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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Dan3 who wrote (68444)	12/11/2006 5:56:10 AM
From: Tradelite	Read Replies (1) \| Respond to of 306849

<<re: people decide to rent or buy based on what they NEED at the time. You're mistaken, at least in regards to a percentage of buyers large enough to have overwhelmed the market in recent years. These people decide to buy based on what someone's willing to lend them, regardless of their ability to repay or their "need." A lot of people "needed" to make money by buying "pre-construction" condos and home last year so they could flip them for promised huger profits. Now those contracts are coming up for closing and the buyers cannot afford to purchase the contracted homes nor pay of the borrowed down payments. I "need" a helicopter to cut my daily commute time, and could probably find someone to lend me the money to lease one (and its maintenance, etc.) for a while, but I'd be bankrupt and homeless on the curb in less than a year if I were naive enough to satisfy my "needs." Unfortunately, a lot of recent home buyers have become the victims of unscrupulous salespeople who have sold them into a lifetime of indentured servitude under the recently changed credit laws. >> ______________________________ My reply to yours: What is "the market" in your view? Where is this entity you refer to as "THE MARKET" located? WHO are the whiners/flippers/dummies you are referring to, who got sold loans they can't afford, with promises of great gains in a short period of time? Surely you are not referring to people who have jobs and families and want to locate both in areas that offer the type of jobs and schools that such families can get and want? Please.......no whining about supposedly intelligent people who get "sold into a lifetime of indentured servitude" (your phase) and please no whining about "victims of unscrupulous salespeople" (your phrase again). We know stupid folks are out there. Present market conditions in certain areas of the country will eliminate them. We'll all be better off in the end and can hope it doesn't occur again in our lifetimes or at least for many years. If you think SMART people are led to financial slaughter by real estate agents or mortgage brokers, you're insulting even the stupid folks rather harshly, because they sought out these people and expected that they would receive courteous and competent service from people who try to accomplish the customer's stated goals. (And don't think that stupid customers don't get contrary advice once in a while.....the customer sometimes doesn't have good listening skills, and in the end, that's not the real estate agent's or the mortgage guy's problem.) Your statements remind me vividly of a sign posted prominently on the wall above the desk of my first sales manager is real estate. It said: NO WHINING. Everyone wants to whine once in a while. Whether it's justified is another matter.