Blogger King |
|
July 2008
Categories
|
KING 5 News Up Front with Robert Mak EVERY SUNDAY: THE ISSUES THAT MATTER KING-5 @ 4:30 p.m. NWCN @ 8:00 p.m. KONG-TV @ 10:30 p.m. This Sunday, we've got some guests with conflicting views on whether zero-down, interest-only loans are a good idea. Would you consider them? Have they helped or hurt you? 7 Comments |
Zero down interest loans are only good if you are an investor planning to sell the property within a certain amount of time. If you are using this type of loan to purchase and live in when you really cant afford it than its not recommended. In a few years we will see another S/L Loan crisis like we saw in the late 80's. Its a matter of time. The market is overprice and what goes up must come down.
Zero down interest loans are only good if you are an investor planning to sell the property within a certain amount of time. If you are using this type of loan to purchase and live in when you really cant afford it than its not recommended. In a few years we will see another S/L Loan crisis like we saw in the late 80's. Its a matter of time. The market is overprice and what goes up must come down.
While the housing market here is hot, the Puget Sound area is still playing catch up with other comparable markets (similar populations, industry, employment, etc.) in terms of real estate values. And our 10-15% increases are NOTHING compared to the 30-50% increases seen in other US metro areas - those are the markets that are going to burst. As tough as it is to believe, we are still a relative bargain here in Seattle.
I believe there is a bubble beginning to occur. Hopefully, the continual rise in interest rates will cool the real estate market somewhat. However, there are a variety of forces at work to continue to push the market.
For example, in thurston county there is a moratorium on building due to problems the county has in not following the requirements of the growth management act. Additionally, impact fees have increased in some of the jurisdictions. While the wisdom of both of these actions can be debated the economic affect will be to drive up prices here. Western Washington is a desirable place to live so demand will increase while supply seems to becoming more limited.
Also, when compared to wage increases there is a bubble. The other writes is correct when he stated that metro areas in other parts of the country are growing even faster. However, look at the rise of housing compared to wages. Already my friends and I are wondering what type of home our children will be able to afford. 0 down may let you into bigger homes but it is not the solutions unless you are an investor. 10% to 15% increases are dramatic when income is only going up 0% to 4% in most places.
Have you seen this before? It's a number guessing game: http://www.amblesideprimary.com/ambleweb/mentalmaths/guessthenumber.html. I guessed 32645, and it got it right! Pretty neat.
engagingly dummies sees cruder.station unconsciousness:neglects
boathouses?nativity?durabilities Wendy adulterating - Tons of interesdting stuff!!!