[temeculaguy]

Something stinks in Denmark, according to the temecula GIS the owner of 33979 is GMAC so they repo’d it at 555k, the owner of 33965 is owner occupied and financed with WF but he had nine transactions since feb and a search of his name shows he owned a flipper company called The Loan Company in the past. That house isn’t worth 550k today, that street was the subject of a story on NBC nightly news with Bran Williams about a month ago for being riddled with repos. I can’t figure it out, that neighborhood has a bunch of the Murrieta fraud houses and the D.A./U.S. attorney is investigating, it is pretty ballsy to pull a fraud within the crime scene of a fraud investigation. That’s like some child molester driving on westerfield’s street during the trial and offering kids candy from a van while news cameras are getting file footage, there’s got to be a better explanation.

[temeculaguy]

Here’s a picture that will repel any perspective buyer, it’s not a dive like my other nominess but the photographer could have moved the trash can off the patio but that’s minor. Get a load of the master bath, these geniuses decided to remodel it to make it feel more spacious so they put in two pedestal sinks. There is not one inch of counter, no medicine cabinet, no cabinets, no drawers. Just a tiny shelf on the right for all the toiletries a couple needs. You would have to shave your head because there no place for a comb. The realtor should not have taken that picture or at least not from the angle that I can see the bed in the mirror so I could assume it was the guest bath, there are only two so it’s not. Motels are more livable than this. This is something you need to hide until escrow is over and the happy family moves in, carries the box marked bathroom to the master bath and says “oh sh**” too late. Seriously I just got back from camping and the bathroom at the campground had more counter space to rest my toiletry bag on.

http://www.redfin.com/stingray/do/printable-listing?listing-id=744820

Home Depot needs to install compatability software that pharmacies use, the ones that alert you to the fact that the new medicine combined with the old one will kill you. That way when the second pedestal sink is scanned the manager will be summoned to ask you a series of questions to insure these aren’t for the master bath and if so there is adequate storage. Come to think of it the paint department and the carpet department need that same software so the buyer is required to prove that the paint is for a carnival ride or the carpet is for a casino before they can buy that color, people need protection.

[temeculaguy]

Here’s a picture that will repel any perspective buyer, it’s not a dive like my other nominess but the photographer could have moved the trash can off the patio but that’s minor. Get a load of the master bath, these geniuses decided to remodel it to make it feel more spacious so they put in two pedestal sinks. There is not one inch of counter, no medicine cabinet, no cabinets, no drawers. Just a tiny shelf on the right for all the toiletries a couple needs. You would have to shave your head because there no place for a comb. The realtor should not have taken that picture or at least not from the angle that I can see the bed in the mirror so I could assume it was the guest bath, there are only two so it’s not. Motels are more livable than this. This is something you need to hide until escrow is over and the happy family moves in, carries the box marked bathroom to the master bath and says “oh sh**” too late. Seriously I just got back from camping and the bathroom at the campground had more counter space to rest my toiletry bag on.

http://www.redfin.com/stingray/do/printable-listing?listing-id=744820

Home Depot needs to install compatability software that pharmacies use, the ones that alert you to the fact that the new medicine combined with the old one will kill you. That way when the second pedestal sink is scanned the manager will be summoned to ask you a series of questions to insure these aren’t for the master bath and if so there is adequate storage. Come to think of it the paint department and the carpet department need that same software so the buyer is required to prove that the paint is for a carnival ride or the carpet is for a casino before they can buy that color, people need protection.

[temeculaguy]

Actually he’s right and 1 in 147 sounds high for a national number. Foreclosures in the first six months jumped 170% in California, there were 104,572 unique properties in foreclosure which lead the nation and Florida was #2 with 64,250. The rub is that those foreclosures in CA and FLA are the most expensive homes in the country, the helocs and the spending are a huge part of every retailer in those two areas and probably every producer/manufacturer in the country, lose those and it all falls a few notches. It’s not the foreclosure itself that causes the loss, one or two on the street might lose a 100k for the bank each but the value of the other twenty houses just lost 50k each, 200k loss for the lender, a million loss for the neighborhood. Those people won’t or can’t pull the 50k out that some might have and don’t spend it and it ripples through the economy. Then in a few months some couple gets divorced and has to sell, they can’t because they are upside down and their odds of foreclosing increases, furthering the cycle. Then the company that sells widgets has 5% lower sales of their product and lays off 5% of their workforce who also end up foreclosed on. So yes, it’s not the actual number of foreclosures, it’s the effect it has on the broader market and that is by no means insignificant.

[temeculaguy]

Actually he’s right and 1 in 147 sounds high for a national number. Foreclosures in the first six months jumped 170% in California, there were 104,572 unique properties in foreclosure which lead the nation and Florida was #2 with 64,250. The rub is that those foreclosures in CA and FLA are the most expensive homes in the country, the helocs and the spending are a huge part of every retailer in those two areas and probably every producer/manufacturer in the country, lose those and it all falls a few notches. It’s not the foreclosure itself that causes the loss, one or two on the street might lose a 100k for the bank each but the value of the other twenty houses just lost 50k each, 200k loss for the lender, a million loss for the neighborhood. Those people won’t or can’t pull the 50k out that some might have and don’t spend it and it ripples through the economy. Then in a few months some couple gets divorced and has to sell, they can’t because they are upside down and their odds of foreclosing increases, furthering the cycle. Then the company that sells widgets has 5% lower sales of their product and lays off 5% of their workforce who also end up foreclosed on. So yes, it’s not the actual number of foreclosures, it’s the effect it has on the broader market and that is by no means insignificant.

[temeculaguy]

That’s a screen name for one of the regular posters here who is in the finance biz and is frequently called on for expertise, give it a day or two and he will be able to give you the answer when he sees this.

On a side note, what gives? 700k, 100%, stated. I hope you have done your homework and have the income or some lottery payment coming, that move is so 2005. That’s how we got here in the first place. I feel like I just walked by some a town sqaure in Germany and there is a short guy with a mustache giving an angry speech to a crowd of people thinking “oh god, not this again.”

The rate is going to blow, jumbo’s just shot up and the market is about as interested in loaning money for a loan like that as it is loaning money for people to take to casinos, they are fairly certain they aren’t going to get it back.

[temeculaguy]

That’s a screen name for one of the regular posters here who is in the finance biz and is frequently called on for expertise, give it a day or two and he will be able to give you the answer when he sees this.

On a side note, what gives? 700k, 100%, stated. I hope you have done your homework and have the income or some lottery payment coming, that move is so 2005. That’s how we got here in the first place. I feel like I just walked by some a town sqaure in Germany and there is a short guy with a mustache giving an angry speech to a crowd of people thinking “oh god, not this again.”

The rate is going to blow, jumbo’s just shot up and the market is about as interested in loaning money for a loan like that as it is loaning money for people to take to casinos, they are fairly certain they aren’t going to get it back.

[temeculaguy]

We will find out on Tuesday, but don’t hold your breath, the odds of a 1/4 drop did increase from 7.5% chance to 12.5% chance on Friday. I’ve seen news reports of a 25% chance but if you want to place a wager on the fed funds futures it stands today at a 1 in 8 chance of a cut on Tuesday.

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1563+23425,00.html

IMHO Bernanke and company are going to stand pat for the rest of the year and let things play out, econ 101, Laissez Faire. I’ve read extensively about Ben and I must say that I think the Cramer’s of the world should do more homework before accusing him of not caring about people losing their homes. He is very interested in the cause of the great depression and believes the fed could have turned it into a correction rather than a crash. I just read a piece he wrote in 2000 and he seems to believe that corrections are good, unsustainable growth or price appreciation is bad and he sees the role of the fed to step in to shorten disaster, not avert it. A perfect analogy would be that he sees the fed as an paramedic and not a seatbelt. Go too fast and you will get hurt, you should get hurt, we will just keep you from dying, treating your injuries, not preventing them.

[temeculaguy]

We will find out on Tuesday, but don’t hold your breath, the odds of a 1/4 drop did increase from 7.5% chance to 12.5% chance on Friday. I’ve seen news reports of a 25% chance but if you want to place a wager on the fed funds futures it stands today at a 1 in 8 chance of a cut on Tuesday.

http://www.cbot.com/cbot/pub/cont_detail/0,3206,1563+23425,00.html

IMHO Bernanke and company are going to stand pat for the rest of the year and let things play out, econ 101, Laissez Faire. I’ve read extensively about Ben and I must say that I think the Cramer’s of the world should do more homework before accusing him of not caring about people losing their homes. He is very interested in the cause of the great depression and believes the fed could have turned it into a correction rather than a crash. I just read a piece he wrote in 2000 and he seems to believe that corrections are good, unsustainable growth or price appreciation is bad and he sees the role of the fed to step in to shorten disaster, not avert it. A perfect analogy would be that he sees the fed as an paramedic and not a seatbelt. Go too fast and you will get hurt, you should get hurt, we will just keep you from dying, treating your injuries, not preventing them.

[temeculaguy]

The “HERE” was referring to California, where the builders make most of their profits and have the most exposure. Sure, areas that have a lot of construction going on will see the earliest effect but it will come to a neighborhood near you. Areas primarily built or purchased during the bubble will see the earliest action but the wave has started. Two months ago I was on these boards complaining that the price decline were too far from me as well, but wave marched on and now it has hit my neighborhood. This won’t behave like a tornado, selectively driving prices down in specific areas, it will work like a virus and will spread.

[temeculaguy]

The “HERE” was referring to California, where the builders make most of their profits and have the most exposure. Sure, areas that have a lot of construction going on will see the earliest effect but it will come to a neighborhood near you. Areas primarily built or purchased during the bubble will see the earliest action but the wave has started. Two months ago I was on these boards complaining that the price decline were too far from me as well, but wave marched on and now it has hit my neighborhood. This won’t behave like a tornado, selectively driving prices down in specific areas, it will work like a virus and will spread.

[temeculaguy]

Atlas is a D.R. Horton property, they are going to slash prices if it doesn’t sell at the pace they wan’t it to, look for that to have a big impact, they have slashed prices in other counties as much as 20% in a week during the past few months.

[temeculaguy]

Atlas is a D.R. Horton property, they are going to slash prices if it doesn’t sell at the pace they wan’t it to, look for that to have a big impact, they have slashed prices in other counties as much as 20% in a week during the past few months.

[temeculaguy]

I found an article in the WSJ today that sheds some light on where the builders went wrong.

http://online.wsj.com/article/SB118618271832887837.html?mod=yahoo_hs&ru=yahoo

Interesting to note that 32% of builder profits came from one state, California.

[temeculaguy]

I found an article in the WSJ today that sheds some light on where the builders went wrong.

http://online.wsj.com/article/SB118618271832887837.html?mod=yahoo_hs&ru=yahoo

Interesting to note that 32% of builder profits came from one state, California.

[Author]

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