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Old 07-30-2009, 11:29 AM
 
2,197 posts, read 7,393,698 times
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Quote:
Originally Posted by JohnG72 View Post
Short of the federal government forgiving principal on upper income peoples homes, I'd expect houses in that area to drop by 20-40% over the next 2-3 years.
Lenders are quietly and selectively doing that now. I know people who have had principal forgiven AND their rates reduced to low-market fixed to keep them in their homes. The government may well get involved/support/mandate this for people with the ability to pay lesser amounts. Fair doesn't matter. We just live in those kinds of times.
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Old 10-25-2009, 02:34 PM
 
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Default Buy in Redondo?

Quote:
Originally Posted by JohnG72 View Post
I'd expect houses in that area to drop by 20-40% over the next 2-3 years. So it would definitely suck to buy a $600K place now, only to see it sell for $450-480K a couple years from now.
Perhaps. But it would equally suck to find that same house you could've had for $600K to see it sell for $750K a couple years from now...
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Old 10-25-2009, 02:37 PM
 
Location: Columbia, California
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But loans are down to 4.25% fixed for 15 yr loans, I think if you can qualify for a home loan that this is a good time to buy.
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Old 10-26-2009, 06:07 PM
 
4,538 posts, read 10,631,284 times
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Quote:
Originally Posted by nixsys View Post
Perhaps. But it would equally suck to find that same house you could've had for $600K to see it sell for $750K a couple years from now...
I'm shocked that anyone believes that....I'm gonna get priced out mentality.

Short of massive government intervention AND handing out money to unemployed people, the So Cal real estate market goes nowhere the next 5 years at least.
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Old 10-26-2009, 06:09 PM
 
4,538 posts, read 10,631,284 times
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Quote:
Originally Posted by ferretkona View Post
But loans are down to 4.25% fixed for 15 yr loans, I think if you can qualify for a home loan that this is a good time to buy.
Not if you have a significant downpayment. With a 25-50% down, interest rates become of marginal importance and you will pay much less for a house in a down market when interest rates do go up.
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