[bnepler]

One thing that was missing in many parts of Florida before the housing boom was houses. There wasn't a supply of homes from the 1800's and the 1900's nor the old homes turned into appartments in many of the old towns up north. It's the old "supply and demand" thing..... Prices will level off and steadly increase with time.

[firemed]

Originally Posted by bnepler

One thing that was missing in many parts of Florida before the housing boom was houses. There was a supply of homes from the 1800's and the 1900's. It's the old "supply and demand" thing.....

we have been warned for more than a year that the pace of sales would soon slow. but it was just propaganda. now it's more intense than what was anticipated and building speed, while the housing market is cooling off nationally, the retrenchment is hitting Florida particularly hard because of lots of speculative home building here. There will be a number of homes just sitting with owners bleeding each month. and as I seen on this site. citys paying PIO people to do damage control on a blog. Now you know the market is BAD in Florida. Florida leads the southeast region and ranks second in the United States in number of foreclosures. So far this year, Florida has more than 95,000 foreclosures.

[tallrick]

The imaginary money will pay for it, so why worry? Is there anything we can do to get those interest rates higher?

[tallrick]

http://www.cepr.net/publications/housing_fact_2005_07.pdf (broken link)

[SunnyDog]

Originally Posted by Shores9

Not my words but yours remember

You said enjoy living in the hood, I told you I didn't. Those were YOUR words remember.

[SunnyDog]

Originally Posted by bale002

Even this figure sounds too low, unless you refer to a single person looking to buy a studio or one bedroom in a non-prime area. What is your income/buy price multiplier? My understanding is that this multiplier is three times income equals maximum buy price.

Granted there are some studios or one-bedroom condos available for $180,000, but I just wanted to confirm the multiplier you are assuming, or at least how you derived the $60k figure.

... Make less than $60k/yr here household as a newcomer to the market right now and you're either a renter, an overextended buyer, or are looking to move elsewhere. Take your pick, I took mine.[/quote]

Regardless of the figure, the point is well taken. I too am a renter (saving money) and possibly looking to move elsewhere unless buy prices come back into line with fundamentals, say a 30% drop, within the next two years.

It's a wide world out there and it's getting bigger for those who speak the language.[/quote]





The old multiplier of 2.5 times gross annual income is dead. Lower interest rates helped kill it, as well as the fact that with more people spending far more than 2.5 times income, prices have been inflated beyond reach of those looking to spend 2.5 times income. Also it varies upon the individual. If you have no debt, dependants, car or cc payments than you can afford to spend a higher portion of your income than someone who does, there really isn't a hard+fast rule on % of income one can spend on housing. Some can afford spending 40% of gross on housing while others can only do 15%.

[SunnyDog]

Originally Posted by shannon94

Here ya go.....


THE NEWS TRIBUNE
For the first time since 1998, the people who relocated from California to other states outnumbered those who migrated in from other states, according to a report released by the state’s Department of Finance this week.
California, which had a population of more than 37 million in 2005, had a net loss of 28,565 people to other states during the fiscal year that ended July 1, according to report estimates.

Howard Roth, chief economist with the department, said California’s housing costs discourage people from other states from moving here.

There are a ton of articles like this out there. Check it out.

You're missing the point. Cali's population is still increasing. That's what I had stated. It's due to immigration, and no not all of it is illegal neither. Same thing has been happening here in Dade County for 25 years now.

[SunnyDog]

[quote=Need_affordable_home;166422]Smart guy! But on a serious note, will you relocate out of Florida if house prices dont correct soon enough? Do you want to rent for life or live the american dream even if its in another state?





You see the "American Dream" is different for everybody. One of my dreams is to live on the beach in South Florida and enjoy all it has to offer. I'm just happy to be here any way I can--rent, buy, whatever. Buying is a financial decision, not a dream, and patience, planning, and prudence are on my side. Like buying versus leasing a car. I've decided where I want to live life, and now I'm doing what it takes to live here. If what I'm doing now stops working, then I will do something different to continue living here. I don't let the tail wag the dog.

[Shores9]

Originally Posted by Shores9

Yep Muggy is right I agree!@!!

Finally after 15 years of waiting for a correction market bears are proven CORRECT at least on a regional level! Nationally it remains to be seen if we will have a year over year decline/CORRECTION in house values even after the greatest run-up in history.

While you are waiting for your correction to play out keep in mind that housing has not lost value nationally in 70 years. If you continued to wait out the last market correction (early1990's) you would have missed out on buying a home @ 79K (median home value 1990 US Census). All that time waiting and throwing away rent and the median home is 220K+ today GREAT MOVE!!!

PS I hope you fully enjoy your 1 bedroom in the hood. Enjoy the sand. Enjoy the sun. YOU DON’T OWN IT!!! When the unit above you sells and your landlord decides to raise the rent or sell from underneath you I hope a trailer park is not your only option. Even if you can afford to buy TODAY you still don’t OWN. If the market goes against you - and if you wait too long it will - I hope you can afford more than a single wide because that’s all that anyone who waited the last correction can afford today!

Sunnydog - Hood or not You still don't own. I and almost 70% of the nations households have the American dream and so long as I work hard and protect it NO ONE can put me out of it. Good or bad I'm locked-in, most renters are locked-out!! Personally with 70 yrs of history to support my case I'd rather be LOCKED-IN. YOU STILL DON'T OWN and even if you can afford to own today this is no guarantee if in the future you want to own (should you be evicted) that you can.

[Floridamex]

I think David Lereah said that same line on Monday. But Cash is still King.