[SDHousehunter]

Interesting replies.

I think religion needs to be a separate topic on a separate thread. Nevertheless, it does play a role in one’s values and values are a variable when it comes to asset purchasing. Therefore it is indirectly related to our discussion. This will be the last of my religion comments on this thread.

To the commentor on using the internet of the neighbor. According to Jewish Law I am not “stealing” anything. To give an analogy. A neighbor has a lemon tree that borders my property via a fence. Lemons from the tree fall from the neighbor’s tree and land on my land. Question: Who do the fallen lemons belong to, the neighbor or myself? If the lemons belong to my neighbor than one can state that my privacy and spacial right are being infringed. If the lemons due not belong to the neighbor than I have a variety of options. I can confront the neighbor and demand that he clean the excess lemons from my property. Or I can collect the lemons, make lemonade and sit by the pool.

My neighbor’s wireless network is sending electronic signals into my private space without my consent. I have not entered his space in order to benefit from anything within his property. So I am not “stealing” which implies a unauthorized acquisition of goods or violation of boundaries. Like the lemon analogy I am merely a victim of someone throwing electronic signals into my home. I have two options: I can demand that he encrypt his network and stop bombarding me with electronic waves (move the tree) or I can learn to live with the waves and make the best of an incovenience (make lemonade).

Now, as for the slingbox. . . I have received consent from a family member who purchased the service to utilize it on my home computer. That implies no violation of rights and therefore I am not “stealing.” It is analagous to borrowing a tupperware bowl from your mother with an indefinite lending period.

Some posters have commented with suggestions as far as budgeting and removing a Tzedakah offering for utilization as reserve capital. Its a good point. The rules of Tzedakah are complex. Question: If one is to give 10% of ones income is that net or gross? Can one deduct expenses? Does this law also apply to businesses as well as personal budgets? Are medical expenses or a child’s education tuition deductible from the Ma’aseh (Tithe) offering?
When my children begin school the above rules will change.

What interest me is that without the corporate entity, how can the average Joe get ahead utilizing after tax income without the corporate tax benefits?

Can he purchase, maintain and depreciate a vehicle? Can he utilize a SEP IRA program whose contribution limits far exceed a 401k? Can he deduct health insurance premiums as before tax expenses?

[SDHousehunter]

Interesting replies.

I think religion needs to be a separate topic on a separate thread. Nevertheless, it does play a role in one’s values and values are a variable when it comes to asset purchasing. Therefore it is indirectly related to our discussion. This will be the last of my religion comments on this thread.

To the commentor on using the internet of the neighbor. According to Jewish Law I am not “stealing” anything. To give an analogy. A neighbor has a lemon tree that borders my property via a fence. Lemons from the tree fall from the neighbor’s tree and land on my land. Question: Who do the fallen lemons belong to, the neighbor or myself? If the lemons belong to my neighbor than one can state that my privacy and spacial right are being infringed. If the lemons due not belong to the neighbor than I have a variety of options. I can confront the neighbor and demand that he clean the excess lemons from my property. Or I can collect the lemons, make lemonade and sit by the pool.

My neighbor’s wireless network is sending electronic signals into my private space without my consent. I have not entered his space in order to benefit from anything within his property. So I am not “stealing” which implies a unauthorized acquisition of goods or violation of boundaries. Like the lemon analogy I am merely a victim of someone throwing electronic signals into my home. I have two options: I can demand that he encrypt his network and stop bombarding me with electronic waves (move the tree) or I can learn to live with the waves and make the best of an incovenience (make lemonade).

Now, as for the slingbox. . . I have received consent from a family member who purchased the service to utilize it on my home computer. That implies no violation of rights and therefore I am not “stealing.” It is analagous to borrowing a tupperware bowl from your mother with an indefinite lending period.

Some posters have commented with suggestions as far as budgeting and removing a Tzedakah offering for utilization as reserve capital. Its a good point. The rules of Tzedakah are complex. Question: If one is to give 10% of ones income is that net or gross? Can one deduct expenses? Does this law also apply to businesses as well as personal budgets? Are medical expenses or a child’s education tuition deductible from the Ma’aseh (Tithe) offering?
When my children begin school the above rules will change.

What interest me is that without the corporate entity, how can the average Joe get ahead utilizing after tax income without the corporate tax benefits?

Can he purchase, maintain and depreciate a vehicle? Can he utilize a SEP IRA program whose contribution limits far exceed a 401k? Can he deduct health insurance premiums as before tax expenses?

[SDHousehunter]

I would use redfin and view the $/sq ft of comparable resale condos and detached homes as well as “Past Sales.”

I have visited Cypress Greens and you wil be over $10k anually in Property Taxes, MelloRoos and HOA fees.

Yes, $10K before you even pay your mortgage.

I do not know how this builder is going to onload this property. The problem is the value of the land is depreciating.

Why would I buy your condo when I can get a detached home nearby?

Also ask yourself, who will get financed for these condos. . . . and some of these condos have been slated for Low Income financing as well.

[SDHousehunter]

I would use redfin and view the $/sq ft of comparable resale condos and detached homes as well as “Past Sales.”

I have visited Cypress Greens and you wil be over $10k anually in Property Taxes, MelloRoos and HOA fees.

Yes, $10K before you even pay your mortgage.

I do not know how this builder is going to onload this property. The problem is the value of the land is depreciating.

Why would I buy your condo when I can get a detached home nearby?

Also ask yourself, who will get financed for these condos. . . . and some of these condos have been slated for Low Income financing as well.

[SDHousehunter]

Thank you for your comments and interesting discussion points. I think this forum is a fantastic opportunity for people to share what they are doing and see where they are lacking

Interesting that some commented on the tithing allocation. I am Jewish so without a detailed discussion on talmudic financial law there is a special mitzvah (commandment) to calculate a portion to be used for tzedakah (charity). Fortunately, there are no issues in my life which would necessitate transfering charity funds towards personal expenses. Should the need arise I would transfer the funds. For those who are interested in the topic, there is a commentary in the Mishnah called Pirkei Avot( Sayings of the Fathers) which details ethical concepts applicable to life, family and business. Once such concept is “Where there is no man. . . be that man.” In other words, if there is a situation that necessitates fixing and there is no one to fulfill that need than one should become the person that fulfills it. Having the opportunity to change people’s lives firsthand is an investment opportunity that gives a return greater than can be accomplished otherwise.

Not to be off subject, but the Talmud suggest that Jews hold there monetary assests in three categories: Real Estate, Personal Business and Cash.

Why? Real Estate is an investment that may appreciate and be bequeathed to future generations. Business. . . .well that’s obvious to have reserves and funds for growth and expantion as well as funds during credit contractions.
And Cash. . . . a Jew should have the funds to take advantage of a buying opportunity below market prices. . . and hence. . “Jew” down the prices 🙂

Now you know why Jews and Macy Sales are like peas and carrots 🙂

As for food, Yes I do eat well. Our diet consists of Trader Joe’s and Whole Food products. I know most of us would put cheap gas in our cars, however, I made it a priority to have the best foods for the family.

My wife is a full time worker (in the home) and will be that way permanently until the kids are off to school. Our rent is in a Rancho Bernardo with access to shopping. Someone mentioned cheaper rent I have yet to find an area that has a 3 bedroom with a high rated school district for $1,500 that does not share various unsavory elements as well.

The student loans are in a paydown plan of 2 years. After graduation I had $35,000 in debt from a private institution with a 2/3 academic scholarship. I decided to commit to paying the loans down and upon repayment transfer the funds for our children’s education and enrichment fund. Although economics teaches you how to survive, a rennaisance education is one I value for my children.

I have an S-Corporation and I do take advantage of every tax loophole my account can find (Jewish of course!) As a salesman I expense insurance, gasoline, car repair, car washes (did you know they are deductible as well), as well as office equipment while keeping enough reserves to pay quarterly estimates.

What amazes me is that without the coporate shelter. . . . I would be behind
even more.

So how can this economic structure continue without producing a dependent mass of economic slaves? How can asset prices continue to be appreciate at levels inconsistent with historic price fluxuation? Have we sacrificed the middle class on the altar of economic globalization?

Politically we are in a Middle Eastern great game for resource control? What if Iran stops pumping? How will China, India and Pakistan fuel their economic growth via modernization? How can a populace survive a credit contraction when their savings rate is negative? When the credit pump stop. . . . what will they do. . . . as Greenspan said, “History has not dealt kindly with long periods of low risk premiums.” In other words, we are witnessing perhaps the biggest wealth grab from the incompetant many to the corrupt few in history.

My concern is that my family and children will be financially protected against market fluctuations and potential systemic risk to global financial and political systems. For this reason I feel that the debt free model is ideal until it become cheaper to buy than rent.

Please keep the comments coming

[SDHousehunter]

Thank you for your comments and interesting discussion points. I think this forum is a fantastic opportunity for people to share what they are doing and see where they are lacking

Interesting that some commented on the tithing allocation. I am Jewish so without a detailed discussion on talmudic financial law there is a special mitzvah (commandment) to calculate a portion to be used for tzedakah (charity). Fortunately, there are no issues in my life which would necessitate transfering charity funds towards personal expenses. Should the need arise I would transfer the funds. For those who are interested in the topic, there is a commentary in the Mishnah called Pirkei Avot( Sayings of the Fathers) which details ethical concepts applicable to life, family and business. Once such concept is “Where there is no man. . . be that man.” In other words, if there is a situation that necessitates fixing and there is no one to fulfill that need than one should become the person that fulfills it. Having the opportunity to change people’s lives firsthand is an investment opportunity that gives a return greater than can be accomplished otherwise.

Not to be off subject, but the Talmud suggest that Jews hold there monetary assests in three categories: Real Estate, Personal Business and Cash.

Why? Real Estate is an investment that may appreciate and be bequeathed to future generations. Business. . . .well that’s obvious to have reserves and funds for growth and expantion as well as funds during credit contractions.
And Cash. . . . a Jew should have the funds to take advantage of a buying opportunity below market prices. . . and hence. . “Jew” down the prices 🙂

Now you know why Jews and Macy Sales are like peas and carrots 🙂

As for food, Yes I do eat well. Our diet consists of Trader Joe’s and Whole Food products. I know most of us would put cheap gas in our cars, however, I made it a priority to have the best foods for the family.

My wife is a full time worker (in the home) and will be that way permanently until the kids are off to school. Our rent is in a Rancho Bernardo with access to shopping. Someone mentioned cheaper rent I have yet to find an area that has a 3 bedroom with a high rated school district for $1,500 that does not share various unsavory elements as well.

The student loans are in a paydown plan of 2 years. After graduation I had $35,000 in debt from a private institution with a 2/3 academic scholarship. I decided to commit to paying the loans down and upon repayment transfer the funds for our children’s education and enrichment fund. Although economics teaches you how to survive, a rennaisance education is one I value for my children.

I have an S-Corporation and I do take advantage of every tax loophole my account can find (Jewish of course!) As a salesman I expense insurance, gasoline, car repair, car washes (did you know they are deductible as well), as well as office equipment while keeping enough reserves to pay quarterly estimates.

What amazes me is that without the coporate shelter. . . . I would be behind
even more.

So how can this economic structure continue without producing a dependent mass of economic slaves? How can asset prices continue to be appreciate at levels inconsistent with historic price fluxuation? Have we sacrificed the middle class on the altar of economic globalization?

Politically we are in a Middle Eastern great game for resource control? What if Iran stops pumping? How will China, India and Pakistan fuel their economic growth via modernization? How can a populace survive a credit contraction when their savings rate is negative? When the credit pump stop. . . . what will they do. . . . as Greenspan said, “History has not dealt kindly with long periods of low risk premiums.” In other words, we are witnessing perhaps the biggest wealth grab from the incompetant many to the corrupt few in history.

My concern is that my family and children will be financially protected against market fluctuations and potential systemic risk to global financial and political systems. For this reason I feel that the debt free model is ideal until it become cheaper to buy than rent.

Please keep the comments coming

[SDHousehunter]

I am glad I made you laugh

Sometimes we need to add a bit of color to our posts . . but not to much.

We don’t want decreasing post values here 🙂

I recommend viewing zip code 92592 on http://www.redfin.com.

Prices on high end homes have dropped $100,000 in one year. Please visit the sales office of Morgan Hill.

Now, I am seeing desperate sellers drop $10,000 a month on their listings.

Without refinancing what will these people do?

Temecula residents are poster children for the ARM debacle that is unwinding. When the economic fallout occurs and amnesty gives 12.000.000 new citizens social security numbers. . .. where do you think they will move?

[SDHousehunter]

I am glad I made you laugh

Sometimes we need to add a bit of color to our posts . . but not to much.

We don’t want decreasing post values here 🙂

I recommend viewing zip code 92592 on http://www.redfin.com.

Prices on high end homes have dropped $100,000 in one year. Please visit the sales office of Morgan Hill.

Now, I am seeing desperate sellers drop $10,000 a month on their listings.

Without refinancing what will these people do?

Temecula residents are poster children for the ARM debacle that is unwinding. When the economic fallout occurs and amnesty gives 12.000.000 new citizens social security numbers. . .. where do you think they will move?

[SDHousehunter]

Have you been to the Vineyards? Its beautiful country and many will move there to take advantage of the low land prices in order to build custom homes.

Now, I feel that one should not buy until the smoke clears so that you do not purchase a new home that becomes the new “National City” of the Temecula area.

I envision ghettos appearing between 79 and Winchester Rd. However, who knows which neighborhoods will fall the hardest and where the “white flight” will occur.

I am sure that Liquor stores and paycheck cashing outposts will soon be moving into the commercial property that is not renting along with future buyers who qualify for HUD housing programs for low income.

I wonder what Morgan Hill will do with all that extra land? Perhaps Duplex and Triplexes of 4,000 square feet?

[SDHousehunter]

Have you been to the Vineyards? Its beautiful country and many will move there to take advantage of the low land prices in order to build custom homes.

Now, I feel that one should not buy until the smoke clears so that you do not purchase a new home that becomes the new “National City” of the Temecula area.

I envision ghettos appearing between 79 and Winchester Rd. However, who knows which neighborhoods will fall the hardest and where the “white flight” will occur.

I am sure that Liquor stores and paycheck cashing outposts will soon be moving into the commercial property that is not renting along with future buyers who qualify for HUD housing programs for low income.

I wonder what Morgan Hill will do with all that extra land? Perhaps Duplex and Triplexes of 4,000 square feet?

[SDHousehunter]

Beautiful Video.

I think Temecula will be a wonderful place to buy once the correction has been completed. Also, since Temecula’s boom peak began after San Diego one can state that Temecula’s market bottom will occur after San Diego has hit its bottom.

In other words, when the real estate cycle begins a new upswing here in San Diego we will be alerted that it is time to soon buy in Temecula as it will be hitting its upswing shortly after.

Interestingly, I wonder if the completion of the carpool lane from Escondido to Miramar will be completed by the time the Temecula market bottoms out? Then perhaps the commute to San Diego will be a scenic 35 minutes that will in turn begin a new incentive to relocate to Temecula.

Coincidence or not?

-SD Househunter

[SDHousehunter]

Beautiful Video.

I think Temecula will be a wonderful place to buy once the correction has been completed. Also, since Temecula’s boom peak began after San Diego one can state that Temecula’s market bottom will occur after San Diego has hit its bottom.

In other words, when the real estate cycle begins a new upswing here in San Diego we will be alerted that it is time to soon buy in Temecula as it will be hitting its upswing shortly after.

Interestingly, I wonder if the completion of the carpool lane from Escondido to Miramar will be completed by the time the Temecula market bottoms out? Then perhaps the commute to San Diego will be a scenic 35 minutes that will in turn begin a new incentive to relocate to Temecula.

Coincidence or not?

-SD Househunter

[SDHousehunter]

I have rented for three years knowing that my gross housing expense a (rent) was over 10K cheaper than if I had purchased a like property and had the full tax deduction paying IO, taxes and HOA/MelloRoos.

I lived in Temecula for one year, renting, to see if we enjoyed it. In the complex where we lived, asking prices have dropped 25-30% YOY.

Here are my observations and candid ramblings:

Temecula is a wonderful place to live as far as scenery, however, you have to live and work there for it to be worth it. No use spending 25% of your waking hours driving down the 15 to get to work because there is no industry for 40 miles.

So many people we met are upside down, maxed our financially and are on a one way ticket to bankruptcy. I knew someone who was using his HELOC to pay his mortgage and his interest on his HELOC Loan. . . . . talk about burning equity.

Everybody and his mother seems to have a leased automobile or new car purchased. And every morning Starbucks is full of people in fancy cars, drinking coffee and talking about real estate. My theory is that 80% of the population I can is upside down in their vehicles except those who took out 40K home equity in order to buy that Hummer H2 to show off to the neighbors.

Temecula is the honarary “Bible Belt” and independent free thinking, culture, is limited or non-existent. In a nutshell, Temecula is a land of uneducated bible-thumping white-trash sprinkled among Pechanga Indians (living off the doll) who saw their property values and casino welfare double due to the influx of San Diegans searching for affordable housing.

Given Temecula’s role as ground zero for the San Diego Housing Boom and its mathematically challenged population it was and still is a great area for predatory lending and multi-level marketing scams (Sorry,selling Arbonne is not a career!)

I see values declining for year to come.

Home prices above $500K consist of primarily McMansion speculators or fradulent loan purchasers. E.g., As I drove by one home priced at 750K I noticed the 12 people living, eating and parked in the front yard. I am sure that given the style of clothing (white t-shirts and long black shorts covering arm tattoos) that these individuals were not lawyers, doctors or people with professional degrees who make over 100K in order to purchase expensive homes)

Also, Some neighborhoods change form street to street. The Toyota Highlander or Camry can turn into a 1999 Ford Focus and a Ford F150 packed with a Lawnmower.

I predict complete financial meltdown and 12,000,000 new credit applications to purchase the what remains.

[SDHousehunter]

I have rented for three years knowing that my gross housing expense a (rent) was over 10K cheaper than if I had purchased a like property and had the full tax deduction paying IO, taxes and HOA/MelloRoos.

I lived in Temecula for one year, renting, to see if we enjoyed it. In the complex where we lived, asking prices have dropped 25-30% YOY.

Here are my observations and candid ramblings:

Temecula is a wonderful place to live as far as scenery, however, you have to live and work there for it to be worth it. No use spending 25% of your waking hours driving down the 15 to get to work because there is no industry for 40 miles.

So many people we met are upside down, maxed our financially and are on a one way ticket to bankruptcy. I knew someone who was using his HELOC to pay his mortgage and his interest on his HELOC Loan. . . . . talk about burning equity.

Everybody and his mother seems to have a leased automobile or new car purchased. And every morning Starbucks is full of people in fancy cars, drinking coffee and talking about real estate. My theory is that 80% of the population I can is upside down in their vehicles except those who took out 40K home equity in order to buy that Hummer H2 to show off to the neighbors.

Temecula is the honarary “Bible Belt” and independent free thinking, culture, is limited or non-existent. In a nutshell, Temecula is a land of uneducated bible-thumping white-trash sprinkled among Pechanga Indians (living off the doll) who saw their property values and casino welfare double due to the influx of San Diegans searching for affordable housing.

Given Temecula’s role as ground zero for the San Diego Housing Boom and its mathematically challenged population it was and still is a great area for predatory lending and multi-level marketing scams (Sorry,selling Arbonne is not a career!)

I see values declining for year to come.

Home prices above $500K consist of primarily McMansion speculators or fradulent loan purchasers. E.g., As I drove by one home priced at 750K I noticed the 12 people living, eating and parked in the front yard. I am sure that given the style of clothing (white t-shirts and long black shorts covering arm tattoos) that these individuals were not lawyers, doctors or people with professional degrees who make over 100K in order to purchase expensive homes)

Also, Some neighborhoods change form street to street. The Toyota Highlander or Camry can turn into a 1999 Ford Focus and a Ford F150 packed with a Lawnmower.

I predict complete financial meltdown and 12,000,000 new credit applications to purchase the what remains.

[Author]

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