Forum Replies Created
-
AuthorPosts
-
April 3, 2007 at 3:33 PM in reply to: How to find property prices for certain areas for each year? #49091
PerryChase
ParticipantThere you go.
http://realestate.signonsandiego.com/area_homesales/
Scroll down for 2000 info.
http://realestate.signonsandiego.com/area_homesales/pastyears.phpParticipanthipmatt, I think that they’re are plenty of trigger happy buyers as you call them. They still think that RE only goes up.
A bottom won’t be found until those trigger happy buyers are satiated, and all the reset foreclosures hit the market. The house cleaning has only begun.
ParticipantThe land and the cost structure in California support high prices. In Texas builders can sell profitably at $80/sf so that’s proof that construction costs aren’t the culprit.
It’s all the associated costs/mark-ups that lead to high prices. It takes years for a developer to get land “entitled” for development and he wants compensation for his efforts.
If buyers simply refuse to buy in MR and HOA areas, then developers have 2 options.
1) raise prices to make up for the difference.
2) eat the cost and live with lower profit margins. They most likely have to choose option 2 during downturns where buyers are hard to come by.Developers have to keep on selling to earn a living so if buyers are picky, then builders have to lower margins to get products moving.
I think that homeowners can get together to dissolve an HOA just like stockholders can dissolve a corporation.
About Mello Roos, once the bonds have been issued, they have to be paid back, either immediately or over time. Another thread discussed the fact that the builder can pay the Mello Roos on behalf of the buyers.
Participantsdcellar, I didn’t direct the comment at you. As a matter of fact, going to these events can be great entertainment so that’s probably why you attended. 🙂 I was picturing all of the attendees who come out of those seminars energized, positive, “born-again,” and of course ready to make a commitment by buying-in. Those seminars work otherwise they wouldn’t hold them.
I plan to take a tour of Downtown sponsored by the Center City Development Corp next month. I’m expecting a sales pitch for suckers but I figure that it’s better than driving around and looking at all the buildings on my own.
ParticipantHow do people afford the luxuries?
I think that we need to go back 25 years and look at the financial/credit industry.
It used to be that you had to have a downpayment to buy a car. Now it’s the NINJA (no income, no job or assets) loans. It used to be that only business executive would lease cars. Now everyone does it.
It used to be that you need a downpayment to buy a house. Now you can can do NINJA 100% financing, interest only, option ARMS or negative amortization.
It used to be that teenagers had to work and save to buy stuff. Now they just apply for credit cards.
The lenders don’t want to do any real underwriting because it’s costly to staff those departments. They now rely on computer models and FICO scores to assign risk to certain borrowers and to figure out the interest rates to charge. but they forgot that with computer programs, it’s garbage-in , garbage-out.
Vendor financing used to be rare. Now sellers finance their customers so they don’t have to turn away anyone.
So long as buyers can make the minimum payment, they can afford their lifestyle. And the lenders can record increasing revenue on growing “assets” (now declining in value as borrowers are defaulting).
Growth fueled by credit can last for a while but eventually the music stops.
————-
I think that Californians are more into bling than East-Coasters or Mid-Westerners (except for New York and Florida).
ParticipantI can’t believe that there are suckers in that price range.
Why would anyone waste their time on those seminar? Even corporate seminars/conferences are full of bull — nothing inspirational about them.
April 3, 2007 at 11:22 AM in reply to: Avg home listing from mid-600K down to mid-500k starting April, 07 #49061ParticipantThere are plenty of agents selling their homes; many of them are doing so under financial duress. I know of two of them in Carlsbad.
sdrealtor could be one of those top producers who can weather the market downturn.
ParticipantWhy New Home Sales is a Much More Significant Measure of the Housing Recession than Existing Home Sales. And the Worsening Housing Recession…
http://www.rgemonitor.com/blog/roubini/185580
Interesting article by Roubini.How do new home sales get reported for San Diego?
Participant“Privatize Profits, Nationalize Risks.” Interesting way of looking at things. That’s exactly what’s been happening during the Bush years.
Participantsdrealtor, I’d think that you have a luxury car already. Isn’t an upscale vehicle a requirement in real estate sales?
ParticipantForeclosure is one way to look at data.
If you look at median prices, the stats are mixed.
http://realestate.signonsandiego.com/area_homesales/pastyears.phpParticipant“It’s the ratio of must-sell transactions to total volume that will determine the pace and extent of decline.”
I remember this very well from the last downturn. Houses in Fairbanks and Olivenheim we going begging. At that time La Costa Valley wasn’t even on the map yet. La Costa Spa was a failed Japanese investment and the Four-Seasons was a steel shell/eyesore on the horizon.
ParticipantBeing adaptable is the key.
Yahoo used to charge for anything more than basic email. Now they give it away for free with unlimited storage.
AOL used to charge for content. Now it’s all free.
Their business models were appropriate and made sense at one point. They now need to adapt to the market. Businesses that catch the wave will thrive.
————-
I think that the people who told powayseller to take a hike and not post here anymore qualify as haters. Those same people told her to set up her own site so she’s free to post whatever she wants. Isn’t that what she did?
ParticipantDrew, I still give you credit.
WMC won’t go bankrupt because GE is behind them. WMC will just refocus away from subprime but that’s effectively like going out of business. If they were an independent business, they’d be out of business already.
HSBC bought Household Finance for something like $13 billion. They had to write off $11 billion. HSBC won’t go bankrupt but their acquisition of Household is now worthless. That is effectively the same as Household going out of business.
-
AuthorPosts
