Tuesday, August 14, 2007

If All You Have Is a Hammer...

5 comments:

mountainwatcher said...

I saw this Cramer rant.
I think it is like the other Kramer. (N word etc.)
An exhausted older guy at the end of his rope.
MHO... don't bite the bait.
This is not '29.
Cramer is 85% insane.
The other 25% is crazy.
The other -%10 is great investment advice.
This is not a good way to judge the reality of the current situation.

Lisa said...

Our own very special Marin made the front page of the Chronicle this morning....another story about the mortgage crunch, this time how it's making it tougher for "the rich" to buy. Someone didn't get a $2MM Larkspur house because the down payment was only 10%.

I shudder to think what's going to happen to prices here. Think of all the $1MM plus homes in Marin. If 20% or 30% is now required, I say we won't have very many $1MM houses left.

marinite2 said...
This comment has been removed by the author.
marinite2 said...

I shudder to think what's going to happen to prices here. Think of all the $1MM plus homes in Marin. If 20% or 30% is now required, I say we won't have very many $1MM houses left.

But I thought everyone in Marin is rich (except for me that is). That's what the housing bulls were always saying when they still visited this blog. So what's the problem with putting down a $100K-$200K down payment? That should be easy for Marinites. That's chump change to them, right?

Maybe I'll post on that article tonight when I get home and make fun of the poor Marinites who cannot buy houses anymore. What goes around comes around chumps.

As far as prices... those who don't really have to sell won't drop their prices to where the market says they should be and so they simply will be unable sell and will have no choice but to wait until market conditions come back up to the level they feel entitled to. Those who must sell will lower their prices (or walk away, depending on which is less painful) and will be resetting price levels for everyone else.

Anonymous said...

The "rich guy" that was buying that house for $2.45MM when it was listed for $2.2MM.

Come one, there was some sweet cash back under the table on this deal that made up his "10% down." It was a win-win and he was just realizing his profit on the front end of the deal.

Not that prices shouldn't come down, but there was some fraud in this deal that is not being discussed.

Why pay over asking in this current market? they obviously weren't competing against anyone, as the agent is complaining about having to list the house again.

Whatever. What do I know. Feh.