[doggiebus]

I have a problem with appraised value! Many of these sites that have values on homes, are only using basic information like sq. ft., lot size, bed rooms etc. It doesn't count what kind upgrades are inside the house. If its appraised at $420,000, maybe its really worth $510,000, you never know whats inside a house. Maybe the homes down the street that sold for less, have less upgrades, who knows.

[mango23]

Originally Posted by doggiebus

I have a problem with appraised value! Many of these sites that have values on homes, are only using basic information like sq. ft., lot size, bed rooms etc. It doesn't count what kind upgrades are inside the house. If its appraised at $420,000, maybe its really worth $510,000, you never know whats inside a house. Maybe the homes down the street that sold for less, have less upgrades, who knows.

These are homes on the water in Fort Lauderdale. One is nicer then the next with big boats in the back yards. I was inside the house because he was having the sale. If anything it is not as nice a house as other houses on the street. I know what you mean about the appraised price but he is asking a quarter of a million over it. The price isn't off that much. A really nice house on his street may sell for $500,000 but it will have to be top shelf. My point was, they can't seem to let go of the dream.

It's over, no one is going to offer them $800,000 for the house again. Or $700,000 or $600,000, or for this particular $500,000. He might get $400,000 and that puts him losing $175,000 off what he paid for the house 5 years ago. They can't seem to accept this reality. In talking with them they are almost delusional as they talk about waiting for the prices coming back.

[tallrick]

People forget that in an inflationary environment mortgage rates have to climb to outpace inflation. The higher rates go, the more expensive mortgages become. The mini-boom of the 60's was crushed by the inflationary environment of the 70's. There is simply no way that the current real estate prices can hold unless wages rise considerably. People who like high real estate prices are short-sighted residents of Fantasyland. They do not realize that high housing costs drain the productive economy in favor of the non-productive financial sector. many people spend over 25% of their income on housing, when added to the 30% or more wasted on taxes it leaves precious little for food clothing and energy. Cutting housing means less credit, and more incentive to save and buy from savings. The less money passes through a banker or financier the stronger the local economy becomes. Outside investors are a curse that destroys the quality of life for everyone. Only local incentive can build a real economy. Lower real estate prices make life better for every productive resident.

[stars99]

I wager that within 10 years we'll be in another R.E. bubble.

[mango23]

Originally Posted by OrlandoRE_Miracle

I wager that within 10 years we'll be in another R.E. bubble.

Why? What dynamics do you see that would make you say that?

[TatersFan]

That'd be interesting!

[On-da-Beach]

Originally Posted by Not2BIgnored

On Court TV, they are having a special little series or program today about foreclosures. The attention is on Ft Myers.

On the program, they stated that at the height of the boom, the average (or median, not really sure) house was $322k, and now, the average house is worth about $83k. YIKES!

I feel bad for the people that planned on living in their home, and now that they have lost their job, etc., they can no longer afford it. Also mentioned, were people coming from up north and at times buying up to 5 houses. And now they are letting them go. Those people I dont feel sorry for really. They came down here trying to get rich quick.

So houses are worth only 26% of their former value? Well if it was on Court TV, then it has to be true!

[hdfire]

Originally Posted by TANaples

Walk away. I know several people who are just walking away from their homes and booking out of here. No, they are not from NEW YORK, but the MIDWEST.

And it's people and attitudes like yours that have made our economy and housing market the way it is today! What ever happened to integrity and responsibility? If you were "adult" enough to get a mortgage, be "adult" enough to fulfill your promise to the bank!! It really pisses me off hearing people say just walk away! You know, for being an older adult...you sure act like an immature, irresponsible strain on society!!

[TatersFan]

Originally Posted by On-da-Beach

So houses are worth only 26% of their former value? Well if it was on Court TV, then it has to be true!

I wouldnt be suprised in Ft Myers, honestly. It's like, what, number 1 in the nation in forclosures? I believe it.

[Rachael84]

Originally Posted by hdfire

And it's people and attitudes like yours that have made our economy and housing market the way it is today! What ever happened to integrity and responsibility? If you were "adult" enough to get a mortgage, be "adult" enough to fulfill your promise to the bank!! It really pisses me off hearing people say just walk away! You know, for being an older adult...you sure act like an immature, irresponsible strain on society!!

I think she knows a thing or 2 about owning a house. Her and my dad own 2 places in Naples. The immature people are the ones responding with posts like these. Anyway, she said she KNOWS people who have walked away. Have they? No.