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View Poll Results: When will the housing Bust end in FL?
By the end of this year 21 8.30%
Spring 2008 28 11.07%
Summer 2008 16 6.32%
Fall 2008 17 6.72%
Winter 2008 12 4.74%
Spring 2009 29 11.46%
Summer 2009 18 7.11%
Fall 2009 11 4.35%
Winter 2009 9 3.56%
Sometime in 2010 38 15.02%
Sometime in 2011 13 5.14%
Sometime in 2012 11 4.35%
2013 or later 30 11.86%
Voters: 253. You may not vote on this poll

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Old 10-18-2007, 07:52 AM
 
24 posts, read 71,849 times
Reputation: 16

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I need an investor to buy my house and rent it back to me. I need to rent for a couple of years to stabilize my financial situation.I going foreclosure in a couple of months. If anyone interested please PM me. Thanks.

 
Old 10-18-2007, 07:58 AM
 
100 posts, read 392,317 times
Reputation: 24
I have to agree with you sunandsand
 
Old 10-18-2007, 08:49 AM
SKB
 
Location: WPB
900 posts, read 3,160,996 times
Reputation: 321
Welcome back Chief!! I certainly have missed your thoughts on the credit bubble crash!!

This board has been very quiet since you left with very few people posting on this very touchy subject.
I have not been posting much as we finally moved to SF and have found a nice rental in Royal Palm Beach.
I have a wonderful bit to post on why lowering the interest rates will NOT help anything but the speed of the crash of the dollar.

Fed Rate Cut Will Not Solve Problems in Housing
Published Sep 19, 2007 | RSS Feed | Text Size
In a panic-induced move, the Fed made the decision yesterday to cut the target for the fed funds rate by 50 basis points. The action was meant to forestall the adverse effects of the current credit crunch and housing downturn, but will in fact do very little to save housing.
Fed's Target Rate: 4.75 Percent
After keeping rates steady since June of 2006, the Fed made the aggressive (and downright silly) decision to slash the 5.25 percent fed funds rate by 50 basis points.

Prime Lending Rate: 7.75 Percent
In response to the Fed rate cut, many major banks dropped the prime rate from 8.25 to 7.75 percent on certain consumer loans and home equity lines of credit (HELOCs).

New Mortgage Rate: ???
Who knows? The Fed's key rate is merely a short-term target rate. Just because policymakers cut this rate, it doesn't mean lenders will follow suit and lower mortgage rates on 30-year fixed rate mortgage loans. Last week, the average mortgage rate was 6.31 percent. What it will be next week is anyone's guess.

Winners: Banks, Real Estate Agents, and Builders
Let's assess the true beneficiary of this rate cut: Wall Street and the financial institutions that bet the house on subprime/ARM loans.

Wall Street has been rallying around a fed cut for awhile now. When the Fed's move was announced yesterday, the Dow Jones industrial average soared, posting the biggest one day point gain in over four years.

'It was everything the market had been begging for for weeks -- and more,' said Richard A. Weiss, chief investment officer at City National Bank in Los Angeles.

Investors and banks are certainly in a begging position at this point. Surging defaults have shaken the security of everyone who has a stake in the subprime market. Investors and banks alike have been backing off.

In a statement, the Fed admitted the cut was intended to get lenders to ease the credit-freeze and begin lending again, as tight restrictions have 'the potential to intensify the housing correction and to restrain economic growth more generally'.

But banks and investors weren't the only ones rejoicing at the news yesterday. Agents and builders were also buoyed. Lower rates mean the possibility of more buyers. In an interview with Bloomberg, the CEO of mega-giant homebuilder Toll Brothers joyfully proclaimed that 'Our boy has righted the ship'.

It is obvious why builders, agents, banks, and investors are happy right now with Fed chairman Ben Bernanke and his 'boy wonder' antics, but it is important to remember that not everyone is a winner when the Fed makes a rate cut.

Losers: Savers, Mortgage Borrowers, and the U.S. Dollar (In Other Words, Everyone Else)
Responsible savers will see a negative impact on interest earnings as a result of the Fed rate cut. Short-term CDs will no longer pay off like they once did.

A slashed rate could have a negative effect on borrowers from a long-term standpoint as well. Long-term mortgage rates (like those for 30-year fixed rate loans) are not set by the Fed, but rather the marketplace itself. When investors worry about inflation (which is what the Fed should be worrying about) long-term interest rates go up.

If investors are concerned the rate cut will increase inflation pressures in the near future (which they are) long-term interest rates could go up and put the housing market in an even worse bind.

There is also a chance that banks won't even pass the short-term savings on to borrowers. The rate cut gives banks the opportunity to play catch-up. Greedy lenders and other lenders who are trying to rebuild their financial standing will probably not be in a hurry to lower interest rates.

If there was a big loser in all of this though, it would have to be the U.S. dollar. The dollar fell to a record low against the euro, and tumbled in comparison to several other currencies when the Fed made the announcement.

In short, the Fed's decision was irresponsible. Bernanke has shown that he is no better than Greenspan. If our policymakers continue to follow this path, you can kiss the value of your hard-earned money goodbye.

(To see a brief summary of how the collapse of the dollar will affect the U.S. in coming years, check out our recent interview with DollarCollapse.com.)
 
Old 10-18-2007, 09:19 AM
 
199 posts, read 168,010 times
Reputation: 64
The lenders are going to dictate the eventual price of housing. They are returning to the days of using 36% of income toward housing costs as the upper limit.

When lenders take into account insurance costs, property taxes, credit card debt payments, etc. the amount left to go toward mortgage principle and interest is going to be les than before the bubble began. Food, gas, utilities have increased dramatically, people simply will have less money to put toward housing costs as we go forward.

I do not think it is crazy to think that eventually Florida housing prices could drop even below what they were in 1999 when the inflation of housing began.
 
Old 10-18-2007, 09:38 AM
 
Location: Heartland Florida
9,324 posts, read 23,770,326 times
Reputation: 4900
Quote:
Originally Posted by Sunandsand View Post
The lenders are going to dictate the eventual price of housing. They are returning to the days of using 36% of income toward housing costs as the upper limit.

When lenders take into account insurance costs, property taxes, credit card debt payments, etc. the amount left to go toward mortgage principle and interest is going to be les than before the bubble began. Food, gas, utilities have increased dramatically, people simply will have less money to put toward housing costs as we go forward.

I do not think it is crazy to think that eventually Florida housing prices could drop even below what they were in 1999 when the inflation of housing began.
That would be a dream come true!
 
Old 10-18-2007, 09:45 AM
 
199 posts, read 168,010 times
Reputation: 64
Quote:
Originally Posted by tallrick View Post
That would be a dream come true!
Lets hope. Housing prices out of whack with wages is all bad.
 
Old 10-18-2007, 11:10 AM
 
34 posts, read 64,314 times
Reputation: 32
Banks don't want sell them . I made offers on two foreclosed propertyes .
I offered them 30% less of what they ask . They never replyed , never
contr-offered . Both houses vacant , in terrible shape , ac not working , roof leaks .
Need a lot of money to make them liveable . I don't know what they think ...
where is the catch ???

Last edited by maslozhir; 10-18-2007 at 12:38 PM..
 
Old 10-18-2007, 11:33 AM
 
Location: Marion, IN
8,191 posts, read 28,075,541 times
Reputation: 7114
Quote:
Originally Posted by maslozhir View Post
Banks don't want sell them . I made offers on two foreclosed propertyes .
I offered them 30% less of what they ask . They never replyed , never
contr-offered . Both houses vacant , in terrible shape , ac not working , roof licks .
Need a lot of money to make them liveable . I don't know what they think ...
where is the catch ???
Good question. I have run into the same thing. Offered $5K less than asking on one absolute DUMP of a house, and they did not even bother to respond. Another house is days away from being condemned and the lender would not budge one dollar off of list. Both houses still sit, non-performing assets for the bank who owns them.
 
Old 10-18-2007, 11:45 AM
 
34 posts, read 64,314 times
Reputation: 32
Quote:
Originally Posted by Evey View Post
Good question. I have run into the same thing. Offered $5K less than asking on one absolute DUMP of a house, and they did not even bother to respond. Another house is days away from being condemned and the lender would not budge one dollar off of list. Both houses still sit, non-performing assets for the bank who owns them.
with roof leaks and AC not working this houses soon will have mold ...
something wrong with this picture ...

Last edited by maslozhir; 10-18-2007 at 12:37 PM..
 
Old 10-18-2007, 12:22 PM
Status: "The nicest curve on a woman's body is her smile" (set 1 day ago)
 
Location: Florida/Tennessee
2,302 posts, read 4,286,519 times
Reputation: 1189
Default I say leak you say lick..........

$5k less than asking price sounds reasonable..... but 30%? Where is the "art" of staying in the process? Most sellers would be insulted by that initial offer. I'd get an agent who specializes with foreclosures and short sales.... and not the recent agents, but those who have been doing this for years. They have "contacts" with banks and get more info than you or I could ever hope to get.

Was a home inspection done?
What did it appraise at?
Has the bank had other offers?or multiple offers?

Two ways to look at it..... banks do not like to "barter" or "play" they like, and want serious offers, based on dollars.
1)make your best "High" offer for a property you want.... or
2)Your "highest low" offer on a property you like.

Again..... good priced foreclosures have multiple offers.

There is more to buying a home than just making a ridiculously low offer. 30%- appears to be, especially from the banks perspective. I think most would agree... However it can move from ridiculous to "good" if the data supports the contract price. Banks receive tax breaks for property, just like you and me, so they don't have to do anything.

What they want is to get property gone, in order to reinvest the money they borrowed, for the original mortgage ... and get it making money again. It is very complex these days. Banks make money with money... they aren't in the home selling business.


PS roof's don't lick... they leak.
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