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temeculaguy
ParticipantKitty,
1st off, get a new realtor, you don’t have faith in them and can do their job for them so switch to a foreclosure/short expert as others have mentioned. 2nd, it’s not the fault of the listing realtor that they guessed at the price, that is how it is done. The listing agent ultimately has to prve to the bank that the price they decided on is what the market value is, taking into account the previous price with no offers, comps, etc. The bank doesn’t issue a “short price” it has to be developed through trial and error and the bank has to agree. After one offer rejection, the realtor can guage what the bank will take but until offers come in, there is no telling if the bank will accept it. The bank will only give feedback after a valid offer comes in, not just hypotheticals by a realtor. If the bank balks at 280, then they raise to 290, and so on. Buying shorts can be frustrating but can pay off.
lastly, the bank will certainly take 290 from you on a 425 debt, they have to weigh their options of losing 30-40k in lost interest and legal fees to get it back and then the market to sell it in six months will be worse than today, they are trying to decide if losing 40k over the next year only to get a 250k sale down the road vs, taking 290 today. 135k loss is actually fantastic on the part of the bank, most repos are losing well over 200k.
The real question is, should you save them now, or make them sell it to you for 200k next year? It’s hard to ignore nice houses for less than 300k, especially if you can afford it. If you make 100k a year, have no debt, a down payment and want to buy a house you can stay in that costs less than 300k, it actually makes sense and I won’t try to talk you out of it. I am waiting at least another 6 months but I’m a greedy bastard.
ParticipantKitty,
1st off, get a new realtor, you don’t have faith in them and can do their job for them so switch to a foreclosure/short expert as others have mentioned. 2nd, it’s not the fault of the listing realtor that they guessed at the price, that is how it is done. The listing agent ultimately has to prve to the bank that the price they decided on is what the market value is, taking into account the previous price with no offers, comps, etc. The bank doesn’t issue a “short price” it has to be developed through trial and error and the bank has to agree. After one offer rejection, the realtor can guage what the bank will take but until offers come in, there is no telling if the bank will accept it. The bank will only give feedback after a valid offer comes in, not just hypotheticals by a realtor. If the bank balks at 280, then they raise to 290, and so on. Buying shorts can be frustrating but can pay off.
lastly, the bank will certainly take 290 from you on a 425 debt, they have to weigh their options of losing 30-40k in lost interest and legal fees to get it back and then the market to sell it in six months will be worse than today, they are trying to decide if losing 40k over the next year only to get a 250k sale down the road vs, taking 290 today. 135k loss is actually fantastic on the part of the bank, most repos are losing well over 200k.
The real question is, should you save them now, or make them sell it to you for 200k next year? It’s hard to ignore nice houses for less than 300k, especially if you can afford it. If you make 100k a year, have no debt, a down payment and want to buy a house you can stay in that costs less than 300k, it actually makes sense and I won’t try to talk you out of it. I am waiting at least another 6 months but I’m a greedy bastard.
ParticipantKitty,
1st off, get a new realtor, you don’t have faith in them and can do their job for them so switch to a foreclosure/short expert as others have mentioned. 2nd, it’s not the fault of the listing realtor that they guessed at the price, that is how it is done. The listing agent ultimately has to prve to the bank that the price they decided on is what the market value is, taking into account the previous price with no offers, comps, etc. The bank doesn’t issue a “short price” it has to be developed through trial and error and the bank has to agree. After one offer rejection, the realtor can guage what the bank will take but until offers come in, there is no telling if the bank will accept it. The bank will only give feedback after a valid offer comes in, not just hypotheticals by a realtor. If the bank balks at 280, then they raise to 290, and so on. Buying shorts can be frustrating but can pay off.
lastly, the bank will certainly take 290 from you on a 425 debt, they have to weigh their options of losing 30-40k in lost interest and legal fees to get it back and then the market to sell it in six months will be worse than today, they are trying to decide if losing 40k over the next year only to get a 250k sale down the road vs, taking 290 today. 135k loss is actually fantastic on the part of the bank, most repos are losing well over 200k.
The real question is, should you save them now, or make them sell it to you for 200k next year? It’s hard to ignore nice houses for less than 300k, especially if you can afford it. If you make 100k a year, have no debt, a down payment and want to buy a house you can stay in that costs less than 300k, it actually makes sense and I won’t try to talk you out of it. I am waiting at least another 6 months but I’m a greedy bastard.
ParticipantKitty,
1st off, get a new realtor, you don’t have faith in them and can do their job for them so switch to a foreclosure/short expert as others have mentioned. 2nd, it’s not the fault of the listing realtor that they guessed at the price, that is how it is done. The listing agent ultimately has to prve to the bank that the price they decided on is what the market value is, taking into account the previous price with no offers, comps, etc. The bank doesn’t issue a “short price” it has to be developed through trial and error and the bank has to agree. After one offer rejection, the realtor can guage what the bank will take but until offers come in, there is no telling if the bank will accept it. The bank will only give feedback after a valid offer comes in, not just hypotheticals by a realtor. If the bank balks at 280, then they raise to 290, and so on. Buying shorts can be frustrating but can pay off.
lastly, the bank will certainly take 290 from you on a 425 debt, they have to weigh their options of losing 30-40k in lost interest and legal fees to get it back and then the market to sell it in six months will be worse than today, they are trying to decide if losing 40k over the next year only to get a 250k sale down the road vs, taking 290 today. 135k loss is actually fantastic on the part of the bank, most repos are losing well over 200k.
The real question is, should you save them now, or make them sell it to you for 200k next year? It’s hard to ignore nice houses for less than 300k, especially if you can afford it. If you make 100k a year, have no debt, a down payment and want to buy a house you can stay in that costs less than 300k, it actually makes sense and I won’t try to talk you out of it. I am waiting at least another 6 months but I’m a greedy bastard.
ParticipantNor, I can find you as many as you would like, this beauty just lowered it’s price today to 289k for 2800 sq, nice litle 65k drop and almost 100k below it’s original price in 2003.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1331174
Just to prove my point about the spread increasing, same model, same street, same sq feet, 619k, well over twice the price.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1429404
Only recently have I seen such disparity, there are more examples but this one is pretty distinct, 289k or 619k for the same house.
ParticipantNor, I can find you as many as you would like, this beauty just lowered it’s price today to 289k for 2800 sq, nice litle 65k drop and almost 100k below it’s original price in 2003.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1331174
Just to prove my point about the spread increasing, same model, same street, same sq feet, 619k, well over twice the price.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1429404
Only recently have I seen such disparity, there are more examples but this one is pretty distinct, 289k or 619k for the same house.
ParticipantNor, I can find you as many as you would like, this beauty just lowered it’s price today to 289k for 2800 sq, nice litle 65k drop and almost 100k below it’s original price in 2003.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1331174
Just to prove my point about the spread increasing, same model, same street, same sq feet, 619k, well over twice the price.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1429404
Only recently have I seen such disparity, there are more examples but this one is pretty distinct, 289k or 619k for the same house.
ParticipantNor, I can find you as many as you would like, this beauty just lowered it’s price today to 289k for 2800 sq, nice litle 65k drop and almost 100k below it’s original price in 2003.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1331174
Just to prove my point about the spread increasing, same model, same street, same sq feet, 619k, well over twice the price.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1429404
Only recently have I seen such disparity, there are more examples but this one is pretty distinct, 289k or 619k for the same house.
ParticipantNor, I can find you as many as you would like, this beauty just lowered it’s price today to 289k for 2800 sq, nice litle 65k drop and almost 100k below it’s original price in 2003.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1331174
Just to prove my point about the spread increasing, same model, same street, same sq feet, 619k, well over twice the price.
http://www.redfin.com/stingray/do/printable-listing?listing-id=1429404
Only recently have I seen such disparity, there are more examples but this one is pretty distinct, 289k or 619k for the same house.
ParticipantNavy, you can feed them, you are right, it sometimes brings out some good discussions. For instance sdnerd’s question about percentage of decline and markets further down the tracks on the pain train’s route. Sdnerd, it is a logical theory but it doesn’t work like that, what you will see is a shorter downturn, but the percentages will be similar. There will be some examples of value holding but history tells us that there is no immunity. If during housing booms, certain areas did not correct then when the next boom comes along they wouldn’t be able to rise or today they would be completely out of whack, which they aren’t. Certain pockets will avoid revealing their reduced value because of their age and stability so they will appear to “sit out” the downturn. Not whole towns but small areas and ultra premium coastal or “one of a kind” type places.
But do not for one minute think that the pain train isn’t building steam and has planned stops in even the best of places, it has more fuel than ever before, it will not run out gas before it hits the coast. While an area might have higher stability, higher income, lower subprime ratios so it has done fine so far, when the train does come to town there will be other factors that will work against it and will work to level the playing field percentage wise. The first hit areas did so when liar loans were still plentiful, the economy was fine and the masses were still ignorant of the bubble. When the more expensive areas feel the full power of the force, many factors will be different,those factors are:
-The media and anyone with a radio is well aware of the downturn in housing.
-Banks are tighter with their money
-full doc and downpayments are the order of the day
-employment and overall economy will be worse off
-much cheaper houses will be available much closer, and closer and closer.The last one goes back to Bugs’ original theory of interconnectivity which we are already seeing.
ParticipantNavy, you can feed them, you are right, it sometimes brings out some good discussions. For instance sdnerd’s question about percentage of decline and markets further down the tracks on the pain train’s route. Sdnerd, it is a logical theory but it doesn’t work like that, what you will see is a shorter downturn, but the percentages will be similar. There will be some examples of value holding but history tells us that there is no immunity. If during housing booms, certain areas did not correct then when the next boom comes along they wouldn’t be able to rise or today they would be completely out of whack, which they aren’t. Certain pockets will avoid revealing their reduced value because of their age and stability so they will appear to “sit out” the downturn. Not whole towns but small areas and ultra premium coastal or “one of a kind” type places.
But do not for one minute think that the pain train isn’t building steam and has planned stops in even the best of places, it has more fuel than ever before, it will not run out gas before it hits the coast. While an area might have higher stability, higher income, lower subprime ratios so it has done fine so far, when the train does come to town there will be other factors that will work against it and will work to level the playing field percentage wise. The first hit areas did so when liar loans were still plentiful, the economy was fine and the masses were still ignorant of the bubble. When the more expensive areas feel the full power of the force, many factors will be different,those factors are:
-The media and anyone with a radio is well aware of the downturn in housing.
-Banks are tighter with their money
-full doc and downpayments are the order of the day
-employment and overall economy will be worse off
-much cheaper houses will be available much closer, and closer and closer.The last one goes back to Bugs’ original theory of interconnectivity which we are already seeing.
ParticipantNavy, you can feed them, you are right, it sometimes brings out some good discussions. For instance sdnerd’s question about percentage of decline and markets further down the tracks on the pain train’s route. Sdnerd, it is a logical theory but it doesn’t work like that, what you will see is a shorter downturn, but the percentages will be similar. There will be some examples of value holding but history tells us that there is no immunity. If during housing booms, certain areas did not correct then when the next boom comes along they wouldn’t be able to rise or today they would be completely out of whack, which they aren’t. Certain pockets will avoid revealing their reduced value because of their age and stability so they will appear to “sit out” the downturn. Not whole towns but small areas and ultra premium coastal or “one of a kind” type places.
But do not for one minute think that the pain train isn’t building steam and has planned stops in even the best of places, it has more fuel than ever before, it will not run out gas before it hits the coast. While an area might have higher stability, higher income, lower subprime ratios so it has done fine so far, when the train does come to town there will be other factors that will work against it and will work to level the playing field percentage wise. The first hit areas did so when liar loans were still plentiful, the economy was fine and the masses were still ignorant of the bubble. When the more expensive areas feel the full power of the force, many factors will be different,those factors are:
-The media and anyone with a radio is well aware of the downturn in housing.
-Banks are tighter with their money
-full doc and downpayments are the order of the day
-employment and overall economy will be worse off
-much cheaper houses will be available much closer, and closer and closer.The last one goes back to Bugs’ original theory of interconnectivity which we are already seeing.
ParticipantNavy, you can feed them, you are right, it sometimes brings out some good discussions. For instance sdnerd’s question about percentage of decline and markets further down the tracks on the pain train’s route. Sdnerd, it is a logical theory but it doesn’t work like that, what you will see is a shorter downturn, but the percentages will be similar. There will be some examples of value holding but history tells us that there is no immunity. If during housing booms, certain areas did not correct then when the next boom comes along they wouldn’t be able to rise or today they would be completely out of whack, which they aren’t. Certain pockets will avoid revealing their reduced value because of their age and stability so they will appear to “sit out” the downturn. Not whole towns but small areas and ultra premium coastal or “one of a kind” type places.
But do not for one minute think that the pain train isn’t building steam and has planned stops in even the best of places, it has more fuel than ever before, it will not run out gas before it hits the coast. While an area might have higher stability, higher income, lower subprime ratios so it has done fine so far, when the train does come to town there will be other factors that will work against it and will work to level the playing field percentage wise. The first hit areas did so when liar loans were still plentiful, the economy was fine and the masses were still ignorant of the bubble. When the more expensive areas feel the full power of the force, many factors will be different,those factors are:
-The media and anyone with a radio is well aware of the downturn in housing.
-Banks are tighter with their money
-full doc and downpayments are the order of the day
-employment and overall economy will be worse off
-much cheaper houses will be available much closer, and closer and closer.The last one goes back to Bugs’ original theory of interconnectivity which we are already seeing.
ParticipantNavy, you can feed them, you are right, it sometimes brings out some good discussions. For instance sdnerd’s question about percentage of decline and markets further down the tracks on the pain train’s route. Sdnerd, it is a logical theory but it doesn’t work like that, what you will see is a shorter downturn, but the percentages will be similar. There will be some examples of value holding but history tells us that there is no immunity. If during housing booms, certain areas did not correct then when the next boom comes along they wouldn’t be able to rise or today they would be completely out of whack, which they aren’t. Certain pockets will avoid revealing their reduced value because of their age and stability so they will appear to “sit out” the downturn. Not whole towns but small areas and ultra premium coastal or “one of a kind” type places.
But do not for one minute think that the pain train isn’t building steam and has planned stops in even the best of places, it has more fuel than ever before, it will not run out gas before it hits the coast. While an area might have higher stability, higher income, lower subprime ratios so it has done fine so far, when the train does come to town there will be other factors that will work against it and will work to level the playing field percentage wise. The first hit areas did so when liar loans were still plentiful, the economy was fine and the masses were still ignorant of the bubble. When the more expensive areas feel the full power of the force, many factors will be different,those factors are:
-The media and anyone with a radio is well aware of the downturn in housing.
-Banks are tighter with their money
-full doc and downpayments are the order of the day
-employment and overall economy will be worse off
-much cheaper houses will be available much closer, and closer and closer.The last one goes back to Bugs’ original theory of interconnectivity which we are already seeing.
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