 beach blankets, 4 beach chairs, An earthquake survival kit, Padres 1/2 season tickets (remaining games), One (1) Tony Gwynn Jersey.

I was wondering if any other bloggers were interested in me or anyone else trying to sell them something here.

[Bugs]

Or, you can cash out now, rent here in SD County for a couple years, and pick up that Amarillo castle out of foreclosure for $400k. Texas foreclosures are through the roof right now and no area is going to escape that trend.

There are so many options to bleeding out that the hard part is picking one that fits within your sensibilities. They’ve all been sorted out in other threads.

Word to the wise, you might get a better response by approaching one of the investor club blogs. Those people are all looking for great opportunities.

[(former)FormerSanDiegan]

Get it Now !

[img_assist|nid=938|title=2003 TONY GWYNN LEAF LIMITED AUTOGRAPH JERSEY 6/19|desc=Check it out on Ebay !|link=node|align=left|width=400|height=284]

This post is not intended to be a solicitation.
Amarillo by mornin’

[powayseller]

Darrell, this is a discussion board, not a sales forum. Your idea is good though, but Amarillo prices will crash too. Now it the time to CASH OUT AND RENT. DO NOT BUY REAL ESTATE ANYWHERE IN THE WORLD. Instead,buy gold, commodities, oil. Oil will go through the roof. But don’t buy gold yet, wait for a while for the price to drop.

[Anonymous]

Darrell-

I think you meant to type the subject being “Yeah, but what about my self-respect?”. Wise up, nobody on this board is going to be the last person holding the bag, we know the ponzi scheme all too well. When you run out of work as a Realtor and wonder where you went wrong come back and read this forum in hindsight, it will be much clearer then.

Life is good in San Diego,

-re analyst

[FormerOwner]

This is funny. I got into a conversation with the lady cutting my hair and she told me about how she sold her So Cal house and rolled the profit into a McMansion in San Antonio. Building houses without job growth to support them is a disaster. The whole country can’t buy a brand new home in Texas and expect there not to be a speculative bubble there.

[waiting hawk]

Gamble with ur primary residence. Good idea!

My website tracking Temecula and South Riverside County

[Anonymous]

Chris Johnston

The only problem with that scenario is Amarillo prices will be where they are now in 5 years anyway. It is time to be out of real estate period. Once the cycle low comes in, it will be time to buy again. Do you really think doing what every suzy homemaker is doing chasing the same asset class in another place is going to make you a profit?

The gal who cuts my hair has bought 14 houses in Austin and now magically is having trouble financially in this safe haven. Do not get tied up in chasing the latest fad 10 years into the cycle. The smart money is out of real estate, just look at the homebuilding stocks.

[Author]

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