[temeculaguy]

I’m having trouble following this thread, is there more than one person using coreclient’s screen name? One version tells of being taken for only 30k, but other posts on the same screen name it sounded like a couple of houses being foreclosed on. If it is the same person and you only lost 30k, you would have lost more than that if you had bought an investment property when you did and there was no fraud. Almost every person that bought a rental house between 2005 and 2006 in the Temecula Valley has lost a 100k, where there was no fraud, just because buying rental properties or houses as an investment at the peak turned out to be a bad move. That’s a lot of venom for 30k, many of us have lost that much at some point, myself included. Hell that’s less than the realtors fees on a median home. I thought it was 300 to 500k, something requiring bankruptcy to recover. Consider yourself lucky, learn from your mistakes, never invest in anything other than mutual funds or bonds unless you sepnd at least a year reading and learning about that particular investment and you will be fine financially in a few years. Life has a lot more calamities that will cost you more than 30k, a lot more. You can recover from a 30k loss with a few basic steps, live beneath your means for a year or two (house, cars, vacations, starbucks, etc.) and write off the loss in your taxes (uncle sam may subsidize 30% of your misfortune). I have been through life’s ups and downs financially and to be quite honest, lean years can be fun, some of my best times were lean times. I’ve driven a Mercedes with a giant payment and a 7 year old car that was paid off, in retrospect I had more pride and satisfaction in my paid off car, it’s all how you look at it.

[temeculaguy]

I’m having trouble following this thread, is there more than one person using coreclient’s screen name? One version tells of being taken for only 30k, but other posts on the same screen name it sounded like a couple of houses being foreclosed on. If it is the same person and you only lost 30k, you would have lost more than that if you had bought an investment property when you did and there was no fraud. Almost every person that bought a rental house between 2005 and 2006 in the Temecula Valley has lost a 100k, where there was no fraud, just because buying rental properties or houses as an investment at the peak turned out to be a bad move. That’s a lot of venom for 30k, many of us have lost that much at some point, myself included. Hell that’s less than the realtors fees on a median home. I thought it was 300 to 500k, something requiring bankruptcy to recover. Consider yourself lucky, learn from your mistakes, never invest in anything other than mutual funds or bonds unless you sepnd at least a year reading and learning about that particular investment and you will be fine financially in a few years. Life has a lot more calamities that will cost you more than 30k, a lot more. You can recover from a 30k loss with a few basic steps, live beneath your means for a year or two (house, cars, vacations, starbucks, etc.) and write off the loss in your taxes (uncle sam may subsidize 30% of your misfortune). I have been through life’s ups and downs financially and to be quite honest, lean years can be fun, some of my best times were lean times. I’ve driven a Mercedes with a giant payment and a 7 year old car that was paid off, in retrospect I had more pride and satisfaction in my paid off car, it’s all how you look at it.

[temeculaguy]

The rental price is whatever the market will bear and has no relationship to taxes.

And yes the mortgage deduction is cancelled out by the income from the rent but most renatls purchased in the last five years lose money every month so the point is moot. Just like any investment, you don’t avoid profit just because there are tax implications.

Directly to your question, it is a little complicated but basically they can only deduct the loss between carry cost and rental income. If it is a rental that was purchased a long time ago, they will only pay tax on the profit if the rent is greater than the carrying costs.

[temeculaguy]

The rental price is whatever the market will bear and has no relationship to taxes.

And yes the mortgage deduction is cancelled out by the income from the rent but most renatls purchased in the last five years lose money every month so the point is moot. Just like any investment, you don’t avoid profit just because there are tax implications.

Directly to your question, it is a little complicated but basically they can only deduct the loss between carry cost and rental income. If it is a rental that was purchased a long time ago, they will only pay tax on the profit if the rent is greater than the carrying costs.

[temeculaguy]

Matt, you won’t have to wait that long for the high 200’s on a 4/2 lets say 2000-2200 sq ft house in Murrieta. Make a u-haul reservation because you have less than 12 months to wait. Foreclosure.com shows 838 nod’s and 434 not’s compared to temecula 479 nod/ 276 not. Both towns are the same size but the core client/stonewood fiasco favored Murrieta and it will have a significant effect that will hit all at once and actually may diminish or blend in after a few years. Some similar sized cities (since foreclosure.com can be inaccurate, but likely to be equally inaccurate in other towns. Vista 210/190, San Marcos 198/143, carlsbad 127/111. Murietta has between 2x to 8x the nod rate and 2x to 3x the not rate of other similarly sized nearby cities. Look at that NOD rate, those hit the market in six months. Santa’s coming and the first name on his list is Matt.

[temeculaguy]

Matt, you won’t have to wait that long for the high 200’s on a 4/2 lets say 2000-2200 sq ft house in Murrieta. Make a u-haul reservation because you have less than 12 months to wait. Foreclosure.com shows 838 nod’s and 434 not’s compared to temecula 479 nod/ 276 not. Both towns are the same size but the core client/stonewood fiasco favored Murrieta and it will have a significant effect that will hit all at once and actually may diminish or blend in after a few years. Some similar sized cities (since foreclosure.com can be inaccurate, but likely to be equally inaccurate in other towns. Vista 210/190, San Marcos 198/143, carlsbad 127/111. Murietta has between 2x to 8x the nod rate and 2x to 3x the not rate of other similarly sized nearby cities. Look at that NOD rate, those hit the market in six months. Santa’s coming and the first name on his list is Matt.

[temeculaguy]

I think is to be expected to just now see the beginning of the NOD/NOT numbers going up, the worst is yet to come, here’s why.

If you look at a reset graph, there is about a 2 year bulge that just starts to rise this month, will increase over the next 6 months and stay high for a year and begin to decline over the last six months.

Souther California Loans from 2003-2006 were primarily agjustable, S.D. was over 80% in new loans for some of those years, I don’t know the breakdown of the various types of adjustable loans.

Interest rates are a little higher than they were at the time the loans were made, even if the rates were the same, the payments would jump, for some it will be much worse depending on the loan terms.

Both lifeboats have been lost for people unable to handle the reset payments, they can’t sell and they can’t refi (some not all but it gets worse every month).

A Nod takes three or months to show up, a not can be longer, meaning that todays nods and nots were in trouble between nov 06 to feb 07, pre subprime implosion and there were still bigger fools at that time.

Most people, even subprime people can survive a few months before missing mortgage payments by borrowing from relatives, credit cards, etc. So I think they were in trouble even further back, summer 06 when things got tough and it was a smaller number of people than those today, there was more hope last year, less chance of walking away and more chance to try and hold it together, today the message from realtors, friends, the media, is more likely to paint a gloomier picture than last year.

So what we have with today’s reset payment recipient, to use the analogy of a ship at sea, the number of bodies we are finding washing ashore today were aboard a small ship that sank, close to shore in calm water with sufficient life boats. Right now, bigger ships are sailing further from shore, into rough weather and without lifeboats, in addition there are more of those boats and even more behind them with fewer coast guard ships to save them. And the boat that sinks today, those that are treading water will give up sooner because they won’t know which way to swim.

Morbid analogy but that’s how I see it, you NOD/NOT list will be twice what it is today in six months.

[temeculaguy]

I think is to be expected to just now see the beginning of the NOD/NOT numbers going up, the worst is yet to come, here’s why.

If you look at a reset graph, there is about a 2 year bulge that just starts to rise this month, will increase over the next 6 months and stay high for a year and begin to decline over the last six months.

Souther California Loans from 2003-2006 were primarily agjustable, S.D. was over 80% in new loans for some of those years, I don’t know the breakdown of the various types of adjustable loans.

Interest rates are a little higher than they were at the time the loans were made, even if the rates were the same, the payments would jump, for some it will be much worse depending on the loan terms.

Both lifeboats have been lost for people unable to handle the reset payments, they can’t sell and they can’t refi (some not all but it gets worse every month).

A Nod takes three or months to show up, a not can be longer, meaning that todays nods and nots were in trouble between nov 06 to feb 07, pre subprime implosion and there were still bigger fools at that time.

Most people, even subprime people can survive a few months before missing mortgage payments by borrowing from relatives, credit cards, etc. So I think they were in trouble even further back, summer 06 when things got tough and it was a smaller number of people than those today, there was more hope last year, less chance of walking away and more chance to try and hold it together, today the message from realtors, friends, the media, is more likely to paint a gloomier picture than last year.

So what we have with today’s reset payment recipient, to use the analogy of a ship at sea, the number of bodies we are finding washing ashore today were aboard a small ship that sank, close to shore in calm water with sufficient life boats. Right now, bigger ships are sailing further from shore, into rough weather and without lifeboats, in addition there are more of those boats and even more behind them with fewer coast guard ships to save them. And the boat that sinks today, those that are treading water will give up sooner because they won’t know which way to swim.

Morbid analogy but that’s how I see it, you NOD/NOT list will be twice what it is today in six months.

[temeculaguy]

Their website lists two of the tracts priced from the low 500’s and one from the high 500’s. It’s going to take a visit in person to see if they have standing inventory or what the incentives are, they usually don’t advertise that stuff. Save you price sheets, visit every month or two and track how fast they are selling/releasing. Lennar owns at least one of those tracts, they can be agressive discounters and have been cutting costs by paying subcontracters up to 30% less so if their sales slow they will get agressive, especially with standing inventory.

[temeculaguy]

Their website lists two of the tracts priced from the low 500’s and one from the high 500’s. It’s going to take a visit in person to see if they have standing inventory or what the incentives are, they usually don’t advertise that stuff. Save you price sheets, visit every month or two and track how fast they are selling/releasing. Lennar owns at least one of those tracts, they can be agressive discounters and have been cutting costs by paying subcontracters up to 30% less so if their sales slow they will get agressive, especially with standing inventory.

[temeculaguy]

No input on the price or location since it is not my neck of the woods but I like the alley style, minimalist association maintained yard. It usually fetches 20% less than taditional SFR in other areas and may have a smaller market segment but I like the design hopefully a design that is here to stay.

Their website says it’s from the high 600’s and they won an architectual award for design in the 750 to 1 mil category in 2005 so 600 is definately in the right direction, but despite what the office staff tells you, that direction will not turn around anytime soon. Most importantly, can you afford it, not qualify for a toxic loan but can you afford at least 20% down and the fixed 30 year payment just in case you need 5-10 years recover if there’s more bottom to be had. If you can, it’s a nice house.

[temeculaguy]

No input on the price or location since it is not my neck of the woods but I like the alley style, minimalist association maintained yard. It usually fetches 20% less than taditional SFR in other areas and may have a smaller market segment but I like the design hopefully a design that is here to stay.

Their website says it’s from the high 600’s and they won an architectual award for design in the 750 to 1 mil category in 2005 so 600 is definately in the right direction, but despite what the office staff tells you, that direction will not turn around anytime soon. Most importantly, can you afford it, not qualify for a toxic loan but can you afford at least 20% down and the fixed 30 year payment just in case you need 5-10 years recover if there’s more bottom to be had. If you can, it’s a nice house.

[temeculaguy]

I won’t call anyone a troll and I don’t think Schizo is a newbie.

Even if you were looking for a reason to buy the NOD/NOT graph that is curently on the home page of this site has been reposted three times for three months with updated data and the picture only worsens. That is not a U or a V it is a straight line. You can look at that graph going back a decade or two and it trends up or down but it is always a jagged line. I sent that graph to my broker of 20 years but I only sent him the graph, none of the text or numbers. I wanted him to think it was a stock because for twenty years he always says “stocks don’t go up or down in a straight line.” His first thought “Did that company cure cancer.” The I told him it was the NOD/NOT graph for S.D. and then he said words that would make a sailor blush. Try it for yourself with your broker.

That graph has a lag time of 3-9 months before those nods and nots hit the market and the effects are seen, so the answer is: This is not the time to buy but if you need to unload some property, get very agressive with your price and have the sign out before dawn.

[temeculaguy]

I won’t call anyone a troll and I don’t think Schizo is a newbie.

Even if you were looking for a reason to buy the NOD/NOT graph that is curently on the home page of this site has been reposted three times for three months with updated data and the picture only worsens. That is not a U or a V it is a straight line. You can look at that graph going back a decade or two and it trends up or down but it is always a jagged line. I sent that graph to my broker of 20 years but I only sent him the graph, none of the text or numbers. I wanted him to think it was a stock because for twenty years he always says “stocks don’t go up or down in a straight line.” His first thought “Did that company cure cancer.” The I told him it was the NOD/NOT graph for S.D. and then he said words that would make a sailor blush. Try it for yourself with your broker.

That graph has a lag time of 3-9 months before those nods and nots hit the market and the effects are seen, so the answer is: This is not the time to buy but if you need to unload some property, get very agressive with your price and have the sign out before dawn.

[temeculaguy]

Yes, back to the sand pounding. Politics sneaks inot the boards and it never goes well, religion will only polarize what has already been a very balanced and logical discussion thus far (see, sarcasm is always appropriate).
In the wardens words,”What we have here is a failure to communicate.”

Conned, you are interpreting the lack of sympathy as attacks. The communication you have with fellow investors won’t be nearly as beneficial, it will feel better, but it won’t help as much. Hidden in some of these posts was actually some sound advice about BK, proving you didn’t sign or there was doccument alteration after you signed and eventually you will regain your credit and probably your primary residence. You’ll never get any money from the crooks, just blood, they spent or hid your money but you may be able to salvage some of this. Every successful person has suffered some calamity along the way, even to a greater degree than yours, spend some of your time on revenge but not all of it, look for legal ways to get to the other side of this and do learn from you mistake. Most everyone on this board was begging you to just admit that you had some small amount of responsibility, that the prize blinded you a little but your not ready for that, you rested on the reason you wanted to get rich was to send your husband to seminary so because you felt the goal was noble, the desire was acceptable and can’t be called greed.

You are facing the first step of a twelve step program, you’ve hit bottom and just like anyone else that has hit bottom you have to take the first step, admit you made a mistake. I can see how you fell for it and how they gained your trust, playing on your faith and friendships, you won’t benefit until you see it. I still think there are others out there who weren’t defrauded and will still sustain financial ruin without fraud, just because they bought into the theory that real estate always goes up and there is no risk. We see that with people having their only home foreclosed on, we feel some pity and yet that is thwarted by our confusion as to how they could have entered into a contract they knew they couldn’t keep, taking on too much risk is exactly that, risk.

I am going to quote Lao Tzu, I know you will reject it on it’s face because he is considered a Taoist. Don’t fret, it was written long before Jesus was born, before the bible existed and is considered philisiphy and not religion by many, therefore he should get a free pass from blasphemy since there was no christian religion when he wrote this.

Chapter 19, from the Tao Te Ching
“Get rid of cleverness and abandon profit, and thieves and gangsters will not exist.”

I wish you well in your journey. Even Donald Trump went bankrupt.

[Author]

Posts