[NotCranky]

SDR
The Mira Mesa Activity caught me be surprise this week.A client, who I thought was waiting to get out of Mira Mesa, brought up buying a second house there.There are indeed many pendings. I checked sales for the last calendar month and there were only 2 over last year. My guess is that failure rate for escrows will be pretty high or it will take a long time for some of these properties to close. Still,offer activity and pendings are pretty surprising. I checked the surrounding areas, which are all higher priced of course. It looks for the most part like activity matches last year pretty closely or that sales volume will be even lower.

This comparison has brought up a new concept for a possible trend. “Flight to Cheap”. This seems to make sense. Geographically, Mira Mesa is much like the other higher priced areas but is on fire by comparison. It is interesting that a year year and a half back. We were discussing “flight to quality” with regards to CV. Which was relatively on fire at the time. Money was still easy to get in large quantities then now it is not.

The “Flight to Cheap” Syndrome may get stronger for several reason. Buyers want to hedge potential losses with modesty(what a concept). Money is tight, probably especially down payment money. It is easier to come up with 10-20% down on 350K than 650K.

Now the question bothering me is… what happens after this hypothetical flight to cheap ? Is Mira Mesa going to find support first and the surrounding areas come down relatively? Is this a false floor and “cheap” ain’t “cheap enough yet(even in Mira Mesa)? I am thinking some of both but I am feeling like making predictions gets sightly more dangerous as time and price declines go by.On the other hand I don’t want to haphazardly slip into inuendo because of a few sales or pending sales.

[NotCranky]

James,

I am not going to pretend to know what that property should go for. It does seem very worthwhile to wait and find out.

That might be a starter home for some or a nice place for “empty nesters” or anyone else that wants it. Many first time buyers buy much less home than that and many others buy much more. Rough guess…that is a middle of the road “starter”.

[NotCranky]

James,

I am not going to pretend to know what that property should go for. It does seem very worthwhile to wait and find out.

That might be a starter home for some or a nice place for “empty nesters” or anyone else that wants it. Many first time buyers buy much less home than that and many others buy much more. Rough guess…that is a middle of the road “starter”.

[NotCranky]

James,

I am not going to pretend to know what that property should go for. It does seem very worthwhile to wait and find out.

That might be a starter home for some or a nice place for “empty nesters” or anyone else that wants it. Many first time buyers buy much less home than that and many others buy much more. Rough guess…that is a middle of the road “starter”.

[NotCranky]

James,

I am not going to pretend to know what that property should go for. It does seem very worthwhile to wait and find out.

That might be a starter home for some or a nice place for “empty nesters” or anyone else that wants it. Many first time buyers buy much less home than that and many others buy much more. Rough guess…that is a middle of the road “starter”.

[NotCranky]

James,

I am not going to pretend to know what that property should go for. It does seem very worthwhile to wait and find out.

That might be a starter home for some or a nice place for “empty nesters” or anyone else that wants it. Many first time buyers buy much less home than that and many others buy much more. Rough guess…that is a middle of the road “starter”.

[NotCranky]

Basketball a Robb field was pretty rough. Not just the concrete courts either. You must be a pretty tough guy BobS. I didn’t have one particular spot where I played so much but that was a good one. Mission bay park weekend mornings too. I played a lot of tennis at Robb and occasionally at the the college.

[NotCranky]

Basketball a Robb field was pretty rough. Not just the concrete courts either. You must be a pretty tough guy BobS. I didn’t have one particular spot where I played so much but that was a good one. Mission bay park weekend mornings too. I played a lot of tennis at Robb and occasionally at the the college.

[NotCranky]

Basketball a Robb field was pretty rough. Not just the concrete courts either. You must be a pretty tough guy BobS. I didn’t have one particular spot where I played so much but that was a good one. Mission bay park weekend mornings too. I played a lot of tennis at Robb and occasionally at the the college.

[NotCranky]

Basketball a Robb field was pretty rough. Not just the concrete courts either. You must be a pretty tough guy BobS. I didn’t have one particular spot where I played so much but that was a good one. Mission bay park weekend mornings too. I played a lot of tennis at Robb and occasionally at the the college.

[NotCranky]

Basketball a Robb field was pretty rough. Not just the concrete courts either. You must be a pretty tough guy BobS. I didn’t have one particular spot where I played so much but that was a good one. Mission bay park weekend mornings too. I played a lot of tennis at Robb and occasionally at the the college.

[NotCranky]

This has changed over time SDR. For a while, If I remember correctly the buyer had to indicate passive or active removal of contingencies. My broker doesn’t like the curent language and if he wants the loan contingency to remain in effect for the duration of escrow or until funding he puts it in an addendum just to be sure it is clear. I have not had a problem with it but I’ll be honest I don’t understand that language about continuation of contingencies in that section of the contract.That is why I said in another post a lawyer could interpret it various ways. Seems you are always thinking active removal is required to put the buyer’s deposit in jeopardy? Maybe you could go help donaldduckmoore on his thread. He is worried about his deposit and although he didn’t state if he removed his contingency in writing, I told him he could have a hard time getting it back.I am not sticking my neck out with a supposedly conclusive answer on somebody else’s escrow on this topic. Anyway it is a shame if an agent doesn’t help protect the deposit when they write the offer.

[NotCranky]

This has changed over time SDR. For a while, If I remember correctly the buyer had to indicate passive or active removal of contingencies. My broker doesn’t like the curent language and if he wants the loan contingency to remain in effect for the duration of escrow or until funding he puts it in an addendum just to be sure it is clear. I have not had a problem with it but I’ll be honest I don’t understand that language about continuation of contingencies in that section of the contract.That is why I said in another post a lawyer could interpret it various ways. Seems you are always thinking active removal is required to put the buyer’s deposit in jeopardy? Maybe you could go help donaldduckmoore on his thread. He is worried about his deposit and although he didn’t state if he removed his contingency in writing, I told him he could have a hard time getting it back.I am not sticking my neck out with a supposedly conclusive answer on somebody else’s escrow on this topic. Anyway it is a shame if an agent doesn’t help protect the deposit when they write the offer.

[NotCranky]

This has changed over time SDR. For a while, If I remember correctly the buyer had to indicate passive or active removal of contingencies. My broker doesn’t like the curent language and if he wants the loan contingency to remain in effect for the duration of escrow or until funding he puts it in an addendum just to be sure it is clear. I have not had a problem with it but I’ll be honest I don’t understand that language about continuation of contingencies in that section of the contract.That is why I said in another post a lawyer could interpret it various ways. Seems you are always thinking active removal is required to put the buyer’s deposit in jeopardy? Maybe you could go help donaldduckmoore on his thread. He is worried about his deposit and although he didn’t state if he removed his contingency in writing, I told him he could have a hard time getting it back.I am not sticking my neck out with a supposedly conclusive answer on somebody else’s escrow on this topic. Anyway it is a shame if an agent doesn’t help protect the deposit when they write the offer.

[NotCranky]

This has changed over time SDR. For a while, If I remember correctly the buyer had to indicate passive or active removal of contingencies. My broker doesn’t like the curent language and if he wants the loan contingency to remain in effect for the duration of escrow or until funding he puts it in an addendum just to be sure it is clear. I have not had a problem with it but I’ll be honest I don’t understand that language about continuation of contingencies in that section of the contract.That is why I said in another post a lawyer could interpret it various ways. Seems you are always thinking active removal is required to put the buyer’s deposit in jeopardy? Maybe you could go help donaldduckmoore on his thread. He is worried about his deposit and although he didn’t state if he removed his contingency in writing, I told him he could have a hard time getting it back.I am not sticking my neck out with a supposedly conclusive answer on somebody else’s escrow on this topic. Anyway it is a shame if an agent doesn’t help protect the deposit when they write the offer.

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