[seattle-relo]

I am sure that there are some people who do have enough savings for 20% down and could declare the second property as a rental, then move in the “rental” and let the old house foreclose. I think my husband worked with someone who did that back in the 90’s. I think they did because they had to relocate to Chicago for work and couldn’t sell their CA property.

[seattle-relo]

I am sure that there are some people who do have enough savings for 20% down and could declare the second property as a rental, then move in the “rental” and let the old house foreclose. I think my husband worked with someone who did that back in the 90’s. I think they did because they had to relocate to Chicago for work and couldn’t sell their CA property.

[seattle-relo]

I am sure that there are some people who do have enough savings for 20% down and could declare the second property as a rental, then move in the “rental” and let the old house foreclose. I think my husband worked with someone who did that back in the 90’s. I think they did because they had to relocate to Chicago for work and couldn’t sell their CA property.

[seattle-relo]

Are you wondering what happens to the new house? If the people did have non-recourse loans, can the bank from the repo try to sue them anyway for fraud and try to take the new house? I beat if people can get away with it, they would do it. If they can get into a new home with a lower payment, I think they’d do it.

[seattle-relo]

Are you wondering what happens to the new house? If the people did have non-recourse loans, can the bank from the repo try to sue them anyway for fraud and try to take the new house? I beat if people can get away with it, they would do it. If they can get into a new home with a lower payment, I think they’d do it.

[seattle-relo]

What is the minimum one needs to purchase an out of state investment property? With stricter lending standards, what type of down payment, income, etc is required?

[seattle-relo]

What is the minimum one needs to purchase an out of state investment property? With stricter lending standards, what type of down payment, income, etc is required?

[seattle-relo]

SD R: Thanks for the reminder of the rent being taxable income – I had forgot about that when considering different scenarios.

You were remembering my post back in May when we were thinking about getting out of our mistake of buying a home in this market and cutting our losses sooner than later. After a lot (and I mean A LOT) of discussion my husband and I had decided to just stay put in our home and ride out the market. We looked at the numbers (with his handy dandy spreadsheet) and it seemed to make the most sense if homes went down another 35% (which I am sure they will). But after all the stressors of relocating, his new “big shot job”, and some medical issues we as a family have been dealing with, we decided that the added stress of trying to sell at a loss was just too much. But now with my mom’s issues creeping up on us, we are reconsidering the idea of waiting out the market and selling now. I’m still at a loss about what we should do with her. Some people have asked what’s up with her – basically she has many small medical issues related to her weight that makes it difficult for her to work all day, but the medical issues probably don’t qualify as a disability. Plus she has very little skills so getting a job is really hard for her, and then for some reason she keeps getting fired. (Argh!) Someone asked if she was trailer trash, and because she’s my mom I don’t want to rip on her too much, but I’ll just say she makes Rosanne (remember the Rosanne Show) look articulate and well mannered. Get the picture?

[seattle-relo]

My husband and I wondered if a senior living situation would work for her. I have been afraid that she’d run out of money – she has no savings at all, didn’t work much so her Soc. Sec. is very low (which she can’t even get yet)and only has her house, which I think is worth 150-175K. But I am certainly not opposed to having her in a senior apartment situation. I just don’t want her to run out of money in a few years. She’s only 60, but hasn’t been very successful at taking care of herself.

I have never heard of the trade idea, but it sounds interesting…

We have talked about renting out our place and renting a bigger place, but I think we’d be in the hole 500-700 dollars a month (because our mortage is way more than what we could rent it for). However, the 500ish a month is probably less than what she would need to live on in senior apts and could be taken from the proceeds of her home. We aren’t attached to our home, so selling it at a loss now or holding onto it in the longterm is more financially driven. So that’s why I am wondering what kind of price drops seems to be necessary to get a place (in decent condition) sold. I am happy to talk to a RE agent around here, but I’m afraid that they are in denial about how things need to be priced and I need solid info. to make a good decision.

I apprechiate all the ideas. Thanks

[seattle-relo]

Our lot is pretty small. Not as small as the new construction lots, but not really big enough for a bed/bath addition. I might consider consulting with an contractor to see if reconfiguring the bedrooms/baths and bumping them out a little to make room for another would make sense. Our house is a single level and if our homeowners assoc. would allow, we could consider building up – but my guess is that they won’t. I need to look into that. The timing is just bad. We really thought we had a few more years of her being on her own, but it just doesn’t look that way anymore. I think the amount of cash (60-90K) it would take to add-on vs sell at a loss would be about the same. Argh…aging parents!

[seattle-relo]

I like the TV idea 🙂 I live in Rancho Bernardo and the comps are all over the place! I live close to 4S Ranch and there are some foreclosures that aren’t even selling. They are newer and nicer than my 80’s house, but they have no lot which makes it hard to know whether I should use them to compare.

[seattle-relo]

HLS – I am local, I moved here in December. I am just starting to work with the client so I haven’t explored the thought process yet, the presenting problem was more serious, foreclosure was one of the stressors. I am aniticpating that as the market unfolds, many future clients may also have foreclosure as a stressor, and I want to be prepared with facts.

Coming from another high priced market (Seattle), I do know that the psychology there is that prices will go up forever.

[seattle-relo]

I’m not offended, but please don’t compare therapists with Dr. Laura. She shouldn’t be calling herself “Dr.” when giving out her “advice”, it’s very unethical – her PhD is physiology, not psychology. She is great at telling it like it is, but I don’t think her approach would be very helpful in an office setting. Plus her “style” is great for radio ratings, not personal growth. There are different therapists with many different appraoches and styles, perhaps the ones you worked with weren’t right for you.

Anyway, when asking about the reality of consequences when working with a client going through foreclosure, I am just trying to seek accurate info regarding the clients future expectations. Trust me, I won’t be overlooking the issues/behaviors/thoughts that got them there in the first place. Changing self destructive behavior is the goal, I just like to see the big picture.

[seattle-relo]

HLS Excellent article, I will save that for appropriate clients. I agree that people who have made bad decisions must feel the pain of their consequences to ever make a change in future behavior. It just helps me as the therapist to have a real sense of the client’s potential consequence so I can work with them in a more helpful manner. Certainly I can imagine that some people who are facing foreclosure might be fearful that they and their families will be living on the streets or will have to live in a high crime area. It’s good for me to know how much merit is in their anxiety. I think it will be interesting to see what the “foreclosure” mark on a persons credit means after so many people foreclose in the coming months/years.

[seattle-relo]

RB German in Rancho Bernardo is usually fairly reasonable, and the guy that owns the place is actually German. I take my Audi there, and they do a good job. But I have to admit, sometimes I wish I had a Honda with better reliability, but then again the Audi is way more fun to drive!

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