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

To: Peter V who wrote (149587)	9/23/2008 5:06:32 PM
From: John Chen	Respond to of 306849

"NINE PERCENT on a 30-year jumbo". That's still "history good rate" and no need to panic until it gets to 14.5+%. No brainer to buy CA RE if you have money. There are thousands of people moving in everyweek and no one move out. All the rich ( foreign and domestic ) people want to live there. If you don't have money, that's another story, please move out. Rich people don't care about interest rate.

To: Peter V who wrote (149587)	9/23/2008 5:12:23 PM
From: Jim McMannis	Respond to of 306849

RE:"They require 30 percent down, for a 7 percent loan with 1.25 points." Paulson says we have to take the crap off the banks books so they can loan again. In reality the big problem is that house prices are too high and need to fall. The lower they go, the 20% down gets less, the loan value gets less and the risk gets less for both parties, lender and borrower. As for Wall Street banks...they should be allowed to fail. Then be separated from commercial banks.

To: Peter V who wrote (149587)	10/21/2008 4:25:08 PM
From: Perspective	Read Replies (2) \| Respond to of 306849

Domino #1 still locked in the down position. I see no way banks with Cali exposure to avoid an absolute shelling. Property values - the asset side of their balance sheets - simply can't be supported now that the games of yesteryear have ended. I really don't think any amount of government intervention can help at this point, short of saying that they'll print brand new dollars to buy preferred shares to keep every bank "well capitalized". Of course, that would literally cost trillions at this point. I'm just waiting for the market to quit hiding in the banks to step up my exposure again. `BC