Homes Way Over Valued

[Ron61]

Saw this in the headlines and of course most people here already knew that Calif. would be among the top. Also there is a story abut the credit cards that will wake up a lot of people.

http://finance.yahoo.com/real-estate...dly-Overvalued

Ron

[4RE KLR]

It is bad almost everywhere, but Florida, Arizona and California seem to be the worst. It seems like those areas the prices rose first and the fastest though.

I also think those areas will be one of the first to start the recovery process.

Did everyone see that the stock holders are trying to throw Bob Toll out of the boardroom and off the payroll of his own company? They are citing poor performance and his ridiculas salary. He is pissed off that he paid himself $50Million in 2005 and 2004 and he only got $8.9M in 2006 and $1.7M in 2007. Poor baby!!!

[Ron61]

Steve,

About 3 years ago one of the local real estate companies had an estimator come look over my place to see what it would sell for. She gave me a price more than double what it is worth and I told her so. Then I heard that a little house just up from the street from me that has just enough room around it for it to be legal sold for $200K and it wasn't worth over $75K back then. It had set idle and windows were broken as some of the dopers and alcoholics kept breaking them to move in. So whoever the people are that bought it had to have all that mess cleaned up too. Now I see as many for sale signs as I do for rent signs.

Ron

[uncltodd]

I just took a $61K hickey after almost a year on the market.

Professionally appraised, at my expense, at $231K.

Just sold it at $169k

You bet your sweet little wiggly bottom it hurt.

Location, location, location.

UT

[Cobrabill]

Wiggly bottom?Thanks for the visual.

New building in and around Maricopa,Casa Grande & vicinity has gone ape-$hit in the past few years.Builders sued a stock yard to move just becasue they wanted his land.Thank-fully the judge told them that if they wanted the stock yard property,they should have bought it back in 1950 when the owner did.
The first "developements" had so many buyers that a lottery was held.They were offered at $268,000.Then the market started south.Now there are new houses in the next community over,going for $130,000.It must feel wonderfull owing TWICE what your castle is worth.

One last one:Some of you have heard of "Hidden Valley Auto parts".They are in Maricopa.Back at the height of this insanity,they sold their land to a developer for EIGHT MILLION $.Now the land sits empty 'cause of the market.Ooops!

[Slick61]

Yep... I did a cross-country relocation in the spring of '04. My house in Florida sold in a matter of weeks. Which was good, considering I had to now deal with Southern California prices. I knew what to expect, but was still freaked about housing costs. At the time, the market was so hot you basically had to walk into a place & say... "Okay". I set a price range & stuck to it... I hate my house, & it's no where NEAR as nice as my Florida house was, but I can afford the mortgage.

I bought-in before the peak, & at one point, my home's value was up almost $200k. Am now back to square one... actually, according to Zillow, I'm $10k in the hole. I have 2 more years til my mortgage starts to adjust. Not sure what I'm going to do. Would like to move to a house I like better, there's 2 houses down the street that've been on the market for over 9 months. May have to stay put til values recover somewhat (if ever). My ARM has a max increase of 2% per year for 2 years. I made sure that I would be able to handle it no matter what happened. My only regret is that I could've gotten a much nicer, much newer house for about $10k-$15k more. Oh well... live & learn.

What really irritates me is all these articles telling people that if they can't make their mortgage payments... just walk away. What about the rest of us who live within out means & pay our bills on time... (even after rate adjustments) Why do we have to pay for the stupidity of others? A lot of people place blame on the lenders... which, to a point, is true... but no one put a gun to the buyer's heads to sign those mortgage papers. Continued appreciation & low interest rates were NOT guaranteed. There's such a thing as PERSONAL RESPONSIBIILITY! A dying concept, granted. These days, it's more convenient to say "it wasn't MY fault". ugh... don't get me started.

ok... off my soapbox for now.

[Ronbo]

Homes aren't the only thing, $60k SUV's that were $20k, My $75k Kirkham roller. (least it's not financed)

Most people's pay has not tripled in the last ten years, but vehicles and cars sure have.

Thing that scares me is this "slump" has more in common with the depression in that the finacial instutions themselves caused it. The local government here is already whining about the loss in property taxes and of course increasing them.

A true leader eats and sleeps as his soldiers do so he knows what they're capable of. I rarely see examples of this.

[Excaliber]

What price drop? My place continues to go up. I'm astounded by the comparable sale prices in my nieghborhood. Wish I could sell and take the money and run, but, run to where?

[Ron61]

Ernie,

You are in an exceptional place. Now the state is $15 billion in the hole, Thanks Davis, and the latest was to do away with most tax deductions including any deductions for dependents. Even in this state I don't think that will fly as to many of the powerful people have dependents to let their paid Senators and Representatives do that. Why is no mention ever made of cutting down on the dam spending for their pet projects.
In the paper yesterday they were giving examples of loss of attendance at schools. At McCloud which you are familiar with in the 1990s they had over 200 students. They now have 6. Arnold has tried to do something but Davis has left this state in such a mess I don't know what can be done. The more they tax, the more people and businesses leave and the less tax base they have. And of course the illegals move in and immediately start demanding all of their privileges such as medical and such.

Ron

[Excaliber]

Whoa, McCloud is down to 6 students? Now that is depressing...

Along with the higher prices, here in my neighborhood, I am seeing some significant changes, with mixed feeling about it all. When I bought my place some years ago this was a sleepy little place with laid back neighbors and a 'family' feeling to it all. However, it was SO 'laid back' it was kind of a dumpy area. To many people working on their cars and leaving oil containers and parts laying around when they were done. Houses needed painting, yards unkempt, plenty of old rusty cars, etc., it wasn't all that pleasant to look at. I bought my place for a song. With the rise in prices slowly but steadily it's changing to a more affluent type of home owner. Houses are well maintained now, everyone has a newish car, the neighborhood looks great. The tension in the air is also up, big time. The family feeling is disappearing. We have a neighborhood association that dictates what you can and can't do to your home, which used to be a joke. But now, you better pay attention to the 'rules', they ARE enforced. While I appreciate the nicer look and rising values, we've lost something along the way...

I sold my old house to move here BECAUSE the neighborhood was so 'uptight' about 'rules', I wanted 'laid back'. It's dejavu all over again.

[Ron61]

Ernie,

In today's paper they are talking about what to do at McCloud. The six students there don't want to leave as they don't like the little click's groups at the other schools and it would cost a lot to bus them to Mt. Shasta, yet they can't afford to keep and maintain the school for just 6 people. There latest thought which I believe could work is to let them finish out their school and graduate by doing it over the computer.
Also the amount of students in this school district has been on a slow but steady decline the past 4 or 5 years, but they still have plenty to keep the schools open. However yesterdays paper said that Enterprise, Anderson, and Cottonwood may have to discontinue their sports programs completely.

Ron

[CSX 4039]

Originally Posted by Excaliber

What price drop? My place continues to go up. I'm astounded by the comparable sale prices in my nieghborhood. Wish I could sell and take the money and run, but, run to where?

Sell your place over there. For what you could get for it, clear, you could buy a 20 unit apt. complex in my town, and gross $10k/month.
Waco, TX Homes for Sale on Yahoo! Real Estate: 1-10 of 1005 listings (Listing #10).
Then live on the beach just north of Kaneohe with the mokes.

Sounds cool, except they'd be drinking Primo beer, and you'd have Dom Perignon.

[Excaliber]

A couple of my buddies have homes in Texas, one will be leaving Hawaii and moving there. He says it's for the taxes in Texas, Hawaii is just a killer state for taxes. It's tempting, after hearing about what you can buy there for so little compared to here.

The deal killer for me? Reports of 92 degree summer days with 100% humidity. I can't handle that, gimme the trade winds and steady as she goes weather. All though, being a 'slum lord' with tenants is an interesting thought, I guess I wouldn't have to actually 'live' in Texas. Might be kind of cramped sleeping in the Cobra...

Ernie

[4RE KLR]

92* LOL

Try 110 -115* in the summer.

92* would be a blinking holiday!

[Joe Wicked]

Originally Posted by 4RE KLR

92* LOL

Try 110 -115* in the summer.

92* would be a blinking holiday!

Beat me too it.

[Ronbo]

Try 95~100 with 100% humidity, like trying to breathe hot soup...

[Bobcat]

Been through Jax when it`s been that hot .... and it can be a bear to work in that ...FL used to be part of my territory . Last summer up here in SC was also miserable with one week of 100 + and several days of 105 to 107 with humidity in the 90% range . But , this is the deep South and I wouldn`t trade it for anything ( as the saying goes .... American by birth , Southern by the grace of God ) .

[Ronbo]

Ya, a lot of the contractors down here start at the crack of dawn and wrap up by 3:00. I still can't see how the roofers work in the summer here. (they all look like concentration camp survivors) A fat guy doesn't stand a chance working outside here.

I grew up in Cleveland and got stationed down here, if I'd had a choice the first summer would have sent me running up north. (worse yet they sent me to Chicago first)

After a couple years your blood thins out and it's not as bad. When I first got down here I was amazed how laid back it was, now I know why. You can't lite a fire under anyone's butt because they can't feel it.

[J. T. Toad]

oh yipppe...


http://www.foxbusiness.com/markets/i...509788_17.html

[Ron61]

Bill,

That should cheer up the home owners that still have huge amounts to pay on their homes.

Ron