Housing Market

[Birchtree]

That's why we never want these characters in the stock market - maybe they are already here doing all the for sure winning hand of shorting. It will end viciously bad for the shorts.

 

[Callme_CO]

I was watching one of those shows on TLC about flipping a house and I have to share this episode because this is a real show about why all the subprime greed happened.

This guy buys a house for $415,000 in CA and takes out a mortgage that's $5K a month for his very first 'flip'. He plans on doing the flip in 2 months and selling it for $700,000 for something like $220,000 profit when it's all done. Now, this wasn't a dumpy house to begin with. I think it was beautiful as it was, but this guy decided it need to be fixed up and resold at an enormous markup.

The housework ends up taking him longer than expected and to make matters worse, the realator says he's asking too much and that the current neighborhood is saturated with sellers already. He persists at selling for the $700K price for max profit. Days turn into weeks, weeks turn into months and the house still isn't sold. In the end, after completely maxing out every credit card to pay off the mortgage for another couple of months, the guy finally drops the price down to the bid.

When it was all said and done, the guy walked away with a puny $1,700 after paying down all of his credit card debts. Turns out he was one of the lucky ones.

it's funny but watching that show every person who's new to it always pays a ton for crappy houses under bid their cost and time for the project.

 

[Bullitt]

It will end viciously bad for the shorts.

Even Dennis Gartman is starting to scale back.

 

[Bullitt]

In regards to that website www.youwalkaway.com, the good guys are stepping up to the plate. Some paraphrasing from the WSJ article titled "Borrowers Abandon Mortgages as Prices Drop".

Some in the industry want to toughen the consequences for borrowers who walk away. Executives at Fannie Mae say they are working to create harsher penalties for people who walk away from mortgages, and they plan to pursue some borrowers in court. They also want to extend the amount of time between when borrowers default and when they become eligible again for a Fannie Mae-backed loan.

This part here might may make the reader a bit queasy. Investors???

Every single person we talk to either owes 100% [of their equity] or is upside down anywhere from $10,000 to $300,000," says John Maddux, co-founder of YouWalkAway.com, which charges borrowers about $1,000 for advice. Mr. Maddux says the site has received more than 190,000 visits and about 20% of their clients are investors.

I don't know, it just makes my blood boil when I see Carpetbaggers like this guy from www.youwalkaway.com making a bad situation worse.

 

[Bullitt]

"Do you see yourself a millionaire some day? Have some guts, make a decision. Come to my seminar."

 

[Birchtree]

Right. I'll stick with my stocks and not worry about the NINAs.

 

[FAB1]

10-14-2007

A lumber Company owner in GA says the housing market is going to crash big.

I talked to my next door neighbor, who builds custom houses. He said there are x number thousands of spec houses sitting in GA that aren't going to sell.

Then, he said its not going to be a recession, but a depression.


Interesting "you were there" historic thread documenting the early signs of the sub-prime fiasco failure.

Thank you Bawny Fwank and Flabbie Mae for destroying the US housing market - you should be proud b/c its never recovered and the banks are still failing.

Thanks for pulling this thread up.

 

[Warrenlm]

Like politics, Real Estate is local. Some areas are booming. Some areas are immune from problems. Some areas are required to suffer for the good of the areas booming. Pitchforks were surrendered as the people went back to American Idol.

 

[Buster]

White House has lost one-quarter of its market value in three years​

According to one real-estate website, the value of the White House has fallen from $332 million in 2007 to $252 million today. There are no plans to sell it, however.

No one is immune

 

[Gumby]

White House has lost one-quarter of its market value in three years​

No one is immune

Just two questions...

1. How much property tax does the government pay on this mansion?

2. How much would a private individual have to pay? :nuts:

 

[Steel_Magnolia]

Just two questions...

1. How much property tax does the government pay on this mansion?

2. How much would a private individual have to pay? :nuts:

Don't know how much a private individual would have to pay, but I do know that the government doesn't pay any property tax, because the White House is a National Park Service site.

 

[strates]

$2,142,000 would be the tax bill, using DC's property tax rate of $.85 per $100.

 

[Silverbird]

Bah, any property previously valued over $1million has gone way down in value. Expensive swanky mansions were oversold and overrated (with genuine granite countertops and 8 burner stainless steel gas ranges of course). So too would the White House's value go.

 

[Warrenlm]

Case Schiller this morning points to housing bumping along the bottom, or continuing down a tad. Exceptions are three cities, where some improvement is noted. The star is the Washington DC area which is the beneficiary of federal tax dollars, sent here by people who apparently willingly send their income to DC instead of to their state governments. Taxes hmmm, 80% federal, 20% state. Not anywhere close to what the founders had in mind but that wonderful commerce clause.....