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sunnyplus3
:)
Member since 11/05 8749 total posts
Name:
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Our favorite debate-housing market-new article
well it is true that the foreclosure rate has skyrocketed nationally. We talk about this around here all the time, is the market going to bottom out? I think this article is very telling-people have biten off more than they can chew & its catching up, I'm certain this is going to get worse.
Article
when banks start selling foreclosed properties around here for what they consider to be market value, it will affect home prices as a whole. Good news for those of you still shopping. irrelevant for those of us that plan to stay in our homes long term & not take out all of our equity.
Message edited 5/8/2006 7:20:51 AM.
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Posted 5/8/06 7:19 AM  |
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Prudential Douglas Elliman Real Estate
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MsG
Should be working
Member since 5/05 2824 total posts
Name:
G
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Re: Our favorite debate-housing market-new article
I'm just so annoyed b/c we wanted to expand, and we'd use a HELOC or HE loan to do that and now I don't know if that's a good idea.
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| Posted 5/8/06 7:28 AM |
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SweetestOfPeas
J'taime Paris!
Member since 3/06 32345 total posts
Name:
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Re: Our favorite debate-housing market-new article
doesn't seem to have affected this area too much.
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| Posted 5/8/06 4:47 PM |
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Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
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Re: Our favorite debate-housing market-new article
NY is up 160% vs last year quater 1
I would say that's a big jump
I would love to get my hands on a lisitng
my DH is in the mortgage business and have been saying this for a while- people have been buying way more then they can afford-
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| Posted 5/8/06 4:54 PM |
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SweetestOfPeas
J'taime Paris!
Member since 3/06 32345 total posts
Name:
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Re: Our favorite debate-housing market-new article
Posted by Beth1210
NY is up 160% vs last year quater 1
I would say that's a big jump
I would love to get my hands on a lisitng
my DH is in the mortgage business and have been saying this for a while- people have been buying way more then they can afford-
but it's only up 8% since the end of 2005. not very significant.
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| Posted 5/8/06 4:59 PM |
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anon
where's winter?
Member since 11/05 2209 total posts
Name:
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Re: Our favorite debate-housing market-new article
i think the sheet will really hit the fan when the products like 7 year ARMS reach year 8 and people are caught with their pants down.
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| Posted 5/8/06 5:01 PM |
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Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
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Re: Our favorite debate-housing market-new article
people are going to have to keep refinacning- which is good for me- keeps the DH nice and busy
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| Posted 5/8/06 5:02 PM |
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DjPiLL
Member since 5/05 3664 total posts
Name:
Richard
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Re: Our favorite debate-housing market-new article
Posted by anon
i think the sheet will really hit the fan when the products like 7 year ARMS reach year 8 and people are caught with their pants down.
In 7-8 years... people will probably have enough equity in their house where it won't kill them to re-finance because they will be financing for less.
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| Posted 5/8/06 5:11 PM |
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Blu-ize
Plan B is Now Plan A
Member since 7/05 32475 total posts
Name:
Susan
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Re: Our favorite debate-housing market-new article
Doing some home improvements right now and I'm not going to take out a HELOC to do it even though I have a ton of equity. I would rather play it safe and do the work over time.
I see a lot of people doing improvements though and I don't know where people get the money from. I can only think it's from a heloc.
There have to be a lot of people like me though who would rather not incur the debt.
I'm not afraid of the market. I'm making good practical decisions. I also have other investments that may hedge my real estate investments.
Hopefully many others have good sound financial planning too.
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| Posted 5/8/06 5:39 PM |
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Sassyz75
Turning a new page
Member since 5/05 9731 total posts
Name:
Dina
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Re: Our favorite debate-housing market-new article
there was another article on CNN about all the different US markets- how certain markets in Florida, Washinton DC and Boston have made MAJOR stalls and that NY/NJ is in "danger" territory as houses are 43% over valued or something.
Also- Warren Buffet said that housing is going to come down more b/c 1) speculation and 2) bankers lending to those they shouldn't
all very interesting stuff.
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| Posted 5/8/06 5:53 PM |
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Redhead
You Live, You Learn
Member since 5/05 31871 total posts
Name:
Jennifer
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Re: Our favorite debate-housing market-new article
this was bound to happen sooner or later
Message edited 5/8/2006 7:21:26 PM.
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| Posted 5/8/06 6:33 PM |
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Redhead
You Live, You Learn
Member since 5/05 31871 total posts
Name:
Jennifer
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Re: Our favorite debate-housing market-new article
Posted by DjPiLL
Posted by anon
i think the sheet will really hit the fan when the products like 7 year ARMS reach year 8 and people are caught with their pants down.
In 7-8 years... people will probably have enough equity in their house where it won't kill them to re-finance because they will be financing for less.
i think ths sh!t will certainly hit the fan...
regardless of the equity...
that and all those that took these new weird loans that these banks and brokers are giving out...
bad bad decision IMO
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| Posted 5/8/06 7:23 PM |
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MsG
Should be working
Member since 5/05 2824 total posts
Name:
G
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Re: Our favorite debate-housing market-new article
Posted by Blu-ize
I see a lot of people doing improvements though and I don't know where people get the money from. I can only think it's from a heloc.
There have to be a lot of people like me though who would rather not incur the debt.
I see this too! Renovations, expansions everywhere. We're pretty bummed b/c we wanted to start this fall, but we're not taking the chance.
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| Posted 5/8/06 7:36 PM |
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CkGm
They get so big, so fast :(
Member since 5/05 13848 total posts
Name:
Christine
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Re: Our favorite debate-housing market-new article
I wish this would happen in So. Cal. My DH and I are about to rent and give up on finding our house now. 
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| Posted 5/8/06 9:43 PM |
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sunnyplus3
:)
Member since 11/05 8749 total posts
Name:
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Re: Our favorite debate-housing market-new article
Posted by DjPiLL
Posted by anon
i think the sheet will really hit the fan when the products like 7 year ARMS reach year 8 and people are caught with their pants down.
In 7-8 years... people will probably have enough equity in their house where it won't kill them to re-finance because they will be financing for less.
in 7-8 years people with IO's could have negative equity & people that overpaid in the housing frenzy could have close to zero equity after they have taken whatever they had out to expand, buy new cars, vacation, eat at boulder creek & the like 5X's a week. Hard to believe people do these things but they do! lots of people will have equity but if the rates are 9% (as they very well could be) and it still costs 10k minimum to refi how/why would they?
Take the way you budget your life out of the equation...these scenarios fit the people that are over extended, eventually their mistakes will effect the entire market.
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| Posted 5/8/06 9:59 PM |
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MsG
Should be working
Member since 5/05 2824 total posts
Name:
G
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Re: Our favorite debate-housing market-new article
A friend of our family owns a car dealership and he says he can't believe the number of people coming in using home equity $$ to buy SUVs or luxury cars.
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| Posted 5/9/06 9:19 AM |
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Blu-ize
Plan B is Now Plan A
Member since 7/05 32475 total posts
Name:
Susan
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Re: Our favorite debate-housing market-new article
Posted by MsG
A friend of our family owns a car dealership and he says he can't believe the number of people coming in using home equity $$ to buy SUVs or luxury cars.
That's another thing I'm seeing. Like I said before, I hope the people who don't do this kind of thing like us will balance out the rest.
I know more fiscally practical people than extravagant people. Maybe it's just who I run with.
Even my boss who makes tons of moolah is very budget conscious.
Keeping my fingers crossed that level heads will prevail!
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| Posted 5/9/06 10:31 AM |
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Sassyz75
Turning a new page
Member since 5/05 9731 total posts
Name:
Dina
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Re: Our favorite debate-housing market-new article
I have a question.
My friend has been in her home for like 2 years and has refinanced tHREE times.
Doesn't that cost money?
I don't understand why she keeps doing that.
and I think she's taking equity out- so how will she have any equity in her house if she keeps taking it out- i'm confused.
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| Posted 5/9/06 10:51 AM |
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SweetestOfPeas
J'taime Paris!
Member since 3/06 32345 total posts
Name:
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Re: Our favorite debate-housing market-new article
Posted by MsG
A friend of our family owns a car dealership and he says he can't believe the number of people coming in using home equity $$ to buy SUVs or luxury cars.
 do people LIKE being in debt up to their eyeballs? 
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| Posted 5/9/06 10:52 AM |
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SweetestOfPeas
J'taime Paris!
Member since 3/06 32345 total posts
Name:
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Re: Our favorite debate-housing market-new article
Posted by Sassyz75
I have a question.
My friend has been in her home for like 2 years and has refinanced tHREE times.
Doesn't that cost money?
I don't understand why she keeps doing that.
and I think she's taking equity out- so how will she have any equity in her house if she keeps taking it out- i'm confused.
yea! she has to pay closing costs everytime, at least $10K. some of it you can write off, but not all.
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| Posted 5/9/06 10:53 AM |
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Sassyz75
Turning a new page
Member since 5/05 9731 total posts
Name:
Dina
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Re: Our favorite debate-housing market-new article
Posted by SweetestOfPeas
Posted by Sassyz75
I have a question.
My friend has been in her home for like 2 years and has refinanced tHREE times.
Doesn't that cost money?
I don't understand why she keeps doing that.
and I think she's taking equity out- so how will she have any equity in her house if she keeps taking it out- i'm confused.
yea! she has to pay closing costs everytime, at least $10K. some of it you can write off, but not all.
shut up.
so for a house that was $225 she paid $30k in closing costs.
YOWZER!
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| Posted 5/9/06 11:04 AM |
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sunnyplus3
:)
Member since 11/05 8749 total posts
Name:
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Re: Our favorite debate-housing market-new article
Posted by Sassyz75
I have a question.
My friend has been in her home for like 2 years and has refinanced tHREE times.
Doesn't that cost money?
I don't understand why she keeps doing that.
and I think she's taking equity out- so how will she have any equity in her house if she keeps taking it out- i'm confused.
I don't know your friend's whole situation, but many people are using their home equity like everyday money & not realizing your equity should STAY in the home because $hit happens & you may need it. Everyone in my family 1 generation up(parents, aunts, uncles, etc) said they never even considered refi's. You never touched your house because it was your cushion. Back in the day people saved up till they could afford the things they wanted.
Our generation(they mortgage industry we know) is different. People use their homes like checking accounts. Too weird.
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| Posted 5/9/06 11:12 AM |
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MeeshkaMich
LL=Yum
Member since 2/06 5616 total posts
Name:
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Re: Our favorite debate-housing market-new article
when is the best time to purchase a house? Meaning time of year
Message edited 5/9/2006 11:17:41 AM.
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| Posted 5/9/06 11:17 AM |
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~Colleen~
my loves...
Member since 5/05 9129 total posts
Name:
guess
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Re: Our favorite debate-housing market-new article
Posted by shellybelle
when is the best time to purchase a house? Meaning time of year
They say right around the holiday's in December-January. But really, it's when you can afford it 
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| Posted 5/9/06 11:25 AM |
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SweetestOfPeas
J'taime Paris!
Member since 3/06 32345 total posts
Name:
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Re: Our favorite debate-housing market-new article
Posted by Sassyz75
Posted by SweetestOfPeas
Posted by Sassyz75
I have a question.
My friend has been in her home for like 2 years and has refinanced tHREE times.
Doesn't that cost money?
I don't understand why she keeps doing that.
and I think she's taking equity out- so how will she have any equity in her house if she keeps taking it out- i'm confused.
yea! she has to pay closing costs everytime, at least $10K. some of it you can write off, but not all.
shut up.
so for a house that was $225 she paid $30k in closing costs.
YOWZER!
yup!
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| Posted 5/9/06 11:27 AM |
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