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Old 04-21-2021, 03:03 PM
 
Location: Live:Downtown Phoenix, AZ/Work:Greater Los Angeles, CA
27,606 posts, read 14,587,616 times
Reputation: 9169

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Quote:
Originally Posted by DetroitN8V View Post
Paying PMI as a means to enter the market should make fiscal sense. How much do you actually think PMI is? It shouldn’t a big deal. And with the way values are rising, you’ll be able to refi it away in no time. The focus should be entering the market ASAP. Sitting on the sidelines is costing you equity and rent is expensive versus a mortgage.
Rent isn't breaking me, I net (not gross) my rent in just over one week. But again, I want to live in the city, not settle for some house in Maricopa or San Tan Valley just to have a house. So I'm willing to wait to get what I want. That's more important than the PMI. And in desirable areas, 5% down won't be competitive
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Old 04-21-2021, 04:16 PM
 
9,195 posts, read 16,634,851 times
Reputation: 11308
Quote:
Originally Posted by FirebirdCamaro1220 View Post
Rent isn't breaking me, I net (not gross) my rent in just over one week. But again, I want to live in the city, not settle for some house in Maricopa or San Tan Valley just to have a house. So I'm willing to wait to get what I want. That's more important than the PMI. And in desirable areas, 5% down won't be competitive
You know your options. You can be in your desired area, albeit with compromises perhaps. Soon, however, you won’t be able to get a dump in central Phoenix for less than half a million. My focus would be to begin building equity ASAP, by any means. But, again, you know your options and will do what’s best for you.
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Old 04-21-2021, 04:43 PM
 
Location: Live:Downtown Phoenix, AZ/Work:Greater Los Angeles, CA
27,606 posts, read 14,587,616 times
Reputation: 9169
Quote:
Originally Posted by DetroitN8V View Post
You know your options. You can be in your desired area, albeit with compromises perhaps. Soon, however, you won’t be able to get a dump in central Phoenix for less than half a million. My focus would be to begin building equity ASAP, by any means. But, again, you know your options and will do what’s best for you.
I don't think it will ever get to that. We don't have the hoardes of millionaires that the Bay Area or SoCal have to drive prices for tear downs that high
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Old 04-21-2021, 05:02 PM
 
9,195 posts, read 16,634,851 times
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Quote:
Originally Posted by FirebirdCamaro1220 View Post
I don't think it will ever get to that. We don't have the hoardes of millionaires that the Bay Area or SoCal have to drive prices for tear downs that high
We’re practically there already though. 85003 the cheapest house is $650k. 85006 has one house for $300k that’s a disaster and then after that you’re paying $465k for 700 square feet. $500k for a dump is not far off if things continue at this clip.
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Old 04-21-2021, 06:16 PM
 
Location: Live:Downtown Phoenix, AZ/Work:Greater Los Angeles, CA
27,606 posts, read 14,587,616 times
Reputation: 9169
Quote:
Originally Posted by DetroitN8V View Post
We’re practically there already though. 85003 the cheapest house is $650k. 85006 has one house for $300k that’s a disaster and then after that you’re paying $465k for 700 square feet. $500k for a dump is not far off if things continue at this clip.
This run up in prices can't continue forever, the incomes of most people here don't support it. Things will at least stabilize at some point
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Old 04-21-2021, 06:26 PM
 
9,195 posts, read 16,634,851 times
Reputation: 11308
Quote:
Originally Posted by FirebirdCamaro1220 View Post
This run up in prices can't continue forever, the incomes of most people here don't support it. Things will at least stabilize at some point
The market has to cool down at some point but I don’t think we’re going down from here. I’m glad I’m in it and if I weren’t, I’d be fighting to get a piece.
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Old 04-21-2021, 06:27 PM
 
Location: NE Mesa, AZ
28 posts, read 26,947 times
Reputation: 122
Quote:
the incomes of most people here don't support it.
That's not really relevant anymore.



Investor money from outside the area(and country), new residents from more expensive metros flush w/cash while keeping higher WFH salary - local real estate is no longer tethered to local earnings.
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Old 04-21-2021, 07:19 PM
 
Location: Live:Downtown Phoenix, AZ/Work:Greater Los Angeles, CA
27,606 posts, read 14,587,616 times
Reputation: 9169
Quote:
Originally Posted by sunsick View Post
That's not really relevant anymore.



Investor money from outside the area(and country), new residents from more expensive metros flush w/cash while keeping higher WFH salary - local real estate is no longer tethered to local earnings.
I don't know if you saw it or not, but there was a big article a month ago, that mentioned the big tech companies are going to cut workers pay who don't return to the office, the amount will be dependent on where they relocated to, but Google, Apple, Facebook aren't going to continue to pay Bay Area salaries to workers who stay WFH
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Old 04-21-2021, 08:24 PM
 
9,741 posts, read 11,152,452 times
Reputation: 8482
Quote:
Originally Posted by FirebirdCamaro1220 View Post
I don't know if you saw it or not, but there was a big article a month ago, that mentioned the big tech companies are going to cut workers pay who don't return to the office, the amount will be dependent on where they relocated to, but Google, Apple, Facebook aren't going to continue to pay Bay Area salaries to workers who stay WFH
Well then, I guess real estate will stop going up because of a few specific Bay Area companies. It sounds like a lot of people missed their window to buy a home. Could have, would have, should have.
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Old 04-21-2021, 08:39 PM
 
Location: Live:Downtown Phoenix, AZ/Work:Greater Los Angeles, CA
27,606 posts, read 14,587,616 times
Reputation: 9169
Quote:
Originally Posted by MN-Born-n-Raised View Post
Well then, I guess real estate will stop going up because of a few specific Bay Area companies. It sounds like a lot of people missed their window to buy a home. Could have, would have, should have.
Oh yeah, because real estate only goes up, and never goes down.....
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