December 18, 2007

HousingPANIC Stupid Question of the Day


Anyone getting the itch to play LOWBALL!?

(is there a cream or ointment to apply to make that feeling go away?)

51 comments:

Anonymous said...

I don't think it would be wise to go anywhere near the real estate market for a couple of years.

Although it might be fun to go in and low ball just to mess with people's heads I think people trying to sell are going through enough emotional turmoil as it is.

I sort of feel sorry for them.

Anonymous said...

Not until 2009 earliest

Anonymous said...

Anon 11:20 said:
Although it might be fun to go in and low ball just to mess with people's heads I think people trying to sell are going through enough emotional turmoil as it is.

I sort of feel sorry for them.
---------------------------

You say they(the sellers)"are going through enough emotional turmoil" but do they remember the turmoil they caused by mocking renters, by laughing at people who waited out the housing bubble.

Maybe you dont remember very well, but the arrogance that came with the whole housing bubble really showed the dark ugly side of people's greed. Let me tell you, it was absolutely disgusting to hear people talk about how much phantom "equity" their home had or how much money they made in their latest fu%king flip.

But we HPer's stood by, we warned them that this was all a big Ponzi scheme waiting to fall, and all the participants would do in response was to either totally ignore what you had to say, or two, laugh in your face that you weren't wise enough to get in on the game.

Secondly, the economic damage these people have done to our country is and will continue to be severe for many years to come.

And worse, many many of them are in total denial about the true value of their home. A low ball offer in this current market might actually be good because nobody really knows just how bad the real estate market is going to get.

Do you? Or do you want to sugar coat what is so obvious to most people with half a brain.

Some times its hard to learn a lesson, especially one with significant life altering circumstances like the housing crash. But its a fact of life and one of their own making.

Should we feel sorry for them. I guess some compassion is warranted, just like we give compassion to any other criminal who lied and committed fraud to bankrupt the system.

And yes, a real low ball offer like 50-70% off asking price might hurt their ego's, but come on, we're not talking about spitting in their faces (WE'RE JUST SPITTING ON THEIR FUC*ING EGOS, THATS ALL)!

Peace out.

Anonymous said...

I tried last month, no takers (in Colorado)

What needs to happen is FEAR

Without it, no joy

Say another year and half at least before wide eyed homeowners beg for scraps while scurrying around the bushes

Anonymous said...

Todays Lowball is Tomorrows Asking Price.

I'm not even paying attention to the Subprime smokescreen.

I'll do my low-balling during the "option arm wave" in about 2-3 years.

devestment said...

Too early. I won't play till it hurts ME to spend the money. Coming soon... 2009

Anonymous said...

RE agents use comps to help the seller set the price on the home, but if no, or very few homes are selling how does anyone know what a fair price is? Thats the beauty of wht's going on. You can offer 40-50% less than what it sold for a couple of years ago, and there's nothing to say thats not a fair offer. Lowball away my friends.

FlyingMonkeyWarrior said...

http://www.bloomberg.com/apps/news?
pid=20601109&sid=alG_e4wz6zoc&refer=home

Stagflation May Return as Price, Credit Risks Meet
(Bloomberg exclusive)
By Rich Miller

SNIP;
Dec. 17 (Bloomberg) -- The world economy is facing the risk of both recession and faster inflation.

Global growth this quarter and next may be the slowest in four years, while inflation might be the fastest in a decade, say economists at JPMorgan Chase & Co.

The worst U.S. housing slump in 16 years, coupled with a tightening of credit by banks, has brought the world's largest economy ``close to stall speed,'' according to former Federal Reserve Chairman Alan Greenspan. At the same time, rapid growth in China and other emerging markets is driving energy and food prices higher worldwide.

``What lies ahead is a period of stagflation -- slow or no growth combined with rising inflation -- in the advanced economies,'' says Joachim Fels, co-chief global economist at Morgan Stanley in London.

Tyrone said...

Now, Keith, you need to very, very careful with lowball offers; you run the risk of insulting the sellers. We wouldn't want that, now would we? *dripping w/sarcasm*

Making Offers on a Home
...figuring out how much to offer to buy that home can be daunting. Buyers are concerned that if they offer too little, they will risk insulting or alienating the seller.

Anonymous said...

Most homedebtors now are just listing the house with an agent to make the bank happy. One of the short sale steps is to list the house for full price for 3 months before the bank considers taking less than the mortgage balance.

Look at the MLS (realtor.com) for the houses with only one photo or incomplete information. Most are already in some form of default, so go ahead and lowball away!!! The "owners" dont care at this point, any money they ever put in the house is long gone, and most of them know it.

Princess Mononoke said...

Forget lowballing... I sure as heck don't want to catch this virus. No way, no how!

It would be like having unprotected sex in this day in age!

tater said...

I do this all the time. I don't feel sorry for these banks wwho have their properties listed with an agent to sell. I just love to call them up and ask them about the price of a house. They say like $99,000. I talk like I am really interested in the house, and that I have cash to close tomorrow. I can hear the pitch of their voice as they think that they have a sucker to play. Then I drop the ball on 'em: I tell them that I will give them $12,000 for the house. I LMAO as I hear them gasp just before they hang up on me!!

Okay, it may sound like a heartless thing to do, but I did this very thing to a real estate agent this morning about a bank-owned listing. I dislike them that much. These banks deserve this type of prank, because they were part of this mess too. I just saw a beauty of a foreclosure as I was driving home today. I am going to call about it tomorrow. That agent is going to be pissed. I am one sick dude. But, try it, and you'll like it.

I may be a sick dude, but I won't play with some upside down mortgage homeowner. They've been screwed stupid already.

xANGRYMONKEYX said...

Why not buy now if you can get a GREAT DEAL. Im talking like LOW BALL, which looks like it is starting to happen. Bank Repos are everywhere in my hood yo and they are just sitting there.

Plus it would be great revenge to all those who told me that real estate will always go up... Up in flames maybe

Now I dont know if I would actually buy a repo though, cause I suck at handyman work and It would cost me a ton of cash to fix it up. But I could always flip it for 10x's my purchase price and buy that cool BMW for my wife. Livin Large yo!

Anonymous said...

Check out this site!

http://www.financialsense.com/fsu/editorials/martenson/2007/1217.html

the whole thing is laid out pretty good.

Mitesh Damania said...

Get your Daily Ron Paul dose and videos here:

http://www.ronpaulforpresident2008.com/news/

LauraVella said...

We're enjoying renting too much right now to think about having all that responsibility of owning again.

Maybe in two years we'll think about seriously putting in an offer which will be below asking price. How much below- I'm not sure yet, depends where prices are in two years!

Anonymous said...

nope, cause now employment stability may be an issue

robert said...

The thing now with a lowball……You’d had better love the house…….

Now the seller just might take it.

Peter T said...

Even finding a right price for a lowball offer costs time - why spending that time researching while knowing that the offer will likely be rejected anyhow.

Anonymous said...

Anonymous said...
Check out this site!

http://tinyurl.com/29uv5x


the whole thing is laid out pretty good.

Edgar said...

It'll be years before CA RE crashes, and we are two to three years behind them. I may buy again when I see what socialist policies develop over the next five to ten years. If things don't improve I will probably stay where I am for the rest of the time I have left on this earth. I refuse to pay for what the maggot California fraudsters and I-bankers got freely.

Anonymous said...

It would be perfect to have that clip of Dan Akroyd in Trading Places where he has to pawn his watch.

"In Philadelphia it's worth 50 bucks"

TM said...

Now, Keith, you need to very, very careful with lowball offers; you run the risk of insulting the sellers. We wouldn't want that, now would we? *dripping w/sarcasm*

When I read that article I wanted to go find an open house, walk in and offer thirty bucks for the place; and then perhaps I'd fart in his house too, just for good measure.

Anonymous said...

For education and entertainment, rent the movie 'The Pawnbroker'.

This is the NEW America. A nation of pawnees...

Sick and Dying America.
*F*UCK YOU, You were WARNED!
Feel Sorry for No ONE.

westwest888 said...

People don't get it yet. I went to my girlfriend's work xmas party and some people were earnestly talking about buying condos this winter. I took 10 minutes of their time and explained why this was a terrible idea. It's kind of hard to cover 2 years of HP in 10 minutes..

Anonymous said...

My buddy just bought a house in NH. 11 Acre w/20 yr old house. They were asking 360 - He picked it up for 320. Not bad! It first went on the market in June for 500! It shows that nothing is moving and only getting worse.

happy homeowner in the stix said...

Well, if they are offering something stupid as an incentive to buy (a year's lease on a Benz, a day at the spa, etc.).....yeah, I'd be tempted to offer 'em 100k.

Anonymous said...

"Sick and Dying America.
*F*UCK YOU, You were WARNED!
Feel Sorry for No ONE."

Indeed. I never have any sympathy for that juicy steak in front of me.
FBs, Flippers, scammers, Banks, just a tasty snack as it all comes down.

Enjoy it all.

Anonymous said...

I love to low-ball, but my Realtor always tries to get us to offer more.

He always trys to justify it by saying "He has to work with these people" (meaning the Seller's RE agent)

This is in NoVa (Northern Va, DC subs for those of you who don't know)

Market here is tanking but eveyone is still in denial, including my Realtor !!!

That's OK, cause I'm not buying now anyhoo, WAY too soon - just looking & stringin' him on a bit!!

Gotta give him something to do, ya know!

Anonymous said...

From rags to riches and back to rags. Even the gangsters and drug dealers will have to leave the real estate industry and go back to their old rackets.

Anonymous said...

No, sellers will not accept a lowball that is coupled to fundamentals. They may entertain a lowball that is in the vicinity of their asking but it would still be way overpriced right now. The only way is to let them be punished and softened up by the brutality of market forces to get them to sober up to the reality that the party is over. But it appears that our gov't will not let that happen, at least on a superficial political level right now, but possibly in full blow reality depending upon who gets elected next year.

Stuck in So Pa said...

Anonymous said...
My buddy just bought a house in NH. 11 Acre w/20 yr old house. They were asking 360 - He picked it up for 320. Not bad! It first went on the market in June for 500! It shows that nothing is moving and only getting worse.
--------------------------

How's your buddy gonna feel when the same place, bigger, on more land, goes for say, 250K, next year.

God, P.T.Barnum had it right!

Anonymous said...

"When I read that article I wanted to go find an open house, walk in and offer thirty bucks for the place; and then perhaps I'd fart in his house too, just for good measure."

When they heard $30 The Realwhore would instinctively drop to their knees to blow you. Old habits die hard, you know...

nnj said...

In my opinion, a buyer must lowball. I like 40-50% off asking in most cases. The buyer must indicate to the seller that the purchase price must be sufficient enough to cover the possibility of strong future market value loss.

If the seller gets offended: Not my problem.

If the seller has deep financial obligations: Not my problem.

If seller has a stroke due to the low offer: Not my problem.

If the seller thinks their house is worth much more than the offer: Not my problem.

Lowball away, you have nothing to lose and all to gain!

Anonymous said...

Tulips on Sale! Please have the common sense to recognise its only sticks and bricks. The prices even at 50% of the 2005 high are in total disconnect to physical and economic benchmarked appraisals that guage on the actual cost of contruction or rental income. Use of a market appraisal basis (the so called comparable sales approach used by used real estate salesmen) is pure speculation and wrong in a market that is random and subjective.

Ignore any market appraisal and offer only what a property can earn in rent or what its physical replacement cost might be. Use the formulae that an insurance adjuster might use to value a house, as that is based on auditable and legally defensable numbers. Insurance companies should know, as they will be sued for bad faith if they offer a home owner an absurdly based insured settlement. (NOTE: This is not meant to be legal or financial advice. Consult your own retained legal or accounting professional and conduct your due dillegence before making a financial election as major as a house purchase)

Anonymous said...

Just A Renter in Rhode Island

The banks own about 1/4 of the houses still sitting for sale in my neighborhood. I wonder if it would be easier to low ball the bank or those trying to compete with them ? I'm thinking 50 to 75 cents on the dollar ? Just Curious

Anonymous said...

IMHO, Buyers need to lowball sellers now.

Buyers need to help the Sellers to "get real" about their inflated asking prices.

After 2-3 "lowball offers" the Sellers usually begin to get the message.

Lowball offers & Months on the Market will be the wakeup call / softning up these Sellers need.

It is a slow process, but an important one none the less.

Just think, the 4th Lowball these poeple get maybe the breaking point!!

Someone will eventually get "THE DEAL"

Anonymous said...

"When I read that article I wanted to go find an open house, walk in and offer thirty bucks for the place; and then perhaps I'd fart in his house too, just for good measure."

If there are any housing bubble sites to take seriously, this is the one. About time someone thought like I did. Hell if you're offering $30.00 for some middle class house (or I assume), then I'm going up to the ritzy area of town and offering $100.00 to the FB and dumping my Pepsi on the floor as well.

BOHICA!

Anonymous said...

I am looking, havent made any offers. But if I can get something at say 25% off recent sales, I'll do it. I can't honestly see prices falling more than that in the future. If for example I offer $375K for a house asking $500K (with recent comps in the $500K range) I'll bite.

I can't see that house selling for much less than $375K in the next few years. If I am wrong, oh well, I plan on staying for many years to come.

nnj said...

$30 and $100 offers for an investment box, I like the way that sounds. I may give it a shot.

Anonymous said...

I'm just going to sit and wait until after Rome is done burning....then i might make an offer. Until then i'm staying in my apartment, and might even splurge for some hot dogs and marshmallows. Smores anyone?

JDF said...

Anonymous From December 19, 2007 12:12 AM

I have to agree with you whole heartedly! While I have compassion for the suffering, and while I can get over my personal emotions that these pigs brought up, they can not be forgiven the damage done to our economy. We know now that we were right, that there is never something for nothing, but what about the toll we are all going to have to pay now? It should start witht the lenders who bundled up the crap loans and sold them off to the stupid investors who by rights ought to reap huge losses and should end with the pigs who were lying to get their liar loans through in the first place. But thats just my opinion...

tater said...

I just got an email from an un-real-estate agent in Florida. The twit had a house listed for $150,000 plus. I offered her $17,000 for it. She was really pissed. I think i'll email her back, and tell her that she was right about my offer being way out of line. I'm gonna' tell her my computer malfunctioned, and the offer was supposed to be $1,700.

dougr100 said...

My wife dreams of going into a 2BR listing for $300K and offering $160K. Sounds like she ain't far off.

Anonymous said...

TATER YOU ARE FUNNY!!!

gunser said...

We're located about an hour west of Baltimore, Maryland, in a pretty rural area. We had been searching for the past 9 months and I'd say things have fallen about 15% around here in that time.

We have just had our offer accepted on new construction "spec" home. We got a really great deal on a great house in a nice location.

A house is primarily a place to live, and for me, to raise a family and start a side business. You can get caught up looking for the best 'deal' instead of trying to find a place you'd really like to live in.

It is stupid to sit around waiting to call the absolute bottom over 5 - 10%, meanwhile the houses you really like get sold, you're stuck shacking up with in laws, your stuff is in storage, and the stress level rises...

Oh and forget about the fantasy of just strolling into a short sale or foreclosure...ALL the light fixtures removed from the house...the smell of dog and cat piss everywhere...soiled carpet...the list goes on and on.

This might not be the case in some big bubble areas, but this is my advice to any deal seekers in rural areas.

Anonymous said...

PHANTOM EQUITY IS HOW THEY TAXED ME OFF THE FARM...NOW THE IN CITY CHICKEN FARMERS AND CONDO VEGGI IN THE KITCHEN GROWERS TURN....DONT FORGET TOBBACCO.....................

Anonymous said...

NOT UNTIL the 170,000 from house sale in 1995 earnings equal the house price plus 170,000 with the attempt at earning being done with 2 year treasuries. or with all the bogus numbers today maybe never.........house price up 25 percent in 12 years???????not including costs or commissions.....................

Anonymous said...

seen some very nice places go for 12,000 bucks....why do you consider that offer a prank....am i the only sane person and all the others morons......oops

charlatan said...

i'll think about it in a few years time.

Anonymous said...

You want to be really cruel, tell the realtor you really like the house but only have $100 to your name.

You heard that there was some government program designed to give people with no money houses.