Financial Responsibility WHAT?
October 5, 2007
Post Tags: DUH , Only-Buy-What-You-Can-Afford
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Is this a revolutionary NEW Idea?
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October 7th, 2007 at 10:51 am
I wish, more of the people would get it.
October 7th, 2007 at 12:25 pm
Pasi,
So do I, we wouldn’t be in the mess in Real Estate across this country if more people got it.
October 7th, 2007 at 3:55 pm
Hi Dave!
That is a pretty funny clip. Thanks!
In a society that values hollywood trash over reading, learning, and values… what do you expect?
I went looking for new homes today in Marana. I thought it was supposed to be a hot spot. Not the case on a beautiful Sunday, we were the sole customers at almost every place we stopped. Prices have slipped and they are throwing incentives around like they grow on trees…
Of course the homes are still over priced… but what can you do?
I think Marana is going to slow WAY down. Once people see how the new FEMA floodplain insurance scheme works, they are not going to pay an extra $1500 or more a year to live next to a landfill.
Take Care!
October 7th, 2007 at 3:59 pm
bobby joe,
I think you are right about the FEMA Flood plain regs hitting Marana hard. The developers along the I-10 corridor are certainly not happy about this change in designation. It really look political more than anything else.
Have a good weekend, what’s left of it.
October 7th, 2007 at 10:19 pm
That’s all I found about this FEMA remapping so far: http://www.azstarnet.net/sn/85743/199454
The article does mention this can happen to other places in Pima County as well. Do any of you know anything more about it… in regards to other areas?
October 7th, 2007 at 10:37 pm
Found these flood maps, if anyone is interested:
The legend’s very hard to read. The map I checked was quite outdated (’99). Wouldn’t think that info like this would change often, but if they say it can, it most certainly will, regardless.
October 7th, 2007 at 10:41 pm
comment keeps not going through… will try to make it tiny
Found these flood maps, if anyone is interested:
http://tinyurl.com/bk3u3
The legend’s very hard to read. The map I checked was quite outdated (’99). Wouldn’t think that info like this would change often, but if they say it can, it most certainly will, regardless.
October 9th, 2007 at 2:46 pm
Great clip… Hilarious. Yes, its the next revolutionary idea. We need more of this going around and less professionals trying to get their next commission check.
October 9th, 2007 at 8:02 pm
Concerned - go to Marana.com its under “News”.
Dave -
I agree, I think that is basically Marana’s death sentence unless it can be changed, which isn’t likely. I have a three buddies that live in Gladden Farms. They are going to fork over $1800 a year/each in premiums for flood protection alone. OUCH!
October 9th, 2007 at 10:12 pm
They are going to fork over $1800 a year/each in premiums for flood protection alone. OUCH!
OMG! I found out about my area of interest from the horse’s mouth. It involves only a small portion of a looong road. The media likes to freak out a lot of people. It’s like saying there’s a problem on Speedway… Hey, why not worry half the town!
October 9th, 2007 at 10:20 pm
concerned,
And that is why I started this blog in the first place. To try and counteract the media distortion of the truth and panic that is induced as a result.
October 12th, 2007 at 7:03 am
Hi all - new to reading the blogs, trying to get the truth behind the media frenzy in preparation to list our house in OV next spring. My husband is all into the doom and gloom while I’m thinking its blown way out of proportion. This clip was priceless!
So here’s my question - keep hearing that if your house is priced right and well prepared for showing that you can sell in any market. How true is that? Because I’m starting preparations now for a Feb/Mar listing and want to be sure I’m being realistic. Thanks for this great blog!
Erin H.
October 12th, 2007 at 7:14 am
Hi Erin,
It is very true, Price it right, have it ready to show, and it will sell. This is not a bad market. It is at about 2004 levels where were very good.
Average Sale Prices have continued to increase not decrease over the last year. So while there are more homes on the market, and fewer selling at a time each month, the sale price is higher than last year.
There are a lot of homes on the market right now, but far fewer that are really for sale. By that I mean, they are priced way way out of line. And often they aren’t willing to show their home unless it is convenient to them.
I’m writing two other blogs of interest to you which show the day to day goings on in the market and town. The first is http://www.tucsonazrealestateblog.com the second is about Oro Valley http://www.orovalleyhomes4sale.com I post the MLS Statistics for the Northwest on that blog specifically and the Sept report will be coming out by next week.
The biggest hit has been taken in New Construction that market isn’t as strong as it was, but here is the point, when new construction is down, resale is up. More buyers for resale not as many builders undercutting the resale market.
I hope this answers your questions. The short answer yes, priced right ready to show you will do fine and should sell in less than 4 months tops and more than likely an offer in the first 30 days. 25% of homes are usually gone in that first month and 60% by the second.
October 12th, 2007 at 8:18 am
Thanks so much for the feedback - just what I needed! I’ll check out those blogs too.
We’re hoping to move back east by next August and were dreading having the house on the market for 6 months or more after an agent told us this summer that we’d be on the market at least a year and we’d never get what we wanted for the house, even listing well below what’s priced in our neighborhood. But everything here is way overpriced already.
Last question - how accurate is Zillow’s “Zestimate?” It seemed realistic to me based on comps I’ve seen. Then I updated our house profile to account for landscaping and such we’ve done, so my estimate is a little higher, but still below the going price for my house in the neighborhood.
This blog news more positive than you could ever read in the news and more realistic.
October 12th, 2007 at 8:37 am
Erin,
Unforutnately the Zestimates can be way off, and are not a reliable tool at all for estimating the value of your home, not just your home but any home.
We see this all the time with our listings and even our own home. The Sold’s data is good for comparison because you have actual sales data, but estimates are not a good tool from zillow.
Too many agents and owners are pricing their home based on other asking prices. This is not a good way to arrive at price. You base asking price on the solds in the area, not on the asking price of the homes on the market in the area.
That said the best way to know where you are at is to ask for a CMA to be prepared on you home and give you a ballpark. I say ballpark because without actually seeing the home that is as close as anyone can come, Tile vs Carpet/vinyl, or granite vs formica, walkin in closets, maintained vs deferred maintenance. These are all things that can have an impact on the asking price.
We can run a Comparative Market Analysis for you. There’s no charge and no obligation. We do them all the time to help sellers get ready to sell their homes.
You are starting right. This is when you want to get things ready to sell. Fix up anything on the honey do list, etc.
We will be glad to provide you the information on what you can do to get it ready to sell with the most benefit to you and the least cost.
To many people spend a lot of money on things that in the end don’t really have much of an impact on the sale price.
October 12th, 2007 at 8:53 am
That’d be great - could you let me know the best way to contact you for the analysis?
October 12th, 2007 at 2:27 pm
Erin,
We’ve been out since early this morning, got your request we will be back to you soon. : )
October 13th, 2007 at 5:53 pm
Seriously Dave, when are you going to stop quoting these mis-representations of the market? The avg. price is a horrible indication of a markets health. A few high dollar home sales can swing the avg. price by 100% or more when the VOLUME of sales are at these historic lows.
Come on, lets be adults about this. Be HONEST.
October 13th, 2007 at 6:04 pm
There is no way this is going to happen in Tucson in the coming months… No way. HAHAHAHAHAHA
http://www.azcentral.com/community/chandler/articles/1012ev-homevalues1013.html
October 13th, 2007 at 6:31 pm
bobby joe,
Seriously, when are you going to stop playing arm chair quarter back and get into the game?
You have seem to have all the answers, why don’t you run for president and let people just buy and sell their homes and get on with their lives.
I’m sorry, the swinging of your dead cat around these parts just isn’t flying, and when you want to make it a philosophical argument for the heck of it that’s one thing, but the doom and gloom you keep trying to pedal isn’t going to be bought by real people with real homes to buy or sell.
For you (A none home owner) it is just an exercise. For people that actually are IN the real estate market and don’t just TALK about the real estate market it is important.
So maybe it is time for you to be an ADULT and BE HONEST and quite telling everyone that as done what you have never done how to do it.
Oh, have a great weekend. After all it is just a debate.
October 13th, 2007 at 6:39 pm
Concerned,
The map link got caught in the spam filter and I didn’t catch it till just this morning.
Thanks for the link to the mapping.
October 13th, 2007 at 8:31 pm
Dave,
I’m in the game. I’ve been “in” the game for a long time, and I would like to be a home owner. The problem is the homes are overpriced.
Its that simple. Its been that simple from the beginning. The friggin 2 x 4’s that built the homes in are not worth the 2007 asking price’s.
The reality of the the housing market in Tucson is grim and it is getting worse. Why? Because it was pumped up on nothing more than speculation. Period. No amount of stat manipulation is going to change the facts…
Just like the boom. I wanted people to wake up and realize that this was completely unsustainable. No matter how much I wanted the prices to level off so I could buy they just kept going up.
Now, no matter how much you want or think the market should “stabilize”… It’s not going to happen any time soon. The sooner you figure out that this market has a WHOLE lot of correction left, the sooner you will see the recovery.
I’m not talking doom and gloom. I’m actually positive. Positive that the prices still need to come down to sustainable levels that OUR market can support (another 30% at least). Slice it anyway you want… what you call “Doom and gloom” is nothing more than rational Economics.
October 13th, 2007 at 8:55 pm
bobby joe,
With the sale prices continuing to climb every month, you might be waiting a long while for that 30% reduction.
We are helping sellers sell their homes and buyers buy homes and no one is loosing any money.
Granted there are some people that paid way to much for a home in the last couple of years. And now have to sell them, but they are in the minority, not the majority.
People that are buying homes to live in and not as an “investment vehicle” are doing fine. And will continue to do so in the future.
There are plenty of homes in Tucson that can be bought today and will hold their value and provide and excellent home for their family.
You keep wanting this dream of lower home prices to come true and it just isn’t happening.
We work in this market everyday. There are some asking prices coming back to the market, but we are still seeing people that bought homes in 2004 and later that are clearing more than $150K over what they paid for those homes just 3 years ago.
Sure they were asking for 300K more than they paid, which was way out of line. They have and are riding the market down to where it is today. But are still making an incredible profit on those homes.
And the buyers will not be loosing money on them either. They are building equity every month and year they live in those homes.
Your best bet for a real bargin is in New Construction where the builder is almost built out and wants to get rid of those last few homes before closing out. There you can get a new home at an incredible price and have instant equity.
RIGHT NOW TODAY, not in some wished for 30% future.
October 14th, 2007 at 12:59 pm
I’m not gonna fuel the battle anymore…;-)) My opinion is pretty well known between Dave, bobby joe, and me.;-)
This IS true, though:
Your best bet for a real bargin is in New Construction where the builder is almost built out and wants to get rid of those last few homes before closing out.
Even that may turn out to be a bad deal… but the only one who does have a crystal ball is the Fed and none of us seem to have connections there.;-) However, one thing I learned the hard way very recently is “do NOT bet against the Fed!” The fundamentals don’t matter, the historical data doesn’t matter, the recent economic data doesn’t matter… what does matter is attempting to foresee what the Fed would like to do and go along with it… That’s the only way to possibly get some crumbs from the table.
October 14th, 2007 at 1:19 pm
Concerned,
You have hit on a key factor in the economy and housing. The Fed and the control of money and interest rates has a huge impact on the market.
And remember when the Fed lowers the short term borrowing rate, the 30 year fixed rate goes UP not DOWN.
A lot of people miss this fact.
October 15th, 2007 at 1:07 pm
Dave -
“With the sale prices continuing to climb every month, you might be waiting a long while for that 30% reduction.”
Are you serious? Am I reading the alternate version of reality here? Have I not been getting emails from a real estate agent for the last 6 months that CLEARLY show a decline in prices?
Like I’ve been saying all along… wait until the mortgages reset. 50 billion dollars of mortgages will reset this month. As sure as Gravity… the prices will come down.
October 15th, 2007 at 1:48 pm
bobby joe,
I’m not in the predicting business, I’m in the reporting business, and the numbers over last year are going up not down.
What the future hold . . .