[nychiefsfan]

Originally Posted by carolac

I've been reading the messages here and tend to agree with you, wondering why the houses are now going pretty rapidly on our street, while one street over in the same subdivision, they're not. Our street is not quite as pricey as the street over. I've looked at the prices being asked for the houses on the street over from us and they're pretty much at appraised value. A couple of houses are vacant because the owners have retired, living elsewhere and are in no rush to sell their homes--which have been on the market for several months. But the houses sold on our street dropped just a little--clearly not 20% or 50% as some project here. And they sold within a short period of time--within 30 to 60 days. The one that sold the quickest is the one that didn't have curb appeal and needed some TLC, but still was priced over $200,000.

The people who bought will be kicking themselves in their cumulative a$$es in a year when they realize their house is worth $160k.

If they bought to be there for the long run (10-20 years), then they'll be alright.

If they waited, they could have bought much more for less.

[121804]

A street that I go for a walk on a regular basis has about 15 homes, all w/ canal access w/ a 5 min ride to the harbor, all have pools, and all are priced at $600k or higher. Two homes are for sale, one for $600 & one for...$999.

We are renting a condo in the area & our landlord was telling us how the $999 guy is set on that price & not the easiest guy to get along with, etc. We are not homebuyers with that sort of money nor do we have any desire to live in this particular neighborhood, but she lives on the street over & was just talking to me one evening.

Well, went for a walk on Friday. Big yellow sign on the $999 guys lawn saying : "Auction! This home along with 36 others!"

Bet the neighbors are estatic about that sign

[nychiefsfan]

Originally Posted by carolac

Orlando seems to be holding its own, and have actually experienced a 2.5% increase in sales and the prices of some homes have even increased slightly.

You sound like a realtor...hmmmmmm

This is what the news reported for the Orlando area last month:

Florida's existing home sales fell 26 percent to 12,016, and the median sales price slipped three percent from the same time a year ago to $237,800.

Metro Orlando sales were off 35 percent and the median price dipped 5 percent to $250,300, the Florida Association of Realtors reported.
Florida's existing home sales down 26 percent - Orlando Sentinel : Business Newsletter

[kort677]

Originally Posted by nychiefsfan

I totally agree with you in that respect. Just like my neighbor who bought his home for $279k at the height of the boom. He's trying to sell his home and dropped the asking price to $248k. Some people HAVE to get a certain amount for their home.

you people are hilarious, a seller may HAVE to get a price because of whatever hole they've dug themselves but no buyer HAS to be a chump and pay too much for a home

[nychiefsfan]

Originally Posted by kort677

you people are hilarious, a seller may HAVE to get a price because of whatever hole they've dug themselves but no buyer HAS to be a chump and pay too much for a home

I'm with ya. A lot of people took out home equity loans, bought new cars, went on vacations, etc, and incorporated that into the selling price. I'm not gonna buy their car and pay for their vacations!!!

Most of the people who have to get a certain amount will most likely take it on the chin. They'd be better off selling for whatever they can get right now or else hold onto their homes until the market rebounds 3-5+ years from now. Some people will make a nice profit from the dolts who buy their overpriced home in a buyers market. This is going to get ugly VERY QUICKLY for the existing home sellers. If I were trying to sell a house right now, I'd be paniking.

This housing slump isn't going away any time soon. We'll probably see some small spikes in sales, but there is wayyyyy too much inventory out there (and growing) to end the slump within the next year.

[info please]

I also feel like nychiefsfan. Why would I buy someones home who over paid for it and now sitting for over a year .Why make there problem mine. I also feel we got a way to go before this bottoms out . Also this is your biggest investments not a time to make a mistake do your home work. And I feel when the rates go up who will be able to afford the home then .

[nychiefsfan]

This article says it all:

US Housing Market: Median Prices Will Fall

Housing bear markets are different than bear markets in stocks. They last longer. A man can swallow his pride and sell a stock for a loss. But accepting the idea that property markets are cyclical too, and that you have bought at the top, this is something a man is reluctant to acknowledge until financial necessity forces his hand.

Investors and individual homeowners will be reluctant to lower selling prices because it means lower profits, or even a loss. But builders are anxious to find the market clearing price for inventory and to clean up the balance sheet. The homebuilders are looking for the bottom. Existing homeowners are stargazing at profits that will never materialize.

That means median home prices in the US will grind lower for the next year, and maybe much longer. It is a psychological war of attrition for sellers. And the current paper losses don’t account for inflation either, which is working against them.

Sooner or later, home owners in over-extended property markets will have to cave. This will mean more price declines. With credit tightening, homes are still not affordable to new and first-time buyers.

The housing market always comes down to the affordability of the monthly mortgage payment. And based on that, the end of the housing bear is not near. Property bear markets last a very long time because of this psychological resistance to selling. America’s has really just begun.

US Housing Market: Median Prices Will Fall » The Daily Reckoning Australia

[firemed]

Originally Posted by nychiefsfan

This article says it all:

US Housing Market: Median Prices Will Fall

Housing bear markets are different than bear markets in stocks. They last longer. A man can swallow his pride and sell a stock for a loss. But accepting the idea that property markets are cyclical too, and that you have bought at the top, this is something a man is reluctant to acknowledge until financial necessity forces his hand.

Investors and individual homeowners will be reluctant to lower selling prices because it means lower profits, or even a loss. But builders are anxious to find the market clearing price for inventory and to clean up the balance sheet. The homebuilders are looking for the bottom. Existing homeowners are stargazing at profits that will never materialize.

That means median home prices in the US will grind lower for the next year, and maybe much longer. It is a psychological war of attrition for sellers. And the current paper losses don’t account for inflation either, which is working against them.

Sooner or later, home owners in over-extended property markets will have to cave. This will mean more price declines. With credit tightening, homes are still not affordable to new and first-time buyers.

The housing market always comes down to the affordability of the monthly mortgage payment. And based on that, the end of the housing bear is not near. Property bear markets last a very long time because of this psychological resistance to selling. America’s has really just begun.

US Housing Market: Median Prices Will Fall » The Daily Reckoning Australia

This is so true, It all comes down to economics and fundamentals.

[nychiefsfan]

Originally Posted by firemed

This is so true, It all comes down to economics and fundamentals.

Brother, I'll be on top of this all the way through the housing slump. Anything releveant to home sales will be posted on this thread.

For example, here's a couple more "bottoms" that I found:

5/18/07 Hank Fishkind, Florida's premier economist, "I argue that housing has stopped going down," Fishkind said. "It is weak. It is painful, but it is not going to get any worse. We are at the bottom, but this bottom is going to take a number of months to get better."

5/28/07 Rob Allegra, division president for Lennar Sarasota/Manatee, “We now see prices stabilizing. I read economist Hank Fishkind quoted in the Herald-Tribune as saying that we have reached the bottom. We believe that, as well. This is the ideal time for buyers. We believe this is the bottom of the real estate downturn. This is why we are rolling out a whole new series of floor plans and picking up our permitting and start schedule. We are optimistic about moving back into a growth mode in late 2007 or into 2008.”

They must think we're stupid or gullible enough to believe them. the underlying theme is fear the of a recession and having the NAR blamed for the cause of the recession. They just won't blatently admit it.

[carolac]

That's ridiculous. Someone who posts something other than agreement with you is a realtor? I'm a mother of two impaired children and work for attorneys. What are you paranoid about?

[quote=nychiefsfan;786228]You sound like a realtor...hmmmmmm

This is what the news reported for the Orlando area last month: