Posted by ME/NJ on 9/24/08 11:22am
Msg #265150

Shades of September 2007

Last year business came to a grinding hault, this September the first 2 weeks were ok I missed alot of work due to health issues.

The last 2 weeks NADA not even low ball offers, so that tells me this area is dead for this month. I may get 1 or 2 last minute EOM deals if that.

And if you think the bailout will help us, guess again Land value need to go up and banks need to ease up on lending guide lines. Getting credit now has been tougher then ever in the last 20 years.

Reply by MikeC/NY on 9/24/08 9:16pm
Msg #265236

"And if you think the bailout will help us, guess again Land value need to go up and banks need to ease up on lending guide lines. Getting credit now has been tougher then ever in the last 20 years."

This isn't exactly true.

In the first place, land values in most markets are returning to where they SHOULD be, after several years of artificially inflated values driven by speculation and easy money. Expecting them to go up now doesn't really make much sense.

Secondly, you can STILL get an FHA loan today with a FICO score around 600... the difference is that you have to have some "skin in the game" (i.e, money to put down), and you have to be able to prove income. Some of that will become tougher after Oct. 1, with the new restrictions on down-payment assistance (has to be a loan from a family member), but it's still doable. Oh, and that house you want to buy has to actually appraise at or near the selling price...