[Sandi Egan]

REO
Jul-07 4,444
Aug-07 8,571

Hovnanian did one good thing – showed the overstocked builders and banks the way out.

[Sandi Egan]

I kind of liked it.
Not sure how many new clients will this advertisement bring to this lender, but I like the fact that somebody is paying money to air this kind of ideas.

[Sandi Egan]

2007 Q2 report shows San Diego prices overvalued by only 18%.
http://www.nationalcity.com/corporate/EconomicInsight/HousingValuation/default.asp?WT.mc_id=100206

[Sandi Egan]

Very interesting theory.

Another reason banks may not be interested in fire sales, is that it’s not a one-time clean the inventory action for them. Dropping the prices will lower the comps for all their future sales and prompt even more foreclosures.

[Sandi Egan]

Is there a way to get the number of mortgages as a percentage of all homes in a given zip? The average outstanding loan amount in a zip code would also be interesting…

[Sandi Egan]

I wander what do they mean by “sales”. If they count COEs, then this really is July data.

[Sandi Egan]

I think neg-arms and all 5- and 7-years fall under Alt-A.

[Sandi Egan]

Don’t people worry that the kids can walk in while parents are in the bathroom? Is it considered OK nowadays, or do they lock the entire master suite while in the shower? And if they do install the door, is it convenient, that one person occupies both the bathroom and the closet simultaneously? How long are you going to wait for your turn, if your wife is in there?

To me the ideal design is when the closet is right by the bathroom, but outside, as in Plan 2 in Ridge at Saratoga:
http://www.pardeehomes.com/neighborhood.php?arch=0&r=2&c=1&n=181

[Sandi Egan]

Looks like another fraud

[Sandi Egan]

Even better:
http://www.stanpacmissionpossible.com/

[Sandi Egan]

Here’s similar event from Standard Pacific:
http://www.stanpac.com/findhome/NeighborhoodIntro.aspx?NID=1326

This must be a very interesting weekend..

[Sandi Egan]

Looking forward to hearing some constructive suggestions.

I know the itch, and here’s my cure.
Walk into a new construction office, negotiate a price on a house that will not be build within next 9-12 months. Try giving them as small deposit as possible, not more than a couple per cent.
Most people on this board think, that in 9 month you will be happy to walk away from your deposit.

If we are wrong, you will get a nice new house. If we are right, with this approach you will loose 3% instead of 30.

[Sandi Egan]

There is no way to avoid the huge burst and 50%+ price correction. There was a bubble, it is exploding, and somebody will pay for it. The only question is: Who?
Possible answers:

– Borrowers
– Lenders
– MBS holders
– Government a.k.a Taxpayers

The right answer, of course, is that all of them will chip in.

As long as the taxpayers’ share is small, I am fine with it. And that share will be small, insignificant compared to the size of the bubble. The government needs budget money for its own pet projects. There is no way they are going to waste it to help average greedy homeowners or greedier investors. Moreover, the government does not have nearly enough money to bail everyone out, so they can’t do that, even if they really wanted to.

Thus, any government activity will end up redistributing responsibility one way or another. In the worst case, they will drug the process for a couple of years longer. But nobody can change the net outcome.

The more noise there is around housing issue, the worse the panic is going to be. And panic is the one thing that can quickly bring the prices down and below reasonable levels. Every time a politician with a grave face talks about housing crisis, I just feel the panic growing nationwide…

[Sandi Egan]

The Bush administration has been pushing Congress to enact overhauls that would eliminate the required 3% down payment and raise the size of the loans the FHA can insure to as much as $417,000 from $362,790.

I see this as a good thing for San Diego and other expensive markets. It will widen the gap between conforming and jumbo loans, putting additional downward pressure on the 500K+ prices.

[Sandi Egan]

I do not like our agent…
Why don’t you fire your agent then?
Engage the valuable services of our esteemed fellow piggingtonians sdrealtor or SD Realtor?

[Author]

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