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maybe
ParticipantHow much would the house rent out for?
ParticipantHow much would the house rent out for?
ParticipantHow much would the house rent out for?
ParticipantHow much would the house rent out for?
ParticipantTake Crown Hill, which is way over valued. Most of the homes in there are still over $500k and many are nearly $700k. I am shocked, these homes have been on the market for months. What do the sellers think is going to happen?
Think of it from the perspective of a seller with a bubble-level, I/O or neg am purchase money mortgage.
There are two options:
1) sell for enough to pay off your mortgage; or2) (short) sell for less than your mortgage and ruin your credit rating.
With option 2, it doesn’t matter whether you sell for 100k$ less than your mortgage or 200k$ less– your credit rating is ruined in either case. You have no incentive to actually sell before the price drops get more severe since your cost (i.e., your credit rating) is ruined no matter how much the bank loses. The only thing that saves you this cost is selling at bubble-level prices…
ParticipantTake Crown Hill, which is way over valued. Most of the homes in there are still over $500k and many are nearly $700k. I am shocked, these homes have been on the market for months. What do the sellers think is going to happen?
Think of it from the perspective of a seller with a bubble-level, I/O or neg am purchase money mortgage.
There are two options:
1) sell for enough to pay off your mortgage; or2) (short) sell for less than your mortgage and ruin your credit rating.
With option 2, it doesn’t matter whether you sell for 100k$ less than your mortgage or 200k$ less– your credit rating is ruined in either case. You have no incentive to actually sell before the price drops get more severe since your cost (i.e., your credit rating) is ruined no matter how much the bank loses. The only thing that saves you this cost is selling at bubble-level prices…
ParticipantTake Crown Hill, which is way over valued. Most of the homes in there are still over $500k and many are nearly $700k. I am shocked, these homes have been on the market for months. What do the sellers think is going to happen?
Think of it from the perspective of a seller with a bubble-level, I/O or neg am purchase money mortgage.
There are two options:
1) sell for enough to pay off your mortgage; or2) (short) sell for less than your mortgage and ruin your credit rating.
With option 2, it doesn’t matter whether you sell for 100k$ less than your mortgage or 200k$ less– your credit rating is ruined in either case. You have no incentive to actually sell before the price drops get more severe since your cost (i.e., your credit rating) is ruined no matter how much the bank loses. The only thing that saves you this cost is selling at bubble-level prices…
ParticipantTake Crown Hill, which is way over valued. Most of the homes in there are still over $500k and many are nearly $700k. I am shocked, these homes have been on the market for months. What do the sellers think is going to happen?
Think of it from the perspective of a seller with a bubble-level, I/O or neg am purchase money mortgage.
There are two options:
1) sell for enough to pay off your mortgage; or2) (short) sell for less than your mortgage and ruin your credit rating.
With option 2, it doesn’t matter whether you sell for 100k$ less than your mortgage or 200k$ less– your credit rating is ruined in either case. You have no incentive to actually sell before the price drops get more severe since your cost (i.e., your credit rating) is ruined no matter how much the bank loses. The only thing that saves you this cost is selling at bubble-level prices…
ParticipantTake Crown Hill, which is way over valued. Most of the homes in there are still over $500k and many are nearly $700k. I am shocked, these homes have been on the market for months. What do the sellers think is going to happen?
Think of it from the perspective of a seller with a bubble-level, I/O or neg am purchase money mortgage.
There are two options:
1) sell for enough to pay off your mortgage; or2) (short) sell for less than your mortgage and ruin your credit rating.
With option 2, it doesn’t matter whether you sell for 100k$ less than your mortgage or 200k$ less– your credit rating is ruined in either case. You have no incentive to actually sell before the price drops get more severe since your cost (i.e., your credit rating) is ruined no matter how much the bank loses. The only thing that saves you this cost is selling at bubble-level prices…
Participantasianautica– I’m a former landlord and this still doesn’t attract me.
Even assuming $1800/month and neglecting depreciation and vacancy, I still wouldn’t pull the trigger.
I can get 8% taxable equivalent from muni’s and the State of California will never call me at 11 PM on a weeknight to replace the plunger on the toilet…
Participantasianautica– I’m a former landlord and this still doesn’t attract me.
Even assuming $1800/month and neglecting depreciation and vacancy, I still wouldn’t pull the trigger.
I can get 8% taxable equivalent from muni’s and the State of California will never call me at 11 PM on a weeknight to replace the plunger on the toilet…
Participantasianautica– I’m a former landlord and this still doesn’t attract me.
Even assuming $1800/month and neglecting depreciation and vacancy, I still wouldn’t pull the trigger.
I can get 8% taxable equivalent from muni’s and the State of California will never call me at 11 PM on a weeknight to replace the plunger on the toilet…
Participantasianautica– I’m a former landlord and this still doesn’t attract me.
Even assuming $1800/month and neglecting depreciation and vacancy, I still wouldn’t pull the trigger.
I can get 8% taxable equivalent from muni’s and the State of California will never call me at 11 PM on a weeknight to replace the plunger on the toilet…
Participantasianautica– I’m a former landlord and this still doesn’t attract me.
Even assuming $1800/month and neglecting depreciation and vacancy, I still wouldn’t pull the trigger.
I can get 8% taxable equivalent from muni’s and the State of California will never call me at 11 PM on a weeknight to replace the plunger on the toilet…
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