Posted by 101livescan on 5/9/11 12:36pm
Msg #382618

Housing Market Getting WORSE!

Sorry this isn't a prettier picture.

http://finance.yahoo.com/banking-budgeting/article/112698/housing-crash-getting-worse-marketwatch?mod=bb-budgeting

Supposed to bottom out end of 2012. If we can hold on that long....perhaps even five years, we might come out okay if we have decent loans.

Reply by Notarysigner on 5/9/11 12:51pm
Msg #382619

Wow....thanks for the article. On the news here this morning they said that 85% of the homes in Las Vegas were underwater. I have a friend that lives on a golf course there, golf course closed then home value dropped from $750,000 to $250,000. They are planning on walking away from that.

Reply by janCA on 5/9/11 1:54pm
Msg #382625

I didn't read the article, but my real estate agent said that there are still 6,000 foreclosed homes coming down the pipeline. Very sad.

Reply by janCA on 5/9/11 1:59pm
Msg #382629

Sorry, meant 6 million, not thousand. n/m

Reply by Notarysigner on 5/9/11 2:49pm
Msg #382639

Re: Sorry, meant 6 million, not thousand.

Whew...for a minute I was thinking my info was incorrect....yea that's about the same number I have.

Reply by Shoshana/AZ on 5/9/11 2:47pm
Msg #382638

I heard on the news the other night that the FBI

is investigating some of these walk-aways as mortgage fraud. They might want to try getting a loan mod or doing a short sale if they can't afford the mortgage. It seems as if being upside down may not now be a good excuse for walking away. JMHO.

Reply by janCA on 5/9/11 7:24pm
Msg #382687

It really torks me that people are so irresponsible as to walk away from their obligation if they can afford the mortgage. You buy a home to live in, not for the equity you might someday get out of it. Plus, this kills your credit for the next 7-10 years.

Reply by Linda_H/FL on 5/9/11 9:33pm
Msg #382699

I agree Jan...

I remember a notary who once posted here - couple years ago she posted that she'd found a house that she absolutely loved (think she'd loved it for some time and it finally went on the market) but couldn't unload the one she had - so she was going to walk away from her present home to buy the "home of her dreams"

Respect level hit the gutter on that one...if you'll do that to your bona fide creditors, what does that say for your integrity...

Ugh

Reply by aanotary on 5/9/11 2:13pm
Msg #382631

READ all the way to the end-

it ends on a fairly positive note- cheer up everybody!

Reply by Shoshana/AZ on 5/9/11 2:40pm
Msg #382636

I READ all the way to the end.

You call that a fairly positive note? Those are big Ifs, my friend.

Reply by JanetK_CA on 5/9/11 3:44pm
Msg #382654

Yeah, if you've got cash and want to buy lots of property...

I think the author makes lots of sense. And I also think there are some people out there who are in the process of securing an eventual fortune. I've met a few in my travels... However, these are people who have access to lots of cash and the time and expertise to make smart investment decisions.

I believe that the housing market will continue be a challenge for a long period of time - and that our industry will continue to be impacted by it. However, regarding the overall economy, over the weekend I heard some economist (I think?) on TV say that the real estate market has become a smaller and smaller factor in our economy (because of all the losses, it's just a smaller percentage of our overall GDP) and significant growth is happening in other areas. That's the upside.

The downside (as I heard this morning) is that because of technology, etc. this growth is not requiring the amount of hiring that it used to. So perhaps more than any other time in our history, this could be a selective recovery, with a new class of chronically unemployed - most formerly middle class, hardworking people. Very sad. The smart ones (including many on this board) are getting re-educated and/or are looking "outside the box" [forgive the overused cliche] for new ways of making a living. But that can be pretty difficult for many and perhaps impossible for some. It's definitely impossible if no effort is made!

BTW, I once heard some wise person say that "hope" is a bad strategy. Just something to think about...

Reply by Shoshana/AZ on 5/9/11 6:46pm
Msg #382677

Re: Yeah, if you've got cash and want to buy lots of property...

Janet, you are so right on. A fool is a person who keeps doing the same thing over and over again and expects different results.

Reply by RedBaron/IN on 5/10/11 11:27am
Msg #382729

Re: Yeah, if you've got cash and want to buy lots of property...

I read a few weeks ago that some homeless people or those that have lost their homes move into an abandoned home(usually upscale) and live there until they are forced to move to another abandoned home. This is uaually rent free or a small negotiated amount to the bank. This saves the bank money as an abandoned home can be vandalized.

Reply by jba/fl on 5/10/11 1:58pm
Msg #382761

Re: Yeah, if you've got cash and want to buy lots of property...

There is a house not far from me that the owners left when it went into foreclosure. They have returned as the bank wants them there until it can be sold. Just for the very reason you have cited.

Makes me think I should leave mine and take up babysitting for banks and living free. Except I don't want to leave mine until it is sold..

Reply by ME/NJ on 5/10/11 12:19pm
Msg #382739

No kidding if you did not see this 2 months ago

Poor planning on you. As I have said before the bank has almost 40% of the homes for sale on the market and they are going cheap, knocking down values.

I've been at my home for 8 years and it's worth less now then when I bought it add a couple refi's and now it's a bad dream of wasted money.

Reply by Linda_H/FL on 5/10/11 1:47pm
Msg #382759

Our house has dropped $10k in value since January

according to our assessor's records, which I understand are pretty close to market value. Sad when you consider when we bough tit we paid $70k more than it's worth now and put an additional $45-$50k into it for additions and renovations....

Good think we have no plans to go anywhere..

Reply by Linda_H/FL on 5/10/11 2:14pm
Msg #382763

Woops..that would be "bought it"....sorry...:( n/m

Reply by janCA on 5/11/11 7:16pm
Msg #382933

Re: No kidding if you did not see this 2 months ago

You have a home for you and your family, how is that a bad dream of wasted money? You HAVE the American Dream, I guess you just don't realize it. A home was never intended for the use of pulling money out of it, and that's what most people just don't get. I've been in my home for 25 years. There's been joy and sadness in this home and memory, after memory, after memory. It's gone through many changes and we've spent lots of money maintaining and keeping it OUR home and I could never say we wasted money. Our lives are in this home and there is no amount of money that could replace that!