National Home Price Index Drops 18.5%
The S&P/Case-Shiller 20-city report on home prices showed a decline of 18.5% in December 2008 from the same month a year earlier.
The index has fallen every month since January 2007. Home prices fell 18.2% in the fourth quarter of 2008, the largest drop in its 21-year history. The average price of a home has dropped by more than 25% after peaking in 2006. San Diego real estate market
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talk | discussion | StreetEasy New York Real Estate Search – Discussing 'National – Home Sales and Prices Drop Again, 45% of Sales Distressed'. email updates · RSS National – Home Sales and Prices Drop Again, 45% of Sales Distressed. 1 comment. nyc10022. about 3 hours ago. ignore this person …
DallasDirt » Blog Archive » Case-Shiller: Biggest Home Price Drop … – 2000 was when Standard & Poor’s/Case-Shiller National Home Price Index first started tracking home sales, but the drop is significant. However, this very cool interactive widget from the NYT allows you to find your city — Dallas is one …
Jan. home sales fall again nationally, fall steeper in St. Louis … – If you haven’t seen yet, a new batch of existing home-sales data came out today from the National Association of Realtors. Sales fell, again, down 5.3 percent from December and by 8.3 percent compared to January of last year. …. You’ll really see prices drop the longer the depression goes on. At some point, many who want to sell but don’t have to will eventually cave and finally reduce their prices. Just becuase new houses are still high doesn’t mean the builders are …
Real Estate Market Problems Solved
The answer to the problem is not to bail out people who commited fraud. This is my answer:
1) Allow everyone in the country to refinance an existing mortgage at 4%. This would put an enormous amount of cash in everyone's hands.
2) Only those who filed an honest financial statement when they originally applied for thier mortgage would qualify.
3) Push out amortizations to 40 years for those that are underwater.
For god's sake, don't allow judges to redo contracts. If this happens, every honest mortgage applicant in the future will pay a "redo" premium. San Diego real estate market
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San Diego Real Estate Blog » Blog Archive » 2009 San Diego Median … Foreclosure Sales and Pretend Pricing — The San Diego Home Blog Luxury home prices keep falling in California as market continues …
- This means if you’re buying a home in these areas it could very well drop in value less than other areas of San Diego County. From January 2008 to January 2009 this was exactly what happened and is a good trend going into 2009 for home …
- Now, the lender pricing method, or as we call it, the pretend pricing method (PPM) is an entirely different and oft-mysterious approach to the whole conundrum of determining what the market value really is for a home. …
- Meanwhile, San Diego, often cited as a bellwether in the California real estate market, saw luxury homes lose 8.3 percent in value over the past year and 2.2 percent since the third quarter — down to an average of 1.93 million dollars. …
The Government’s New Economic Stimulus Plan
The new economic stimulus package allocates $787 billion to boost our multi-trillion dollar economy. Here are some provisions individuals can take advantage of now.
1. Housing help. First time homebuyers can get up to an $8,000 tax credit if they close by November 30, 2009. This credit does NOT have to be paid back if you own the home three years. It phases out for single taxpayers making over $75,000 and for married couples filing jointly making over $150,000 (adjusted gross income). Communities receive $2.0 billion to redevelop abandoned and foreclosed homes. In 20 high-cost areas, the bill restores the $729,750 upper conforming loan limit for Fannie Mae, Freddie Mac and FHA loan guarantee programs.
2. Home improvement tax credits. For money spent to make homes more energy efficient, a 30% tax credit through 2010, up to $1,500.
3. Residential renewable energy tax credits. Dollar caps have been removed on the 30% residential credit for solar thermal, geothermal and small wind upgrades.
4. Income tax credit. This will be up to $400 for individuals earning up to $75,000 and up to $800 for married couples filing jointly with up to $150,000 in income.
5. Alternative Minimum Tax reduction. Exempts from the AMT up to $46,700 of an individual's and $70,950 of a couple's income in 2009.
6. Earned Income Tax Credit. For 2009 and 2010, goes from 40% to 45% of the first $12,570 earned by families with more than three children.
7. Higher education tax credits. For 2009 and 2010, a $2,500 per year tuition tax credit for all four years of college. It's now 40% refundable and covers textbook costs. The credit phases out for individuals making $80,000–$90,000 and couples earning $160,000–$180,000.
8. Hybrid vehicle tax credit. Increased to $7,500 for purchasing a plug-in hybrid vehicle.
9. Help for car buyers. In 2009, anyone purchasing a new vehicle for up to $49,500 can deduct state, local and excise taxes, as well as car loan interes t. This is an above-the-line deduction that can be taken even if you don't itemize. It begins to phase out for single taxpayers making over $125,000 and couples over $250,000.
There are many more programs for individuals, businesses and states, as well as a future foreclosure relief program – let's hope they all work.
… Have a great month! This post information was provided by: Greg Brooks southwest area manager San Diego Mortgage Network (800) 287-8292 x 225 San Diego homes for sale
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Rick Santelli's Tea Party – Rick captures the mood of the country.
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Washington, like every other government with a central bank and a printing press, is locked on a course and will not be swayed.
It's a little late for us little people to start making a fuss. People are only now waking up to what the ruling class has done, and we're already in the handbasket halfway to hell. To expect the fine public servants we have placed in Washington to come up with a sensible course of action, completely disregards everything that has been happening for the last, say, 20 years! I guess it takes a lot to make Americans upset.
The only course is to try to ride out the storm. San Diego real estate agent
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ontd_political: Gibbs vs Santelli stimulus feud continues..
- Gibbs vs Santelli stimulus feud continues.. The White House hit back at a CNBC reporter whose rant against its housing plan is making waves on the Internet, saying Rick Santelli “doesn’t know what he’s talking about.” …
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San Diego Real Estate – No Relief From Obama
San Diego troubled homeowners will not see a great deal of assistance from the Obama housing bailout according to the available details at this time. Things may change, of course, by the scheduled March 4th release of the full details on this plan. As it stands now, here are the main reasons this plan will not help many San Diego homeowners:
A. The maximum difference in the mortgage amount and the home's vale is 5%. The average loss in San Diego home values just last year was well into double digits. Even with an original down payment of 20%, one’s mortgage could easily be much greater than the 5% cap.
B. The maximum original loan could not exceed $417,000. While a $417,000 mortgage loan can only be for a luxury home in most parts of the United States, which would not necessarily the case in San Diego.
C. The assistance only applies when one loan was originated. Many San Diego homeowners purchased with a combination of a first and second loans.
D. Option ARM loans are not included.
E. If you have a second (or equity) loan on your property, you are not included.
Every single person who enters into a mortgage should be responsible enough to consider the down side and be honest about their long-range job prospects.
I was calling it a housing bubble in 2003 and research shows that was not a bizarre or un-shared opinion. The idea that the bust was a big surprise is just a modern fable used by people who don't want to take responsibility for their financial misdeeds. The nanny-state solution we are now stuck with is the worst possible approach.
I take comfort from two things:
1) It is a government administered program and will most likely fail to perform. The fact is that the government has a history of messing stuff like this up. It seems likely that the program will be bogged down by bureaucracy and ineptitude. I will not be surprised by news stories about people still losing their homes because they are unable to navigate through the maze of requirements and regulations.
2) It is not as bad as it could have been. Since absolute power corrupts absolutely we could have seen much worse. Much as I dislike the administration’s politics, I find some comfort that the program is limited to primary residences.
Overall, this program is a severe blow to the good people who did the right thing. The government is robbing us to buy votes from the those dishonest individuals who saw a way to game the system, and did it, knowing full well that they were taking unconscionable risks. San Diego Realtor
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Obama’s $275 Billion Housing Recovery Plan
This real estate recovery plan is comprised of three main parts:
#1. a $75 billion fund would subsidize homeowners struggling to pay their mortgages.
#2. housing finance companies Fannie Mae and Freddie Mac may invest a further $100 billion in mortgages to mop up more home loans and spur fresh lending.
#3. Washington may inject a further $100 billion into each of the mortgage giants, protecting them against losses as they expand their massive reach into the housing market.
Obama said: "We will help between seven and nine million families restructure or refinance their mortgages so they can avoid foreclosure."
The plan is designed to help up to 5 million borrowers refinance if their mortgages are owned or guaranteed by Fannie Mae or Freddie Mac. It also provides incentive payments to mortgage lenders in an effort to convince them to help up to 4 million borrowers on the verge of foreclosure.
Treasury officials said the plan could reach or make affordable one-and-a-half trillion dollars in mortgage debt and deal with a large proportion of the six million foreclosures expected over the next four years.
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