Comments on: DISASTER: Bay Area now twice as affordable – 18% -> 32% http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/ San Francisco Bay Area, Silicon Valley House Price and Mortgage Insanity Blog Thu, 09 Feb 2012 01:07:13 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: buckborden http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14551 buckborden Thu, 21 Aug 2008 23:53:22 +0000 http://www.burbed.com/?p=2238#comment-14551 If the general public loses the ability to buy with credit, then the system will fail. GEE, ISN'T EASY CREDIT (TO WAY TOO MANY IDIOTS) WHAT GOT (some of) U.S. INTO THIS MESS? Since when is a house an ATM? Where is it printed in one's loan documents that a return on "debt" should be guaranteed? Folks buy cars all the time, and THEY do not appreciate, and they cost thousands of "debt" dollars (for those too dumb to save and pay cash). Folks, if you're in debt trouble, you get what you deserve. I have zero sympathy for any of you. If the general public loses the ability to buy with credit, then the system will fail.

GEE, ISN’T EASY CREDIT (TO WAY TOO MANY IDIOTS) WHAT GOT (some of) U.S. INTO THIS MESS?

Since when is a house an ATM? Where is it printed in one’s loan documents that a return on “debt” should be guaranteed? Folks buy cars all the time, and THEY do not appreciate, and they cost thousands of “debt” dollars (for those too dumb to save and pay cash). Folks, if you’re in debt trouble, you get what you deserve. I have zero sympathy for any of you.

]]> By: bob http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14550 bob Thu, 21 Aug 2008 15:07:09 +0000 http://www.burbed.com/?p=2238#comment-14550 <i>Depression 2.0 is coming, just watch. Your “home” won’t save you. Happy foreclosure, fools!–Cheers from a very happy renter and cash-heavy, ZERO DEBT smart person.</i> I'm reading a book about the original depression ( depression 1.0) and its pretty crazy how similar in many ways the triggers that caused that depression are to some of those working their way through the system now.Basically, everyone-housewives,shoe salesmen, and teachers- were buying loads of stocks ( just like people were buying houses in the housing bubble) and then suddenly the bottom fell out, which in turn caused banks to fail, credit to dry up, and demand for goods and services to fall. The cause of both bubble failures, both this one and the one in the 20's was caused by uneducated masses of people making financially unwise decisions and subsequently bringing down the system with it. While we have lots of safeguards in place now to hopefully prevent such an outcome, the next shoe to fall is credit card debt, which is apparently the biggest its ever been. If the general public loses the ability to buy with credit, then the system will fail. Depression 2.0 is coming, just watch. Your “home” won’t save you. Happy foreclosure, fools!–Cheers from a very happy renter and cash-heavy, ZERO DEBT smart person.

I’m reading a book about the original depression ( depression 1.0) and its pretty crazy how similar in many ways the triggers that caused that depression are to some of those working their way through the system now.Basically, everyone-housewives,shoe salesmen, and teachers- were buying loads of stocks ( just like people were buying houses in the housing bubble) and then suddenly the bottom fell out, which in turn caused banks to fail, credit to dry up, and demand for goods and services to fall.

The cause of both bubble failures, both this one and the one in the 20′s was caused by uneducated masses of people making financially unwise decisions and subsequently bringing down the system with it.

While we have lots of safeguards in place now to hopefully prevent such an outcome, the next shoe to fall is credit card debt, which is apparently the biggest its ever been. If the general public loses the ability to buy with credit, then the system will fail.

]]> By: Lionel http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14549 Lionel Thu, 21 Aug 2008 14:39:04 +0000 http://www.burbed.com/?p=2238#comment-14549 Thank you for the morning chuckle, Becky. Thank you for the morning chuckle, Becky.

]]> By: becky http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14548 becky Thu, 21 Aug 2008 05:16:57 +0000 http://www.burbed.com/?p=2238#comment-14548 Drink the housing bubble kool aid if you must, but never, never drink the "Roadside Lemonade." Drink the housing bubble kool aid if you must, but never, never drink the “Roadside Lemonade.”

]]> By: buckborden http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14547 buckborden Thu, 21 Aug 2008 04:43:27 +0000 http://www.burbed.com/?p=2238#comment-14547 Still not normal, but getting there: The condo I sold in 2002 for a ridiculously overinflated price nearly three times what I paid, has now fallen to within $25K of what it was when I sold it, and is plummeting about $10K a month, according to Zillow. In a year or so, it should be where it was when I bought it (140K in 1994, and I would never conceive of living there again if you gave it to me). The fool who "bought" it must surely be underwater by now, since she needed to rent it for at least $1800 a month then, and probably borrowed against it when it rose to $502K in 2005. I still cannot believe she paid me what she did (and I laughed all the way to the bank with no regrets at not having held onto it longer). I love watching prices plunge. Way, way, way overvalued, beyond reason for years. Depression 2.0 is coming, just watch. Your "home" won't save you. Happy foreclosure, fools!--Cheers from a very happy renter and cash-heavy, ZERO DEBT smart person. Still not normal, but getting there: The condo I sold in 2002 for a ridiculously overinflated price nearly three times what I paid, has now fallen to within $25K of what it was when I sold it, and is plummeting about $10K a month, according to Zillow. In a year or so, it should be where it was when I bought it (140K in 1994, and I would never conceive of living there again if you gave it to me). The fool who “bought” it must surely be underwater by now, since she needed to rent it for at least $1800 a month then, and probably borrowed against it when it rose to $502K in 2005. I still cannot believe she paid me what she did (and I laughed all the way to the bank with no regrets at not having held onto it longer). I love watching prices plunge. Way, way, way overvalued, beyond reason for years. Depression 2.0 is coming, just watch. Your “home” won’t save you. Happy foreclosure, fools!–Cheers from a very happy renter and cash-heavy, ZERO DEBT smart person.

]]> By: Herve http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14546 Herve Thu, 21 Aug 2008 03:28:20 +0000 http://www.burbed.com/?p=2238#comment-14546 Burbed: <b><a href="http://www.youtube.com/watch?v=5513mXmQbw4" rel="nofollow">serenity now</a></b>! Burbed: serenity now!

]]> By: Pralay http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14545 Pralay Thu, 21 Aug 2008 02:04:19 +0000 http://www.burbed.com/?p=2238#comment-14545 <i>If this isn’t a freakin’ disaster, I don’t know what is.</i> --------- I don't understand Burbed's point. Home price appreciation is 15% in RBA. It really does not matter what your income is. Where is this stupid salary/income factor coming from? You buy with zero down, and before rate resets you either sale or refinance. 15%, OK? 15%. That's all it matters. Not salary or income. If this isn’t a freakin’ disaster, I don’t know what is.
———

I don’t understand Burbed’s point. Home price appreciation is 15% in RBA. It really does not matter what your income is. Where is this stupid salary/income factor coming from? You buy with zero down, and before rate resets you either sale or refinance. 15%, OK? 15%. That’s all it matters. Not salary or income.

]]> By: Pralay http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14544 Pralay Thu, 21 Aug 2008 01:55:20 +0000 http://www.burbed.com/?p=2238#comment-14544 <i>I was at Kragen Autoparts yesterday. They almost always have knick-knacks at the checkout counter. The latest thing was this sort of super-absorbent pad that you were supposed to pee into in case you got into trouble on a long road trip.</i> -------- Not everyone has time to do so. I think the idea came from <a href="http://methesuperficial.blogspot.com/2007/12/lisa-nowak-and-astro-diapers.html" rel="nofollow">Lisa Nowak's Astro Diaper to drive 900 miles non-stop</a>. I was at Kragen Autoparts yesterday. They almost always have knick-knacks at the checkout counter. The latest thing was this sort of super-absorbent pad that you were supposed to pee into in case you got into trouble on a long road trip.
——–

Not everyone has time to do so. I think the idea came from Lisa Nowak’s Astro Diaper to drive 900 miles non-stop.

]]> By: Lionel http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14543 Lionel Thu, 21 Aug 2008 00:19:24 +0000 http://www.burbed.com/?p=2238#comment-14543 http://www.boingboing.net/2008/07/15/portable-cardboard-t.html Perhaps this could solve the pee problem? http://www.boingboing.net/2008/07/15/portable-cardboard-t.html

Perhaps this could solve the pee problem?

]]> By: DreamT http://www.burbed.com/2008/08/20/disaster-bay-area-now-twice-as-affordable-18-32/#comment-14542 DreamT Wed, 20 Aug 2008 23:51:00 +0000 http://www.burbed.com/?p=2238#comment-14542 Brian - If we're bouncing off the bottom, it means the bubble still exists. If the bubble had burst, we'd have crashed through. So go the laws of physics. Try this at home with a rubber ball from Target if you don't believe me... Brian -
If we’re bouncing off the bottom, it means the bubble still exists. If the bubble had burst, we’d have crashed through. So go the laws of physics.
Try this at home with a rubber ball from Target if you don’t believe me…

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