[temeculaguy]

While it seems like there may be more to the story because the banks have been stingy thus far, I think it is a sign of things to come with the banks. I’ve been tracking bank owned properties that have been on the market over 90 days and their numbers are increasing, albeit my info reflects only one zip code. They can’t hold out forever and they should be more informed than the average seller that there plenty more coming because they own them. The lenders are going to start getting nervous very soon and we will see more examples of drastic discounting on REO properties in the coming months.

[temeculaguy]

I know it will put stress on a marriage to have an overwhelming amount of debt but I bet there are just as many marriages being held together by the high cost of housing. Maintaining two overpriced households is far more expensive than one overpriced household even if it is twice as big.

[temeculaguy]

I know it will put stress on a marriage to have an overwhelming amount of debt but I bet there are just as many marriages being held together by the high cost of housing. Maintaining two overpriced households is far more expensive than one overpriced household even if it is twice as big.

[temeculaguy]

It would be interesting to see what the sales prices were in 2003, splitting the difference between the 2002 and the 2004 would be 150k and that would be a reasonable guestimate as to what you will end up finding it will be worth next year. I believe that 2003 should have been the top of the last cycle had the bubble not happened. If you took a vote I bet many here would guess a return to 2003 prices in 2008 is fairly likely and demanded by the laws of economics. Factoring five years of inflation it would actually be close to the 2002 price. I don’t know what the rents are but if they are at about $1000 a month or more they will be too attractive as rental to get much lower than 150k. Deciding the bottom is always a guess but if it gets to the point where it is cash positive or neutral from day one then it probably won’t get there, I just don’t think it will hit 100k if rent is $1000, so what do they rent for?

[temeculaguy]

It would be interesting to see what the sales prices were in 2003, splitting the difference between the 2002 and the 2004 would be 150k and that would be a reasonable guestimate as to what you will end up finding it will be worth next year. I believe that 2003 should have been the top of the last cycle had the bubble not happened. If you took a vote I bet many here would guess a return to 2003 prices in 2008 is fairly likely and demanded by the laws of economics. Factoring five years of inflation it would actually be close to the 2002 price. I don’t know what the rents are but if they are at about $1000 a month or more they will be too attractive as rental to get much lower than 150k. Deciding the bottom is always a guess but if it gets to the point where it is cash positive or neutral from day one then it probably won’t get there, I just don’t think it will hit 100k if rent is $1000, so what do they rent for?

[temeculaguy]

Classic case of chasing the rabbit down the hole. Had they priced it aggressively from the beginning or reduced it aggressively it would already be sold. If they had started at 290k back in March they might have looked like a bargain to someone. What makes me go hmmmn, is not that they lost 26%, but priced it 26% incorrectly. Look at some of the others threads where the realtors and appraisers are toiling over list price and value and all of the factors they considered. What did this guy’s realtor do, throw darts?

[temeculaguy]

Classic case of chasing the rabbit down the hole. Had they priced it aggressively from the beginning or reduced it aggressively it would already be sold. If they had started at 290k back in March they might have looked like a bargain to someone. What makes me go hmmmn, is not that they lost 26%, but priced it 26% incorrectly. Look at some of the others threads where the realtors and appraisers are toiling over list price and value and all of the factors they considered. What did this guy’s realtor do, throw darts?

[temeculaguy]

PD the Buffet HOV rumor is more than likely just rumor as is oftern the case with the Oracle of Omaha, funny how it gets a 12% hop on a rumor that Buffet likes it. Personally I think the homebuilder stocks will rebound before the market will and HOV is dirt cheap right now and will be one of the survivors on the other side of the dip so it isn’t entirely out of the question that Buffet would grab a large stake at these prices.

[temeculaguy]

PD the Buffet HOV rumor is more than likely just rumor as is oftern the case with the Oracle of Omaha, funny how it gets a 12% hop on a rumor that Buffet likes it. Personally I think the homebuilder stocks will rebound before the market will and HOV is dirt cheap right now and will be one of the survivors on the other side of the dip so it isn’t entirely out of the question that Buffet would grab a large stake at these prices.

[temeculaguy]

lniles, I have to take issue with the HOA comments since I have some tales from the other side of the BBQ. While I’ve never owned an attached home I have a few in an HOA and non HOA. Once you live in an non HOA SFR you come to appreciate the retired guy giving tickets to the neighbors. These are actual events from my non hoa experience and on my street alone. This was not a ranch area but a generic beige stucco/red spanish tile roof tract and it was new.

1. Guy has two giant raider nation flags outside his home for the duration of football season every year. He doesn’t have blinds or cutains, he has “raiders” sheets tacked up to all of the windows facing the street.

2. Another guy decides to remove his lawn and plant corn in the front yard, not one or two stalks, but the entire front yard.

3. Another guy tires of the four shades or beige stucco in his neighborhood and decides he needs to paint his house baby blue.

4. Next door neigbor has christmas lights up for eight years.

5. Another neighbor decides he has too many people living in his house so he converts the garage to rooms, put the motorcycles and dune buggies in the driveway and the seven cars and a toy hauler on the street, there isn’t enough room in front of his house so the toy hauler is in front of my house, for two years. I can’t see the road when I back out of my driveway. He did move it while my for sale sign was up at my request.

So you can hang your wetsuit in the shower or all this can be yours.

[temeculaguy]

lniles, I have to take issue with the HOA comments since I have some tales from the other side of the BBQ. While I’ve never owned an attached home I have a few in an HOA and non HOA. Once you live in an non HOA SFR you come to appreciate the retired guy giving tickets to the neighbors. These are actual events from my non hoa experience and on my street alone. This was not a ranch area but a generic beige stucco/red spanish tile roof tract and it was new.

1. Guy has two giant raider nation flags outside his home for the duration of football season every year. He doesn’t have blinds or cutains, he has “raiders” sheets tacked up to all of the windows facing the street.

2. Another guy decides to remove his lawn and plant corn in the front yard, not one or two stalks, but the entire front yard.

3. Another guy tires of the four shades or beige stucco in his neighborhood and decides he needs to paint his house baby blue.

4. Next door neigbor has christmas lights up for eight years.

5. Another neighbor decides he has too many people living in his house so he converts the garage to rooms, put the motorcycles and dune buggies in the driveway and the seven cars and a toy hauler on the street, there isn’t enough room in front of his house so the toy hauler is in front of my house, for two years. I can’t see the road when I back out of my driveway. He did move it while my for sale sign was up at my request.

So you can hang your wetsuit in the shower or all this can be yours.

[temeculaguy]

Too bad sd had to get on a plane, I was rather enjoying the “Clash of the Titans.” This is how debates should go, argument supported by facts, no insults just the occasional jab and then more facts and debate. Standing ovation from the crowd.

[temeculaguy]

Too bad sd had to get on a plane, I was rather enjoying the “Clash of the Titans.” This is how debates should go, argument supported by facts, no insults just the occasional jab and then more facts and debate. Standing ovation from the crowd.

[temeculaguy]

You are right about the courthouse auctions, it is almost always the bank who buys it. Today’s So Cal trustee sale is mostly just a routine requirement of the foreclosure process and not an auction to find a deal at. If the house was worth more or the same as the debt the owner would have sold it prior to foreclosure but that is not the case with most of them. After the bank gets it back, then they have to try and sell it, then market forces kick in and they have to lower the price as time goes on until they sell it, lowballing REO’s with many days on the market is where I see the real potential bargains.

[temeculaguy]

You are right about the courthouse auctions, it is almost always the bank who buys it. Today’s So Cal trustee sale is mostly just a routine requirement of the foreclosure process and not an auction to find a deal at. If the house was worth more or the same as the debt the owner would have sold it prior to foreclosure but that is not the case with most of them. After the bank gets it back, then they have to try and sell it, then market forces kick in and they have to lower the price as time goes on until they sell it, lowballing REO’s with many days on the market is where I see the real potential bargains.

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