[XBoxBoy]

SD Realtor wrote: Let me know of any secrets you come across with to help keep your wife patient as I am running out of tricks.

To all those with this problem let me say that the solution I found that worked the best was to go rent a really nice place. (With a big emphasis on the word nice!) My wife was really after me to buy, putting on daily pressure, but I was reluctant for all the reasons that people write about here. (We have a good bit of money saved so we could afford to buy, I just didn’t think it was a good idea.) We were living in an apartment that was okay, but just okay, certainly not as nice as we could afford. But we were saving money. But I realized that living in the less than ideal situation was making things all the more difficult. So, I went out and found a really nice house to rent. Yes, we are spending a lot in rent, but still less than we would be losing if we had bought. Now my wife’s concern is that we are living in a house that is nicer than we will be able to afford. This seems to be much easier for her to deal with, and lately she has not put any pressure on me to buy a place. (Probably because she realizes that buying will mean a step down in living conditions.)

Anyway, bottom line, if your wife is after you to buy, go rent the nicest place you can find/afford. You might not be able to bank as much money, but then again you are living well, not watching your equity shrink, and rents are still half what a mortgage payment would be. Overall a much better deal. I highly recommend this strategy.

XBoxBoy

[XBoxBoy]

SD Realtor wrote: Let me know of any secrets you come across with to help keep your wife patient as I am running out of tricks.

To all those with this problem let me say that the solution I found that worked the best was to go rent a really nice place. (With a big emphasis on the word nice!) My wife was really after me to buy, putting on daily pressure, but I was reluctant for all the reasons that people write about here. (We have a good bit of money saved so we could afford to buy, I just didn’t think it was a good idea.) We were living in an apartment that was okay, but just okay, certainly not as nice as we could afford. But we were saving money. But I realized that living in the less than ideal situation was making things all the more difficult. So, I went out and found a really nice house to rent. Yes, we are spending a lot in rent, but still less than we would be losing if we had bought. Now my wife’s concern is that we are living in a house that is nicer than we will be able to afford. This seems to be much easier for her to deal with, and lately she has not put any pressure on me to buy a place. (Probably because she realizes that buying will mean a step down in living conditions.)

Anyway, bottom line, if your wife is after you to buy, go rent the nicest place you can find/afford. You might not be able to bank as much money, but then again you are living well, not watching your equity shrink, and rents are still half what a mortgage payment would be. Overall a much better deal. I highly recommend this strategy.

XBoxBoy

[XBoxBoy]

SD Realtor wrote: Let me know of any secrets you come across with to help keep your wife patient as I am running out of tricks.

To all those with this problem let me say that the solution I found that worked the best was to go rent a really nice place. (With a big emphasis on the word nice!) My wife was really after me to buy, putting on daily pressure, but I was reluctant for all the reasons that people write about here. (We have a good bit of money saved so we could afford to buy, I just didn’t think it was a good idea.) We were living in an apartment that was okay, but just okay, certainly not as nice as we could afford. But we were saving money. But I realized that living in the less than ideal situation was making things all the more difficult. So, I went out and found a really nice house to rent. Yes, we are spending a lot in rent, but still less than we would be losing if we had bought. Now my wife’s concern is that we are living in a house that is nicer than we will be able to afford. This seems to be much easier for her to deal with, and lately she has not put any pressure on me to buy a place. (Probably because she realizes that buying will mean a step down in living conditions.)

Anyway, bottom line, if your wife is after you to buy, go rent the nicest place you can find/afford. You might not be able to bank as much money, but then again you are living well, not watching your equity shrink, and rents are still half what a mortgage payment would be. Overall a much better deal. I highly recommend this strategy.

XBoxBoy

[XBoxBoy]

RaptorDuck,

Like you I’m feeling vexed that things aren’t coming down in the high end areas. My wife and I have been watching and waiting to buy in La Jolla for a couple years now. I would have thought that people would have wised up to the popping bubble, but alas no. However, I encourage you to hang tough, I do believe that ultimately things will turn our way.

XBoxBoy

[XBoxBoy]

RaptorDuck,

Like you I’m feeling vexed that things aren’t coming down in the high end areas. My wife and I have been watching and waiting to buy in La Jolla for a couple years now. I would have thought that people would have wised up to the popping bubble, but alas no. However, I encourage you to hang tough, I do believe that ultimately things will turn our way.

XBoxBoy

[XBoxBoy]

RaptorDuck,

Like you I’m feeling vexed that things aren’t coming down in the high end areas. My wife and I have been watching and waiting to buy in La Jolla for a couple years now. I would have thought that people would have wised up to the popping bubble, but alas no. However, I encourage you to hang tough, I do believe that ultimately things will turn our way.

XBoxBoy

[XBoxBoy]

RaptorDuck,

Like you I’m feeling vexed that things aren’t coming down in the high end areas. My wife and I have been watching and waiting to buy in La Jolla for a couple years now. I would have thought that people would have wised up to the popping bubble, but alas no. However, I encourage you to hang tough, I do believe that ultimately things will turn our way.

XBoxBoy

[XBoxBoy]

RaptorDuck,

Like you I’m feeling vexed that things aren’t coming down in the high end areas. My wife and I have been watching and waiting to buy in La Jolla for a couple years now. I would have thought that people would have wised up to the popping bubble, but alas no. However, I encourage you to hang tough, I do believe that ultimately things will turn our way.

XBoxBoy

[XBoxBoy]

Can someone clarify the impact of this for me?

If I understand what people are saying, the Fed, the treasury and the banks are planning to force the investors who own the mortgage backed securities to take lower interest rates. If that’s true then won’t that make it so all investors will be more reluctant to buy mortgages in the future? (Due to the risk that the government might come in and change the terms of your investment at anytime)

Seems to me that any investment that is subject to interference from the government without warning would significantly increase the return premium the investor would demand before making the investment. So ultimately won’t this plan make mortgage backed securities less attractive to investors and thus make mortgages more expensive in the future?

Also, aren’t there legal issues with this plan? Undoubtedly the mortgage backed securities that hold these mortgages have pages and pages of legal docs that define the terms of the mortgages. Unless those docs already grant the power to change the terms to someone, can the government come in and mandate a change without the investors having the right to sue? If I owned a bunch of mortgage backed securities and the government came along and told me, “sorry, we’re going to change those rates, and no you can’t foreclose,” I’d be thinking of calling an attorney. Can the government just come along and change the terms of contracts between private individuals just because the government is worried about a slowing economy?

Thanks for your responses,

XBoxBoy

[XBoxBoy]

Can someone clarify the impact of this for me?

If I understand what people are saying, the Fed, the treasury and the banks are planning to force the investors who own the mortgage backed securities to take lower interest rates. If that’s true then won’t that make it so all investors will be more reluctant to buy mortgages in the future? (Due to the risk that the government might come in and change the terms of your investment at anytime)

Seems to me that any investment that is subject to interference from the government without warning would significantly increase the return premium the investor would demand before making the investment. So ultimately won’t this plan make mortgage backed securities less attractive to investors and thus make mortgages more expensive in the future?

Also, aren’t there legal issues with this plan? Undoubtedly the mortgage backed securities that hold these mortgages have pages and pages of legal docs that define the terms of the mortgages. Unless those docs already grant the power to change the terms to someone, can the government come in and mandate a change without the investors having the right to sue? If I owned a bunch of mortgage backed securities and the government came along and told me, “sorry, we’re going to change those rates, and no you can’t foreclose,” I’d be thinking of calling an attorney. Can the government just come along and change the terms of contracts between private individuals just because the government is worried about a slowing economy?

Thanks for your responses,

XBoxBoy

[XBoxBoy]

Can someone clarify the impact of this for me?

If I understand what people are saying, the Fed, the treasury and the banks are planning to force the investors who own the mortgage backed securities to take lower interest rates. If that’s true then won’t that make it so all investors will be more reluctant to buy mortgages in the future? (Due to the risk that the government might come in and change the terms of your investment at anytime)

Seems to me that any investment that is subject to interference from the government without warning would significantly increase the return premium the investor would demand before making the investment. So ultimately won’t this plan make mortgage backed securities less attractive to investors and thus make mortgages more expensive in the future?

Also, aren’t there legal issues with this plan? Undoubtedly the mortgage backed securities that hold these mortgages have pages and pages of legal docs that define the terms of the mortgages. Unless those docs already grant the power to change the terms to someone, can the government come in and mandate a change without the investors having the right to sue? If I owned a bunch of mortgage backed securities and the government came along and told me, “sorry, we’re going to change those rates, and no you can’t foreclose,” I’d be thinking of calling an attorney. Can the government just come along and change the terms of contracts between private individuals just because the government is worried about a slowing economy?

Thanks for your responses,

XBoxBoy

[XBoxBoy]

Can someone clarify the impact of this for me?

If I understand what people are saying, the Fed, the treasury and the banks are planning to force the investors who own the mortgage backed securities to take lower interest rates. If that’s true then won’t that make it so all investors will be more reluctant to buy mortgages in the future? (Due to the risk that the government might come in and change the terms of your investment at anytime)

Seems to me that any investment that is subject to interference from the government without warning would significantly increase the return premium the investor would demand before making the investment. So ultimately won’t this plan make mortgage backed securities less attractive to investors and thus make mortgages more expensive in the future?

Also, aren’t there legal issues with this plan? Undoubtedly the mortgage backed securities that hold these mortgages have pages and pages of legal docs that define the terms of the mortgages. Unless those docs already grant the power to change the terms to someone, can the government come in and mandate a change without the investors having the right to sue? If I owned a bunch of mortgage backed securities and the government came along and told me, “sorry, we’re going to change those rates, and no you can’t foreclose,” I’d be thinking of calling an attorney. Can the government just come along and change the terms of contracts between private individuals just because the government is worried about a slowing economy?

Thanks for your responses,

XBoxBoy

[XBoxBoy]

Can someone clarify the impact of this for me?

If I understand what people are saying, the Fed, the treasury and the banks are planning to force the investors who own the mortgage backed securities to take lower interest rates. If that’s true then won’t that make it so all investors will be more reluctant to buy mortgages in the future? (Due to the risk that the government might come in and change the terms of your investment at anytime)

Seems to me that any investment that is subject to interference from the government without warning would significantly increase the return premium the investor would demand before making the investment. So ultimately won’t this plan make mortgage backed securities less attractive to investors and thus make mortgages more expensive in the future?

Also, aren’t there legal issues with this plan? Undoubtedly the mortgage backed securities that hold these mortgages have pages and pages of legal docs that define the terms of the mortgages. Unless those docs already grant the power to change the terms to someone, can the government come in and mandate a change without the investors having the right to sue? If I owned a bunch of mortgage backed securities and the government came along and told me, “sorry, we’re going to change those rates, and no you can’t foreclose,” I’d be thinking of calling an attorney. Can the government just come along and change the terms of contracts between private individuals just because the government is worried about a slowing economy?

Thanks for your responses,

XBoxBoy

[XBoxBoy]

What I keep wondering is what impact falling prices will have on the long term holders of property. During the last five or six years the attitude has been, “Mom, don’t sell the house, it’s the greatest investment. I know it’s too big for you now that Dad is gone, but please keep the house. It’s a gold mine.” But now the attitude is probably going to change to, “Yeah, there really isn’t much point in continuing to live in the house now that Dad’s gone. If you want to sell it and move into a retirement center, go ahead and do it.”

The problem is that I have no idea how much this psychological shift will translate into an increase in the number of people who want to sell. I’ve been watching La Jolla for several years now, and I can tell you that there are lots of retired empty nesters still living in their houses. But how many will actually change their thinking and put their houses up for sale? Will it be just a couple or a bunch? No idea. I can see it going either way.

XBoxBoy

[XBoxBoy]

What I keep wondering is what impact falling prices will have on the long term holders of property. During the last five or six years the attitude has been, “Mom, don’t sell the house, it’s the greatest investment. I know it’s too big for you now that Dad is gone, but please keep the house. It’s a gold mine.” But now the attitude is probably going to change to, “Yeah, there really isn’t much point in continuing to live in the house now that Dad’s gone. If you want to sell it and move into a retirement center, go ahead and do it.”

The problem is that I have no idea how much this psychological shift will translate into an increase in the number of people who want to sell. I’ve been watching La Jolla for several years now, and I can tell you that there are lots of retired empty nesters still living in their houses. But how many will actually change their thinking and put their houses up for sale? Will it be just a couple or a bunch? No idea. I can see it going either way.

XBoxBoy

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