I know that Freddie has been dropping prices to meet appraised prices to salvage the deal. Not sure about Fannie and HUD, it may be.
Either way, it’s concerning to hear we’re still on a downslide when I just heard MSNBC tell me this morning that the economy is doing much better.
And home inspection fees are sliding downward along with the home prices. Appraisers are actually the ones controlling home prices; not the economy, sales figures, or buyers. There are many stories of RE transactions that are failing due to appraiser results. One just recently involved a home I inspected where a buyer, a home owner, and RE all agreed on a price, all dots and t’s where crossed, but the appraiser valued the home over $20K less than everyone’s agreed price. Even the lender was surprised. Now, the current owner can’t sell, his next home deal has fallen through, the new buyer has to find another home, all of the processors involved have lost their commissions; basically a trickle down effect. Appraisers are gun-shy. They once were soft, now they are tough. Same with mortgage companies. We all should also be tough, thorough, and not stoop to SOP’s and state laws that permit us to check limited items.
All these low prices are great for business.
It’s a little ironic, 3 of the last 4 homes I inspected were new construction that had just been completed; in the $300.000 - $400.000 range.
Correct. Anything that shakes up the market is good for inspectors.
Complaints about fees are on the inspector and not the market.
Here in KC, it is the market. Check my web site. Read my newsletter and pages of information that I put out there that explain the differences in cheap inspectors.
You can get any size home, any age, any condition, inspected here with termite for $249.
I am not even getting any calls to explain the difference. Neither is Dan Bowers. I am lucky to have had 6 inspections all month; all referrals from past clients. It is hard to pay bills and eat with that income.
It is not easy here in Kansas.
Last month, I followed up on a discussion I began in over a year ago as to why hyperinflation would be a very unlikely scenario in the U.S.
In summary, this devastating scenario is a virtual impossibility despite the printing frenzy by the Fed because the banks have held onto most of this newly printed currency, keeping it out of the hands of consumers. I discussed this fact over a year ago when I first debunked the deflation myth.
Geither, Bernake and the Federal Reserve are absolutely terrified about the possibility of deflation and are desperately trying to bring about inflation will the few tools they have left.
Let’s just say, it’s not looking too good as they are repeating the mistakes Japan made almost 20 years ago.
Forecast: bumpy all the way to the cliff edge followed by a free fall and a rough landing.
Get your parachutes ready.
All this stuff is micro worry.
It balances out in the end.(big picture)
Illinois is in such poor shape I wonder why anyone stays.
It is probably time you consider a move.
Don’t leave your basement hideaway Bob. Stay put.
You spend so much time with worry I am guessing you are a bald man like Linus.
What you focus on becomes your reality.
Serenity to not worry about what you cannot change is what you need.
Just a gentle warning.
You guys are in trouble.
So what are you doing about all of this?
In your state? Nadda
In mine? Voting and supporting fiscally responsible representation.
Would you like to move to Wisconsin?
Bob, my hair is falling out because it’s a hereditary trait, excessive brain matter pushing it out by the roots. My teeth aren’t falling out because of a cigarette habit and lack of government funded health care. Soon you will be able to get your free healthcare that we all will pay for. As far as teeth, they may give you some free dental care before they all fall out.:|.):|.):|.)
Nah we got Cat working on a bigger shovel
Condo Bob is dead. LONG LIVE BASEMENT BOB !