[(former)FormerSanDiegan]

December/January are extremely slow months in the rental market. I don’t think this unit would be easy to prep and fill in time for a Jan 1 move-in.
You can ask to get out of your lease, but if the landlord does not fill the unit, you are liable for that month.

Subleasing for one month does not seem worth the hassle. But, if you are anywhere near the beach or attractions, you couyld consider renting it out to an out-of-town family member or friend for a week or two around the holidays.

If you close in December your first mortgage payment will be due on Feb 1, so you shouldn’t have any real cash flow problems (but I do understand the desire to save a month’s rent).

Consider yourself lucky that you don’t have to move to an interim place between your current rental and your new home. We’ve had to do that in the past and would gladly have forked over an extra month’s rent to avoid the hassle and extra costs of doing it that way.

[(former)FormerSanDiegan]

December/January are extremely slow months in the rental market. I don’t think this unit would be easy to prep and fill in time for a Jan 1 move-in.
You can ask to get out of your lease, but if the landlord does not fill the unit, you are liable for that month.

Subleasing for one month does not seem worth the hassle. But, if you are anywhere near the beach or attractions, you couyld consider renting it out to an out-of-town family member or friend for a week or two around the holidays.

If you close in December your first mortgage payment will be due on Feb 1, so you shouldn’t have any real cash flow problems (but I do understand the desire to save a month’s rent).

Consider yourself lucky that you don’t have to move to an interim place between your current rental and your new home. We’ve had to do that in the past and would gladly have forked over an extra month’s rent to avoid the hassle and extra costs of doing it that way.

[(former)FormerSanDiegan]

[quote=jameswenn]It doesn’t matter, you send in your payments the servicer gets it to the investor.
[/quote]

The point is not what happens when people are making timely payments. It’s the complications that occur if/when they stop making payments or are falling behind on payments. There are multiple layers between the mortgagee and the parties with vested interests (including parties in between that may have conflicting interests) which complicate matters.

[(former)FormerSanDiegan]

[quote=jameswenn]It doesn’t matter, you send in your payments the servicer gets it to the investor.
[/quote]

The point is not what happens when people are making timely payments. It’s the complications that occur if/when they stop making payments or are falling behind on payments. There are multiple layers between the mortgagee and the parties with vested interests (including parties in between that may have conflicting interests) which complicate matters.

[(former)FormerSanDiegan]

[quote=jameswenn]It doesn’t matter, you send in your payments the servicer gets it to the investor.
[/quote]

The point is not what happens when people are making timely payments. It’s the complications that occur if/when they stop making payments or are falling behind on payments. There are multiple layers between the mortgagee and the parties with vested interests (including parties in between that may have conflicting interests) which complicate matters.

[(former)FormerSanDiegan]

[quote=jameswenn]It doesn’t matter, you send in your payments the servicer gets it to the investor.
[/quote]

The point is not what happens when people are making timely payments. It’s the complications that occur if/when they stop making payments or are falling behind on payments. There are multiple layers between the mortgagee and the parties with vested interests (including parties in between that may have conflicting interests) which complicate matters.

[(former)FormerSanDiegan]

[quote=jameswenn]It doesn’t matter, you send in your payments the servicer gets it to the investor.
[/quote]

The point is not what happens when people are making timely payments. It’s the complications that occur if/when they stop making payments or are falling behind on payments. There are multiple layers between the mortgagee and the parties with vested interests (including parties in between that may have conflicting interests) which complicate matters.

[(former)FormerSanDiegan]

I think the FISERV predictions are not worth the price of the storage for the bits they consume on the U-T web site servers.

Here is what FISERV predicted in August 2010, a mere 3.5 months ago …

“County home prices will decline 9.6 percent in the first quarter of 2011 vs. the first quarter this year, says an analysis from Fiserv, which provides the data for the widely watched Case-Shiller Indexes.”
Source :
http://www.signonsandiego.com/news/2010/aug/03/prices-of-homes-in-county-may-fall/

Price went from 370K to 390 K from 1Q 2010 to 2Q 2010, according to these two articles.

Let’s put these two together:

1. Decline of 9.6% from 1Q 2010 to 1Q 2011
gives us a price of ~ 335K in 1Q 2011.

2. Decline of 8.5% from 2Q 2010 to 2Q 2011
gives us a price of 356K in 2 Q 2011.

So, they have become noticably more optimistic in prices between their august prediciton for 1Q 2011 and their current November prediction for 2Q 2011.

Here’s an example of one of their predictions from circa 2007 ….

The source for the prediction (FISERV) in the article predicted a 1.3% decline from April 2007 to April 2008, per the link below.

How did they do ?

The San Diego market declined by ~ 20% in the ensuing 12 months. The average decline PER MONTH was about equal to their precited annual decline.
They published their prediction on the cusp of the most precipitous 18-month decline in San Diego history and completely missed it … by more than an order of magnitude.

Why should we put any weight on their current predictions ?

linky …

http://money.cnn.com/2007/04/09/real_estate/forecast.moneymag/index.htm

[(former)FormerSanDiegan]

I think the FISERV predictions are not worth the price of the storage for the bits they consume on the U-T web site servers.

Here is what FISERV predicted in August 2010, a mere 3.5 months ago …

“County home prices will decline 9.6 percent in the first quarter of 2011 vs. the first quarter this year, says an analysis from Fiserv, which provides the data for the widely watched Case-Shiller Indexes.”
Source :
http://www.signonsandiego.com/news/2010/aug/03/prices-of-homes-in-county-may-fall/

Price went from 370K to 390 K from 1Q 2010 to 2Q 2010, according to these two articles.

Let’s put these two together:

1. Decline of 9.6% from 1Q 2010 to 1Q 2011
gives us a price of ~ 335K in 1Q 2011.

2. Decline of 8.5% from 2Q 2010 to 2Q 2011
gives us a price of 356K in 2 Q 2011.

So, they have become noticably more optimistic in prices between their august prediciton for 1Q 2011 and their current November prediction for 2Q 2011.

Here’s an example of one of their predictions from circa 2007 ….

The source for the prediction (FISERV) in the article predicted a 1.3% decline from April 2007 to April 2008, per the link below.

How did they do ?

The San Diego market declined by ~ 20% in the ensuing 12 months. The average decline PER MONTH was about equal to their precited annual decline.
They published their prediction on the cusp of the most precipitous 18-month decline in San Diego history and completely missed it … by more than an order of magnitude.

Why should we put any weight on their current predictions ?

linky …

http://money.cnn.com/2007/04/09/real_estate/forecast.moneymag/index.htm

[(former)FormerSanDiegan]

I think the FISERV predictions are not worth the price of the storage for the bits they consume on the U-T web site servers.

Here is what FISERV predicted in August 2010, a mere 3.5 months ago …

“County home prices will decline 9.6 percent in the first quarter of 2011 vs. the first quarter this year, says an analysis from Fiserv, which provides the data for the widely watched Case-Shiller Indexes.”
Source :
http://www.signonsandiego.com/news/2010/aug/03/prices-of-homes-in-county-may-fall/

Price went from 370K to 390 K from 1Q 2010 to 2Q 2010, according to these two articles.

Let’s put these two together:

1. Decline of 9.6% from 1Q 2010 to 1Q 2011
gives us a price of ~ 335K in 1Q 2011.

2. Decline of 8.5% from 2Q 2010 to 2Q 2011
gives us a price of 356K in 2 Q 2011.

So, they have become noticably more optimistic in prices between their august prediciton for 1Q 2011 and their current November prediction for 2Q 2011.

Here’s an example of one of their predictions from circa 2007 ….

The source for the prediction (FISERV) in the article predicted a 1.3% decline from April 2007 to April 2008, per the link below.

How did they do ?

The San Diego market declined by ~ 20% in the ensuing 12 months. The average decline PER MONTH was about equal to their precited annual decline.
They published their prediction on the cusp of the most precipitous 18-month decline in San Diego history and completely missed it … by more than an order of magnitude.

Why should we put any weight on their current predictions ?

linky …

http://money.cnn.com/2007/04/09/real_estate/forecast.moneymag/index.htm

[(former)FormerSanDiegan]

I think the FISERV predictions are not worth the price of the storage for the bits they consume on the U-T web site servers.

Here is what FISERV predicted in August 2010, a mere 3.5 months ago …

“County home prices will decline 9.6 percent in the first quarter of 2011 vs. the first quarter this year, says an analysis from Fiserv, which provides the data for the widely watched Case-Shiller Indexes.”
Source :
http://www.signonsandiego.com/news/2010/aug/03/prices-of-homes-in-county-may-fall/

Price went from 370K to 390 K from 1Q 2010 to 2Q 2010, according to these two articles.

Let’s put these two together:

1. Decline of 9.6% from 1Q 2010 to 1Q 2011
gives us a price of ~ 335K in 1Q 2011.

2. Decline of 8.5% from 2Q 2010 to 2Q 2011
gives us a price of 356K in 2 Q 2011.

So, they have become noticably more optimistic in prices between their august prediciton for 1Q 2011 and their current November prediction for 2Q 2011.

Here’s an example of one of their predictions from circa 2007 ….

The source for the prediction (FISERV) in the article predicted a 1.3% decline from April 2007 to April 2008, per the link below.

How did they do ?

The San Diego market declined by ~ 20% in the ensuing 12 months. The average decline PER MONTH was about equal to their precited annual decline.
They published their prediction on the cusp of the most precipitous 18-month decline in San Diego history and completely missed it … by more than an order of magnitude.

Why should we put any weight on their current predictions ?

linky …

http://money.cnn.com/2007/04/09/real_estate/forecast.moneymag/index.htm

[(former)FormerSanDiegan]

I think the FISERV predictions are not worth the price of the storage for the bits they consume on the U-T web site servers.

Here is what FISERV predicted in August 2010, a mere 3.5 months ago …

“County home prices will decline 9.6 percent in the first quarter of 2011 vs. the first quarter this year, says an analysis from Fiserv, which provides the data for the widely watched Case-Shiller Indexes.”
Source :
http://www.signonsandiego.com/news/2010/aug/03/prices-of-homes-in-county-may-fall/

Price went from 370K to 390 K from 1Q 2010 to 2Q 2010, according to these two articles.

Let’s put these two together:

1. Decline of 9.6% from 1Q 2010 to 1Q 2011
gives us a price of ~ 335K in 1Q 2011.

2. Decline of 8.5% from 2Q 2010 to 2Q 2011
gives us a price of 356K in 2 Q 2011.

So, they have become noticably more optimistic in prices between their august prediciton for 1Q 2011 and their current November prediction for 2Q 2011.

Here’s an example of one of their predictions from circa 2007 ….

The source for the prediction (FISERV) in the article predicted a 1.3% decline from April 2007 to April 2008, per the link below.

How did they do ?

The San Diego market declined by ~ 20% in the ensuing 12 months. The average decline PER MONTH was about equal to their precited annual decline.
They published their prediction on the cusp of the most precipitous 18-month decline in San Diego history and completely missed it … by more than an order of magnitude.

Why should we put any weight on their current predictions ?

linky …

http://money.cnn.com/2007/04/09/real_estate/forecast.moneymag/index.htm

[(former)FormerSanDiegan]

I would build up more cash reserves and work on credit scores first. (Of course, that’s NOT what I did when I was in your shoes, but my timing was lucky)

If you decide to buy, though, consider the potential cash flow if you were to turn it into a rental. That way your future plans to move up or move on will have more flexibility.

[(former)FormerSanDiegan]

I would build up more cash reserves and work on credit scores first. (Of course, that’s NOT what I did when I was in your shoes, but my timing was lucky)

If you decide to buy, though, consider the potential cash flow if you were to turn it into a rental. That way your future plans to move up or move on will have more flexibility.

[(former)FormerSanDiegan]

I would build up more cash reserves and work on credit scores first. (Of course, that’s NOT what I did when I was in your shoes, but my timing was lucky)

If you decide to buy, though, consider the potential cash flow if you were to turn it into a rental. That way your future plans to move up or move on will have more flexibility.

[Author]

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