[PD]

There are certain areas where it seems probable that prices will correct over 50%. A while back I walked through some townhouses in Chula Vista near the trolley station. They were garbage – small, poorly built with tiny patio yards. The asking price was over 500k! A 500k starter home at current wages is insane! Even at 250k, these townhomes are out of range of the target buyer. I bet over 95% of the buyers of these properties have 100% LTV. So how many will go to foreclosure?

[PD]

I just received a Coronado Lifestyle magazine with a damage control article prominently placed in it.

“The New Reality in Real Estate: We’re Getting Back to Normal (PS Normal in Coronado is Pretty Darn Great.)”

Welcome back to normal, say California economists and Coronado Realtors. Say, what did normal look like anyway? And what lies ahead? Let’s catch our breath, and check in with the facts and the future. The good news is that Coronado prices are adjusting: a bubble is not bursting. And 2006 figures support that – while real estate prices fell overall throughout San Diego County, there were three notable exceptions: La Jolla, Rancho Santa Fe and Coronado, where prices in the land of Oz rose six percent in 2006 over the previous year to a median of $1,299,000.

Whew, so “adjusting” must mean prices are going up. But if they were going up, why is there need for an article telling people to calm down? The fact is that prices have come down in Coronado. Some properties may still be selling at peak prices but a lot of properties are selling 10% off peak here. The whole thing was 7 pages of happy talk. It is different here, folks.

[PD]

I just received a Coronado Lifestyle magazine with a damage control article prominently placed in it.

“The New Reality in Real Estate: We’re Getting Back to Normal (PS Normal in Coronado is Pretty Darn Great.)”

Welcome back to normal, say California economists and Coronado Realtors. Say, what did normal look like anyway? And what lies ahead? Let’s catch our breath, and check in with the facts and the future. The good news is that Coronado prices are adjusting: a bubble is not bursting. And 2006 figures support that – while real estate prices fell overall throughout San Diego County, there were three notable exceptions: La Jolla, Rancho Santa Fe and Coronado, where prices in the land of Oz rose six percent in 2006 over the previous year to a median of $1,299,000.

Whew, so “adjusting” must mean prices are going up. But if they were going up, why is there need for an article telling people to calm down? The fact is that prices have come down in Coronado. Some properties may still be selling at peak prices but a lot of properties are selling 10% off peak here. The whole thing was 7 pages of happy talk. It is different here, folks.

[PD]

If you don’t like Fox, fine. Say so. But don’t call them racist for airing a story that featured a black man. Save that charge for when it is really true. It is just like crying wolf.

[PD]

If you don’t like Fox, fine. Say so. But don’t call them racist for airing a story that featured a black man. Save that charge for when it is really true. It is just like crying wolf.

[PD]

Drunkle, your comment was ridiculous. The guy was engaged in fraud. Please prove the following before accusing Fox of being racist:
1) There were a number of white guys on Flip (this, that) house who were engaged in similar fraud.
2) Fox knew of these white guys who were engaged in fraud and had enough information for an expose on them.
3) Fox purposefully showcased the black guy and ignored the white guys who engaged in fraud.
I posit that if Fox knew of others, they would have showcased them as well. It would have made a much more interesting show and would have proved that fraud in these shows was systemic rather than an anomaly.

[PD]

Drunkle, your comment was ridiculous. The guy was engaged in fraud. Please prove the following before accusing Fox of being racist:
1) There were a number of white guys on Flip (this, that) house who were engaged in similar fraud.
2) Fox knew of these white guys who were engaged in fraud and had enough information for an expose on them.
3) Fox purposefully showcased the black guy and ignored the white guys who engaged in fraud.
I posit that if Fox knew of others, they would have showcased them as well. It would have made a much more interesting show and would have proved that fraud in these shows was systemic rather than an anomaly.

[PD]

I think the declines are going to be faster and deeper than they have been. It is getting harder for people to get loans, which is the only thing that is going to slow down the GFs still buying (or force them to pay less).

[PD]

I think the declines are going to be faster and deeper than they have been. It is getting harder for people to get loans, which is the only thing that is going to slow down the GFs still buying (or force them to pay less).

[PD]

There are many people out there who should be living in homes that are paid off or close to paid off who have spent their equity. My mom is in her 60s and told that me that all of her friends have been taking money out of their houses (and spending it) and have advised her to do the same. I know of at least one couple in their 60s who took out an amount about equal to their yearly income to pay for their daughter’s stupidly expensive wedding. …Nothing like mortgaging your future for a six hour party.

[PD]

There are many people out there who should be living in homes that are paid off or close to paid off who have spent their equity. My mom is in her 60s and told that me that all of her friends have been taking money out of their houses (and spending it) and have advised her to do the same. I know of at least one couple in their 60s who took out an amount about equal to their yearly income to pay for their daughter’s stupidly expensive wedding. …Nothing like mortgaging your future for a six hour party.

[PD]

With respect to the long commute, people just have to live and learn. We did it once. Family told us not to do it but we went ahead anyway (nice house, great area and all that). Major Mistake! We will never do that again. I would much rather have a house half the size and have my husband home before the kids the go to bed.

[PD]

12 years would soooooo painful. I can’t imagine renting for another 9 years. Yuck!!!

[PD]

Ozzie got a little bee in his bonnet.
It doesn’t matter who took the loss. There was a loss. Period. That is what matters. The transaction has set a comp.

[PD]

The peak in many areas was not until August 05. If you take that 18 months and then extend it a couple of months through the spring selling season (where you almost always see in an increase in prices even in down markets), you get where we are right now.

[Author]

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