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Old 08-12-2010, 02:00 PM
 
Location: Near the Coast SWCT
83,515 posts, read 75,294,816 times
Reputation: 16619

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Up 22% since June 2010.

I hope you guys are jumping on these deals. Man this is a great time in our lives. One we'll always remember for both sides of the shoe.. I hope most of you can say "I will never forget getting great deals in that era and then the house paid was paid off just 15 yrs after"

We'll never see this substantial drop again in our lifetime nor will we see the 2 fold gains either BUT now is the time for great deals...

Go to local city hall and get a list of auctions & foreclosures and go for it. Make an offer...low ball it...fix it up...rent it out, live there...enjoy the investment.

I'll never forget a book I read in 2001...Rich Dad, Poor Dad by Robert Kiyosaki...he talked about jumping on deals in his own neighborhood...homes that were vacant, abandonned, and foreclosed on...This was during the nice uptrend we had in real estate....I kept saying to myself...when will I ever see that happen? Here we are.

The book taught you how his own Dad a teacher was making decent money but Poor and his best friends Dad who was Rich using different vocabulary. Poor Dad said "I can't afford that"..Rich Dad said "How can I afford that"
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Old 08-12-2010, 03:28 PM
 
10,007 posts, read 11,160,026 times
Reputation: 6303
Quote:
Originally Posted by Cambium View Post
Up 22% since June 2010.

I hope you guys are jumping on these deals. Man this is a great time in our lives. One we'll always remember for both sides of the shoe.. I hope most of you can say "I will never forget getting great deals in that era and then the house paid was paid off just 15 yrs after"

We'll never see this substantial drop again in our lifetime nor will we see the 2 fold gains either BUT now is the time for great deals...

Go to local city hall and get a list of auctions & foreclosures and go for it. Make an offer...low ball it...fix it up...rent it out, live there...enjoy the investment.

I'll never forget a book I read in 2001...Rich Dad, Poor Dad by Robert Kiyosaki...he talked about jumping on deals in his own neighborhood...homes that were vacant, abandonned, and foreclosed on...This was during the nice uptrend we had in real estate....I kept saying to myself...when will I ever see that happen? Here we are.

The book taught you how his own Dad a teacher was making decent money but Poor and his best friends Dad who was Rich using different vocabulary. Poor Dad said "I can't afford that"..Rich Dad said "How can I afford that"
Seriously?
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Old 08-12-2010, 04:05 PM
 
Location: New England
8,155 posts, read 21,005,097 times
Reputation: 3338
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Old 08-12-2010, 05:50 PM
 
Location: Near the Coast SWCT
83,515 posts, read 75,294,816 times
Reputation: 16619
You guys (and most) fail to see the big picture...I'll give you bottom line..

Buy home to live in, mortgage paid off in 20-30yrs
Buy home and rent it, mortgage paid off in 20-30yrs

Either way...EVEN IF THE VALUE OF THE HOME IS LESS IN 20-30YRS It will be money in your pocket few hundred thousand dollars. Or maybe you just wanna spend everything next 20-30yrs...or maybe you want to put away and gain 1% next 20-30yrs...

Buying a home is easy, if you can get the loan.
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Old 08-12-2010, 06:37 PM
 
10,007 posts, read 11,160,026 times
Reputation: 6303
Quote:
Originally Posted by Cambium View Post
You guys (and most) fail to see the big picture...I'll give you bottom line..

Buy home to live in, mortgage paid off in 20-30yrs
Buy home and rent it, mortgage paid off in 20-30yrs

Either way...EVEN IF THE VALUE OF THE HOME IS LESS IN 20-30YRS It will be money in your pocket few hundred thousand dollars. Or maybe you just wanna spend everything next 20-30yrs...or maybe you want to put away and gain 1% next 20-30yrs...

Buying a home is easy, if you can get the loan.
But..but...but..... Yea prices are down, but the market is still tanking!! If you buy something right now , you are losing money right out of the gate because that property will still have more downward spiral. This won't stay like this forever, but I don't think this moment is the bottom at all so its not in my humble opinion the time to buy.
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Old 08-12-2010, 06:42 PM
 
10,007 posts, read 11,160,026 times
Reputation: 6303
Quote:
Originally Posted by Cambium View Post
You guys (and most) fail to see the big picture...I'll give you bottom line..

Buy home to live in, mortgage paid off in 20-30yrs
Buy home and rent it, mortgage paid off in 20-30yrs

Either way...EVEN IF THE VALUE OF THE HOME IS LESS IN 20-30YRS It will be money in your pocket few hundred thousand dollars. Or maybe you just wanna spend everything next 20-30yrs...or maybe you want to put away and gain 1% next 20-30yrs...

Buying a home is easy, if you can get the loan.
Well, now to start off, I am a proponent of buying over renting too, but the picture is not as simple as money in equity or money for rent that is someone else's equity.

How come nobody talks about the (lets say as an average $6,000 a year) taxes. Multiply that by 30 years and there is 180k you just paid...Not to mention the 10's of thousands of dollars you put into restoration and maintenance in a house.
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Old 08-12-2010, 06:50 PM
 
Location: USA East Coast
4,429 posts, read 10,362,777 times
Reputation: 2157
Quote:
Originally Posted by Cambium View Post
Up 22% since June 2010.

I hope you guys are jumping on these deals. Man this is a great time in our lives. One we'll always remember for both sides of the shoe.. I hope most of you can say "I will never forget getting great deals in that era and then the house paid was paid off just 15 yrs after"

We'll never see this substantial drop again in our lifetime nor will we see the 2 fold gains either BUT now is the time for great deals...

Go to local city hall and get a list of auctions & foreclosures and go for it. Make an offer...low ball it...fix it up...rent it out, live there...enjoy the investment.

I'll never forget a book I read in 2001...Rich Dad, Poor Dad by Robert Kiyosaki...he talked about jumping on deals in his own neighborhood...homes that were vacant, abandonned, and foreclosed on...This was during the nice uptrend we had in real estate....I kept saying to myself...when will I ever see that happen? Here we are.

The book taught you how his own Dad a teacher was making decent money but Poor and his best friends Dad who was Rich using different vocabulary. Poor Dad said "I can't afford that"..Rich Dad said "How can I afford that"
We have been having the same discussion here tonight. I think you have a huge point.

The ABC Evening news just did a story about how there were 92,000 + foreclosures in the USA just in July….and there were only 100,000 in all of 2005! Now might be a time to take a risk and buy another property. Think about how many folks will be looking for a rent in the coming months/years. How on earth are banks going to absorb all these properties without slashing prices very heavily? Where are all the buyers going to come from? The economy is spiraling downward, millions are out of work, grads can’t find jobs…etc…how could the banks not discount what’s on their books? This might be the time of the deals of the century.

Or maybe not.

Then…I see a little documentary like this…and I can’t help but think that life in the USA might not ever be the same again. To tell you the truth…this was the single most disturbing view I ever saw of the USA economy in my lifetime. With each passing scene it gets more depressing. So who really knows what all these foreclosed homes will really be worth at the end?


YouTube - Maxed Out part 1 of 9


The greatest pause for reflection for me…comes in what the economics professor says in the very last scene after the credits.

.
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Old 08-12-2010, 07:43 PM
 
Location: Cheshire, Conn.
2,102 posts, read 7,757,717 times
Reputation: 539
Quote:
Originally Posted by jp03 View Post
But..but...but..... Yea prices are down, but the market is still tanking!! If you buy something right now, you are losing money right out of the gate because that property will still have more downward spiral. This won't stay like this forever, but I don't think this moment is the bottom at all so it's not in my humble opinion the time to buy.
Prices are actually up:

(West Hartford, Conn., August 9, 2010) – Closed sales of single family homes in July dropped 49.06 percent (from 1068 to 544) from July of last year, according to data from the Greater Hartford Association of REALTORS® (GHAR). Pending sales also decreased 25.28 percent (from 898 to 671), while new listings rose 5.62 percent (from 1423 to 1503). The median sale price increased 4.10 percent (from $242,550 to $252,500) and the average days a home spent on the market increased 16.13 percent (from 62 to 72 days). During this same time frame, inventory rose 10.10 percent (from 5785 to 6369).*

GHAR: News : MLS Statistics => click on current press release

By the way, prices of foreclosures are often based on other factors (bank's willingness to negotiate, damage to property, etc.) and don't necessarily conform to what's occurring with non-foreclosure properties in the same market.

*this information is for the 57 towns of the Greater Hartford region (Hartford, Tolland, and Middlesex Counties)
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Old 08-12-2010, 08:28 PM
 
Location: The brown house on the cul de sac
2,080 posts, read 4,845,034 times
Reputation: 9314
Quote:
Originally Posted by Cambium View Post
Up 22% since June 2010.
I just wanted to comment about the foreclosure rate you posted to put into perspective of the bigger picture:

Connecticut's foreclosure rate, however, was better than the national average of one in every 397 homes having a foreclosure filing. Connecticut had the 20th highest foreclosure filings rate in the country.
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Old 08-13-2010, 04:31 AM
 
Location: Near the Coast SWCT
83,515 posts, read 75,294,816 times
Reputation: 16619
Quote:
Originally Posted by jp03 View Post
But..but...but..... Yea prices are down, but the market is still tanking!! If you buy something right now , you are losing money right out of the gate because that property will still have more downward spiral. This won't stay like this forever, but I don't think this moment is the bottom at all so its not in my humble opinion the time to buy.
??? Still tanking? Its called leveling off, we're not "still tanking"... Will prices drop a little more, sure, maybe, why not but I guarantee you interest rates will be higher before "you" think we hit bottom. Real Estate is not like stocks where it turns in an instant from the bottom but you wont know its a bottom until after the fact...if thats a risk you're willing to take ok.

I'm not saying buy now otherwise you're gonna miss out....you'll have 1-2-3 yrs at these prices BUT
1. foreclosures wont be easy to find
2. you'll be paying more for your mortgage because rates will be higher
3. You will have missed years of paying off principal
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