HousingPANIC - The Housing Bubble Blog with an Attitude Problem, 2005 - 2008: HP Readers - is ANYONE out there seriously considering buying real estate today?

March 02, 2006

HP Readers - is ANYONE out there seriously considering buying real estate today?

For the love of god, please tell me no

18 comments:

Anonymous said...: Yes, in another state (Iowa?)
Thinking about selling my CA home and moving away. Neighbors just cashed out on top this month. Would buy a home cash or mos of it cash. Only thing is....Being near family (mom, dad, sisters, etc.) is a good for the kids as a big house. My wife and kids are stopping me.; March 02, 2006 8:56 PM
Metroplexual said...: Something about a ten foot pole. I think of it as radioactive.; March 02, 2006 9:20 PM
Anonymous said...: Even if they want to buy houses now but It's getting more difficult for homeowners to move up or downsize becaue they can't even sell their own homes. This will all come down to a chain reaction. For new first time buyers if you can't handle to afford a home with fixed loans then just wait till market is right for you. I don't believe the US home market would crash like Japan and took 15 years. Back then Japanese were much better saver and not like American now with high leverage debt and 0% saving. So if price correction takes place it would be heavy drop but over quickly like Nasdaq.; March 02, 2006 9:35 PM
Dave Barnes said...: Your statement implies that no one should consider buying a house today as prices are falling or will start to fall soon.
That is not true in all markets. For example, Sioux City (IA) and Fort Smith (AR) are not likely to fall. Not increase, perhaps. But, not decline.; March 02, 2006 10:37 PM
ocrenter said...: well, if there's a distressed property selling at 30% below comps, may be a good buy. always keep an eye out for bargains.; March 02, 2006 11:14 PM
Anonymous said...: If I could afford it, I'd buy a house.

My take is that if you like the house, you can afford it, and you'd be happy living there long term, go ahead and buy.

Unfortunately, the middle one (you can afford it) has been turned on its head. I have really good credit, enough for a great downpayment, and a fine income. But if I use traditional measurements for affordability (30yr fixed, no more then 33% of income spent on housing), then I can't afford it.

So for now, no, I won't be buying. But I genuinely would like to own.; March 03, 2006 12:00 AM
Anonymous said...: AnonyRuss

Keeping an eye out for good deals in the Phoenix area. Something tells me that there will be plenty of reasonably priced choices in the near future. I have already seen several nice places listed for up to 20% below the peak price. That is clearly not low enough. I will make some "lowball" offers on some places that have been on the market for >100 days.

I will take my time, whether it is a few months or a couple of years. Through a combination of luck and awareness of the obvious Phoenix bubble, I sold at a peak price in late 2005. Renting now.; March 03, 2006 12:06 AM
Anonymous said...: There might be a lot of people buying into real estate as there will be seminar held by Donald Trump, Suze Orman, and Robert Kiyoshi in San Francisco within a few weeks. There seems to be a lot people signing up for the seminar. I think it's called the Wealth Building seminar. I don't trust these people.

The other day, Robert Kiyoshi(Rich Dad, Poor Dad) went on PBS and told viewers that real estate is a good investment even for now, but talk further, he said he is a cautious investor, waiting for crash..

I don't it sounds a bit contradictory.; March 03, 2006 1:28 AM
Anonymous said...: Some flippers will still make money in a declining market. Buy in cheap enough, manage costs closely, and price to sell underneath the falling median.

There will also be opportunity to buy a few choice properties as long term rentals, in areas that were previously untouchable.

But the pre-construction party is over. The punch bowl is dry, and there are tire tracks in the yard from everyone leaving.; March 03, 2006 4:26 AM
blogger said...: I kinda wish I was back in Phoenix right now. It'd be fun to go out and make 50% below asking price offers on condos and see what reaction I'd get

I'd bet you'd see some "we'll take 40% less" counters - especially on the new builds; March 03, 2006 5:57 AM
Anonymous said...: I just closed on my house today.

true story.

Closed as in sold.

150% profit in four years.

Gotta love it. Good ole CA; March 03, 2006 6:51 AM
Anonymous said...: You got out just in time...; March 03, 2006 12:35 PM
Anonymous said...: Heck ya! We are closing our on home in Eugene, OR today. We moved to Eugene 5 months ago, cashed out on a hot Tucson market, and have been renting for the past 5 months. For us, the difference in renting and buying is $100 a month. We'd rather chance it with the market than keep paying on someone else's mortgage. In addition, Eugene is a highly desirable place to live with limited housing. We feel like we can't go wrong, unless we keep renting.; March 03, 2006 3:43 PM
Anonymous said...: Many of these "Paperwork Millionaire" Flippers in the Florida condo/property market and elsewhere will SOON be Calling friends and acquaintances all over the Country. "HOW would You Like to RENT a LUXURY Condo/house for a MONTH or TWO- Really CHEAP?" That is EXACTLY what happened in the 1979-80's Real Estate BUST ! You Gotta Love them...At least they TRIED...when their MONEYTREE DIED !; March 03, 2006 4:13 PM
Anonymous said...: I've been told I need to buy a house now or suffer the tax consequences. I'm in San Diego and can really only afford a condo, but I refuse to live in such a compact situation for 500K (plus HOA fees, no parking, etc.). Have plenty of cash for a down, but don't feel like blowing it all on a condo and then see the value drop in a couple of months. I'll have to suffer paying more in taxes now rather than buying some overpriced box.; March 03, 2006 5:56 PM
Anonymous said...: I'm forced to sell our house in Potomac Falls, VA so we can purchase a new home in the Simi Valley, CA area... Unfortunately, we have a lot of competition and have had few showing in the six months that the house has been on the market. We've lowered our price only to see our neighbors add their homes to the market at even lower prices... looking from afar here in CALI... seems like our old neighborhood is in a discounting "death spiral" right now... I'm seriously condsidering taking the home off the market for a while and waiting for a few of my neighbor's to sell.

Andy - Live from the firing lines of the real estate market.; March 04, 2006 3:54 AM
oneclickplus said...: It was very hard to do but I had to commit to my beliefs ... I SOLD, I am currently renting and I expect to buy back in my old neightborhood at 50 cents on the dollar within 2 years. Who knows? I may even get my old house back.; March 04, 2006 12:58 PM
Osman said...: Our market hasn't seen a slowdown and prices are prices are relatively stable. See my recent posts featuring sales statistics on homes and attached dwellings over the past three months. Inventory hasn't changed substantially either (compare boulder's inventory in Jan 06 vs a year ago via the side links).

Because we didn't see an obscene run-up('01-'05), any bubble-related market activity (inventory building, slowing sales, price drops) is largely in psychological sympathy as buyers/sellers get spooked by all the national media coverage. With 30+ year low interest rates and strong long term expectations for growth, the expected dip (which hasn't occurred yet) can also be a BUYING opportunity in non-bubble markets.; March 15, 2006 1:47 AM