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

To: damainman who wrote (235080)	1/5/2010 2:07:32 PM
From: grusum	Respond to of 306849

"Unemployment was low in 2005, was that a good time to buy a house?" i advised a family member to sell their home in late 2004. she didn't take my advice and now dearly regrets it. you have to go by more than one parameter when making a home buying decision. i named several. ----- "Ok, quite possible but how much lower can rent for a 1500 sq foot house go under a $440/month mortgage payment in the example I gave? Merced is bad, but not Detroit, and probably the cheapest housing for anyone wanting to attend a U.C. college." rents will find market support. i can't say how low they will go. there are reports out of florida that some HOAs are so high that they literally can't give their condos away. increasing costs of owning a home lowers its value.. the lower the value of the home, the more rent you need in order to maintain equity in your financial decision to buy. but as your home loses value, it will be harder and harder to maintain that rent. that is a bad situation for a buyer. ----- "Edit: I meant to add this too. Buying a house when bankers are willing to lend(stupid bankers), when everybody has a job, when everyone wants more than 1 house , when everyone mainstream has a positive outlook on housing, has proven to be the dumbest thing a person could do imo." yes, that's called buying at the top or near the top of the market. it didn't need to be proven it was the dumbest thing to do.. for proof, look at the date this forum was started.

To: damainman who wrote (235080)	1/7/2010 8:52:36 PM
From: John Vosilla	Read Replies (1) \| Respond to of 306849

<<"on top of all that lending standards are tightening so that even some people that want to buy, can't." Back in 2005 lending standards were loose, anybody could buy- was that a good time to buy a house? "plus unemployment is likely to stay high" Unemployment was low in 2005, was that a good time to buy a house?>> You make too much sense yet not one recommendation for that post? I wonder why? Permabears and the RE speculators wiped out by the crash all talking the same language now latching on to every report on housing data and hating the government. Perhaps they need to meet up at a tea party?