“. . . . How quickly the slowdown proceeds depends on prospective changes in the flow of foreign immigrants (over half of the new households in many parts of the South and West) into the U.S. and how many of the new homes bought in 2004 to 2005 get thrown back onto the real estate market by new homeowners who cannot afford their mortgage payments.”
" . . . . About 40% of the households with initial below-market mortgage rates in 2004 and 2005 had less than 5% equity in their homes at the end of 2005. Financially, their best action would be to default on their mortgage and move to an apartment."
Interesting article, John.
It has been slow up here . . .
I have seen these types pof reports over and over in the UK. It is simple the more you tell people there is going to be a slow down the of a slow down you will have.
Currently there are 41,752 residential homes for sale in the Phoenix area in the Multiple Listing Service. This is an all time record high for the Phoenix area. 3,347 or 8% of them have been on the market for more than 180 days. 9,655 or 23% of them have been on the market for 90 days but less than 180 days.
That means that 13,002 or 31% of the homes for sale have been on the market for at least 90 days and have not sold.
I don’t buy into any of these stories until I see tangible results and if you listen to what is going on in the US it looks like the inspection business is slow everywhere not just certain areas…Personally I think alot of the slowdowns can be attributed to people believing the stories they hear and not spending money just because some study tells them not too:shock:
Just my pennies worth.
Wish I could find the article I just read. Nearly 11% of the construction work force in California has already been laid off from their jobs.
Unbelievable for the beginning of the building season.
I’ll look for it. Really was scary.
From the article:
Please help me out with this evaluation??? I am really confused??? How does an illegal alien, with no social security number, no credit record, qualify for a mortgage with a U.S. bank?? Are we that screwed up in this country that this type of thing is happening on a scale large enough to have a major impact on the real estate market???:shock: :shock: :shock:
Thats like I said Dale, keep telling people there a down turn coming and people will hold off buying. Tell them nothing and they will keep buying. It’s always banks that will keep telling you hard times are coming, strange how banks always make money when the country’s in a recession
Couldn’t have said it better
There is a program in either Wisconsin or Ill (can’t remember) that actually helps these people get into mortgages, even though there are poor people that are legal that can’t get mortgages. It’s a benefit program. :shock:
We have those here too Wendy remember this is NEW Mexico:shock:
Seattle is still hot! Prices have increase 20% from last year at this time. They don’t have as many homes for sale so the demand is high and bringing prices up still. Almost every home selling price is higher than the listing price. I hope it keeps going for at least a couple more years! I need more equity so I can sell and become a beach bum in Hawaii.
We must remember, this article only speaks to new construction.
What affects home inspectors is home sales.
Still high, from what I hear.
What Will said!
I asked an agent/broker this very question yesterday. She said that there are a lot of illegal loans to illegal aliens, I guess a lot of 'alternative type mortgage companies" dont mind working with this type of home buyer. I work with another agent that speaks spanish - all of her clients are spanish speaking. she is very busy right now, I have 4 inspections with her clients this week alone. They usually pay me with cash or a money order. The agent translates everything for them, and they are always happy clients (or so it seems). I need to take a spanish class, so I can communicate with my clients… it seems like a lot of them dont speak English anymore…
And you didn’t even take me out for fajitas when I was there, Cheryl . . .
Yup. King Co has great prices! Listings are even up in some areas. I may move to King Co for the summer.
That’s what we’ve had for 2 years, Cheryl - 28% increases.
Now, we’ve got thousands of houses for sale. Last July or Aug, we were down to 400.
Ride it while the surf is up -and I hope it doesn’t top out as quickly for you!
Didnt Brian make you work? :mrgreen: He said he fed you well!
But, you are correct. So the next time you are here, Corona & fajitas it will be.
Every day it seems I learn something new about this once great country! Thank you for that insight.
Being in a state that has a very high illegal immigrant population I have not had the opportunity to experience these situations nor even hear about them. I suppose ignorance can sometimes be bliss, as in this case.