In California Daves place in my neck of the woods would go for between 2 and 2.5 million dollars
In California Daves place in my neck of the woods would go for between 2 and 2.5 million dollars
"The only thing that we learn from torture is the depths of our own moral depravity"
Charter Member
I remember being amazed to find out a house of mine was worth $100,000. To me, that's what rich people own. Now I'm seeing "starter" homes at 400K.
Inflation may seem overwhelming - but we all rise or sink with the same economic tide.
Hunter
I don't care if it hurts. I want to have control. I want a perfect body. I want a perfect soul. - Creep by Radiohead
Registered Member
I paid $87,500 for mine 22 years ago...It's an average size house for this neighborhood...Now new homes are going up nearby for $600,000...I have no clue how anyone can afford that......Ben
The future is forged on the anvil of history...The interpreter of history wields the hammer... - Unknown author...
Charter Member
Be an influencer on you tube, Ben. Think you may be too old for the adults only channel.Originally Posted by Truckman
I paid $87,500 for mine 22 years ago...It's an average size house for this neighborhood...Now new homes are going up nearby for $600,000...I have no clue how anyone can afford that...
Fred
"Everyday I beat my own previous record for number of consecutive days I've
stayed alive."
'Take care of yourself, and each other.'
Registered Member
I can't think of anyone who wants my influence, Fred, about anything, anywhere......Ben
The future is forged on the anvil of history...The interpreter of history wields the hammer... - Unknown author...
Charter Member
Exactamundo, my friend. Sadly - our upcoming generation is burying themselves in debt, like people in the 80's did. They buy in at a price they struggle to afford, all the while betting (and assuming) values will continue to rise. But, when that process stops, bankruptcy looms.
Hunter
I don't care if it hurts. I want to have control. I want a perfect body. I want a perfect soul. - Creep by Radiohead
Charter Member
I understand that but struggle to embrace it! Excluding the possible value of the land the cost of building a house does not vary immensely from one location to another. Sure, there are local codes and regulations to deal with but in the overall scheme of things they tend to mute themselves----you might have seismic requirements but we have snow loads. When anything begins to assume a price level which is not reflective of the cost level it enters an unstable and often unsustainable market value. That said, I do acknowledge a huge shift in material costs that add to the cost level of all house, new or old, but that is again not a local condition, it is universal.
Hunter mentioned the 80's----we bought our current home in 83---after 12 months of "negotiating". The starting price was $150K including 10A of land and a second house. At the time that price was almost unheard of in this area. After a year marked by at least 5 offers we ended up at a price of $83500----and a 14.5% interest ARM. The inflated interest rate had virtually killed the real estate market. My father was convinced I needed to be committed to even entertain such a mortgage and was unable to grasp that it was being offset by the purchase price and would not last forever. Fortunately, my Father lived long enough to see the "wisdom" of my "folly" but never acknowledge it
The $150k was an inflated speculative price that ultimately had no real value as the market collapsed. The buy price was probably below replacement costs---but in any event was more reflective of a "supportable" selling price.
As that relates to locally inflated markets, like the SF area---there is insufficient valid underlying costs to support those prices, which makes them highly speculative in my mind.
"A pessimist sees the difficulty in every opportunity, an optimist sees the opportunity in every difficulty” ---Sir Winston Churchill
"Political extremism involves two prime ingredients: an excessively simple diagnosis of the world's ills, and a conviction that there are identifiable villains back of it all." ---John W. Gardner
“You can’t go back and change the beginning, but you can start where you are and change the ending.” ---C. S. Lewis
Here it's supply vs demand on top of lots of stupid money. Housing supply is way below demand and the techies have boatloads of money. Put a house on the market and you will get 100 cash offers well over asking price. Houses sell within 5 days if you have good schools nearby.
"The only thing that we learn from torture is the depths of our own moral depravity"
Charter Member
Well---its time to fish or cut bait---we have an offer in hand very close to the asking price----I guess I should be happy
"A pessimist sees the difficulty in every opportunity, an optimist sees the opportunity in every difficulty” ---Sir Winston Churchill
"Political extremism involves two prime ingredients: an excessively simple diagnosis of the world's ills, and a conviction that there are identifiable villains back of it all." ---John W. Gardner
“You can’t go back and change the beginning, but you can start where you are and change the ending.” ---C. S. Lewis
Registered Member
I understand your pain. It has only been a few days since the property hit the market. Don't settle for less than what you want.
The only way of discovering the limits of the possible is to venture a little way past them into the impossible - Arthur C. Clarke
Charter Member
If it's close I say take it or counter offer. All you have to do is ask.
Fred
"Everyday I beat my own previous record for number of consecutive days I've
stayed alive."
'Take care of yourself, and each other.'
Charter Member
It's done---signed the contract today at $270,000.
I had an appraisal done about 6 weeks ago (for $470) and that was $243,000
With the real estate market in retreat I thought the prudent thing to do was simply to say yes----we did get them to extend the closing date by 30 days.
"A pessimist sees the difficulty in every opportunity, an optimist sees the opportunity in every difficulty” ---Sir Winston Churchill
"Political extremism involves two prime ingredients: an excessively simple diagnosis of the world's ills, and a conviction that there are identifiable villains back of it all." ---John W. Gardner
“You can’t go back and change the beginning, but you can start where you are and change the ending.” ---C. S. Lewis
Registered Member
I think you did the right thing to get out now. Everything I'm reading indicates that the housing market is in for a rough ride.It's done---signed the contract today at $270,000.
I had an appraisal done about 6 weeks ago (for $470) and that was $243,000
With the real estate market in retreat I thought the prudent thing to do was simply to say yes----we did get them to extend the closing date by 30 days.
OPINION....a view or judgment formed about something, not necessarily based on fact or knowledge.
Charter Member
Now the next thing will be to figure out what to do with the money----I'm sure as hell not putting it into the stock market in any shape or form
"A pessimist sees the difficulty in every opportunity, an optimist sees the opportunity in every difficulty” ---Sir Winston Churchill
"Political extremism involves two prime ingredients: an excessively simple diagnosis of the world's ills, and a conviction that there are identifiable villains back of it all." ---John W. Gardner
“You can’t go back and change the beginning, but you can start where you are and change the ending.” ---C. S. Lewis
Registered Member
Oh damn! What a problem.
Congrats on the quick sale.
The only way of discovering the limits of the possible is to venture a little way past them into the impossible - Arthur C. Clarke
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