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Pasadena Broker
ParticipantWhy not?
What do you think set the prices for the homes? The great location of the property, your profound sales skill, or cause of its’ rustic charm? Realtor guys found the place for the buyer, we got you the financing because we kept a pulse on how the lenders wanted the loan packaged.
Alt-A is done. Most of us on the mortgage end are sitting on the sidelines hoping most of the lenders we work with are going to bring it back, but something tells me that they won’t.
20-40% decline, sure…It’ll take those type of decreases for income to meet price. Plus, you can ask whatever pie in the sky price for a property, but unless you find a buyer that can either buy it cash, or fully state their income, you’ll have buyers but no financing. The decline won’t happen overnight since most sellers and realtors are clueless. I tried telling some of my realtors that the credit market was crumbling apart and aside from the look of panic from the old timers, the newbies had a blank stare like I told them that aliens have landed on Capital Hill.
ParticipantWhy not?
What do you think set the prices for the homes? The great location of the property, your profound sales skill, or cause of its’ rustic charm? Realtor guys found the place for the buyer, we got you the financing because we kept a pulse on how the lenders wanted the loan packaged.
Alt-A is done. Most of us on the mortgage end are sitting on the sidelines hoping most of the lenders we work with are going to bring it back, but something tells me that they won’t.
20-40% decline, sure…It’ll take those type of decreases for income to meet price. Plus, you can ask whatever pie in the sky price for a property, but unless you find a buyer that can either buy it cash, or fully state their income, you’ll have buyers but no financing. The decline won’t happen overnight since most sellers and realtors are clueless. I tried telling some of my realtors that the credit market was crumbling apart and aside from the look of panic from the old timers, the newbies had a blank stare like I told them that aliens have landed on Capital Hill.
ParticipantNice way to try and source for business…
Newbie originator, you visit realtors for business…
ParticipantNice way to try and source for business…
Newbie originator, you visit realtors for business…
ParticipantFirst of all, if you were in the business a few years ago, why are you asking what type of loan you should be committing yourself on a faceless blog?
Early nineties were wrought with balloons, and not the ones that are filled withe helium. I think you’re a troll. A newbie homebuyer that might/might not be already in escrow and is wondering if that 7/1 ARM is the best choice. Let me give you some free advice from someone that lives and breathes this market, and not a cubicle gopher that post on this blog hoping the market tanks (and affecting the economy as a whole)…go with the traditional mortgage. The 7/1 or 5/1 versus the 30 year isn’t that big of a difference. If $100-$150 is going to put a crimp in your budget then you’re better off renting.
I’ve posted on this blog in the past, and I read it for kicks, but to ask for advice on a blog is beyond what I call sound advice. There’s no accountability. Just faceless people giving their 2 cents…like walking down a street and asking random people for financial advice.
ParticipantFirst of all, if you were in the business a few years ago, why are you asking what type of loan you should be committing yourself on a faceless blog?
Early nineties were wrought with balloons, and not the ones that are filled withe helium. I think you’re a troll. A newbie homebuyer that might/might not be already in escrow and is wondering if that 7/1 ARM is the best choice. Let me give you some free advice from someone that lives and breathes this market, and not a cubicle gopher that post on this blog hoping the market tanks (and affecting the economy as a whole)…go with the traditional mortgage. The 7/1 or 5/1 versus the 30 year isn’t that big of a difference. If $100-$150 is going to put a crimp in your budget then you’re better off renting.
I’ve posted on this blog in the past, and I read it for kicks, but to ask for advice on a blog is beyond what I call sound advice. There’s no accountability. Just faceless people giving their 2 cents…like walking down a street and asking random people for financial advice.
Participant4.4?
Nope. Have your agent do their job and get another lender to qualify the buyer.
An offer is just that, an offer. Until they sign off on contingencies and the loan is funded, it can fall out of escrow even on the 29th day of a 30 day escrow. Lately, lenders are adding on conditions on top of their original conditions and some have flat out refused to fund the loan even when all the conditions have been met.
ParticipantI posted that data numbers are objective, however, interpretation is subjective, because isn’t that the case, data will always be interpreted one way or another. Real estate is personal, why else would there be so much emotion attached to it from the sellers wanting someone to fund their retirement to adamant buyers that are waiting for the proverbial ‘other shoe’ to drop. Granted my experience is centered around the Southern California area, and specifically in the Los Angeles area. So I can only discuss what I know. I can say that if you had bought property in 1991 in the Los Angeles area, you experienced a 20-30% decline depending on the area. That’s a 20-30% decline from your purchase price in 1991. Fast forward to 2000-2005, you would’ve realized a gain around or above 100%.
The passing comment I posted was directed at the article from CNN MONEY. As for waiting out the market, being a debt slave, market that’s flattening, moving down, or sinking like a turn of the century English cruise liner, it’s a matter of opinion, honestly, isn’t it? In hindsight from the current market, we can all point back and place a general time frame when the market ‘peaked’. However, there are still people buying, not at the same volume as last year. Everyone’s reasoning is different and timing is relative to every individual. My opinion on the market is that we won’t see the YOY appreciation we saw in the past 3 years (if you want the data numbers, I’m sure there are sites that provide them) relative to each area. I think a huge loss isn’t likely, here’s why, and this is more left brain thinking with human responses rather than right brain with numbers and graphs. Why? The information is readily available (Internet, ZipRealty, Zillow) that anyone can log in and do their own homework, how much did you rely on the internet in 1991 or 1983? Isn’t the speed of information and the large industrial employers different (yes, I’ve read the ‘it’s different this time’ comments) and not something that will change anytime soon? I think I’m about as right as everyone else on this forum and just as wrong. Which is why, I don’t recommend anyone to hold their breath.
October 2, 2006 at 5:12 PM in reply to: People still buying – masses have no clue about bubble #37059ParticipantPeople aren’t as savy as the ones on this board…
but then again, how savy are most people on this board? I’ve read comments from ranging from hostile to subdued regarding the housing market.
Sad to say this, but for most of you on this board, prices will have to come down, what, 40%, before you’ll grace the real estate market with your money?
Keep waiting…I’m sure that one special deal on that house that no one is in the market for is waiting for you, because, after all, you’re the smart one with the plan and of course, no one is behind you waiting for the same thing with the same idea. We’re all going to get rich or into a home when the big boom hits and the foreclosure market opens up and we’ll all have our pick of whatever house is out there….
get real.
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