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And you’d think some heavy duty putting out will occur on the part of your wife if you let her parents live with you cos she’s now grateful … could not be more opposite. They will nit pick, and either she’ll be stressed at defending you, or be hating you cos she agrees with them, and then they will spend hours and hours yakking about crap that happened 20 years ago to people you barely knew then, it bores and tires out everyone, and of course there is the biggie … “shhhh they can hear” … ergo … no one gets laid good for the duration of the visit.
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Indians have this tendency to believe the agent/salesman. I have often been told, what do you know compared to the sales person. She said this crap will be appreciating to the moon and beyond. WTF do you know.
That might be more the reason why sales people will shove aside white people to go sell to an asian. The asian will believe more of the BS the salesman will spew.
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Yes, I’d agree, however being a teacher while its entirely a really really noble profession is so shitty because of the high level of regulation, and the respect is pitiful in society … I mean they are directly viewed at as a expense and one ready made source of where tax dollars go and its just not one I would choose at all. However teaching is relatively easy, and hence a lot of people go for it. Just like they avoid math and physics cos its difficult and study art and history.
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OK essentially, Hong kong has high real estate values and allows free transfer into USD. OK I didn’t know. Do other countries also have the same aspects in asia. Cos I can tell you, India does have serious limits on how much you can move in dollars out of the country.
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Some of the nicer areas holding up: That cannot be more misleading.
I’d put it crudely in numbers if I can.
At time line a, location 1 is at $x and location 2 is at $y.
At time line b, location 1 is at $x’ and location 2 is at $y’.
I’d venture to guess that, if external factors dont affect these locations x’/x will be equal to y’/y.
Of course one location may have had a new school, another location may have had a office complex and a highway, whatever, all that will add to or subract from the desirability and skew our math.
Of course if one location was much different than the other to start with, it may have seen the rush of one ethnic group or seen a huge proliferation of certain types of loans which when were suddenly made available caused it to surge …
AKA, for example higher priced areas may have had more liars loans. Better school district areas may have had more asians.
So the theory is:- Good or bad areas will retain their mathematical relation to each other unless external factors (be it market forces or demographic or waht not) change that “good” or “bad” level.
So nicer areas holding up well, just BS. maybe nicer areas had old money and old houses with people who lived in there for years and years and they didn’t use their house as a checking account. Not so nice areas, have had reconstruction, infill or other BS happen. AKA, market forces.
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OK people bringing money in from asia : I doubt that. Why ??? Until ~7-10 years ago there where serious restrictions about how much you can bring over from India. In 1992 I was allowed $200. I am sure China and other asian countries are the same. I think they have increased it to ~2000 maybe, but its not gotten un capped I am sure. BTW The dollar used to be as high as 50 against the rupee, but it has recently dropped to ~45. So the weakening dollar, isn’t really against the third world really. Of course china has it indexed to the dollar.
Now I believe that it has to do with sense of entitlement. I routinely see my fellow co worker Injuns (who are probably making ~the same $$ as me) plonk down 450K+ for a 3000 sqft tract build which is also readily available from a different builder with lesser trim for 180K, and I have to wonder, what do these people know about the economy, demographics and history of this part of the country. Turns out, I have to explain to them what baby boomers are, what the bond market is all about and what the yen carry trade is. Oh yea, we all work at a bank, the largest in the world.
I just call it tunnel vision, or the fact that they let their wives decide and the marketing is geared to flummox women. I am there fore lucky … my wife will put the functionality of a plan well ahead of trim and design. Now I have to go find a 1 level house (Ranch) as per her orders. Sheesh.
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HOA leins are junior to the mortgage. Basically if you’re barely in the equity, the HOA clowns can line up and bite you, they’d lose their ass …
If you got 150K of equity, you’re screwed.
They can interrupt a sale, a refi, a transfer at death etc, but they get nothing in foreclosure. Or they are behind all the other leins on the property. Like if you’re a little behind, try to get a lot behind, cash out refi now, spend like there is no tommorow and leave them with the shaft …
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In some places (sacramento especially) houses are selling at below 2003 prices. Visit http://flippersintrouble.blogspot.com/
I just think its comming everywhere. Just that Sac has caught a lot of attention due to Casey Serin and hence is the first.
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I bought in a non bubble market in 2003. I thought I got a great deal. I see houses comming up for 2-3 times what I paid for similar size right in my neighborhood. Charlotte NC is where I live and the situation here is similar to what he described, only bigger. Big University – UNCC, 2 big banks, and there are houses on my street that are listed at 8-10% more than their purchase price, and they are not selling.
There is down side, especially is there is new construction which he has indicated there is. The problem with the steady employment situation is, there isn’t likely to be an upsurge which will cause things to sell and create a move up market. What they paid is irrelevant, what they owe is irrelevant, the fact that they are moving to a new house is indicative of the fact that there is supply, when demand is static. I can show you plenty of houses in charlotte where from 96 to 2002 the owners lost $$ and lost a good bit. 02 to now, I am assuming is flat, and in cases of some builders they are blowing a nice huge bubble. When it pops I presume it will blow up the whole city for a few years.
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I’ll agree with dejams. However the second generation is no where near the first. The sense of entitlement is through the roof. Yea maybe even the first gen, look at Casey Serin. Dude was cyber begging, and still said he deserved to have a good christmas.
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Midwest is toast. The industrial base of america has moved to china, 215 was high in 99 and 240 is insane now.
Detroit is repeating itself in several towns. I’d start at 200. But give them your hardship story and not tell them they are idiots. However … buying another house in that town … they’d hardly deny that.
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There have been cases where zillow was high by the whole asking price of a house. Z says its woorth 500K, its on the market for under 250K. BTW in march 06 Casey Serin paid 330K for a house which now is on the market as a foreclosure from the bank for 199K and its freaking high at 199. It may prolly sell at 150 in the next few months if the bank gets serious and drop its price fast … else it will sell for even less. So 06 spring prices can be up to 50+% high for today’s market.
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Rich foreigners … freaking oxymoron. No rich foreigner (especially after the conversion into dollars) is going to come to the USA. Only working class stiffs from 3rd world countries like India (in my case) and we are begining to think twice cos India of late has a improved quality of modern amenities and good jobs with better job security, in your home town etc etc … no having to move every 3 years cos you cant find a freaking decent job in your present town etc …
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In that article they have a segment
“Readers write in:
Borrowers are to blame! ”

That should have a picture – Casey Serin.

Now There is another addition I would like to make. Real estate Guru’s starting with Charlatan Cheats.
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I have seen large expensive homes getting built first, and the second builder builds large inexpensive homes. Heck. larger inexpensive homes. Poplar woods in Concord NC. I know, I built one of those inexpensive homes and never closed cos I fought with the beazer.
Brief history – Start out in 96 with Shea and David weekly build 3000 sqft at 100 a sqft. After 50 or so they bail with beazer comming in as the builder. Through 98-99 beazer builds ~240K for 3000 sqft. Side by side comparisons actually make the beazer look better atleast on the outside. Then they build their next cheaper set cos 98-00 the market got very slow in the area (.com migration in part, 1000’s of people left the area leaving Wachovia and B of A) at ~60-70 a sqft for a smaller house. Which is significant cos smaller means more $$ per sqft really. Then in 02 on the last 6 lots they build their pure tract build 2600 sqft for $50 a sqft. Nice house, but cheap. Also of note is that beazer bought Squires in 2000 I think and that might have changed their management philosophy.
In any case, in a down market, lot selling cannot be good news for the previous FB’s. The new builder will screw them with no qualms. They are after all, not their customers, they are their competitors customers. I’d suggest they get ready for the shafting of a life time. And that is even before the foreclosures hit. Watch as the whole area drops to 1/4th its value when its all done.
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