[SKB]

Originally Posted by Mike Peterson

You completely missed my point.

You have an amount that you want to spend.
Homes in the area you want are more than you want to spend.
There are homes in other areas in the price range you want to be.

I thought I was pretty specific there was nothing generalized about it.

I don't see where I said anything about banks or loans.

Why should I be forced to have half of the house I would have gotten before the fake BS run up in prices?

Why should I now be looked down at (or made to feel this way) because I "only" want to spend 200K on a house. My god that is pittance now right? 200,000, who cares but, a sale is a sale right? We can get you into a nice 1979 built home with popcorn ceilings and 1100 square feet of living space with a window a/c.

Five years ago you would have thought hey great, I can get you into a gorgeous brand new turn the key home in a nice area, let me see what I can do for you.
Now, you sit there and look down at me as if I have sprouted three heads. Pitiful, only has 200K to spend, I mean really, cheap people....red neck trailer park boys, god.....

[Mike1306]

Originally Posted by firemed

This is common sense. Do you have to give up on everything to own a home. Thats might be why prozac sales are so high. No, live your life and have fun ! The urgency to buy is gone. Let the people that are trying to sell you this crap buy it if its such a great deal.

I agree that it is common sense to only spend what you feel comfortable with.
You shouldn't have to give up on everything to own a home.
But also don't expect people selling $400,000 homes to drop the price to $200,000 because this is all you want to spend.
People can wait and maybe they will get the deal they are looking for, maybe they will wait and it will never hit that price.

An analogy that may better represent this is, someone is out looking to buy a tv, they budget $1000 for the tv, they see a 60" plasma tv for $9000 that they want. There are now a few choices, #1- take more money out of savings and buy the tv, #2- charge it on a credit card and make payments, #3- wait and hope the price comes down to $1000 or #4- find a tv that is within your budget.

This has nothing to do with what someone can afford, it has to do with a budgeted amount you set for yourself and whether you stay with in that budgeted amount or not.

[Mike1306]

Originally Posted by SKB

Why should I be forced to have half of the house I would have gotten before the fake BS run up in prices?

Why should I now be looked down at (or made to feel this way) because I "only" want to spend 200K on a house. My god that is pittance now right? 200,000, who cares but, a sale is a sale right? We can get you into a nice 1979 built home with popcorn ceilings and 1100 square feet of living space with a window a/c.

Five years ago you would have thought hey great, I can get you into a gorgeous brand new turn the key home in a nice area, let me see what I can do for you.
Now, you sit there and look down at me as if I have sprouted three heads. Pitiful, only has 200K to spend, I mean really, cheap people....red neck trailer park boys, god.....

No one is looking down on you. You have a budgeted amount, it doesn't matter that you can afford 10x's that budgeted amount, the budgeted amount is what you want to spend. But don't expect people to drop their price just because that is all you want to spend. Wait for your price, you might get it or you might not.

And yes, for $200,000 I can get you into a brand new, turn key home, in a nice area. It is just not the nice area you want to be in.

[SKB]

Originally Posted by Mike Peterson

I agree that it is common sense to only spend what you feel comfortable with.
You shouldn't have to give up on everything to own a home.
But also don't expect people selling $400,000 homes to drop the price to $200,000 because this is all you want to spend.
People can wait and maybe they will get the deal they are looking for, maybe they will wait and it will never hit that price.

An analogy that may better represent this is, someone is out looking to buy a tv, they budget $1000 for the tv, they see a 60" plasma tv for $9000 that they want. There are now a few choices, #1- take more money out of savings and buy the tv, #2- charge it on a credit card and make payments, #3- wait and hope the price comes down to $1000 or #4- find a tv that is within your budget.

This has nothing to do with what someone can afford, it has to do with a budgeted amount you set for yourself and whether you stay with in that budgeted amount or not.

that is a lame analogy, never mind...you are comparing something that doesn't make any sense. If the TV used to sell five years earlier for 1,000 and now had gone up to 9,000 I can see someone hoping the price will come down again.
Since the TV always sold for 9K there is no comparison here.
If there had been no bubble I would not be walking around asking sellers to sell for half of what they had paid. Thats just stupid.


Houses WERE selling for half of what they are being listed for five years ago so it is a safe bet to think since no one can now afford these prices that they will come back down again.

BTW, most Americans would go for the greed and charge the TV on their card (if they have any open to buy left on it, that is)

[kort677]

Originally Posted by SKB

that is a lame analogy, never mind...you are comparing something that doesn't make any sense. If the TV used to sell five years earlier for 1,000 and now had gone up to 9,000 I can see someone hoping the price will come down again.
Since the TV always sold for 9K there is no comparison here.
If there had been no bubble I would not be walking around asking sellers to sell for half of what they had paid. Thats just stupid.


Houses WERE selling for half of what they are being listed for five years ago so it is a safe bet to think since no one can now afford these prices that they will come back down again.

BTW, most Americans would go for the greed and charge the TV on their card (if they have any open to buy left on it, that is)

the guy said he can get you into a house for 200k, what's stopping you from taking him up on the offer? you have a gazillion excuses why you can't buy now, I suspect that all you have are excuses and no intention of ever buying a house.


For someone who works in credit you seem to have a lack of understanding many of the basics of how to put debt to work in a positive way.
People, companies, governments all use debt to fund things they cannot afford to pay cash on the barrel for.

as long as you manage your debts properly debt can be used to fund things that you want or need to have but cannot afford to pay cash for.

used properly debt is a tool and only the people who are unable to manage their debt or don't understand basic economic principles are the ones who get in trouble from debt or are afraid to use their ability to obtain credit. Debt is not your enemy if managed and used wisely, are you capable?

[firemed]

Originally Posted by kort677

the guy said he can get you into a house for 200k, what's stopping you from taking him up on the offer? you have a gazillion excuses why you can't buy now, I suspect that all you have are excuses and no intention of ever buying a house.


For someone who works in credit you seem to have a lack of understanding many of the basics of how to put debt to work in a positive way.
People, companies, governments all use debt to fund things they cannot afford to pay cash on the barrel for.

as long as you manage your debts properly debt can be used to fund things that you want or need to have but cannot afford to pay cash for.

used properly debt is a tool and only the people who are unable to manage their debt or don't understand basic economic principles are the ones who get in trouble from debt or are afraid to use their ability to obtain credit. Debt is not your enemy if managed and used wisely, are you capable?

Now you do know what credit did in 1929. We are in the same boat right now.
Lack of economic principles is what put us in this mess to start with. And the only thing that will fix it will be economic principles !

[Mike1306]

Originally Posted by SKB

that is a lame analogy, never mind...you are comparing something that doesn't make any sense. If the TV used to sell five years earlier for 1,000 and now had gone up to 9,000 I can see someone hoping the price will come down again.
Since the TV always sold for 9K there is no comparison here.
If there had been no bubble I would not be walking around asking sellers to sell for half of what they had paid. Thats just stupid.


Houses WERE selling for half of what they are being listed for five years ago so it is a safe bet to think since no one can now afford these prices that they will come back down again.

BTW, most Americans would go for the greed and charge the TV on their card (if they have any open to buy left on it, that is)

The product is not the focal point of the analogy but I guess that is why you miss the point.

You have choices
#1- take more money out of savings and buy the price being asked
#2- finance and make payments
#3- wait and hope the price comes down
#4- find something that is within your budget.


Now you say, why should you be forced to buy half the house you would have gotten before the run up.

Why did you not buy before?

Why should the people that bought before have to come down 50% because it is all you want to pay?

The demand was there to send the prices that high, there are some events that have forced downward pressure on some pricing. It all remains to be seen where they will go.

[firemed]

Originally Posted by Mike Peterson

The product is not the focal point of the analogy but I guess that is why you miss the point.

You have choices
#1- take more money out of savings and buy the price being asked
#2- finance and make payments
#3- wait and hope the price comes down
#4- find something that is within your budget.


Now you say, why should you be forced to buy half the house you would have gotten before the run up.

Why did you not buy before?

Why should the people that bought before have to come down 50% because it is all you want to pay?

The demand was there to send the prices that high, there are some events that have forced downward pressure on some pricing. It all remains to be seen where they will go.

Or the store has to file a chapter 11 and a discount store buy's the stock and sells it for half the price.

[kort677]

Originally Posted by firemed

Now you do know what credit did in 1929. We are in the same boat right now.
Lack of economic principles is what put us in this mess to start with. And the only thing that will fix it will be economic principles !

is that so? please elaborate on the similarities between 1929 and 2007 and what economic principles are your referring to that will fix what you call a mess?

[rstate]

Mike, all of your responses made perfect sense.

SKB - you said you can buy a house anwhere from $200k-$600k and decided you only want to spend $200k. That's your decision. A seller has the same option to determine the price they'll sell their home for. If you don't like their price... don't buy it. But there's no reason to disrespect them because you don't like their selling price.