Is Real Estate back in decline? (Tampa, Sarasota: to rent, credit, loan)

[StreetSmarts]

Originally Posted by bentlebee

Average Joe's got bailed out many times by allowing a short sale or foreclosure and after they bought boats, cars, plastic surgery, etc. Instead of paying their monthly mortgage premiums!

Some may have, many probably did not do this. And last time I checked, foreclosures/short sales and in some cases many probably filed BK, isn't good for your credit. So it's not like they were really bailed out. What did the banks get for all the fraud they committed? A bail out?

Again, banks are not people, they dont have feelings. The banks knew what they were doing and did it over and over again. Many ppl were duped into what the banks were telling them. When we were talking to a broker about buying a house, we wanted to be in the low $200k's range but they broker said "oh you guys can get more if you want, you'll get promoted, your wife will get a raise, etc..."

[bentlebee]

Originally Posted by DUNNDFRNT

short sales and foreclosures are not bail outs, they have always been available they have their own negative consequences, you dont stop paying your car note and the bank "allows" a repo, your car gets repo'ed the bank takes back the thing that secured the loan. if people are staying in their property is not a bailout, the process of foreclosure its either being delayed by the banks because its more profitable to do so, or by the courts, not because of some benevolent action, the way the law works its property until it get foreclosed that the process in which after it they no longer have a right to live in the house until the foreclosure its finalized its their property its the way the law works not a bailout.

Whatever you want to call it is fine with me but in fact home owners get bailed out by allowing after not paying their monthly mortgage premium for more than a year ( in most cases) and than being forgiven by he debt forgiveness act as most people were covered by until this year, for the remainder of the amount owed.
That's a bail out!

So far we have performed 2 short sales for home owners who didn't default but still were forgiven for the remainder that they owed...still a bail out.

[StreetSmarts]

Originally Posted by bentlebee

Whatever you want to call it is fine with me but in fact home owners get bailed out by allowing after not paying their monthly mortgage premium for more than a year ( in most cases) and than being forgiven by he debt forgiveness act as most people were covered by until this year, for the remainder of the amount owed.
That's a bail out!

So far we have performed 2 short sales for home owners who didn't default but still were forgiven for the remainder that they owed...still a bail out.

The Debt Forgiveness Act did not bail out ppl who were upside down. Are you suggesting that the DFA let ppl off the hook for whatever balance was owed after the home was sold? The DFA was only to help ppl not get served a 1099 on the difference between the sale price and what was still owed, and not having to pay taxes on the difference.

Banks still went after some ppl for a portion of the difference (between what house sold for and what was still owed), aka a deficiency. Only way to get out of that is a BK.

[bentlebee]

Originally Posted by ComSense

The Debt Forgiveness Act did not bail out ppl who were upside down. Are you suggesting that the DFA let ppl off the hook for whatever balance was owed after the home was sold? The DFA was only to help ppl not get served a 1099 on the difference between the sale price and what was still owed, and not having to pay taxes on the difference.

Banks still went after some ppl for a portion of the difference (between what house sold for and what was still owed), aka a deficiency. Only way to get out of that is a BK.

Not in most of the short sales we were involved in. Some owners got a judgment but that was mostly the group that was offered refinancing and declined it and requested a short sale or with some lenders who looked more careful if there were assets.

[marcopolo]

Originally Posted by tom11011

It appears to me that houses in my development in Tampa are sitting on the market much longer now than towards the beginning of 2013. From my point of view the real estate market was much hotter about a year ago.

Do you agree or disagree?

I don't know about 'time on the market' but condo prices in my neighborhood are significantly higher than 18 months ago. Transactions then happened at $175k, now listing prices are $250k-$270k and there have been some sales. Counterproductive regulation and laws taking effect at the beginning of 2014 will have a dampening effect, but I do not think the overall market is going to go down for quite a while.

[StreetSmarts]

Originally Posted by bentlebee

Not in most of the short sales we were involved in. Some owners got a judgment but that was mostly the group that was offered refinancing and declined it and requested a short sale or with some lenders who looked more careful if there were assets.

Well they came after us and I wasnt giving them a DIME. We tried to get assistance but were unsuccesful even though I was unemployed. It was very streesful but we got thru it.

[StreetSmarts]

I think its always gonns be up and down here in FL, which is streesful. Too much in and out in the state. I'd much rather see slower but steady growth.

[bentlebee]

Originally Posted by ComSense

Well they came after us and I wasnt giving them a DIME. We tried to get assistance but were unsuccesful even though I was unemployed. It was very streesful but we got thru it.

In most cases nobody other than the people involved will be able to see what the exact amount of a note or no note is since most of the short sale notes have not been recorded.

We bought ourselves a short sale in 2008 and the owner took a $23,500 note and it doesn't show up any where just as I haven't seen any other notes show up but they were signed off on by the seller.

Some lenders were easier and Chase gave a lot of money to sellers to conduct a short sale. In one case $30,000 was paid by Chase + $3,000 in HAFA money all to the seller.

[StreetSmarts]

THe banks came after us for an obscene amoumt. Wasnt gonna happen.

[D-R-B]

Originally Posted by ComSense

I think its always gonns be up and down here in FL, which is streesful. Too much in and out in the state. I'd much rather see slower but steady growth.

I totally agree....

Boom and bust cycles create an unstable economy...

There are plenty of states that didn't boom and bust like we did here in Florida, and California, and Nevada....

And those states have recovered nicely because they only had modest price increases to begin with during the boom.....so the bust wasn't a big adjustment.

Boom and bust also encourages rampant real estate speculation and/or "flipping" which absolutely crippled this area.

RESIDENTIAL real estate (for the overwhelming majority of people) should always be "slow and steady"...

It should be considered a long term investment and a home.....

Rather than a "get rich quick" scheme.