DEERFIELD

Allowing delinquent mortgage squatting causes more strategic default than does low prices

Oct 052012

Ever since the housing bust began, banks have been caught between a rock and a hard place. On one side, if they foreclose and liquidate their inventory, prices plummet which prompts underwater borrowers to strategically default. The downward spiral of strategic default is in clear evidence in Nevada. On the other side, if banks don’t foreclose, borrowers know they can quit paying and live payment-free indefinitely. This method has the advantage for banks of providing an illusion of collateral value backing their loans, but recent data shows banks build an even larger shadow inventory that must eventually be liquidated. Those liquidations will most likely cause still-elevated house prices to drop. New Jersey Housing Suffers as Defaults Exceed Nevada: Mortgages By [Read More...]

Foreclosure counseling wastes taxpayer money and should be eliminated

Aug 172012

Most federal assistance programs are a waste of money. They set up an entrenched bureaucracy that drains taxpayer resources and provide little economic return. There are exceptional government programs that deliver great benefit at little cost to taxpayers, but the foreclosure counseling services are not one of those programs. Most of these borrowers are hopelessly underwater or overextended. The counseling might have done some good before they got into this mess, but at this point, telling them what they should have done differently isn’t going to help. Programs like this are created as political cover to deflect criticism that the government is not doing enough. There is little or no hope these programs will have positive outcomes for anyone involved. [Read More...]

El Camino Real prices still falling

Jun 142012

Irvine: El Camino Real Overview Median home price is $436,000. Based on a rental parity value of $526,000, this market is under valued. Monthly payment affordability has been improving over the last 10 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased from $287/SF to $289/SF. Resale prices have been falling for 12 month(s). Price momentum suggests falling prices over the next three months. Median rental rates declined $8 last month from $2,190 to $2,182. Rents have been rising for 10 month(s). Price momentum suggests rising rents over the next three months. Market rating = 7 Proprietary Irvine Housing News home purchase analysis 24 SNAPDRAGON #14 Irvine, CA 92604 $354,900 …….. Asking Price $464,000 ………. Purchase Price [Read More...]

El Camino Real more than 15% undervalued

Apr 052012

Irvine: El Camino Real Overview Median home price is $420,000. Based on a rental parity value of $517,000, this market is under valued. Monthly payment affordability has been improving over the last 10 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased to $284/SF from $287/SF. Resale prices have been falling for 12 month(s). Price momentum suggests falling prices over the next three months. Median rental rates declined $33 last month from $2,215 to $2,181. Rents have been rising for 7 month(s). Price momentum suggests rising rents over the next three months. Market rating = 6 Proprietary Irvine Housing News home purchase analysis 8 STAR THISTLE Irvine, CA 92604 $590,400 …….. Asking Price $222,500 ………. Purchase Price [Read More...]

El Camino Real prices below $300/SF

Mar 122012

Irvine: El Camino Real Overview Median home price is $300,000. Based on a rental parity value of $517,214, this market is under valued. Monthly payment affordability has been improving over the last 7 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased from $284/SF to $287/SF. Resale prices have been falling for 12 month(s). Price momentum suggests falling prices over the next three months. Median rental rates declined $33 last month from $2,215 to $2,181. Rents have been rising for 7 month(s). Price momentum suggests rising rents over the next three months. Proprietary Irvine Housing News home purchase analysis 8 STAR THISTLE Irvine, CA 92604 $590,400 …….. Asking Price $222,500 ………. Purchase Price 11/10/1997 ………. Purchase Date [Read More...]

$306,000 in mortgage equity withdrawal on an $11,150 down payment

Dec 312011

The former owner of today’s feature REO timed the market well. The bought at the bottom of the last cycle on 11/10/1997. They paid $222,500 using a $211,350 first mortgage and an $11,150 down payment. Off that tiny investment, they proceeded to pull out $306,000 in mortgage equity withdrawal over the ensuing 10 years. These borrowers weren’t periodic HELOC abusers who were paying off yearly credit card bills. In fact, they were prudent up through 2005 when they refinanced with a $395,00 first mortgage. It appears that doubling of their mortgage debt was enough to push them over the Ponzi threshold requiring further cash infusions to make payments. They got a $469,000 Option ARM on 1/30/2007, and they got another [Read More...]

9 PENNY Pnes Irvine, CA 92604

Dec 152011

This single-story three bedroom two bath home costs less than $2,100 per month to own. Situated across the street from the middle school and large central part in Deerfield, this property will probably sell quickly. ——————————————————————————————————————————————- This property is available for sale via the MLS. Please contact Shevy Akason, #01836707 949.769.1599 sales@ochousingnews.com —— —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- – —— —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- —- – Proprietary OC Housing News home purchase analysis 9 PENNY Pnes Irvine, CA [Read More...]

OC Housing News: Irvine Renter’s new blog

Dec 112011

Welcome to the OC Housing News! After nearly five years of writing for the Irvine Housing Blog, I feel it is time to expand my gaze beyond Irvine to the rest of Orange County. The Irvine housing market does not exist in a vacuum. Properties in nearby communities compete with Irvine for the attention of buyers. To really understand any housing market, we need to review properties and market conditions in surrounding communities. Therefore, this new blog will examine interesting properties in all of Orange County, California. Add to your bookmarks If you like my writing, and if this is your first visit I suggest you take a moment to add ochousingnews.com to your bookmarks. The entertaining and insightful market [Read More...]

Name	*
Email	*
Phone	*

Name	*
Email	*
Phone	*

Name	*
Email	*
Phone	*

Name	*
Email	*
Phone	*