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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: loantech who wrote (27584)3/2/2005 9:43:10 AM
From: Crimson Ghost  Read Replies (2) | Respond to of 110194
 
The Palm Beach Post carried a story today

BROKER : BOOM WON'T GO BUST

Real estate prices will zoom for a very long time a top broker says.

This broker is advising people not to sell a home until they have purchased another home.

Talk about idiotic wrongheaded advice.

Lambs being led to slaughter again.



To: loantech who wrote (27584)3/2/2005 11:02:15 AM
From: John Vosilla  Read Replies (2) | Respond to of 110194
 
Would these people qualify on a DCR basis with a fixed rate 30 year mortgage? Do the banks these days even care as long as you have your 20% equity?



To: loantech who wrote (27584)3/2/2005 11:59:57 AM
From: LLCF  Read Replies (1) | Respond to of 110194
 
Hope they like snaking toilets!

DAK



To: loantech who wrote (27584)3/2/2005 6:30:29 PM
From: patron_anejo_por_favor  Respond to of 110194
 
<<Still decent equity but I see it all going away if prices drop 20-30 %>>

....which is not at all an unreasonable assumption given the recent runup there. I bought in 03/03, and current market value is up around 60% from purchase. I fully expect that to be cut to 20% or less in the next 2 years......still a nice annual ROR of 7-8% from when I bought. Wouldn't hurt me (I'm about 85% paid off) but it would KILL them.<NG>