NY Housing Article: Any thoughts? (Massapequa, Nassau: sales, condos, mortgages)

[propain]

Originally Posted by dman72

I have to hand it to you, this is pure comic genius...I mean, it has to be, because you cant' be serious.

" I would rather you perspective home buyers pay ME the homeowner a truck load more money than a bank!!"

The difference is, with the same monthly payment, early payments effectively shorten the mortgage term much more with a high interest rate/lower house price than the opposite.

Well see who is laughing when your still in your condo next year.

[MiddleIslander]

Originally Posted by Burb

You're missing one very imprtant facet. Inflation. I completely agree with your premise highlighted in bold, then I jump off. When the fed eventually turns off the printing presses and the smoke clears, we'll have a diluted dollar not worth nearly what it is today. The US is going so far in debt the only way out is to pay it off with highly depreciated dollars. Just my prediction, not my reccomendation as this opens up a much nastier can of worms.

When a loaf of bread is $5 and a Toyota costs close to 6 figures, a 500K ranch in Wantagh is pretty reasonable, no? I'll agree that inflation adjusted prices will continue to fall, the question that we should be asking is not just what my house will be worth next year, but what will a dollar be worth.

Right now the problem we have to deal with is actually deflation - where decreasing economic activity is driving prices lower. And also there is a vast amount of wealth currently being destroyed due to the collapse of illusory home wealth, and unwinding derivatives, so monetary supply is actually decreasing.

The idea that the Fed can be printing money and not inducing undue inflation is counterintuitive. What effect this has on the longer term is not quite known, but for the immediate future we will see inflation near zero.

[propain]

Originally Posted by 56 Fighter

This guy has motivations that are obvious... I think I went to his open house this past weekend (yes it was a $700k dump!).

Any idiot who thinks, all things equal, paying more for a house and less on interest rates is a good idea should come take a look at a bridge I have for sale in brooklyn LOL

Im not selling my home so it couldnt be. You also wish you were in any position to look at 700K homes. Stick to the 350K range.

I do enjoy how you guys think you know better though. We have one genius who lives in a condo. We have another who doesnt even own a home.

You guys sure do know how to hold out on a deal.

[dman72]

Originally Posted by propain

Well see who is laughing when your still in your condo next year.

Actually, I'll be renting it and doing better than breaking even on it, in addition to being in a house next year. A condo is a good long term investment, at least where I bought mine.

Meanwhile, you'll have flushed 300K down the toilet pricing your house out of the neighborhood with your fancy paving stones and granite counter tops. HA!!

[dman72]

Originally Posted by propain

Im not selling my home so it couldnt be. You also wish you were in any position to look at 700K homes. Stick to the 350K range.

I do enjoy how you guys think you know better though. We have one genius who lives in a condo. We have another who doesnt even own a home.

You guys sure do know how to hold out on a deal.

For someone who isn't selling, you sure do want that 700K number to stick.




Newsflash it'd probably sell for about 550K right now.

[56 Fighter]

Originally Posted by dman72

For someone who isn't selling, you sure do want that 700K number to stick.




Newsflash it'd probably sell for about 550K right now.

He wishes he owned a home that could sell for 550k. This guy is a joke, pure and simple. He'll be gone soon enough.

[scottzilla]

Originally Posted by dman72

I have to hand it to you, this is pure comic genius...I mean, it has to be, because you cant' be serious.

" I would rather you perspective home buyers pay ME the homeowner a truck load more money than a bank!!"

The difference is, with the same monthly payment, early payments effectively shorten the mortgage term much more with a high interest rate/lower house price than the opposite.

Keep in mind that you are only speculating that house prices will continue to drop as/if interests rates go up. Propain thinks we've hit the bottom and therefore, is a good time to buy (Low interest rates). You are saying the exact opposite but neither of you really know for sure. Propains position is logical and arguably correct right now. Your position will have to play out in coming months/years.
I read in last Friday's Newsday the median price isn Suffolk was $340,000, up from the last time I checked many months ago ($314,000). I don't check very often though. There is a spike right now so spring definetly saw some RE action.
The one thing you need to be careful of is your timeframe. You keep saying "6 more months". IMO, you will probably be dead until the following spring if you wait that long.
I keep reading your thoughts and can't get away from the opinion that RIGHT NOW seems to be the perfect time for you (I mean you, personally) to buy something. Your plan may make sense but if we have hit bottom, your arguement for why you have been waiting is in the toilet.

[djdairyp]

Another housing thread on the verge of closure ....

[scottzilla]

Originally Posted by dman72

And if his goal was to come on here and woo perspective buyers..he's done a pretty pathetic job!!

Is is house listed here or something?

[propain]

Originally Posted by dman72

Actually, I'll be renting it and doing better than breaking even on it, in addition to being in a house next year. A condo is a good long term investment, at least where I bought mine.

Meanwhile, you'll have flushed 300K down the toilet pricing your house out of the neighborhood with your fancy paving stones and granite counter tops. HA!!

A condo is a horrible investment. That is why you cant sell yours. There is so many condos now. People don’t want to touch with other peoples 10ft poles. Good luck subletting your condo. You sure your allowed to?

Otherwise, enjoy paying 8% next year at close to what you see today on house prices.

Others will buy in today at low interest rates and hope for a good dose of inflation which is almost a guarantee. The government is running massive deficits and has the printing presses at full throttle. That's the classic recipe for inflation. Inflation is the debtor friend.

If you purchased real estate at 5% you will make out like a bandit. With inflation If that happens, your monthly payments will be low and you'd get to repay the principal over time with devalued dollars. That's a double win.

But you can wait if you like. Ill still be here in my house I own now counting my dollars.