Phoenix MLS Predicting Lowest Median September Price in Nine Years (Flagstaff: calculation, inspections)

[rjrcm]

Originally Posted by khuntrevor

...Above post ...

Nonsense post to promote spam site

[ladysovereign]

Originally Posted by las vegas drunk

The Fed has started there quantitative easing, i.e. printing money out of thin air backed by nothing. Gold is already started breaking all times records this week. Don't you guys think this is going to cause massive inflation, especially if the dollar crashes?

Forget $1,300, Gold Is Heading To $11,000 On Dollar Collapse « GCN News

This source isn't very reliable, especially when they're trying to sell you something along with that "frightening" news.

[MN-Born-n-Raised]

See Wells Fargo's Silvia Says Home Prices to Climb 5%: Tom Keene - Bloomberg

"
U.S. housing prices may climb 5 percent in six months as the economy avoids falling into another recession, according to John Silvia, chief economist at Wells Fargo & Co. in Charlotte, North Carolina.
“It’s more likely to be the positive 5 percent in another three to six months, once we get through a lot of this political uncertainty and we have an understanding of where the economy is going,”

[MN-Born-n-Raised]

See 9/22 Morgan Stanley's Roach on U.S. Economy, Yuan - Video - Bloomberg It's a great video interview that spells out a common sense look at where we are. I think this guy has a pretty accurate outlook.

"We are going to have this "double dip debate" (whatever you want to call it) many more times in the coming 5 years even if we dodge it this time around".



"The American consumers (70% of the economies GDP) doesn't want to spend and they are paying down their debt and building their savings which is completely rational."
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What I take from all of this is we will be on a rollercoaster for a long time. We probably should expect several false starts and mixed data.

[jimj]

Originally Posted by MN-Born-n-Raised

See 9/22 Morgan Stanley's Roach on U.S. Economy, Yuan - Video - Bloomberg It's a great video interview that spells out a common sense look at where we are. I think this guy has a pretty accurate outlook.

"We are going to have this "double dip debate" (whatever you want to call it) many more times in the coming 5 years even if we dodge it this time around".



"The American consumers (70% of the economies GDP) doesn't want to spend and they are paying down their debt and building their savings which is completely rational."
__________________________________________________ __________________________________________________ _____________________

What I take from all of this is we will be on a rollercoaster for a long time. We probably should expect several false starts and mixed data.

Don't overlook the stock markets pretty much unexplainable (IMO) sharp rise in the last couple of weeks. When it screams up this fast it usually falls just as fast unless it's being propped up to suck in people sitting on the sidelines.
The one upside to buying a home now is interest rates. If you get an assumable mortgage at these rates it could be a very good thing later on when rates jump (probably double) as they will eventually HAVE to do.

[MotleyCrew]

Originally Posted by jimj

Don't overlook the stock markets pretty much unexplainable (IMO) sharp rise in the last couple of weeks. When it screams up this fast it usually falls just as fast unless it's being propped up to suck in people sitting on the sidelines.
The one upside to buying a home now is interest rates. If you get an assumable mortgage at these rates it could be a very good thing later on when rates jump (probably double) as they will eventually HAVE to do.

Are there still assumable mortgages available? I thought they vanished. That would be a plus to get one now at these low rates and you are right about that.

[Zippyman]

Originally Posted by MotleyCrew

Are there still assumable mortgages available? I thought they vanished. That would be a plus to get one now at these low rates and you are right about that.

FHA loans are assumable.

[rjrcm]

Originally Posted by MotleyCrew

Are there still assumable mortgages available? I thought they vanished. That would be a plus to get one now at these low rates and you are right about that.

FHA loans are assummable:

HUD - 100 Q&A for Homebuyers

85. ARE FHA LOANS ASSUMABLE?
Yes. You can assume an existing FHA-insured loan, or, if you are the one deciding to sell, allow a buyer to assume yours. Assuming a loan can be very beneficial, since the process is streamlined and less expensive compared to that for a new loan. Also, assuming a loan can often result in a lower interest rate. The application process consists basically of a credit check and no property appraisal is required. And you must demonstrate that you have enough income to support the mortgage loan. In this way, qualifying to assume a loan is similar to the qualification requirements for a new one.

This could be very significant when rates move up. FHA has been extremely popular in the last few years and could help counter the effects of rising interest rates for new buyers that qualify.

[Ritchie_az]

The sky is falling! The sky is falling!

With Phoenix home values having fallen more than $11,000 last month alone

While I don't doubt that some homes have fallen $11k in value in one month (all it takes is a few foreclosures in a high-end neighborhood), I don't find any merit in your claim that (I'm guessing on average) the whole Phoenix housing market fell by $11k. I know my house has not. In fact, based on the most recent comp, it looks like my house may be up slightly.
Do you care to back up that claim?

the assessment of others made in my sales office of a 35-40% decline in home values is looking more accurate.

I have explained before that this is increadibly unlikely to happen, based on many factors. And if the market did fall by that much, it would be very short lived, as folks from across the world come in to buy up all the homes that are selling below cost-to-build (which, in turn, would cause the market to rise). In fact, already you see folks from other states and even Canada purchasing the "great deals" as they stand today.

As I had mentioned before, I thought it would stick to around a 25% drop from this summer's earlier prices.

I will be extremely surprised if it reaches even a 10% drop.
It's important to recognize that before things stabilize, there will be dips and rises, and dips can create rises and rises can create dips. It's like a tide.
Right now it appears there may be a dip, but the predictions I've seen from sources I would trust indicate that the dip will be short lived followed by a slight rise (and not a significant change either way).

is why we have been stressing heavily to clients, wait 6 to 9 months to see how bad it gets before reassing the market.

I notice you now say "we". Do you still have that one client, or has he or she gone someplace else?

[Howard Roark]

Even 52-week T-bills are more fun to reinvest at 0.29% yield than to change from mobile renter (meaning "able to get higher paying job in another city very fast) to a sitting duck mortgage payer in a region of 9% unemployment (U3) and probably 15% real unemployment.

Originally Posted by EnicAZ

As evidenced by falling home values, our clients haven't been happier not holding on to a declining asset.