My house more than doubled in value 6 years after I bought it...I smell a rat by chrisisall

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My house more than doubled in value 6 years after I bought it...I smell a rat

POSTED BY: CHRISISALL
UPDATED: Friday, March 6, 2009 13:20
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VIEWED: 393
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Friday, March 6, 2009 7:21 AM

As I watched the value of my home go up, I realized it was an illusion. One that I might have profited off of if I knew precisely when the bubble was gonna pop, but as it is, we're okay. We bought a very modest place. BECAUSE I didn't trust the realtor that said we could "swing" a home twice the size & 3 x the price.
I just can't believe most folk besides Signy and the rest of us "readers" in RWED act like this economic crisis wasn't coming our way for years.

Does it take a degree in economics to blind you to the future, or something?

"Thanks." -Hero, 2009

The laughing Chrisisall

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Friday, March 6, 2009 7:34 AM

SIGNYM

I believe in solving problems, not sharing them.

We bought a home that we could pay for.... in cash. In ten years it more than tripled in value. (Yeah, right). In our renovation plans, we figured that the price would drop by at least 30%, and possibly 50%. So our renovation budget only allowed us to put in the amount of money that we expect to get out of it, even counting the bubble bursting.

It shouldn't take a genius. All it is is common sense.

---------------------------------
It's the end of the world as we know it, and I feel fine.

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Friday, March 6, 2009 7:45 AM

AURAPTOR

America loves a winner!

If you didn't sell, then you might be a moron.

It is not those who use the term "Islamo-Fascism" who are sullying the name of Islam; it is the Islamo-Fascists. - Dennis Prager

A concern of the GOP is that the people aren't informed enough to understand their policies, while a fear of the Dems is that the people ARE.

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Friday, March 6, 2009 7:54 AM

CHRISISALL

Quote:
Originally posted by AURaptor:
If you didn't sell, then you might be a moron.

Sell & wait for the burst? I suppose it could have been done, but I wasn't up for that much work & changes of school systems.

"Thanks." -Hero, 2009

The laughing Chrisisall

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Friday, March 6, 2009 8:00 AM

JONGSSTRAW

Real estate prices are a function of supply and demand, with some other factors such as location and size.

Historically, home prices go up. They always have, because our population has always gone up. Real estate has been the single best investment available for the last 100 years.

It is not unreasonable to have expected property values to go up, especially during a period of sustained growth, which we had prior to 2006. The numbers started turning bad when the Democrats took control of Congress in 2006, and all they've done is fuck it up worse. The fact that they have fallen back so severly indicates
that their minority mortgage agendas and initiatives have ruined a once good thing. Leave it to the Democrats to fuck up everything for people that work and produce something for this country. They don't like those folks. They like their voters, the leeches and whiners of America. We have an epidemic of false victimiztion so widespead now that it's all beginning to seem normal in some demented way. Thank you Obama, Barney Frank, Maxine Waters, & Chris Dodd. You all got your millions from crooks who took advantage of your ill-advised programs for the poor, and now the rest of us slobs have to suffer because Barney's special "friend" on the Fannie Mae board of directors gives the best head he ever had, and he's had 'em all over the world.

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Friday, March 6, 2009 8:04 AM

CHRISISALL

Quote:
Originally posted by Jongsstraw:

Historically, home prices go up. They always have, because our population has always gone up. Real estate has been the single best investment available for the last 100 years.

Yeah, rising I expect, but ballooning was sick.

"Thanks." -Hero, 2009

The laughing Chrisisall

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Friday, March 6, 2009 8:09 AM

SIGNYM

I believe in solving problems, not sharing them.

Quote:
If you didn't sell, then you might be a moron.

And live where? We thought about selling. The problem is, while we could have found a house that was SMALLER than the one we currently own, all of the homes were at least twice the cost of the one we lived in. Renting was not an option. In addition, we'd wind up paying higher real estate taxes associated with the higher assessed value.

Nope, only makes sense to sell when ready to move out of the area. That will be about ten years from now. By then, the housing market should have rebounded somewhat.

Rapo, I hope you're better with your money than you appear to be!

Quote:
Historically, home prices go up. They always have, because our population has always gone up

Demand is mediated by money. You can have a huge population that "needs" homes, but if they don't have the money to pay for them then prices will fall.

There is a ratio of income to housing prices which has a historic norm, and the housing prices were waaaaay beyond it.

---------------------------------
It's the end of the world as we know it, and I feel fine.

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Friday, March 6, 2009 8:12 AM

CHRISISALL

Quote:
Originally posted by SignyM:
And live where?

You could have gone to RAPestates! Anything for a pal! Right?

"Thanks." -Hero, 2009

The laughing Chrisisall

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Friday, March 6, 2009 1:20 PM

KWICKO

"We'll know our disinformation program is complete when everything the American public believes is false." -- William Casey, Reagan's presidential campaign manager & CIA Director (from first staff meeting in 1981)

Quote:
Originally posted by chrisisall:
Quote:
Originally posted by SignyM:
And live where?
You could have gone to RAPestates! Anything for a pal! Right?

"Thanks." -Hero, 2009

The laughing Chrisisall

Rap Estates?
Rape States?

Somehow I don't think there's much difference between the two.

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