- NEWS
- Nearly an inch of rain hits O.C. 55 minutes ago
- Report: Gay O.C. soldier returns to duty
- Tustin hospital exec pleads guilty to fraud 3 hours & 11 minutes ago
- More than 40 DUI arrests made Super Bowl Sunday 3 hours & 10 minutes ago
- SPORTS
- O.C. teams atop CIF basketball rankings 1 hour & 52 minutes ago
- U.S. skier Kearney loves life up in the air 2 hours & 44 minutes ago
- Fans must know rules before donning jersey 57 minutes ago
- Baseball's look-alikes
- BUSINESS
- ENTERTAINMENT
- Will H.B. woman be the next 'Bachelorette'? 48 minutes ago
- Patty Griffin headed to the Wiltern 2 hours & 3 minutes ago
- Orange Pop: Busy days for the Dear & Departed 1 hour & 35 minutes ago
- AfterWork: Hooters in Lake Forest
- LIFE
- Owy: Top 10 ailments for cats and dogs 3 hours & 51 minutes ago
- Whatever happened to accountability?
- Ruby's first drive-in diner opening near Disneyland
- Tustin hospital exec pleads guilty to fraud 3 hours & 12 minutes ago
- TRAVEL
- OPINION
Record 8,000 mortgages face foreclosure
August 29th, 2009, 2:00 am · 107 Comments · posted by Mathew Padilla
There were 8,346 outstanding foreclosure auction notices in Orange County at the end of July, up 12% from June and more than double the year ago total, reports ForeclosureRadar.com.
I previously blogged the July total (it has been revised slightly), but I now have a chart showing the rise in active notices of trustee’s sale (NTS) since the credit crunch got serious in September ‘06 (click on it twice for larger image.). An NTS is filed on a home loan after a notice of default and it announces a property will face a foreclosure auction to pay off debt owed.
Sean O’Toole, president of ForeclosureRadar, said not all auction notices result in foreclosure, though most do.
However, the data is skewed because of the Obama administration’s mortgage modification plan, he said. An unknown portion of the active NTS are likely people in the trial modification period, he said.
And the political environment has changed. Where regulators once pushed banks to deal promptly with bad loans, now they are focused on helping people avoid foreclosure — at least according to their public statements — O’Toole said.
In such a climate loan servicers and banks can take their time dealing with bad loans.
O’Toole also speculated lenders that retained servicing rights to loans may fear being sued by investors. As servicers foreclose on more home loans losses will mount, and investors will notice.
He said investor litigation could rival the tobacco trials and Congressional hearings, with lenders swearing they never thought the loans would default. Interesting analogy.
In any case, the NTS total fits with my previous post on the rise in loans at least 90 days late.
More on foreclosures…
- Buyer of failed IndyMac defends loan-aid efforts
- These O.C. homes are about to be foreclosed
- Citi adds 1,400 to stem foreclosures
- O.C. foreclosures sell at gone-in-3-weeks pace
- Foreclosures interrupted
- This is now a prime crisis
Reader Comments
Comments are encouraged, but you must follow our User Agreement.- Keep it civil and stay on topic.
- No profanity, vulgarity, racial slurs or personal attacks.
- People who harass others or joke about tragedies will be blocked.
107 Comments
Leave a Reply
-
ADVERTISEMENT
-
OC real estate news- Really? Beleagured builders showing signs of life
- Mortgage bankers HQ now a short sale?
- Homes have similar views, $1.8 million difference
- A 'short refi' to avoid foreclosure?
- Million-dollar home sales down 15% in ‘09
- Yorba Linda home tops most-viewed list
- Would you relocate to Texas?
- $16.5M apartments sale sets record
- Housing market warming along south coast?
- Which Surf City ZIP had biggest sales gain?
-
- Calculated Risk
- Mess Greenspan Made
- Mortgage Fraud Blog
-
-
ADVERTISEMENT
Let the lawsuits fly.
I’m sure this new wave of flippers will be right there to buy all these foreclosures.
I guess National Association of Realtors is right, home prices only go UP!
Wow, all you investors with cash are going to get filthy rich!
How?
What?
Why?
When?
Which?
Were?
Who?
Gunner is a loser who lives with his MOM. I heard he gets a quarter for every post that generates 3 replies or more.
Good calling for the loser. Unemployed and living with momma.
Wow, so many haters for those who are going to capitalize on these once-in-a-lifetime deals. Maybe you are just upset the new future rich that are buying today are the ones you will be serving food to, washing cars to, and mowing their lawns?
Soon but not yet. Today’s buyers may soon be regreting their decision in 2010 if they are buying only for investment purposes now. The gov. is going to try to spread this out over many years. It’s a train with it’s breaks on skidding down the tracks trying to stop while the gov. is greasing the rails. Sooner or later it will stop but it will take a lot longer to do so.
Yet some think that prices have increased 19% since Jan, or 33% on an annual basis despite record foreclosure numbers, and foreclosures that are on the rise.
“Regular” home sellers going to be screwed. As we all know, there are many, many more “regular / non-investor” people than investors just trying to live their lives day to day, scraping to make payments. Oh well - this may be opportunity or a very select few, but financial trouble for most home owners in OC. If that is what Gunner is chearleading, there is nothing else to say.
Gunner is just a person with lack of a hobby who says these inane things that he doesn’t even believe, he says them to inflame others and get people fired up. It is like people who say they believe that something horrible is a positive just to get a reaction out of others. He is just looking for attention and for people to get fired up from his rhetoric that he doesn’t believe himself - just a sad lonely griefer who lurks on these forums.
I love it…the behead one got spook from the dead one.
Haha, Patricio…ya you got me pegged, smart one. Somewhere between the lines you failed to mention I have been right since day one. My followers are getting rich!
Take your meds.
Your followers are dead as a result of mass suicide. Drink the Kool Aid - don’t worry, it’ll be alright… No, that’s not radiator fluid.
Why do people like gunner think they can drive up demand with propaganda. True demand requires a buyer that can afford the home they are buying. Obama has and will continue to use smoke and mirrors to keep things going but even gunner knows it can’t last forever.
What gunner doesn’t mention is that many people have lost their jobs. How can you invest in a “good deal”, if you don’t have a job? There’s more to the story too - the cost of repairs done to the newly acquired home(s), etc. that goes with owning a home.
If a servicer participates in the Obama mod plan (and adheres to it’s guidelines in evaluating loans eligible for modification), they are shielded from investor (meaning, the folks that OWN the loans) lawsuits.
Doesn’t mean they won’t sue anyway, or sue over all the mods done prior to or outside the Obama program.
Make sense, actually: let’s say I own a pool of loans returning 8%, and you as my servicer go mod a bunch of them to 5% ruining my return, and let’s say some of those WOULDN’T have defaulted, then I’m going to sue you. This is why it’s difficult to modify “current” loans and you must prove you are in danger of defaulting - soon! - if it’s not modified. It’s not like they don’t want to help you… They don’t want to get sued!
So how involved is the investor on an individual loan? Let’s say that John Smith’s loan fits the guidelines for HAMP but John is still current, and has another 6 months reserves. If I were the investor, I’d surely want you as the servicer to make him bleed his 6 months before even thinking about any type of modification, right?
What kind of say does the investor have on decisions like these before a modification (and then possibility of a lawsuit) occurs?
Not smart. Let’s say you bleed out his reserves. Let’s say John loses his job 3 months later. Guess what??? No reserves, no job = no ability to pay. Better to mod the loan now, leave John with some reserves, just in case, and get a lower ROI over a longer period of time.
But then again, I’m always looking at the bigger picture, which seems to get me in trouble with some folks.
If he loses the job after 3 months, assuming his entire mortgage contribution was reserve money, he would still have 3 months of reserves. Since they are “reserves”, he probably shouldn’t be paying 100% of the mortgage with them while he still has a job, but whatever.
I was just using this particular scenario to try to get an answer as to how closely an investor looks at an individual loan. It seems that usually decisions like these are made without the microscope that the borrower wants the investor to use and without the rationale that you suggest in your “big picture”, so I’m curious to know how it actually works.
Borrowers tell you that “the bank is evil” and servicers tell you they are “determined to put their cusotmers interests at the forefront” so the truth has to lie somewhere in between, right Mr. Big Picture?
OC Pro,
Most investors gave the servicer delegated authority to do all sorts of loss mitigation when they signed servicing agreements, so to answer your question: the investor usually has NO say in how or what gets modified… Hence, the threat of lawsuits. Remember, these servicing agreements might have been singnef years ago when the bought a pool of now toxic loans - before they imagined all this would happen.
Some exceptions: a few investors require final approval (not many), and some wrote-in some basic guidelines, like not modifying a loan below a certain rate (not many did this either).
ALL servicing agreements say something like “must be in default or in danger of ‘iminent’ default”… This is where the lawsuits will come from… How do you “prove” a current borrower will default (if not modified)?
Dont listen to the realtors like Gunner that post here. Prices will drift down for at least 2 more years as the market heals.
Bad salesmen always have to create a sense of urgency to get others to make bad decisions.
yes yes yes , ha ha ha. i am scooping up foreclosure after foreclosure. my company will soon own 100 parcels in OC alone. thanks to all you phony wannabe credit hounds. your days are over. i take advantage of the weak, the simple minded. thank your government for lossening up regulations so every minority could own a home. problem with that is minorities are generally losers. as we can all see by using los angeles or santa ana as a model. 8,000 more foreclosures a comin…. shoooweeeee! gonna be a busy winter!!!
Yeah, but in 12 months the prices will be down another 30% or more, will you still be above water?
You seem so proud to be such a racist! Did you used to kiss your momma with that mouth, or think about momma with that nasty little mind of yours?
So, might I ask? What are you shoving up your rearend? Whatever it is, it’s coming out your mouth!
The bottom is in! Savvy investors will be snapping up bargains and raking in the cash during the coming real estate boom. Everyone knows that prices will just keep going up forever, so buy know before you are priced out forever.
With unemployment at a very, very low 16% we can see another 10% lose their jobs with zero impact because of all the new jobs being created in Real Estate and Mortgage Brokerages.
The wise money is buying up big time. Don’t be a loser stuck in the valley, buy now.
My Mercedes payment is three months late.
-RE Agent
Herte, everything you own in this life is, well, temporary. Even your Benz - when you croak you can’t drive it to the pearly gates.
“There were 8,346 outstanding foreclosure auction notices in Orange County at the end of July, up 12% from June and more than double the year ago total, reports ForeclosureRadar.com.”
WOW!
Foreclosures are exploding and just like a typical collapse, we have had a “dead cat bounce” because of a lack of volatility. The next leg down is on the way and it is going to be brutal. More brutal than even the bears have imagined.
Oh this has housing recovery written all over it.
Interesting take on the local market, wonder how the rest of the country is doing. From what I hear, things are starting to turn around. Although it makes sense that greed central (oc) would get hurt the worst. . .
Jobless recovery = fail.
Soft landing anyone?
I think that one of the issues the market is having to contend with is when a halt to foreclosures were given and the banks could not foreclose on quite a few homes.. now that the moratorium has passed, these people don’t have any more ability to pay their mortgages then they had before the moratorium.. End result, the banks and note holders will be out another 90days of payments and the homeowner will still have to walk away… I”d guess the house value has declined more which hit’s the banks bottom line further…
These same people you mention also didn’t have the ability to make their first mrotgage payment to begin with.
A bad situation.The banks need to the sell the houses for 10 thousand each.It is better to get a little back than none at all.
That would be nice if only families could buy them. Right now only investors get a shot.
excellent point
I first read that as “investors get shot.”
Oh well…a guy can dream.
Just think of it as OC cleansing.
This is the last wave of the foreclosures. And just because there’s 8000 filings does not mean there will be 8000 foreclosures.
Once these dry up, the market will be on the rise. Those of you waiting 2 more years will find yourselves priced out of the market.
I’m really good at timing the market. I bought my house in ‘01 for $245k, and family/friends told me I was CRAZY to pay that for it. I sold it in ‘05 for $485k. It just sold this July, for $300k. I’m pretty sure I know what I’m talking about here.
If anyone wants a personal consultation, I charge $250/hr.
Nice going.
This one cracks me up, out of work realtor charging $250
Me too.
That was pretty funny. Worthless realtards.
Bryan
i don’t remember seeing your predictions on this blog the past few years. oh, that’s right, you didn’t post any. easy to have a 20/20 vision from hindsight isn’t it. unlike most bears here who have been right since 05, their words hold it’s weight. Your fantasies in investment is worth $250/hr?………good one, realturd. if you want some real information, go to google maps and open up real estate search option and then view the map of all the pre-foreclosures and other distress homes ready to hit the market . you’ll figure out if this is the last wave
ummmmm commercial realestate next bubble to pop-just wait were getting smacked in the face with home forclosures just wait until commercial realestate-were going to be faced with bank holidays and inflation-America is done
I have a aquaintance that has a $4000.00 morgage who just sold both jet skis and Harley , who is now trying to figure out how to feed his family . Just bought four months ago ,Hey everybody the time is to buy now , don’t miss the bottom!
I’m thinking of letting my house go. I can afford my mortgage, but my $150K upside down doesn’t sit well with me. The way I figure it, IF i’m lucky, I can regain the $150K in 5 years and be even with what I owe. Not likely. In the mean time. I will have paid $160K in house payments, taxes and HOA dues IF I’m lucky enough to be above water in 5 years. Doesn’t make financial sense. I think a lot of others have done this math too. I would rather take the 3 year hit on my credit and walk and go move into an apartment. I would buy something else, but I don’t want to pick up another anchor to carry.
Sean- Are you planning on leaving the area anytime soon? A job transfer? Or maybe tired of OC? If you are not planning on leaving and have a good job, then hang onto your place and be glad you have it.
Housing is supposed to be a long term investment. That’s why banks decided a 30 year mortgage was about right back in the beginning. Value should not be the issue. Enjoy your home and be happy NOW.
Honestly, I would let the property go and save has much money has possible. The foreclosures are only going to get worse, I deal with this everyday. Bottomline, even if the unemployment rate’s dropped most people signed-up for an 800lb Gorilla. Home ownership is overrated.
your house will be worth even less in 5 years
I think lots of people are doing this.
Your credit will become ‘ jack s@#it ‘ . You won’t be able to buy a dog house for 10 years….you’ll become a toxic waste to every credit/lending company in America….believe it Sean. I don’t know what you owe but you should pay your mortgage PLUS whatever you can pay toward the balance. You will NOT own again otherwise ! What are you gonna’ say when your home escalates in value . ” I shouldn’t have let it go “. I can hear it bouncing off the walls now.( don’t believe the doom and gloomers….that’s why I bought AIG and Bof A at their bottom ).Hang in there !
Wrong…They are buying 580 ficas via fha..and have seen 530 fica with big down payment and steady job…
credit score jubilee is a coming….credit junkies win..why be prudent….let go of your house, stay in it for 18 months like many do, save the mos. payment and you’ll be able to buy home for 25% less in 5 years…research japanese re market since 1990…you will get better picture of whats still coming..
Housing welfare will kick in another 15K home buyers credit soon..what after that who knows? Homes have a long ways to go down….
Are nation is backed by greed and wanna bes..
Sean-
Don’t forget to calculate the tax hit that comes with walking away. You will owe income tax on the difference between what you owe and what the bank sells it for. I’m betting you’ll owe at least $53,000 in state and federal income tax (25% Federal + 10.3% State).
NOT TRUE… Bush signed an executive order to waive the taxes on “loan forgivness”, and this is in effect (for now) until the end of 2009.
Ah, you got me. He won’t owe federal, but I think state is still game. The Debt Relief Act only applies to principal residences, which appears to be the case here. Investment properties still take the tax hit.
The worst has yet to come….Another wave of foreclosure will hit very soon. Wait until good homeowners with good credits walking away from their houses.
Ahhhh - Congress chases the big money. Next - housing. Congress planning on limiting interest deductions. That will certainly impact high cost west and east coasts. “Rich” home owners / debtors, who typically have AMT and cannot deduct property tax, now have another reason to thank Obama….. First, income taxes, now going after your house. The real democratic agenda quickly coming to light - grabbing money from whatever source it can, while driving deficits to historically high levels.
Enjoy - maybe people will wake up and make this a one term president…
http://www.latimes.com/classified/realestate/news/la-fi-harney30-2009aug30,0,4745.story
Taxpayers now can write off mortgage interest on their principal home debt up to $1 million and on home equity debt up to $100,000. Under the CBO’s option, that maximum mortgage debt amount would shrink yearly until it hit $500,000. Over a 10-year period, this change would boost tax collections by an estimated $41 billion.
Who would benefit? Primarily lower- and moderate-income taxpayers who don’t itemize on their returns. Who would pay more? People with big mortgages and higher-than-average incomes, who are more likely to itemize under current rules.
great! hope it will be done soon. much better to pay for the bail out for housing from money coming from housing.
i’ll add, why not apply a bigger temporary tax to capital gains that come from real estate? that way, those that benefited from teh sector and bail outs pay for them. after the taxpayer is made whole, those capital gains will get taxed as any other (that way it prevents distortion of incentives, towards “investing” in unproductive assets).
the $500k exemption to RE capital gains on 1st residency for couple should also be canceled as soon as possible (again, till the taxpayer is paid for bailing out homeowners in trouble).
I have never understood why someone should get a tax break because they bought an expensive home. They should put in the limit, it would be a good idea. And don’t tell me it is to help the economy becasue you don’t get a tax break for spending money in other ways.
As far as taking peoples money, 30 years of tax cuts and reckless spending primarily be republicans has bankrupt the country, someone has to pay for it.
AMEN
We’re sunk.
Good, let them forclose, let the market crash and quit giving handouts. The economy is not going to get any better until that happens.
Yep, I say good!!!
Good riddance to the people who had no business of having a mortgage in the first place.
Get out on to the streets and let us who have good jobs and can actually afford a mortgage in!
Keep on foreclosing!!!
Watch what you say - your job may be here today, but your job may be gone tomorrow.
I will tell you one thing, I deal with this first-hand. When you mention that people didn’t deserve their mortgage I have to agree with you at times. Every foreclosure that I handle, I would say 7 out of 10 have a spanish sur-name. It’s the facts. I was at a foreclosure in the old part of Murrieta: $405K lien, dirt road, 3bd/2bs 1200sq. ft, Built 1970. There must be 13 people living in the house (probably illegals). How they could have ever afford this mortgage is beyond me. Of course, it’s going to foreclosure at being sold for $125K.
I laugh when I hear people say, “My broker says, that real estate is going back up”. LOL!! Not going back up for a while. I thought Obama was going to make the world a better place?
There will be more coming. ForeclosureRadar is not fully accurate. The Obama Administration is not helping with the foreclosure because nobody is qualifying.
Its much better for the economy when they actually turn over the foreclosures. Does no good holding on to them. Let a new buyer in who will spend money fixing them up.
There is no problem absorbing the units at the current pace so they sould increase turnover. There are thousands of 909rs looking to get pass the Orange Curtain, they will sell, just roll them out
Wait until next year, you ain’t seen nothin yet!!!
The foreclosure thing is sort of funny here in OC. Banks have refused to take the keys offered from some borrowers because Obama has pressured them into changing their normal foreclosure process. I have been tracking 7 home’s prices using Zillow.com since August of 2008. The funny thing is that their prices all bottomed out in March of 2009 and have been rising ever since. The prices have actually followed the Stock Market as in price movement which is absurd. Just because Apple has a good quarter does not mean my home value went up. Where are the jobs in Orange County to support these higher home values? Zillow.com’s data is totally manipulated by Realators to create a 2nd housing bubble. Here are the prices of one home taken off of zillow since 8/1/2008.
$1,010,500**$1,010,500**$1,010,500**$993,500**$975,500**$948,500**$931,500**$923,500**$919,000**$928,000**$926,000**$921,500**$923,000**$916,500**$911,500**$907,000**$895,000**$898,500**$896,000**$907,500**$906,500**$905,000**$901,000**$891,000**
$884,500**$879,500**$865,500**$864,000**$862,000**$857,000**$854,000**$855,500**$865,500**$864,500**$857,500**$856,500**$854,500**$854,500**$851,000**$843,500**$837,500**$833,000**$836,000**$836,000**$837,500**$836,000**$853,500**$865,000**$893,000**$908,000**$941,000**$960,500**$978,000**$992,500**$1,004,500. This home dropped down to a low of $833,000 and is now back up at $1,004,000? In this housing economy in OC? I all so track Irvine Company Rentals and they are off by about $300 to $400 depending on which complex. Friends, the jobs are gone and they will not be coming back. There is no such thing as a jobless recovery that the media keeps pushing…..it’s going to get MUCH worse forever. Either prices will have to drop on all goods or higher paying jobs will have to be created that allows you to afford the current prices. How many people think HIGHER PAYING JOBS are coming to California anytime soon?
I read all this, and with the exception of few. I wonder how many still are walking on two legs.
they all suffer of a chronic traumatic syndrome of malign-denial
A home is NOT a comodity, is a place were we all live, and a long term investment.
Concur JC, we have had 3 bad years in the last 70. Now all the sudden a house is a bad investment, so the fact that my housing cost is about $350/month is a bad thing. The key is to buy and hold it for a long time. You can’t lose.
Back in 89 I purchased and a year or so later I lost all the down I put in (10%) but I kept the property than at the pick I had had the opportunity to sell high, and I didn’t do it…why? Because If I would it sell, than I would it turn around and give my equity to somebody else, and I would get stack with a high mortgage today.
Conclussion: I am glad that I didn’t sell
The whole thing was too good to be truth.
Funny Repbulicans are traitors. Hey incompetent think about your state for a second. Your senators, Feinstein, Pelois, and boxer are all democrats. Arnold may tell you hes a republican, but hes not. He’s a Democrat, look at this wife.
What this state needs is to have the democrats voted out and let this state become a republican run state, so we can progress. The democrats have pulled the wool over your eyes.
Mike,
I’m glad they have you convinced.It’s all kabuki theater. It doesn’t matter what party is in charge, you will get the same result. You see it’s all the politicians that have pulled the wool over your eyes, not just the democrats.
Republicans are Traitors WAS a rebublican, he hates the democrats and now the parties are one in the same……….. more spending = more debt for current generations and the next generations…. until we can barely afford the interest on the debt…….. a couple of lost decades are in store for the US….
Well said, Mav. Funny how many people refuse to see the obvious. But then again, Mike thinks Pelosi is a Senator.
As a matter of fact, my goal in life is to expose these republican traitors like John “Bailout” Campbell, who has voted for every sham socialist bailout, to date. The only thing worse than voting for a bailout is being a coward. John “Bailout” Campbell refused to show up to the Obama socialist bailout vote because he was too sicky pooh. The real reason is that he lacked the moral authority to vote against the Obama bailout when he voted for the Bush bailouts a couple months earlier.
Mike, we all know Democrats are socialists, that is their platform. A lot of the republicans pretended to be capitalists and screamed about free markets only to betray their country. Let me list some examples you may have heard of: Bush, Bernanke, Greenspan, Hank “Let me get mine f the rest of the country” Paulson, Schwarzeneger, Larry Kudlow, every CEO of a banking or financial company.
FWIW- I’m voting against every incumbent (Ron Paul exempted) and I’ve closed my Wells Fargo accounts and moved them to a credit union that did not steal from the United States Treasury.
Well said RAT… I do agree.
The banks deserve every bit of this, and they deserve to go under.
The part that still angers me is the 2 trillion dollar bailout.
The sad part is, 2 trillion is the tip of the inceberg.
This isn’t my America anymore.
No Jobs! The job market is done. No new jobs will ever be created in Orange County ever again. Consumers have stopped buying, and it will continue for a least 5 to 10-years.
however, there are still plenty of consumers taking advantage of the free air conditioning at shopping malls, and carrying products around the store they want to buy………. before they leave they regretfully put the products back on the shelf…… old habits die hard in the OC i guess….. as credit cards get shredded and HELOCs are ancient history…. hopefully the free Air Conditioning is around next summer…..
What how can this be??? The meida has told me for months we’ve bottomed and the recession is over??
LIARS
Give the realtors 2% now and the other 4 % in 5 years . If you move before then. The 4% is due immediately and secured. Then we’ll see who they get to qualify.
So is this good news or bad, its hard to tell after looking at some of the comments. Thats a pretty ugly chart and its still going in the wrong direction.
I know a few folks trying to do loan mods, not because they cant afford the payment (they can) but because “hell why not” everyone else is.
We even thought about trying it but our payments are good, just hate the fact that we lost over 200k in value, thats the hardest thing for most of us to get over.
This is what happens when the Gov. gets involved and changes the rules on our dime.
“I know a few folks trying to do loan mods, not because they cant afford the payment (they can) but because “hell why not” everyone else is.”
…. that’s what they tell you…. but the reality is far different……. it’s much easier for them to tell you that….. then say they are dumping half of their income into a mortgage payment that is severely underwater… that might have a resetting time bomb associated with it as well…. 5 - 7 years from now when the property will be worth even less than it is currently….
Stop speculating houses are NOT commodities. Is a place were you live!!
WELL IT LOOKS LIKE THE NAR , MORTGAGE BROKERS , REALTORS , CNBC …JIM CRAMER WERE RIGHT ! HOUSING HAS BOTTOMED ! I THINK I’LL PURCHASE A HOME TOMARROW ! ……. ONLY A FOOL WOULD !!!!! HERES SOME GOOD DATA . CHECK IT OUT !…………http://www.fieldcheckgroup.com/2009/07/19/7-19-mortgage-default-crisis-brutal-past-two-months/ AND ………..http://mhanson.com/archives/40
Uhh people…
Listen up close, I have one thing to say to all of the fools out here in the OC who thought they were going to get rich being a homeowner…um um homedebter paying interest only and “pulling cash out” to buy BMW’s and granite counter tops while proclaiming your “True Religion” at the Irvine Spectum.
WE TOLD YA SO!!!
You should have listened to Keith at http://www.housingpanic.com instead of listening to Suzanne at Century 21.
RayNLA
The day Americans became separated from the 3 times your income standard for the price of homes, is the day the country started to collapse. But hay, as a progressive nation, we can afford anything…. Right? la de da, keep living in your fantasy world.
We are 2 yrs off from a housing bottom. And even in 2011, dont expect a rebound above inflation.
Realtors here are only saying what they have to in order to try to make a sale. Realtors are not your friends or financial experts.
Bubble Pop u lation. These people have grown up in the bubble times, home prices dropping is completely foreign to them. They can not understand that a house is just another depreciating asset. It will take years for this mentality to change, but sooner or later this bubble population will figure it out. Desirable locations will be the exception, they will always be in demand for those who can afford them. If flipping houses was easy profit then everyone would do it.
It’s a “jobless” recovery. Unemployed/underemployed people will continue to make mortgage payments, shop and dine out. Perhaps the government will announce the “Jack Plan”; magic beans for all to plant in the backyard, a stalk grows into the sky…climb it to find a bag of gold!
For all the negativity posted here, it’s only 8,300 auction notices. That’s really not enough to affect a real estate market as big as OC’s. That’s less than 100 per zip code, and if you back out 3 cities, Santa Ana, Anaheim, and Garden Grove, it’s probably around 50 per zip code. Maybe half of these will eventually foreclose.
There are simply not enough loans going bad to make the dreams of extreme housing bears come true. 1998 prices are a dream.
Simple statements fail to consider that there are problems, and more foreclosures only make existing problems worse and create more problems. That graph is pretty clear - up up and away…. Foreclosures that is. Prices going the opposite direction.
I don’t get how anyone can think owning a home is bad. Let me see, I get to live in a home instead of an apartment or a home someone can sell out from under me. I pay my mortgage (that i can afford) and in 15 years (if it’s done right) I own a free and clear assett worth hundreds of thousands of dollars. Or I rent for 15 years and walk away with nothing except a landlord that says thanks. Renting is just plain dumb.
Not buying has saved me a quarter mil in price alone. Yeah - plain dumb…. Obviously, bizwoman has no business sense.
NoBiz - care to calculate the princ. actually paid the first few yrs? Oh, right, not much paid…. Duh.. You are clueless.
I’m trying to get a “bargin” but one little problem, I’m self employed and can only get finaced to $325K, I’ve got 50K to put down. Yet I’m still offf about $125K from a place in south oc I’d live in. Plenty of over crowded places in Ladera (no thanks) in Talega my realtor says the too many condo are behind on HOAs and we might have a tough time getting a lender to finace us in the complex!? Had some say they’re selling their house in DP but only offers the last 2 months have been in the $300k range, they want $800K I told her that people are only getting $300k mortgages so expect more $300K offers since your real income matters. and yes unemployment will keep this going down, and we will pay HIGHER taxes next year?! Anybody in south oc who wants out of their house(sfr) LET’S WORK OUT A DEAL.