[firemed]

Originally Posted by NY62

Ahh this whole thing is one big fat gamble I dont think anyone knows for sure. But you are correct about the arms though just dont know what will happen. If the rates drop arms are good. I had one of those years ago and my mortgage went down. Doubt that will happen to any degree though. And I dont see them cashing the 401s all at once I seethem selling here and buying there with the equity,they save on taxes if they buy another home with that money . It all is just a guess on everyones part. I dont think it will be quick but I dont think people that are waiting for real cheap houses in the best areas are going to get them.take care

I think your right. But to call the market is a long shot. Florida is in a mess and most people can see that. Long Island was cheap years ago but why?
Florida was dirt cheap? Look back at the 1920s in Florida, you could do no wrong in real estate back then. But look at the outcome after that. History is strange but it is still the best way to learn.

http://www.floridahistory.org/floridians/1920's.htm

Long Island NY
New England hurricane, NYA Goes to college [bx7482]

[NY62]

Originally Posted by firemed

I think your right. But to call the market is a long shot. Florida is in a mess and most people can see that. Long Island was cheap years ago but why?
Florida was dirt cheap? Look back at the 1920s in Florida, you could do no wrong in real estate back then. But look at the outcome after that. History is strange but it is still the best way to learn.

http://www.floridahistory.org/floridians/1920's.htm

Long Island NY
New England hurricane, NYA Goes to college [bx7482]

You know if either of us new for certain we would be mega rich.so if you get an inside scoop pm me so we both can get rich.LOL

[ddlove01]

Glad to see you started this up again. I really enjoyed reading the "other" LOOOOONG tread you started. I look forward to reading everyone's post during my quiet time at night after the kids have gone to bed! : 0 )

[cariad]

Originally Posted by NY62

Well anyway back to the point Everyone knows about the baby boomers they have started to retire and most like those warm climates,If they sell here they will buy there most likely with cash so 30 40 or 50 year mortgages will not affect them.You have to remember most of these folks have a ton of equity built up if not owning there homes outrite. And for whatever reason people up here dont flinch at 3000.00 a month mortgage payments so they will sell here and buy there it will happen and once it does , everyone that waits to long will be left with nothing cause prices will go up.

I'm going to repeat my previous post on this belief that the baby boomers are going to impulsively rush in and throw their hard earned money away on overpriced real estate.

"Think Again, most of us baby boomers have extra because we never bought more house than we could afford. I know it's unthinkable now, but our children often had to share a bedroom and anything over 1500 sq. ft would give you cred as the elite of the neighborhood. Our home and product buying habits are much different than the younger generation today.


We have no intention of changing our habits now and wasting money on interest, taxes and insurance, especially to live in less house than we could afford before. Don't hold your breath waiting for the boomers to make it all go away."

[JimKing]

That is right on, many boomers have very little savings and will be conservative in their retirement purchases.

The baby boomers that do move to Florida will be looking for smaller places. Town houses, condos. And they will want them to be affordable. In fact builders are going to move in and build affordable communities for the boomers. This will leave the developers and current sellers of existing expensive, bigger homes stuck.

But all these 3-5 bedroom houses that have been built with asking prices from $300,000-800,000, high taxes and insurance costs. The vast majority of boomers have no interest in them. Those are the homes that will have to drop 50% in order for the next generation of young families to afford them.

[Mike Peterson]

The areas that have homes that are right now in the $150,000 to $250,000 range will still have people coming to buy them.

That is why to try and generalize when the whole state will see the bottom is an impossible task.

[Jammie]

Originally Posted by cariad

I'm going to repeat my previous post on this belief that the baby boomers are going to impulsively rush in and throw their hard earned money away on overpriced real estate.

"Think Again, most of us baby boomers have extra because we never bought more house than we could afford. I know it's unthinkable now, but our children often had to share a bedroom and anything over 1500 sq. ft would give you cred as the elite of the neighborhood. Our home and product buying habits are much different than the younger generation today.


We have no intention of changing our habits now and wasting money on interest, taxes and insurance, especially to live in less house than we could afford before. Don't hold your breath waiting for the boomers to make it all go away."

Exactly!!! You are so right. The boomers who are heading for retirement have no intention of throwing their money away on over-priced housing. They're thoughts will be more centered on trying to be sure they have enough $$ to take them through their lives.

[Jonah1979]

Originally Posted by Jammie

Exactly!!! You are so right. The boomers who are heading for retirement have no intention of throwing their money away on over-priced housing. They're thoughts will be more centered on trying to be sure they have enough $$ to take them through their lives.

That's right...they're heading to Tennessee just like my parents did!

[SRQ single]

Florida will always be an attractive lifestyle for those that have/ had power jobs. Money is not an issue for them. They will buy their dream regardless of price. Why not they can afford it, they like the beachy/city lifestyle and hey compared to back home it is still cheaper...With no state tax or tax on food and drugs it does offset the cost of insurance and tax making those somewhat of a moot point.

Unfortunately the average wage earner will be pushed out to rural areas or out of state because they cannot afford to live here muchless buy here. Just like coastal cali only the wealthy can afford to be there... Hoping for, and some of you are hoping for prices to adjust to be 3 X YOUR income will keep you where you are... renters...
I wonder how many of you would feel that way if you had bought years ago and were on the otherside of your dilemma???

Please those of you that have bought homes using the 120X rent formula or 3X income formula in last couple of years share your joyful purchase deal with this thread... As well as those of you that tout this as a guideline please post known purchases using your formula...

I'm not trying to be hateful just looking at reality...
I know if I sold my home I couldn't afford to repurchase here because I do not make enough money... There are many in my same situation...

But never ever would I wish for a collapse of our economy to fulfill my desires to live here...Personally I am ok that price point is above wages and rents are going higher it keeps our crime rates lower especially with gas increasing the criminals won't drive so far to commit crimes choosing instead to stay closer to their own hood thus staying out of my hood...I am not a snob but looking at east coast of fl. crime issues scares the beejeebies out of me... I feel safety from crime is priceless. And enjoy that english is still the predominant language here as it should be this is America...

My area crashed because of being overbuilt too fast in anticipation of boomers hype, condo conversions and investors buying up cheap areas and rehabbing them into better hoods...Too much too fast!

[Obrero]

Originally Posted by SRQ single

Florida will always be an attractive lifestyle for those that have/ had power jobs. Money is not an issue for them. They will buy their dream regardless of price. Why not they can afford it, they like the beachy/city lifestyle and hey compared to back home it is still cheaper...With no state tax or tax on food and drugs it does offset the cost of insurance and tax making those somewhat of a moot point.

Unfortunately the average wage earner will be pushed out to rural areas or out of state because they cannot afford to live here muchless buy here. Just like coastal cali only the wealthy can afford to be there... Hoping for, and some of you are hoping for prices to adjust to be 3 X YOUR income will keep you where you are... renters...
I wonder how many of you would feel that way if you had bought years ago and were on the otherside of your dilemma???

Please those of you that have bought homes using the 120X rent formula or 3X income formula in last couple of years share your joyful purchase deal with this thread... As well as those of you that tout this as a guideline please post known purchases using your formula...

I'm not trying to be hateful just looking at reality...
I know if I sold my home I couldn't afford to repurchase here because I do not make enough money... There are many in my same situation...

But never ever would I wish for a collapse of our economy to fulfill my desires to live here...Personally I am ok that price point is above wages and rents are going higher it keeps our crime rates lower especially with gas increasing the criminals won't drive so far to commit crimes choosing instead to stay closer to their own hood thus staying out of my hood...I am not a snob but looking at east coast of fl. crime issues scares the beejeebies out of me... I feel safety from crime is priceless. And enjoy that english is still the predominant language here as it should be this is America...

My area crashed because of being overbuilt too fast in anticipation of boomers hype, condo conversions and investors buying up cheap areas and rehabbing them into better hoods...Too much too fast!

That is really the key point, average people are priced out of the market. Even though you are sitting pretty now, who is going to be able to afford your house when you do want to sell? The uber wealthy, that you speak of, who don't care what houses cost, want to live right on the bay / beach not in an "average house". For average houses - you need average people to be able to afford them. If they can't, the market can't sustain itself. It's as simple as that.