[blahblahblah]

I didn’t know the majority of the Democrats in Senates and house are closet Republifrauds. That includes Obama who voted for the bailout.

Certainly lots of people from both sides of the aisle voted for this travesty and they shouldn’t be excused for their actions. However, they were being threatened with Great Depression 2 and Martial Law if they didn’t. Here’s Senator Inhofe from Oklahoma telling a Tulsa radio station how it went down earlier this week. Also note that Paulson told Congress that the money would be used to buy up toxic assets and of course he did no such thing. Basically the Bankster mafia just shook us all down for protection money.

[blahblahblah]

I didn’t know the majority of the Democrats in Senates and house are closet Republifrauds. That includes Obama who voted for the bailout.

Certainly lots of people from both sides of the aisle voted for this travesty and they shouldn’t be excused for their actions. However, they were being threatened with Great Depression 2 and Martial Law if they didn’t. Here’s Senator Inhofe from Oklahoma telling a Tulsa radio station how it went down earlier this week. Also note that Paulson told Congress that the money would be used to buy up toxic assets and of course he did no such thing. Basically the Bankster mafia just shook us all down for protection money.

[blahblahblah]

Bubble scenario “I cannot afford this house but I will buy it because the media and my friends say I should” BAD Choice

Bust Scenario “I can afford this house but I won’t buy because the media and my friends day I shouldn’t” Also a BAD Choice

Totally agree. But I think what most of the folks on this board are saying is — “Well, buying is still more expensive than renting so I guess I will continue to rent”. Now in areas like Temecula that may not be true anymore because we’ve already had huge price declines there. If I could live in Temecula I would be looking seriously at buying now.

Another thing to remember is that on the way up, the majority of people were buying because their friends and family and the TV said they should. Guess what? On the way down, the majority of people will avoid buying because their friends and family and the TV will say they shouldn’t.

Psychology and E-Z Credit drove it up.

Psychology and Old Fashioned Credit will drive it down.

[blahblahblah]

Bubble scenario “I cannot afford this house but I will buy it because the media and my friends say I should” BAD Choice

Bust Scenario “I can afford this house but I won’t buy because the media and my friends day I shouldn’t” Also a BAD Choice

Totally agree. But I think what most of the folks on this board are saying is — “Well, buying is still more expensive than renting so I guess I will continue to rent”. Now in areas like Temecula that may not be true anymore because we’ve already had huge price declines there. If I could live in Temecula I would be looking seriously at buying now.

Another thing to remember is that on the way up, the majority of people were buying because their friends and family and the TV said they should. Guess what? On the way down, the majority of people will avoid buying because their friends and family and the TV will say they shouldn’t.

Psychology and E-Z Credit drove it up.

Psychology and Old Fashioned Credit will drive it down.

[blahblahblah]

Bubble scenario “I cannot afford this house but I will buy it because the media and my friends say I should” BAD Choice

Bust Scenario “I can afford this house but I won’t buy because the media and my friends day I shouldn’t” Also a BAD Choice

Totally agree. But I think what most of the folks on this board are saying is — “Well, buying is still more expensive than renting so I guess I will continue to rent”. Now in areas like Temecula that may not be true anymore because we’ve already had huge price declines there. If I could live in Temecula I would be looking seriously at buying now.

Another thing to remember is that on the way up, the majority of people were buying because their friends and family and the TV said they should. Guess what? On the way down, the majority of people will avoid buying because their friends and family and the TV will say they shouldn’t.

Psychology and E-Z Credit drove it up.

Psychology and Old Fashioned Credit will drive it down.

[blahblahblah]

Bubble scenario “I cannot afford this house but I will buy it because the media and my friends say I should” BAD Choice

Bust Scenario “I can afford this house but I won’t buy because the media and my friends day I shouldn’t” Also a BAD Choice

Totally agree. But I think what most of the folks on this board are saying is — “Well, buying is still more expensive than renting so I guess I will continue to rent”. Now in areas like Temecula that may not be true anymore because we’ve already had huge price declines there. If I could live in Temecula I would be looking seriously at buying now.

Another thing to remember is that on the way up, the majority of people were buying because their friends and family and the TV said they should. Guess what? On the way down, the majority of people will avoid buying because their friends and family and the TV will say they shouldn’t.

Psychology and E-Z Credit drove it up.

Psychology and Old Fashioned Credit will drive it down.

[blahblahblah]

Bubble scenario “I cannot afford this house but I will buy it because the media and my friends say I should” BAD Choice

Bust Scenario “I can afford this house but I won’t buy because the media and my friends day I shouldn’t” Also a BAD Choice

Totally agree. But I think what most of the folks on this board are saying is — “Well, buying is still more expensive than renting so I guess I will continue to rent”. Now in areas like Temecula that may not be true anymore because we’ve already had huge price declines there. If I could live in Temecula I would be looking seriously at buying now.

Another thing to remember is that on the way up, the majority of people were buying because their friends and family and the TV said they should. Guess what? On the way down, the majority of people will avoid buying because their friends and family and the TV will say they shouldn’t.

Psychology and E-Z Credit drove it up.

Psychology and Old Fashioned Credit will drive it down.

[blahblahblah]

It’s a sad story Pete but not an uncommon one. We tend to think everyone is like us, in their 30s/40s, successful, making money, doing well in their careers, etc… Those are the people we deal with on a daily basis so they become our universe. If we do deal with the elderly we automatically defer respect to them and assume — oh they live in DM, they’re probably rich and never have to worry about money. Then we go about our business.

But our retired and elderly neighbors do really inhabit a different reality than we do. Just imagine how frightening it must be to see how expensive everything has gotten when you’re on a fixed income! Some of these folks retired 10-15 years ago and prices of everything have just exploded. And now whatever equities or mutual funds they held are worth half of what they were last year. The pressure on them to sell is going to be intense if they suffer high medical bills, a death in the family, etc… Also, if they have multiple kids, selling the home can actually relieve them of the fear of their kids fighting over it after they’re gone while simultaneously guaranteeing that they don’t become a burden to them by freeing up a bunch of cash.

Want to find deals? Keep your eyes on neighborhoods built in the late 60s/early 70s with a large number of original owners. And be willing to wait, wait, wait…

[blahblahblah]

It’s a sad story Pete but not an uncommon one. We tend to think everyone is like us, in their 30s/40s, successful, making money, doing well in their careers, etc… Those are the people we deal with on a daily basis so they become our universe. If we do deal with the elderly we automatically defer respect to them and assume — oh they live in DM, they’re probably rich and never have to worry about money. Then we go about our business.

But our retired and elderly neighbors do really inhabit a different reality than we do. Just imagine how frightening it must be to see how expensive everything has gotten when you’re on a fixed income! Some of these folks retired 10-15 years ago and prices of everything have just exploded. And now whatever equities or mutual funds they held are worth half of what they were last year. The pressure on them to sell is going to be intense if they suffer high medical bills, a death in the family, etc… Also, if they have multiple kids, selling the home can actually relieve them of the fear of their kids fighting over it after they’re gone while simultaneously guaranteeing that they don’t become a burden to them by freeing up a bunch of cash.

Want to find deals? Keep your eyes on neighborhoods built in the late 60s/early 70s with a large number of original owners. And be willing to wait, wait, wait…

[blahblahblah]

It’s a sad story Pete but not an uncommon one. We tend to think everyone is like us, in their 30s/40s, successful, making money, doing well in their careers, etc… Those are the people we deal with on a daily basis so they become our universe. If we do deal with the elderly we automatically defer respect to them and assume — oh they live in DM, they’re probably rich and never have to worry about money. Then we go about our business.

But our retired and elderly neighbors do really inhabit a different reality than we do. Just imagine how frightening it must be to see how expensive everything has gotten when you’re on a fixed income! Some of these folks retired 10-15 years ago and prices of everything have just exploded. And now whatever equities or mutual funds they held are worth half of what they were last year. The pressure on them to sell is going to be intense if they suffer high medical bills, a death in the family, etc… Also, if they have multiple kids, selling the home can actually relieve them of the fear of their kids fighting over it after they’re gone while simultaneously guaranteeing that they don’t become a burden to them by freeing up a bunch of cash.

Want to find deals? Keep your eyes on neighborhoods built in the late 60s/early 70s with a large number of original owners. And be willing to wait, wait, wait…

[blahblahblah]

It’s a sad story Pete but not an uncommon one. We tend to think everyone is like us, in their 30s/40s, successful, making money, doing well in their careers, etc… Those are the people we deal with on a daily basis so they become our universe. If we do deal with the elderly we automatically defer respect to them and assume — oh they live in DM, they’re probably rich and never have to worry about money. Then we go about our business.

But our retired and elderly neighbors do really inhabit a different reality than we do. Just imagine how frightening it must be to see how expensive everything has gotten when you’re on a fixed income! Some of these folks retired 10-15 years ago and prices of everything have just exploded. And now whatever equities or mutual funds they held are worth half of what they were last year. The pressure on them to sell is going to be intense if they suffer high medical bills, a death in the family, etc… Also, if they have multiple kids, selling the home can actually relieve them of the fear of their kids fighting over it after they’re gone while simultaneously guaranteeing that they don’t become a burden to them by freeing up a bunch of cash.

Want to find deals? Keep your eyes on neighborhoods built in the late 60s/early 70s with a large number of original owners. And be willing to wait, wait, wait…

[blahblahblah]

It’s a sad story Pete but not an uncommon one. We tend to think everyone is like us, in their 30s/40s, successful, making money, doing well in their careers, etc… Those are the people we deal with on a daily basis so they become our universe. If we do deal with the elderly we automatically defer respect to them and assume — oh they live in DM, they’re probably rich and never have to worry about money. Then we go about our business.

But our retired and elderly neighbors do really inhabit a different reality than we do. Just imagine how frightening it must be to see how expensive everything has gotten when you’re on a fixed income! Some of these folks retired 10-15 years ago and prices of everything have just exploded. And now whatever equities or mutual funds they held are worth half of what they were last year. The pressure on them to sell is going to be intense if they suffer high medical bills, a death in the family, etc… Also, if they have multiple kids, selling the home can actually relieve them of the fear of their kids fighting over it after they’re gone while simultaneously guaranteeing that they don’t become a burden to them by freeing up a bunch of cash.

Want to find deals? Keep your eyes on neighborhoods built in the late 60s/early 70s with a large number of original owners. And be willing to wait, wait, wait…

[blahblahblah]

There are always a certain number of forced sell situations arising. Death of a family member, severe illness with the corresponding high medical bills, divorce, job relocations, etc… In good markets these sales will not affect the going prices much. However in bad markets they can have a big effect. Just think of the families that bought in Del Mar in the 1970s. What happens when one of them gets cancer and needs a great deal of care? Once the insurance quits paying (and it always does) then it’s time to tap the house. They only paid $200K for it and if they can get $900K they can pay off their bills and still have enough left over to get a little condo in a senior community. So what if they could get $1.3M if they kept it on the market for 6 months. The bill collectors are calling today so old Mrs. Greene says “sell sell sell!” and someone gets a deal. Meanwhile everyone else in the neighborhood groans as a new low watermark has just been established.

Also, consider those aging families who had a substantial amount of their retirement in stocks and just lost half of it! Where is there retirement money going to come from now? You guessed it, that house they bought in 1972. Sell it and move to a senior community in Arizona with a nice chunk of change. Dad was tired of keeping up the yard anyway. He doesn’t get around like he used to, you know? And that dry heat is good for Mom’s arthritis…

I know, I know, these are contrived and unusual scenarios. Such sales will be overwhelmed by the hordes of Chinese tourists stepping off the cruise ships with suitcases full of money to purchase CV homes in cash. And of course all of the high-flying $250K/yr sales professionals and attorneys who will never be affected by the current downturn.

I’m just sayin’…

[blahblahblah]

There are always a certain number of forced sell situations arising. Death of a family member, severe illness with the corresponding high medical bills, divorce, job relocations, etc… In good markets these sales will not affect the going prices much. However in bad markets they can have a big effect. Just think of the families that bought in Del Mar in the 1970s. What happens when one of them gets cancer and needs a great deal of care? Once the insurance quits paying (and it always does) then it’s time to tap the house. They only paid $200K for it and if they can get $900K they can pay off their bills and still have enough left over to get a little condo in a senior community. So what if they could get $1.3M if they kept it on the market for 6 months. The bill collectors are calling today so old Mrs. Greene says “sell sell sell!” and someone gets a deal. Meanwhile everyone else in the neighborhood groans as a new low watermark has just been established.

Also, consider those aging families who had a substantial amount of their retirement in stocks and just lost half of it! Where is there retirement money going to come from now? You guessed it, that house they bought in 1972. Sell it and move to a senior community in Arizona with a nice chunk of change. Dad was tired of keeping up the yard anyway. He doesn’t get around like he used to, you know? And that dry heat is good for Mom’s arthritis…

I know, I know, these are contrived and unusual scenarios. Such sales will be overwhelmed by the hordes of Chinese tourists stepping off the cruise ships with suitcases full of money to purchase CV homes in cash. And of course all of the high-flying $250K/yr sales professionals and attorneys who will never be affected by the current downturn.

I’m just sayin’…

[blahblahblah]

There are always a certain number of forced sell situations arising. Death of a family member, severe illness with the corresponding high medical bills, divorce, job relocations, etc… In good markets these sales will not affect the going prices much. However in bad markets they can have a big effect. Just think of the families that bought in Del Mar in the 1970s. What happens when one of them gets cancer and needs a great deal of care? Once the insurance quits paying (and it always does) then it’s time to tap the house. They only paid $200K for it and if they can get $900K they can pay off their bills and still have enough left over to get a little condo in a senior community. So what if they could get $1.3M if they kept it on the market for 6 months. The bill collectors are calling today so old Mrs. Greene says “sell sell sell!” and someone gets a deal. Meanwhile everyone else in the neighborhood groans as a new low watermark has just been established.

Also, consider those aging families who had a substantial amount of their retirement in stocks and just lost half of it! Where is there retirement money going to come from now? You guessed it, that house they bought in 1972. Sell it and move to a senior community in Arizona with a nice chunk of change. Dad was tired of keeping up the yard anyway. He doesn’t get around like he used to, you know? And that dry heat is good for Mom’s arthritis…

I know, I know, these are contrived and unusual scenarios. Such sales will be overwhelmed by the hordes of Chinese tourists stepping off the cruise ships with suitcases full of money to purchase CV homes in cash. And of course all of the high-flying $250K/yr sales professionals and attorneys who will never be affected by the current downturn.

I’m just sayin’…

[Author]

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