"Good News" WTF?

[åron]

Interest rates are low and it's a buyers market.

Fair enough, sounds good.

Why would you want to buy a house? Prices are declining. You would need a Christ-like credit rating and 20% down. The free ride is over. And mortgage rates are rising.

DOH! :ROTF:

[SouthPlatteDemon]

Bengel, do you hate talk radio?

[SouthPlatteDemon]

Prices are declining.

Exactly, it's a buyer's market.

[yard dawg]

Well its not all bad.

My 7 yr old is getting al A's
The 1800 sq ft house I now rent is only $425 a month and its in the country with an awesome view of a pond.
Obama isnt doing as well as he once was.
Bush is on his way out
and my wife gives me head whenever I ask for it hahaha

So its not all doom and gloom.

[SouthPlatteDemon]

More good news from the South Platte area:

I'm expecting a child.
My fixed interest rate is not moving.

[fett]

Butt when? I watched a real estate bear market where I lived that lasted 10 years. I was lucky. I lived in Marin County. Prices dropped about 5% and stayed there. It took 10 years for my house to go from 300K to 500K.

[Bengal]

Bengel, do you hate talk radio?

Unless it's Sports Talk Radio, I loathe it. What's your point?

[SouthPlatteDemon]

Unless it's Sports Talk Radio, I loathe it. What's your point?

I hate sports talk radio.

[åron]

Exactly, it's a buyer's market.

It all seems so simple, doesn't it. Well when things really hit the bottom, I'm sure we'll see plenty of rich folks buying more homes to rent. Sweet.

[Bengal]

I hate sports talk radio.

That's your point? OK.

All those yuppie scum who overextended themseves are now getting bit on the ass. Poetic justice, if you ask me. Fucktards who wouldn't know a budget if it bit them on the dick are now fleeing the suberbs and shacking up in apartments in the city. Fuckin' classic. "Oh don't worry honey, we'll refinance before the ballon payment".

[rjohnstone]

Here is exactly WHY the housing market is in the shitter... it's asshats like this.

I read this today -- interesting reading about the history of one house buyer's home equity loan addiction to support a life style -- hoping that the housing bubble would never burst!

The almost unbelievable irresponsibility with debt displayed by
homeowners like today's is so amazing, so far beyond any form of
excusable behavior, that you have to wonder if it is right to forgive
it. If someone borrows hundreds of thousands of dollars against their
home and ends up with a short sale requiring the forgiveness of this
debt, how do you feel about it? Remember America's Debtor Prisons or
Are Short Sales Moral? These questions do not go away. Does a really
extreme case change your opinion about the subject? Let's see...

Asking Price: $1,195,000
Income Requirement: $298,750
Downpayment Needed: $239,000
Purchase Price: $397,000
Purchase Date: 7/20/2001
Address: 9 Soaring Hawk, Irvine, CA 92614


Beds: 4, Baths: 2.5, Sq. Ft.: 2,960
Type: Single Family Residence
MLS#: S517428


So lets walk through the mortgage history of this property and see
just how bad HELOC abuse can get...
7-20-2001 The house was purchased for $397,000 with a first mortgage
of $317,600 and a downpayment of $79,400.
11-07-2001 HELOC for $48,000 taking out over half of downpayment.
8-26-2002 Refinance for $360,000.
11-26-2002 HELOC for $29,000
11-26-2002 HELOC for $71,000
6-18-2003 HELOC for $56,000
6-18-2003 HELOC for $100,000
6-1-2004 Refinance for 517,500 -probably paid off HELOCs at this
point.
10-22-1004 HELOC for 89,900.
4-21-2005 Refinance first mortgage of $624,000
4-21-2005 Refinance second mortgage of $156,000. Total debt of
$780,000 at this point.
9-12-2006 Refinance first mortgage of $948,750.
9-12-2006 Refinance second mortgage of $189,750. Total debt of
$1,138,500. No HELOCs


So there you have it. This homeowner went to the housing ATM 8 times
over a 5 year period and pulled out $820,900. Now they have a property
priced at a WTF asking price hoping they can find some knife catcher
to come pay off their bills. Even if you wanted to buy this house,
would you do it knowing that you were about to pay for $820,900 worth
of consumer spending (They may have spent $200,000 on the renovation,
but please spare me the BS about investment or illness or any of that
crap. Look at the pattern of withdrawals. They spent it, and you know
it.) I suppose the lender can always hope these people stashed some of
this money away somewhere to cover the shortfall at the closing table.
Doesn't seem very likely, does it ?

[fett]

Arizona? Yikes. The piggy bank has left the house.

[Cygnus X1]

Good news from the Cygnus household: (BTW, congrats, SPD!!!)
Pappa got a "new" guitar, and is learning how to play. (Again)
Wife Cyg is looking forward to a great birthday gift. (I can't reveal it here).
The boys are doing what boys do, and staying out of trouble doing it!
Pup is pup, the cats are as CAT as cats can be.
The steel industry is holding up quite well, economic forecast numbers keep getting revised "upward" (a reflection of reality, not the badmouthing of the economy)...
The shock cable news channels are still trying to outshock each other for RATINGS,
and, my house and vehicles are paid off. And spring is coming.

[DonP]

rjohnstone,

The only thing that surprised my is how long it lasted.

fett,

Too bad you can't tell us how the great recession was. But I have a feeling it started like this.

[VitaminG]

I don't watch the news. Most of it is bad, because that's what sells. All gloom & doom. That's what all the 6 o'clock news teasers show: "most horrifying events today, we'll tell you more about it than any other news service at 6". If they ever show any good news stories, it's some light-hearted puff piece about a skateboarding pooch or something. And I'll have to admit, even if they show a life-affirming story, like the victim of an horrific accident finally being released from hospital after a long recovery, I'm only semi-interested myself.

I don't buy into the whole "end of days" panic. It's just that instead of hearing news only from our local area, and the occasional news of national importance, we now hear about disasters in far flung places, every landslide & tornado & typhoid outbreak, about the infidelities & corruption of political leaders on the other side of the planet, about celebrities with cancer & in rehab, stars of reality shows who can't handle their sudden fame, about every little conflict & skirmish & outbreak of civil disobedience anywhere in the world, whether our countries are involved/affected or not.