BOA CEO: Don’t bank on your house

From Reuters:

BofA CEO: Owners shouldn’t look at home as an asset

Homeowners may need to look elsewhere for long-term investment returns as housing prices in some areas may not rebound long-term, Bank of America Corp Chief Executive Officer Brian Moynihan said on Tuesday.

Moynihan, CEO of the largest U.S. bank, said at a state attorneys general summit that low population growth in some regions of the country indicated that prices might not rise in the wake of the worst financial crisis since the Great Depression.

“It’s sobering to think, but some people shouldn’t be thinking of (their home) as an asset,” Moynihan said at the 2011 National Association of Attorneys General conference. “They should be thinking of it as a great place to live.”

Moynihan said the long-term average annual rise in post-war U.S. home prices of 4 percent owed much to the explosion in domestic population and, in more recent times, the relaxation of credit standards across the mortgage industry.

“The reality is that the population is not expected to grow the way it did post World War I and World War II,” he said.

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209 Responses to BOA CEO: Don’t bank on your house

  1. Mike says:

    Good Morning New Jersey

  2. grim says:

    From the Record:

    Englewood man admits role in property-flipping scheme

    An Englewood man admitted his role Tuesday in a scheme that defrauded banks of more than $1.5 million and forced several unsuspecting home buyers into foreclosure, authorities said.

    David Wynn, 45, pleaded guilty in federal court in Newark to a single count of conspiracy to commit wire fraud, U.S. Attorney Paul J. Fishman said.

    Wynn, a loan officer, and another man, Michael Kaufman, 43, the CEO of a Bloomfield real estate investment firm called Home Start America Inc., ran a three-year scheme to sell run-down homes in Paterson, Newark and elsewhere, later “flipping” them at higher prices to buyers with limited financial resources, Fishman said.

    The scheme reaped quick profits for Wynn and Kaufman, of Reading, Pa., but led to a number of foreclosures when buyers — many of whom had been encouraged by Wynn to falsify their loan applications — failed to make timely payments, prosecutors said.

    The buyers were also told that they could purchase the properties without a down payment and without paying closing costs, prosecutors said.

    Wynn was also accused of inflating many of the buyers’ incomes and assets on the loan applications, unbeknownst to the lending institutions. The scheme netted the two men hundreds of thousands of dollars in profits, Fishman said.

  3. grim says:

    From Bloomberg:

    BofA Chief Says More Foreclosures Inevitable as Repeated Defaults Top 50%

    Bank of America Corp. (BAC) Chief Executive Officer Brian T. Moynihan said efforts to prevent foreclosures are failing frequently, with more than half of borrowers in some categories defaulting a second time.

    “We’re reaching a point where some customers will be dealing with the reality that despite the myriad programs and the best efforts of everyone in this room, and of our teammates working with these customers, foreclosure may be unavoidable,” Moynihan said today during a speech to state attorneys general in Charlotte, North Carolina.

    Bank of America and other mortgage servicers are being probed by a task force of 50 state attorneys general over the way they foreclosed on overdue homeowners. Regulators have suggested a $20 billion penalty for the industry and principal reductions for some owners whose debts are greater than the value of their homes.

    Bank CEOs including Moynihan, who runs the biggest U.S. mortgage servicer, and JPMorgan Chase & Co. (JPM)’s Jamie Dimon have denounced principal reductions as unfair and difficult to implement.

    “We do not see broad-based principal reduction as a sound policy decision for America,” said Moynihan, 51, according to the prepared text of his speech. “It’s hard to see how we could justify reducing principal for many delinquent customers who represent a small portion of borrowers, but not for the vast majority of our customers who have stayed current on their loans.”

  4. grim says:

    From Bloomberg:

    Attorneys General Foreclosure Settlement Terms May Backfire, Study Says

    A proposal by state attorneys general to require more mortgage modifications may backfire and add as much as $10 billion a year in costs, according to a study financed in part by loan servicers.

    “The biggest concern is that it would not provide any lasting benefits to homeowners and it will have significant unintended consequences that make the housing situation worse,” said Eric J. Higgins, a finance professor at Kansas State University who wrote the report with professors Charles W. Calomiris of Columbia University Graduate School of Business and Joseph R. Mason of Louisiana State University.

    The report examines a 27-page term sheet sent to the five largest U.S. mortgage servicers as a starting point for negotiations to settle allegations of abusive foreclosure practices. The proposals, which cover almost every aspect of servicing, would require lenders to consider reducing loan balances, freeze foreclosures while exhausting modifications possibilities and follow a timetable for the workout process, including borrower appeals.

    The terms set out by the attorneys general would increase mortgage defaults because current borrowers would deliberately miss payments, hoping to qualify for debt reductions, the study said. The modification requirements could add up to 280 days to the time it takes lenders to seize properties and increase the inventory of foreclosed homes by $297 billion.

    The costs of the delays, training and hiring of employees, and writing down principal would be passed onto consumers, according to the report, which estimates $3.7 billion in annual one-time expenses and $7 billion to $10 billion in annual recurring outlays. That would equate to an increase in mortgage rates of 0.20 percentage point to 0.45 percentage point a year.

    “There is substantial evidence that mandated modifications would do little to assist homeowners who would not qualify for existing modification programs,” the paper said. “This limited benefit must be measured against the very real risk that a new program would backfire by creating considerably more strategic defaults than the defaults it seeks to cure.”

  5. grim says:

    From USA Today:

    Complaints showed flaws in mortgage relief plan

    Months after the Obama administration launched a $29 billion effort to rescue millions of homeowners from foreclosure, complaints about the program started pouring in to the Treasury Department officials in charge of making it work.

    Homeowners said in letters that mortgage firms wouldn’t return their phone calls. They said the program’s rules were bewildering. They waited months to get a response from their servicers, and the responses they got were sometimes maddening. One man who asked his mortgage firm for help lowering his monthly payments to avoid foreclosure ended up paying $1,400 more a month instead.

    Those complaints — some plaintive, others boiling with frustration — were among the earliest signs of shortcomings in the Home Affordable Modification Program, which uses federal bailout money to encourage mortgage firms to modify loans for struggling homeowners. USA TODAY requested copies of the complaints under the Freedom of Information Act in June 2009, weeks after the program started. Officials released 2,069 pages of documents on Monday.

    By now, most of the problems they document are unsurprising: In the two years since it began, the foreclosure relief program has led to permanent loan modifications for about 630,000 borrowers, far fewer than the 3 million to 4 million that President Obama’s administration said would benefit. And some have slipped back into default. The program has been faulted repeatedly by auditors for confusing rules and inadequate oversight.

  6. Confused In NJ says:

    “We do not see broad-based principal reduction as a sound policy decision for America,” said Moynihan, 51, according to the prepared text of his speech. “It’s hard to see how we could justify reducing principal for many delinquent customers who represent a small portion of borrowers, but not for the vast majority of our customers who have stayed current on their loans.”

    Government has lost it’s Common Sense & Moral Compass.

  7. We’re on the road to nowhere.

  8. jamil says:

    we got hope and change

  9. confused (6)-

    There is no gubmint; there are only banks.

    Never any moral compass there to begin with. Once the TARP, TALF, etc. opened Pandora’s Box, all bets were off. Can’t stuff all the bad ju-ju that was released back into that box. If MS can default on skyscrapers while Mack’s wife gets free money to buy student loans and CRM, it’s pretty much a sign that Beelzebub roams the planet.

    There are no rules anymore. It’s simply a matter of being strategic, pre-emptive and decisive. In many cases, only fools pay.

    I am very close to defaulting on everything. I do not care. And, I sleep better at night.

  10. freedy says:

    citi jpm boa wells are running things . firmly in control . afterall they are on every street corner in america .

  11. I also bet I can work the mod process for a good 800-1,000 days. I know all the tricks.

  12. Neanderthal Economist says:

    “The reality is that the population is not expected to grow the way it did post World War I and World War II,”

  13. Neanderthal Economist says:

    Just learned that ‘american apparel’ is all clothes made in usa. What a great concept to build a business around not using slave labor and children in foreign sweatshops where currency is manipulated to destroy our economy. The clothes seem to be about 20% more expensive than what you’d find at banana or jcrew. I think its worth it.

  14. Pat says:

    They need a serious Website overhaul over there, thought. It looks like a gang of disgruntled tenth grade bullies. From the 70’s.

    Oh, wait.

    That is very American.

  15. Mike says:

    3 , 4, & 5 Everybody keep your suggestions, negotiations & modifications and just let it die already, eventually nature will take it’s course. After the forest burns down to nothing it eventually grows back.

  16. gary says:

    Yes… We… Can!

  17. jamil says:

    “Inflation, using the reporting methodologies in place before 1980, hit an annual rate of 9.6 percent in February, according to the Shadow Government Statistics newsletter.”

  18. grim says:

    13 – by hiring illegals and setting up the sweatshops in the us.

    Since the crackdown, they have not been profitable.

  19. Lone Ranger says:

    “Don’t bank on your house”

    You think? For the next 19 years, 10,000 a day, will turn 65. Sell? Sell to whom?

  20. Lone Ranger says:

    “What a great concept to build a business around not using slave labor and children in foreign sweatshops where currency is manipulated to destroy our economy”

    LMAO. Currency manipulation?

    http://futures.tradingcharts.com/chart/US/M

  21. Neanderthal Economist says:

    Many american businesses will have its fair share of illegals. Its hard to completely stop that, especially in that sector but overall they claim to have the highest avg pay in the industry. The most important thing, for me, is that they’re keeping it all in the usa.

  22. veets (13)-

    WalMart would say that you are part of a de minimis minority. Everyday low prices is what drives the Amerikan consumer…whether or not the stuff was made by slaves.

    “Just learned that ‘american apparel’ is all clothes made in usa. What a great concept to build a business around not using slave labor and children in foreign sweatshops where currency is manipulated to destroy our economy. The clothes seem to be about 20% more expensive than what you’d find at banana or jcrew. I think its worth it.”

  23. grim says:

    Do some research into the sexual harassment allegations against the CEO, charges of slavery, illegal hiring practices, hostile work environment, etc etc. Amappy is not a model for American business.

  24. ranger (20)-

    Last I checked, the US is the world’s home office for currency shenanigans.

  25. Europe might be a nice market for this American Apparel stuff when EURUSD hits 2:1.

  26. One man’s hostile work environment is another man’s profit machine.

  27. grim says:

    21 – estimates put the number of illegals at 1/3 to 1/2 of their workforce. This was not an unfortunate coincidence, this was a business model predicated on leveraging illegals within the US to keep labor costs low while disingenuously touting “made in America”

    highest avg pay in the industry. The most important thing, for me, is that they’re keeping it all in the usa.

    After having to clean up shop, they lost $86 million last year, with no clear direction on how to stop the bleed. The fact is, they are likely to be days away from bankruptcy or buyout. Look for the brand to be purchased by one of the big houses, with a likely move offshore.

    Their clothing wasn’t popular because it was local, it was popular due to the almost obscenely provocative brand image. Their ads would make the photographers at Abercrombie blush.

  28. Neanderthal Economist says:

    “Currency manipulation?”
    We have a long way down before parity…

  29. Anyone got the trademark for Zimbabwe Apparel?

  30. Lone Ranger says:

    “We have a long way down before parity…”

    Ask the loonie. They thought the same.

  31. Lone Ranger says:

    Parity to what currency pair? Toilet paper?

  32. Lone Ranger says:

    Debt [31],

    That’s why they call him Tall Paul.

  33. Neanderthal Economist says:

    Grim, i hear you but weve got to compare the huge aa factory in la to the conditions in the third world plants, where the children workers are barefoot. Sorry to say but the american apparell ceo/factory is probably a 1000 times safer/more humane than what you’d find in china/indonesia. And if illegals in usa were so much worse than our 3rd world trading partners manipulating currencies/dumping slave labor we would have shut down half the american restaurant industry already.

  34. Lone Ranger says:

    Veto,

    You are hot this morning. More parity;

    http://forecastchart.com/currency-australian-dollar.html

  35. Kettle1^2 says:

    Debt,

    I work with 2 Russian guys who swear that the US looks shockingly familiar to Russia right before their collapse.

    As a side note, the older of the 2 worked at Chernobyl when it blew. I have had some very interesting chats with him about his first hand accounts.

  36. gary says:

    Ace Rothstein: Nicky’s methods of betting weren’t scientific, but they worked. When he won, he collected. When he lost, he told the bookies to go f*ck themselves. I mean, what were they going to do, muscle Nicky? Nicky was the muscle.

    Is this the mob or the FED? Is there a difference?

  37. d2b says:

    Interesting that banks don’t think that Americans should use homes as assets yet its fine for them to use homes as assets.

  38. gary says:

    d2b,

    See my post #38.

  39. cooper says:

    Debt – my buddy’s brother hasn’t paid his mortgage in over a yr and moved out several months back (y i don’t know) but either way he’s trying to rent it now! HA he’ll probably get 4k a month… how many others are doing this ?

  40. grim says:

    35 – really? This one is your role model? I can show you plenty of companies right here in Jersey that are competitive against off-shore manufacturing and they are doing it legally.

    I could be pretty profitable if I stopped paying taxes and sold dope on the corner too.

  41. Neanderthal Economist says:

    You guys are hillarious. You complain that all the factories are going overseas but then complain when the american factories don’t provide white collar corner office conditions. Its a factory people. In china the factory manager walks around with a taser.

  42. Neanderthal Economist says:

    Lone, does it bother you that america on course to meet our goal of doubling export of goods over the next five years?

  43. gary says:

    Ace Rothstein: In the casino, the cardinal rule is to keep them playing and to keep them coming back. The longer they play, the more they lose, and in the end, we get it all.

    The current state of the Amerikan model of business. Mob tactics are no different than any other way of doing business. In fact, you know the risks when you play with the so-called bad boys; it’s pretty much straightforward. In “legitimate” business, however, you have no idea that you’re being taken.

  44. gary says:

    And that’s that.

  45. Neanderthal Economist says:

    Lone. I think its a good thing that dollar value is falling, I see it as a long term adjustment. Its was propped up synthetically on huge sugar high due to unsustainable bubble/oil/credit addicted economy. I like how were getting back to basics.
    Let me spell it out for you. This ain’t the end. This is a shift that will strengthen us. I believe in America’s future. Do you?

  46. grim says:

    44 – drive over to Annin in Verona and ask for a tour, or if you are looking for something near LA to stay with the theme, head over to Manley Labs in Chino.

  47. Dissident HEHEHE says:

    American Apparel isn’t far away from bankruptcy. Was watching Davidowitz talk about a few weeks ago. I’ve bought merchandise there and while it is cheap you get what you pay for as the quality is pretty bad. The basic t-shirt type stuff is fine but anything with buttons or stitching isn’t built to last – not that Gap or Banana Republic or J Crew is anymore either.

    Can anybody recommend a store/tailor for purchasing reasonably priced fitted shirts? I also need a new dry cleaner, I think they pay some kid in the back to break a few buttons on each of my shirts with a hammer.

  48. Neanderthal Economist says:

    Grim. No aa is not my role model. I just think its a huge improvement to the options we have now. Not denying any of the criticisms that we’re made by you and others, they’re probably all valid.

  49. chicagofinance says:

    Do the Wilponzi’s have a white knight?

    WSJ
    DEALS & DEAL MAKERS
    APRIL 13, 2011
    Cohen Makes a Pitch for Mets
    Billionaire Hedge-Fund Manager Joins Bidding for a Stake in Baseball Team

    By RANDALL SMITH And MATTHEW FUTTERMAN

    Billionaire hedge-fund manager Steve Cohen has joined the bidding for a minority stake in the New York Mets, as the baseball team attempts to raise about $200 million to cover losses and pay down debt, according to people familiar with the matter.

    Mr. Cohen, the founder of SAC Capital Advisors LLC whose net worth is estimated by Forbes magazine at $7.3 billion, is a longtime Mets fan who knows its controlling Wilpon family socially. He manages about $12 billion in assets.

    A spokesman for the Mets declined to comment. Jonathan Gasthalter, a spokesman for Mr. Cohen’s SAC, declined to discuss any bid.

    Several other Wall Street financiers also are vying to gain a minority stake in a team with heavy debt, declining attendance, and the cloud of $1 billion in claims against the Wilpons by the trustee for victims of the Bernard Madoff Ponzi scheme.

    The Mets recently requested that potential investors submit nonbinding letters confirming their interest in the team, including their bid price and size of the stake, which could range from 25% to 49%.

    Among other bidders is a team led by Steve Starker, the co-founder of Wall Street trading firm BTIG LLC. His group includes Kenny Dichter, a co-founder of Marquis Jets, and Douglas Ellin, creator of the HBO show “Entourage.”

    Another group with Wall Street credentials is the team of David Heller, an executive of Goldman Sachs Group Inc., and Marc Spilker, the president of Apollo Global Management LLC, the private-equity fund.

    The sale is taking place against the backdrop of the $1 billion lawsuit filed against team owners Fred Wilpon and Saul Katz and their associates by Irving Picard, the trustee in the Madoff bankruptcy case.

    Mr. Picard has claimed the Mets owners either knew or should have known Mr. Madoff was running a Ponzi scheme. Messrs. Wilpon and Katz have denied any wrongdoing.

    The Mets played their home opener Friday in front of a near-sellout crowd of 41,075 at Citifield. Since then, the team has averaged 30,600 fans, below last year’s average of 31,600 when the Mets led Major League Baseball in attendance declines. That makes it tougher for the team to regain profitability and command an attractive price for the minority stake.

    Write to Randall Smith at randall.smith@wsj.com and Matthew Futterman at matthew.futterman@wsj.com

  50. Lone Ranger says:

    Veto [45],

    No. Nor does it bother me that gold is 1,460 and silver over 40.

    However, exports was not your original point. You brought up currency manipulation and parity. Maybe I misinterpreted what you wrote. Did you mean a long way for the USD to reach parity?

    Does it bother you that we are getting raped for energy, food, clothing and taxes or that real rates are approx -.08%

  51. chicagofinance says:

    American Apparel: The cutting edge of the U.S. entreprenuer….
    http://www.nypost.com/p/news/local/worker_sat_for_shutterbug_dov_E49qGFUMpK4yWS8hDqZWHO

  52. Neanderthal Economist says:

    Hehe… I use mytailor.com for most of my shirts. Tailor, joe, is from cali, comes to ny/nj three or four times per year and sets up shop in hotel. Short hills and manhattan. Make an apptment to get measured and see the fabrics, build shirt online, pick fabric and submit. Cost can range from $45 per shirt to $300 depending on what fabric is chosen. None is american made though, all labor is done overseas and shipped.

  53. Dissident HEHEHE says:

    NE,

    Thanks, I’ll check it out.

  54. Mike says:

    JPMorgan Chase & Co. reported a 67 percent jump in first quarter earnings Wednesday on solid growth in investment banking fees and a drop in losses in its credit card portfolio. The slump in real estate continued to weigh heavily on JPMorgan’s results. The bank increased its provision for mortgage-related losses by $1.1 billion. Jamie Dimon, the CEO of JPMorgan, said in a statement that the bank’s mortgage losses were “extraordinarily high,” adding: “Unfortunately, these losses will continue for a while.”

  55. Neanderthal Economist says:

    Just for the record I don’t condone any of the alleged wrongdoings of the aa ceo. I do however support the made in america business model and hope any company who chooses to establish themselves here will abide by the rules of law and turn major profit.

  56. Confused In NJ says:

    9.Debt Supernova says:
    April 13, 2011 at 7:10 am
    confused (6)-

    There is no gubmint; there are only banks.

    Never any moral compass there to begin with. Once the TARP, TALF, etc. opened Pandora’s Box, all bets were off. Can’t stuff all the bad ju-ju that was released back into that box. If MS can default on skyscrapers while Mack’s wife gets free money to buy student loans and CRM, it’s pretty much a sign that Beelzebub roams the planet.

    There are no rules anymore. It’s simply a matter of being strategic, pre-emptive and decisive. In many cases, only fools pay.

    I am very close to defaulting on everything. I do not care. And, I sleep better at night

    12/21/2012 is the Great Equalizer. The Anti-Christ will win a second term, but it will be served in Armeggedon.

  57. RentL0rd says:

    I have been researching on the pros/cons and costs of replacing Asbestos based siding on a property I’m interested in. If you have any information on it, please do share.

    The house was built in ~1970 – 4br – don’t know the exact measurements on the siding around the house. I have heard removal is expensive due to the extra precautions contractors need to take – as much as putting in new siding itself. The exterior looks very dated because of the siding, and If I go ahead with this house, I would really like it to be replaced and want to factor in the costs.

  58. make money says:

    Rent[61],

    Leave the old siding on and just add new vinal siding on top. No reason to remove it.

  59. Neanderthal Economist says:

    Lone, if you can profit from the next move in currency markets, I applaud that. Just know that the first round is expected to be on you during gtg.

  60. jamil says:

    “35 – really? This one is your role model? I can show you plenty of companies right here in Jersey that are competitive against off-shore manufacturing and they are doing it legally.”

    If you want a true role model for a great American company, that is manufacturing in the US, paying good wages, highly unionized workforce and union prez applauding the company, the best example is Koch Industries and its 50,000 workers in the US. Of course, since Koch brothers do not have a history in nazi collaboration, shady currency manipulation, handing out $100M to professional voter fraud etc, it is considered Evil Empire by State Media.

  61. Juice X says:

    Shortest Bubble ever.

    Chinese seek refunds as salt panic subsides(short-lived salt bubble)
    AFP ^ | 03/20/11
    Posted on 03/21/2011 12:59:25 AM PDT by TigerLikesRooster
    Chinese seek refunds as salt panic subsides
    Sun Mar 20, 2:29 am ET
    SHANGHAI (AFP) – Chinese consumers caught up in panic salt buying in the mistaken belief it would protect against radiation from Japan’s nuclear crisis are finding stores are refusing to refund their hoards of salt.
    Supermarkets said they were unable to refund purchases of iodised salt, citing rules that say food cannot be returned if it has no quality problems, state media reported Sunday.

    Panicked shoppers had set off a run on iodised salt despite government reassurances that China faced no danger from Japan’s March 11 earthquake and tsunami, which left the Fukushima No. 1 nuclear power plant leaking radiation.
    A 60-year-old Shanghai woman told China Central Television (CCTV) that she called the police after a store refused to give her a refund for 50 packages of salt that she bought last week.

    “I bought this salt at six yuan ($0.91) per pack. Then I heard the supply of salt was not tight so I want a refund,” the woman, who was not identified by name, said in a phone interview.

  62. 30 year realtor says:

    61 RentLord – The only reason for an environmental contractor to remove asbestos siding is if the house is being demolished. Make Money is correct, just side over it.

  63. So What Who Cares?? (formerly 3b) says:

    #66 30 year Realtor: Any thoughts on Washington Township (Bergen) I thought I saw you mention something about it the other day. Your thoughts/comments would be appreciated.

  64. grim says:

    Third reco to side right over. The asbestos isn’t friable. Unfortunately I think vinyl Is your only choice, as I don’t believe you can use any of the fiber cement products (Hardiplank, Hardishingle) without losing the manufacturers/installers warranty.

  65. 30 year realtor says:

    3b from yesterday’s thread – I don’t understand why you are thinking of buying another house. Moving expenses, commission and other transaction costs on the sale and purchase are going to take many years to recover, unless there is something about your agenda that I don’t understand.

    If you are down sizing substantially and intend to stay in the new place for decades, it may be a reasonable plan. If you are simply making a sideways move to reduce property taxes, it just doesn’t add up IMHO.

  66. 30 year realtor says:

    3b – Wash Twp, Westwood, Paramus, Emerson etc, etc, etc…it’s all the same in suburban Bergen County if schools aren’t THE ISSUE. If you erase the boarder lines between the towns, other than property taxes and schools, does any town look very different from the next?

  67. RentL0rd says:

    Thanks for the advice. I believe (in the process of finding out more) the front of the house is wood while the rest is cement+asbestos. I would need to replace the front with vinyl (I would have prefered brick – but heard you have to do something structurally instead of just a veneer) , so wanted to explore what it means for the rest.

    The seller and I are $10k apart in negotiations.. and I wanted to use this as a bargaining chip. Let’s see where it goes.

    Thanks again!

  68. JC says:

    Rent (61): Spend the money and take it off. If you side over it you have to disclose when you sell, and it will cause a major freakout. I had asbestos shingle on 3 sides of my house and had it taken off. Now you may not be able to find a contractor like mine, who took it off himself. But it was put into large special bags and taken away by an asbestos abatement contractor. It cost about $4500 in 2004 to have it carted away.

  69. 3b says:

    #69/70 #30 Year Realtor: Sold my house a few years ago, and have been renting. Done with the schools this June. I have been fortunate in that the rental worked out well, (no increases in 5 years),but the owner will be selling in next year or so, (not interested in buying the hosue for a number of reasons).

    Too young to the do the town house/condo thing (IMO), and I am not a fan of that type of living. If I can buy paying a few hundred more than I can rent, then it makes sense for me in that I am viewing the next purchase merely as a long term rental. After I leave the current rental I do not want to have to move potentially every 2 years. I am looking at where property taxes are more reasonable than other towns (and Washington Twp taxes appear more reasonable), plus I am not interested in still paying a premium (although much less than the bubble period) for blue ribbon as I think it is a bunch of nonsense.WshTwp/West regional school does not have the blue ribbon,and as such I believe that Wash Twp may be overlooked by the blue ribbon home buyer crowd which is fine with me.

  70. cooper (42)-

    Hundreds of thousands would be my guess.

  71. JC says:

    #67: I responded to your question about Wash Twp. on yesterday’s thread. I live there. Ask me anything.

  72. JC says:

    BTW, Who Cares, there’s a new listing…POS cape, 2 car detached garage, 4 BR 1 BA…no dormer. $389K (but was on the market last year starting at $405K and dropped twice…did not sell). Bath has been redone as is kitchen. Basement family room is heinous, real 1970’s stuff. Well-maintained, owner has been there a long time and takes good care of the place but it will need some updating and redecorating. Neighbors on one side are great (friends of mine), the other side, well, serious tobacco road stuff. Bad. Close to the cul-de-sac on a dead end street.

  73. JC says:

    Also…said house has an in-ground pool. Not sure if that is a liability or benefit for you.

  74. veets (48)-

    In a word, no. We are already Third World, by even the most lenient standards. Once we have finish buggering the currency and are in the midst of hyperinflation, bank runs and general mayhem, let’s meet back here and talk.

    (No) earnings season, a moribund Q2 GDP, a debt ceiling battle in Congress that will go all the way to July, raging inflation in all the wrong things and QE3 virtually guaranteed should converge by midsummer to trigger the next leg down of this Depression.

    “I believe in America’s future. Do you?”

  75. danxp says:

    3b,

    this may have been touched on before, but why are you moving out of, is it river edge? i know taxes are ridiculous, but are there any other reasons?

    i’m actually considering moving into the river edge/oradell area (due to the schools i keep hearing about) because even tho the taxes are obscene, my payments would still be “affordable” if the house price is lowered accordingly… then there’s always the option (hopefully) of appealing after you’ve closed on a highly-assessed property…

    thanks.

  76. Juice X says:

    3B – Anecdotal – my old neighbors who emptied their nest a few years back sold their POS Cape in 2005, which they bought during the 80s peak. Bronx Irish like me. They actually moved back to Yonkers of all places and live on the top floor of a two family in which the lower apt pays for a good chunk taxes and mortgage. They can be near their children and keep the cost of living here down. Not a bad move for a Manhattan doorman and homemaker.

  77. 3b says:

    #75 Sorry did not see that. Why do the taxes appear to be so much more reasonable than some of the surrounding towns?

    Are there are lot of multi-family units?

  78. 3b says:

    #83 Actually thought of doing that, but for a number of reasons it does not work.

  79. 3b says:

    #82 Need to be further north for spouse (work).

  80. 3b says:

    #81 Do not need teh schools any more, so no desire to purchase and pay those property taxes. The schools are good, whether they are better than other surrounding ones to justify the premium, and the taxes, that is for you to research and decide.

  81. 3b says:

    #76 Saw that, actually looked fairly decent. Pool could work. Tobacco road stuff scares me, which leads me to another question. Without being insulting , is there in your opinion is there alot of a tobacco road element in the town?

  82. danxp says:

    3b (87),

    thanks…

    would you mind answering some more questions about the area?

    what parts of town are more “desirable”? where should i avoid? what parts get flooded?

    how is the commute to nyc?
    is parking at the train station an issue?
    is there an “express” bus? what number? how long does it really take to port authority?

    would you prefer oradell over river edge?

    also, i think i read somewhere that oradell is trying to reduce the amount they pay into the riverdell high school funding since they send far fewer students than river edge… any truth to this? if that’s the case, wouldn’t i want to be in oradell, where i might see lower taxes?

    thanks again.

  83. joyce says:

    (64)
    You are a retard

  84. 3b says:

    #90 danxp: The train ride is under 40 mts to Hoboken (about 30 minutes) for Seacaucus. Two parking lots north end of town for residents (wait list) $60 a quarter. South end of town big lot costs $3.00 a day.

    165 is the Express bus into PA, takes around 50 minutes depending on traffic.

    I would go on line to the Bergen Record for all the stories on the funding issue, which is true; it is big issue. I suggest you drive around both towns to get a feel for both towns.

  85. Libtard says:

    Juice X (82):

    Things may change in East Rutherford. They recently hired the ex-CFO of Montklair.

  86. Double Down says:

    Yank the asbestos siding down, install cedar (yes) or hardiplank.

  87. danxp says:

    3b (92),

    yup, you’re right… the record had an article saying that oradell is trying to adjust the formula used to calculate school funding… a vote is supposed to take place at some point, but they’re saying nobody’s going to vote in favor of a $1k property tax increase…

    so where’s this flood zone in river edge/oradell that i keep hearing about?

  88. 3b says:

    #95dxp: The issue is much more complet than that. RE will vote no to the change, Ora will vote eys. Both town have to approve it for the change to become effective. After the referendum Ora moves on to the next step; ultimatley it will be decided by the state supreme court.

    It is most certainly not a case of once the referendum is is held than it is done. In fact it is just getting started. I strongly suggest you read all of the articles that are listed in the Bergen Record, and that you stay on top of the issue.

    As for flooding there is no one psecific area that floods more than another, although those areas closest to the river are more prone to flooding.

  89. Mikeinwaiting says:

    WASHINGTON, D.C. (April 13, 2011) — Mortgage applications decreased 6.7 percent from one week earlier, according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending April 8, 2011.

    The Market Composite Index, a measure of mortgage loan application volume, decreased 6.7 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 6.3 percent compared with the previous week. The Refinance Index decreased 7.7 percent to its lowest level since February 11, 2011. The seasonally adjusted Purchase Index decreased 4.7 percent from one week earlier. The unadjusted Purchase Index decreased 4.1 percent compared with the previous week and was 11.4 percent lower than the same week one year ago.

    The four week moving average for the seasonally adjusted Market Index is down 3.3 percent. The four week moving average is up 0.7 percent for the seasonally adjusted Purchase Index, while this average is down 5.3 percent for the Refinance. Index.http://www.mbaa.org/NewsandMedia/PressCenter/76290.htm

    Shouldn’t the numbers of apps be increasing as we enter the spring selling season?

  90. Kettle1^2 says:

    95 fxp

    check the online FEMA flood maps. Many of them ate dated but it’s a good place to start.

  91. Kettle1^2 says:

    Mike

    just for kicks, don’t forget that there have been multiple rulings across the country that the MERS process seperates the note and the title. Only time will tell what comes of that.

  92. Libtard says:

    Mikeinwaiting,

    MBAS was down according to (get ready for this) fuel prices, as per Bloomberg Radio this morning. As usual, they expect this to be a one month anomaly.

  93. Libtard says:

    Post 100 kicks ass!

  94. Libtard says:

    Gator, Jr. and I head down to Florida tonight and then cruise on the EPIC next week. Try not to miss us too much.

  95. Bergenguy01 says:

    Bergen Cnty Property: Bank is going to counter my counter (on a short) but first has decided to execute a ‘drive-by appraisal’? Strikes with me a valuess and fraught with error endeavor. Are they? The house on first blush appears decent from the outside, however it’s a pre-foreclosure and occupied by renters forever (poorly maintained, I know a neighbor who’s got the scoop on the tenants through the years and their gripes).

    Do “drive by appraisels” tend to always favor one side? The buyer or the seller? I am thinking of telling the bank I don’t accept this and instead having my home inspector get in the house to document the disrepair. My agent has advised we not have a home inspection until we agree on a purchase price. Your thoughts? TIA

  96. Anon E. Moose says:

    ChiFi [55];

    Just cause she’s a Lolita doesn’t mean he’s not a dirty old man – kinda like Bill & Monica.

  97. still_looking says:

    102 Lib

    We will miss you! :(

    Posted late re coffee…. haven’t tried it yet, but will before the weekend. Have a safe flight and cruise! Let us know when you get back… thinking of getting a crew of kids to go to Crayola place in PA! Interested?

    Have fun!

    sl

  98. RentL0rd says:

    Regarding the house I was talking about… some updates.

    So, we were 10k apart (I was at $585k and they wanted $595k) , and looks like the the sellers agent took our offer and started shopping. I heard back this morning, that sellers had another offer at 9pm yesterday over $600k and if we wanted to go ahead had to bid something over $600k.

    I had my agent write a formal letter withdrawing our offer. Good luck to the sellers.

    I am willing to let go of the house – as much as I like it, but will not get into a bidding war.

  99. RentL0rd says:

    On a lighter side.. here’s candid camera on the czech president stealing.. yes, stealing!
    http://tinyurl.com/3sox3m2

  100. Happy Renter says:

    [106] RL – funny how those higher offers always come in at the last minute during negotiations …

    Who knows if it’s a real offer or not, but in any case, you’re wise to walk away. Plenty of fish in this sea.

  101. Libtard says:

    Rentlord (106): You will do well. Expect them to call you back as the other offer fell through tomorrow. You could then be a ballbuster and resubmit a lower offer. Just tell them that you know another buyer offered less, so it’s only fair.

    Still (105): We would be up for the Crayola thing. Enjoy the beans. We’ll touch base on our return.

  102. JC says:

    3b (#84):

    You asked:

    “#75 Sorry did not see that. Why do the taxes appear to be so much more reasonable than some of the surrounding towns?

    Are there are lot of multi-family units?”

    There are a number of condo complexes in town but not many multi-family houses. Taxes are lower than in some surrounding towns (like Ridgewood) because the school system is so-so. And also, we don’t get much bang for the buck. Trash collection is private, not municipal…so you pay for trash collection. You can choose between two haulers and have once or twice a week pickup. Either way, you have to buy the trash bags at the A&P in town. I have Waste Mgmt (force of habit) @ about $62/quarter…so you can add about $240 to your “tax bill” to make an equivalent consideration with other towns. Leaf collection in a town with many old-growth trees is only twice, which means that most streets have huge piles of leaves. Recycling collection is 2x/month. Household debris pickup is 6x/year (monthly from April-September). The town is pretty much run by and for the recreation contingent with an obsession with youth sports to the virtual exclusion of almost anything else. Read the archives at Pascack People for local scuttlebutt. Yes, it is highly biased, but I’m not sure it’s that far off.

    Here is the listing I mentioned earlier.

  103. NJSerf says:

    (106) I get trying to negotiate the best price, but you’d really let a deal go over that small of a price difference? 10K on that purchase is about 1.7 percent.. its not the same as 10K on a 100K purchase… just sayin.

  104. JJ says:

    A poem Bernie Madoff should have wrote.

    This Is Just To Say
    by William Carlos Williams

    I have eaten
    the plums
    that were in
    the icebox

    and which
    you were probably
    saving
    for breakfast

    Forgive me
    they were delicious
    so sweet
    and so cold

  105. JC says:

    3b (#88): Sorry, didn’t see this post before or I’d have responded to it in my last one. No, there is not a big Tobacco Road element in town. Most of the badly-kept houses are older people who simply cannot maintain anymore. I would say this is maybe 2% of the housing stock, no more. Then there are houses like mine — bought in 1996 from elderly people who had done nothing and 14 years later still fixing up a bit at a time.

    For a while, everyone was remodeling…but that has slowed down a lot. The section of town where that listing is, is mostly capes and ranches….about 80% or more have had some degree of updating, even if only new siding, windows, or landscaping. Modest but pleasant. Lots avg. 75 x 100. This section is walking distance to the high school (about 1/2 to 3/4 mile). It’s east of the Parkway. There is the “Lake Association” community, which is pricey — larger homes, the most expensive of which have lake frontage (and the associated goose p00p that goes with it). West of the GSP are larger bi-levels. My guess is that the eastern part of town (capes and ranches) are late 1940’s to early 1950’s vintage, with the west side being mid 60’s to early 70’s vintage.

    Any more questions, just ask.

  106. Libtard says:

    For me $10,000 is $10,000. You figure what the house is worth and if the sellers won’t sell it to you for that price, move on. Unless a couple hours of your time are worth $10,000, then move on.

    We made a best and final on our inspection items that was only $1750 short on a +$400,000 purchase. Our buying agent thought we were smoking crack (of course she didn’t want to lose the commish). Our lawyer supported it, knowing that we were in a pretty good negotiating position, considering the house had fallen out of contract twice, each time improvements were made and the seller was definitely getting desperate after accepting our offer that was nearly 20% off original list. Guess which professional ended up being right?

    That difference nearly paid for the new roof we discovered we needed after ripping down the kitchen ceiling. For what it’s worth, ChiFi’s uber-inspector thought it might be the case so we sort of were expecting it.

  107. Mikeinwaiting says:

    Lib 100 So they are saying in 1 month gas will go down. LOL
    Had some business with Brian I gather things are moving along nicely.

  108. Libtard says:

    Pretty well. A lot of gun talk with that guy. :P Not surprising.

  109. 3b says:

    #10 JC By so so, do you mean decent? I will have to check out the scores vs. the surrounding areas. As I said no longer need the schools, but if the schools were horrible, that would be an issue for me for potential resale purposes.

    Did not realize it was private garbage, but another $240 is not a big deal, when the tax savings could potentially be 4 to5k or more a year. We have municipal garbage but it is only twice a week in the summer months; once a week Fall through Memorial Day. The other recycleable schedule is similar to what I have now.

    As far as the sports thing, I think most towns are like that, and unfortunately every town has their clique that kind of runs the place, andd thinks they know it all. Overall would you recommend it? And thanks for the link.

  110. Mikeinwaiting says:

    Market rolled over today after a strong open, catalyst? Been off the grid.
    Lib 116 they armed to the teeth up here. Sort of insurance, most of the guys I know are.
    Get them together you have a lot of firepower. Debt you would love this crowd.

  111. NJSerf says:

    Point taken. However, one also needs to factor in the time and opportunity cost.

    This market is littered tons of garbage inventory. If you’re lucky enough to stumble on a property that’s priced fairly,is in good condition, and meets your families needs I would think that such a small percentage wouldn’t be a stumbling block. Letting a deal in the 500K+ range fall apart over 10K means that you’re not really serious about buying a home.

    Not saying there’s anything wrong with that; but don’t delude yourself with pithy excuses about crazy sellers without taking a long hard look in the mirror.

    Libtard says:
    April 13, 2011 at 2:21 pm

    For me $10,000 is $10,000. You figure what the house is worth and if the sellers won’t sell it to you for that price, move on. Unless a couple hours of your time are worth $10,000, then move on

  112. Kettle1^2 says:

    mike 119

    A Red Dawn redux?

  113. Libtard says:

    Wolverines!

  114. RentL0rd says:

    For me it’s not the $10k. It was about where we will end up in. Once it’s a bidding war, it’s about emotions and pitching against each other. So I easily see going up close to $620k – their official list price.. or more. And for a 40yo house and all the fix ups to be done… my agent and I don’t think this property is worth that much.

  115. Mikeinwaiting says:

    Ket, lib yes.

  116. Happy Renter says:

    [120] “Letting a deal in the 500K+ range fall apart over 10K means that you’re not really serious about buying a home. ”

    Letting a deal in the 500K+ range fall apart over 10K means that you’re not really serious about SELLING a home.

    Especially in this market when each month brings continued decreases in home prices and the spring selling season is already being declared DOA.

    And that’s the kind of “seller” that may be a hard@ss when it comes to attorney review, inspection issues, etc.

  117. JC says:

    3b #118: Look, it’s a pleasant enough town to live in. I think the schools are like #74. I will tell you that houses are selling in Wash. Twp. Yes, there’s the spec McMansion on Mountain Avenue that has been on the market for 2 years, is unfinished inside, and the builder won’t drop the price below 7 figures. But a house similar to the one in the listing, same neighborhood, fewer updates but with a dormer and 2 baths, went under contract as soon as the listing price dropped to $365K so my guess is the selling price was somewhere between $350K and $360K, which I think would probably be the ballpark for the listing I sent you given that the listing house has a new kitchen and bath and 2-car garage. Things are moving when they hit the right price.

    You can look at recent sales in the town at this site. They post sales every two weeks so you could get an idea of prices.

    For the most part, people in town are pretty friendly. It’s quiet, not a lot of traffic, very pretty in spring and summer. Not many civic activities outside of youth sports, but if you just want a comfortable house, not snooty, relatively low taxes for Bergen, you could do worse. I think it was more pleasant when we moved in than I do now, mostly because I know more about the clowns and thieves running the government, but what isn’t angrier than it was 15 years ago?

  118. jamil says:

    “Drinking alcohol primes certain areas of our brain to learn and remember better, says a new study from the Waggoner Center for Alcohol and Addiction Research at The University of Texas at Austin.”

    Not sure I believe this, but why take chances?

  119. JC says:

    3b: Patch article on this year’s Wash. Twp. budget here.

  120. Anon E. Moose says:

    Serf [120];

    Unsuprisingly, I agree with Happy Renter [125] on who’s being more inflexible. RentLord’s offer was 95% of the last ask, not 75%. Those sellers have probably never in their lives before 2005 imagined that they would handling a check for over half a million dollars for anything.

  121. Mike says:

    jamil 127 lol did they say how much primer is needed?

  122. Painhrtz - Cat of God says:

    Favorite red dawn quote

    “A member of an elite paramilitary group, the eagle scouts.”

    Most eagle scouts can’t their own shoes to walk an old lady across a street. In the woods they are pusses One all time cold war propaganda favs, strategy was sound for the invasion and apparently the Soviets did a feasibility study to see if it would work.

  123. 3b says:

    #128JC Thanks.

  124. Kettle1^2 says:

    Pain,

    The organization has been significantly pussified over the last decade or two. Its really quite a shame.

  125. 3b says:

    #26 JC Thanks for the balanced and honest appraisal of your town. It sounds like what I am looking for. I really do appreciate your insights. Refreshing from the typical cheer leading so many engage in when it comes to their town. I will keep you posted.

  126. Anon E. Moose says:

    Pain [131];

    Lots of red meat gun propoganda in that flick (pun unintended). The scene where a Russian picks up a gun from a body with a tight shot on the pick-up truck bumper in the immediate background having the classic NRA sticker “…from my cold dead hand” (bumper stickers; how quaint). Or when the Cuban tells the Russian to raid the local gun store for registration records so they know which houses to roust for weapons.

  127. make money says:

    http://www.youtube.com/watch?v=CFoYkWulKOI&feature=player_embedded#at=40

    must watch. The president steals a pen and he’s soo happy doing it. Just look at his face after he pockets it.

  128. JC says:

    3b: You’re very welcome. Good luck, let us know what listings you look at.

  129. Comrade Nom Deplume says:

    [133] kettle

    True. I could probably survive better on my 3.5 decade old scout knowledge than today’s eagle scout. It’s largely irrelevant in the Nintendo Age. And the left is still trying to get it disbanded, or at least get its 503(c) status yanked.

    Sad, really. I would get involved in the boy scouts again but for two things: First, I don’t have any boys so I have no real motivation, and second, it would violate my pledge to never volunteer for anything involving children. Fastest way to get tagged as a potential ped-o-phile is to get involved with children. Unless you have a uterus, you will always be a suspect in someone’s eyes.

  130. Comrade Nom Deplume says:

    [135] moose,

    I have a friend from DC that is so far right, he thought that Red Dawn was left wing propaganda.

    Not kidding.

    I never did ask why he thought that. I think he was thinking of another movie when he said it.

  131. Comrade Nom Deplume says:

    [135] moose,

    Speaking of bumper stickers, my favorite was on a door near West 4th station (yes, in the Village). It said “Fear the government that fears your guns.”

  132. JJ says:

    Children is a dish best served cold.

    Comrade Nom Deplume says:
    April 13, 2011 at 3:57 pm

    [133] kettle

    True. I could probably survive better on my 3.5 decade old scout knowledge than today’s eagle scout. It’s largely irrelevant in the Nintendo Age. And the left is still trying to get it disbanded, or at least get its 503(c) status yanked.

    Sad, really. I would get involved in the boy scouts again but for two things: First, I don’t have any boys so I have no real motivation, and second, it would violate my pledge to never volunteer for anything involving children. Fastest way to get tagged as a potential ped-o-phile is to get involved with children. Unless you have a uterus, you will always be a suspect in someone’s eyes.

  133. Anon E. Moose says:

    Nom [140];

    I’ve concluded that only Prius Hybrids are permitted to have bumper stickers these days, but am unsure why they ususally have so many of them. I guess their owners are just that dedicated to keeping our national average bumper sticker population up.

  134. JJ says:

    BS, I had in my deal prior own would leave garden hose, lawn chairs, rakes and trash cans as I was moving from a coop and had none of that stuff. I would walk away in a second if even one rake was missing.
    It is called pride and honor. BTW you pay back triple with interest the amount borrowed. So 10K is really 30K.
    If 10K is nothing let the realtor eat it. In my case if that damm hose was missing the realtor or the home owner better be buying me one or I am walking!!! Just like a car, would you do deal if guy screwed you on floor mats.

    Sellers are not serious about selling. I had one SOB seller who wanted to rent off me for one to two months after close. I said fine. I won’t even charge you rent. However, homes are falling 1% a month. My bid is 4% below todays value to account for the 60 days close and your two months of renting. I am bidding on value the day I move in not today’s value. Stupid SOB did not understand concept. Anyhow I did no deal, he ended up selling a year later for like 10% less. Sellers are not serious. Buyers are serious. Still like lady I lowballed and she said she needed to really sell. I told her look I write you a check right now and you can be out of here today, you are the only one holding up the sale. Well in that case she did sell eventually for $150K more than I offered. But what am I supposed to offer full price. I am looking for motivated sellers. Bring back RTC kick them all out and let me start buying. My finger trigger is itchy.

    Happy Renter says:
    April 13, 2011 at 3:02 pm

    [120] “Letting a deal in the 500K+ range fall apart over 10K means that you’re not really serious about buying a home. ”

    Letting a deal in the 500K+ range fall apart over 10K means that you’re not really serious about SELLING a home.

    Especially in this market when each month brings continued decreases in home prices and the spring selling season is already being declared DOA.

    And that’s the kind of “seller” that may be a hard@ss when it comes to attorney review, inspection issues, etc.

  135. Painhrtz - Salmon of Doubt says:

    Nom wow that must have been one bible thumping right wing, militia joining wacko to think Red Dawn is left Wing

    though there are not many Gamers on here currently playing homefront on PS3 which was written by John Milius of Red dawn fame. Details N. Korea invading and taking over states game is kind of weak plot is very compelling

  136. Kettle1^2 says:

    Nom,

    When i was in 80’s/90’s, there was already a great divide forming between those troops that were “oldschool”, encouraging competition and physical interaction and the “new age”group that avoided getting too dirty or engaging in activities that could end up with someone losing, a bit bruised or violent (those evil guns).

  137. Kettle1^2 says:

    Nom

    It’s largely irrelevant in the Nintendo Age

    I disagree. The sales pitch may not fit with current demographic interests, but the basic skills of self reliance, responsibility and leadership are truly timeless. That said, I wouldn’t be pushing my son to join any of the troops that I am currently aware of given the cultural drift within the organization away from the core principles.

  138. JJ says:

    boy scouts are nancy boys. Back in the day they were manly man. Pretty much by mid 70’s they were a little limp in the wrist already.

  139. Kettle1^2 says:

    Pain 144

    I recently took part in a carbine tactical training course. What i found interesting in hindsight is that i honestly believe that my “gamer” phase was useful in the form of mental conditioning. It has been a while since i had the time or inclination to really delve into FPS ( i was a halflife / medal of honor junky for a while back in the day) but the thought process of assaulting through a position or flanking relative to a given terrain is still there and in my opinion acts as a sort of “muscle memory”.
    I recognize that i have military training as well, and you cant just take a hardcore gamer and hand them a gun, but in the right situation i think it can be beneficial in terms of skills.

  140. 3b says:

    #37 Thanks I will. I did a rough check on SAT score just for my own curiosity. Yes WW_ regional is not as high as River Dell, but at around 100 or so points lower, does not kill it for me. The scores are decent. As I said don’t need the schools, just thinking resale at some point. As far as graduation rates and other factors all comparable.

  141. Anon E. Moose says:

    JJ [143];

    Bring back RTC kick them all out and let me start buying. My finger trigger is itchy.

    +1

  142. Dan says:

    Red Dawn…… Johnny has a long red mustache.

    “Excuse me, I thought there a billion screaming chinamen”

    Whoooshhhh. “There were”

  143. relo says:

    Coast,

    Heading to Starland tomorrow night with one of the young ‘uns. I recall you were working that gig. Still the case?

  144. bergen (103)-

    Why would the bank be countering you on a short sale? It’s not their property (yet).

    Most banks don’t order a BPO or an appraisal until the property is under contract, through attorney review and the borrower has submitted an entire package.

    Whenever I hear this, it makes me suspicious, as the bank generally will never get involved in an initial price negotiation on a short sale. I think some listing agents just say the bank is on the other side of the table to give heft to their seller’s otherwise untenable position.

  145. serf (120)-

    Good luck selling that line of thinking here. I stopped trying about three years ago and just accepted that many here will never buy a home and throw snags in their own paths to undermine what could actually be successful purchases.

    10K is nothing in the 500K range when you’re buying into this shitpile of a market. The real question is: why’s the buyer even looking?

    We’ve got a good 25% or so still to drop, and we’re on the precipice of another big leg down. If price is everything, why pull the trigger now?

  146. Shore Guy says:

    Going to Mexico? Don’t lose your head. State Dept warns of dangers to US citizens south of th border. 107 Americans killed there last year:

    http://online.wsj.com/article/SB10001424052748703518704576259332428064652.html?mod=googlenews_wsj

  147. make (136)-

    Bojangles wants to steal my kids’ future, but I don’t see that on YouTube anywhere.

  148. Shore Guy says:

    Yawn.

    http://www.nytimes.com/2011/04/10/opinion/10dowd.html

    Bob Dylan may have done the impossible: broken creative new ground in selling out.

  149. Circle, meet jerk:

    “Warning: people on blood pressure medication are urged not to read this.

    Yesterday the media had a field day when it was uncovered that the hard fought $38 billion in budget “cuts” which almost caused America to shut down were in reality $14 billion. We, thus, can’t wait to find out what the response will be when it is uncovered that the actual cuts were… $353 million. Yes: the ongoing functioning of the government was a pawn in a soap opera whose benefit to the US debt is $353 million, or about what Goldman’s trading desk makes in less than one day.”

    http://www.zerohedge.com/article/38-billion-cuts-make-353-million

  150. On what day this summer will the entire planet walk away from buying our debt and agree that our currency is the one-ply Marcal we already know it to be?

    Because I want to be on vacation the day after.

  151. “The way to crush the bourgeoisie is to grind them between the millstones of taxation and inflation.”

    Vladimir Lenin

  152. Shore Guy says:

    I wonder who Barry Bonds’ cellmate will be? Can he have a personal shopper in the big house?

    http://latimesblogs.latimes.com/lanow/2011/04/barry-bonds-verdict-.html

  153. Shore Guy says:

    Barry, ask Tricky Di-ck and Clinton, man, the coverup is what will get you.

  154. Happy Renter says:

    “A backlash in Finland against bailing out debt-laden European countries risks producing a government opposed to measures needed to quell the euro area’s fiscal crisis, a top Finnish civil servant said. ”

    http://www.bloomberg.com/news/2011-04-13/finland-risks-anti-euro-government-amid-backlash-top-government-aide-says.html

    Portugal should have let them win that friendly last month …

  155. Shore Guy says:

    Hey Sastry, have you been following GOPIO and the Indian passport surrender/visa issue?

  156. DejaVu says:

    I have been quietly looking at condos with the idea that I no longer think I want to mow lawns or shovel snow. Not ready to buy for at least 2 years. One very real concern I see is more and more condo owners not paying their monthly fees which translates into reduced and poorer maintenance or increased fees for those who do pay their monthly fee.

    Any thoughts on this and is my perspective well founded?

  157. Neanderthal Economist says:

    “many here will never buy a home and throw snags in their own paths to undermine what could actually be successful purchases.”
    Debt. If sellers will bring the 4br down to 1 dollar, i’ll sign the darn contract.
    Providing prop taxes are below $10k, kitchen is encrusted in granite and sellers pay the closing costs. And only if mortg rates don’t spike.

  158. Shore Guy says:

    Deja,

    Those are the least of your worries. Look at what happened im FL and you will see the pitfalls of condos, and their fees.

  159. chicagofinance says:

    I haven’t laughed this hard in a very long time. Pure out-of-the-box CLASSIC stuff….

    Bill Clinton calls old Times Square ‘romantic’

    Former President Bill Clinton on Wednesday said the city had improved Times Square by making it a family- and pedestrian-friendly place but said its former mix of prostitutes and colorful characters was “romantic” and “fascinating.”

    Clinton appeared with Mayor Bloomberg Wednesday as they announced the merger of their climate groups — Climate Initiative and C40 — and boasted that turning cars away from the tourist mecca in the center of the city had improved air quality.

    “When I was 18 years in November of 1964, a freshman at Georgetown, I first went to Times Square. I bought a steak at Tad’s Steakhouse. I heard a guy ream his mother out, poor working woman, because she’d given him a hi-fi instead of a stereo speaker. I remember everything about it,” he said, according to a transcript of his remarks published by The New York Times.

    “I saw a hooker approach a man in a gray flannel suit. Pretty heavy stuff for a guy from Arkansas. My view is it’s way better now. You have to look at the overall numbers. Yes, look, I still have vivid memories of it. Romantic, fascinating.”

    Clinton said Times Square was now a better place after the hustlers and crooks of the past had made way for the giant electronic billboards, theme restaurants and droves of wide-eyed, camera-clutching tourists of the present.

    “It was dangerous from the point of crime and it was unhealthy from the point of public health,” he said, adding later, “I think you did the right thing and I think there is no question that New York is better and the tourists are better off. And I love it.”

    Mayor Bloomberg said since the creation of the Times Square pedestrian plaza in 2009 the concentration of traffic-related pollutants nitrogen oxide and nitrogen dioxide dropped by 63 percent and 41 percent respectively.

    “We created pedestrian plazas right in the heart of our city to straighten out some of the chokepoints in our street grid and to help traffic flow more smoothly and quickly through Midtown,” he said. “We also expected that by reducing the numbers of vehicles in and around Times Square, we would also improve the area’s air quality, and that’s exactly what the numbers now show.”

    Another breath of fresh air is expected to be added to the “Crossroads of the World” this summer with al fresco dining areas in the works. Up to five vendors will be contracted to take orders and serve food to people sitting at the 350 red chairs and 100 tables within the car-free area, according to a request for proposals released last month.

  160. deja (167)-

    Yep. Many associations spend lots of time and money filing liens against late HOA fee payers. Every once in a while, they have to move to foreclose.

    Also, more than a few HOAs in NJ are undercapitalized, in violation of their covenants. If there’s a round of maintenance or re-capitalization (that may have already been deferred) coming up, a new buyer could find massive, unexpected surcharges on top of his HOA fees.

    Finally, in some troubled developments, homeowners will rent out their units in an attempt to stop a cash burn. If FHA deems the percentage of absentee owners in that development to be too high, they will not insure mortgages for purchase.

    Community living can be great. It can also be grabbing a tiger by the tail. As always, due diligence is necessary.

  161. veets (168)-

    I ain’t buying no damn house unless the owner gives me all his guns at the closing.

  162. chi (170)-

    In a way, moving from Times Square…to that road-grit blasted hag, aka Hillary…to Lewinsky…has been a steady process of moving up for the boy from Arkinsaw.

  163. Confused In NJ says:

    WASHINGTON – House Republicans continued their multipronged attack on the health care law enacted last year with a vote Wednesday to eliminate a section in the law providing $15 billion over the next decade on such preventive health care issues as fighting obesity, reducing smoking and promoting better nutrition.

    Republicans described the Prevention and Public Health Fund as a “slush fund” for the secretary of health and human services that is not subject to congressional approval or oversight.

    The vote, almost entirely along party lines, was 236-183

  164. We’re all headed back to the 15th century together. It’ll be a day-long fight for most of us to scrape together enough of a meal to stave off scurvy.

  165. Confused In NJ says:

    167.DejaVu says:
    April 13, 2011 at 6:11 pm
    I have been quietly looking at condos with the idea that I no longer think I want to mow lawns or shovel snow. Not ready to buy for at least 2 years. One very real concern I see is more and more condo owners not paying their monthly fees which translates into reduced and poorer maintenance or increased fees for those who do pay their monthly fee.

    Any thoughts on this and is my perspective well founded?

    We sold our house and bought a townhouse with the same premise. Sold it three years later and bought a house again, outsourcing the lawn care, still do snow with an Ariens Blower. The Condo/Townhouse was a terrible idea. If the maintenace costs are low, be assured they are not funding the Capital Fund. There is so much overhead you are paying for, much cheaper to simply hire folks to do work you no longer want to do, without paying for things like management companies, board member bonding & insurance, common area insurance, etc., etc., etc.

  166. Vodka, from what I remember from 100-level physics, uncontrolled, open-air fission isn’t a good thing. Right?

    “It had been a while since we had a factual update (as opposed to just lies and spin) from Fukushima. Courtesy of Kyodo, we now know that what was speculated by some as true, and rebutted by most as mere scaremongering, is in fact, fact. “Some of the spent nuclear fuel rods stored in the No. 4 reactor building of the crisis-hit Fukushima Daiichi power plant were confirmed to be damaged, but most of them are believed to be in sound condition, plant operator Tokyo Electric Power Co. said Wednesday.” Naturally, in one month we will learn that most of them are damaged, and in two months, that each and every one has been demolished. “The firm known as TEPCO said its analysis of a 400-milliliter water sample taken Tuesday from the No. 4 unit’s spent nuclear fuel pool revealed the damage to some fuel rods in such a pool for the first time, as it detected higher-than-usual levels of radioactive iodine-131, cesium-134 and cesium-137.” These confirm an ongoing fission reaction. In a tremendously ironic development, the No. 4 reactor, halted for a regular inspection before last month’s earthquake and tsunami disaster, had all of its 1,331 spent fuel rods and 204 unused fuel rods stored in the pool for the maintenance work. Unfortunately, the entire pool ended up being damaged following the quake and the subsequent explosion, in essence nullifying any protection that the containment dome would have provided. As the picture from the Asahi Shimbun below shows, the damage from overhanging structures which have subsequently fallen into the fuel pool likely means that there could well be an uncontrolled, if weak, fission reaction currently going on in the reactor 4 SFP (where the water temperature is currently 90 degree) unprotected by the elements due to the complete destruction of the Reactor 4 shell.”

    http://www.zerohedge.com/article/tepco-confirms-reactor-4-spent-fuel-pool-now-uncontrolled-open-air-fission-process

  167. DejaVu says:

    Thanks for all of your comments on the condo / Townhome subject. I guess I was hoping for some positive comments but the reality is I have heard horror stories well before the housing market tanked about finances, HOA issues… and being pretty independent minded, I probably should put the idea to rest.

    Had a relative who lived in a high rise and was trying to sell a few years back when the roof problems hit. Big economic hit. I guess all the “convenience” comes at a cost. Maybe I’ll just stick with a luxury apartment.

  168. DejaVu says:

    Debt – I believe in yesterdays MarketWatch they indicated that there were elevated levels of I-131 in three Philly water plants. Levels were claimed to be within the safe range and no direct link with Japan was established.

  169. deja (178)-

    Don’t be discouraged. There are plenty of complexes that are good and well-run. One of those might be a place where you can get a good buy and enjoy your home. Just be aware you can’t get under contract and go to sleep until it’s time to close.

    Due diligence!

  170. All the shit in Philly’s water is probably leftovers from TMI.

    I hear all the milk from out there is still loaded with strontium-90.

  171. Anon E. Moose says:

    Debt [153];

    I think some listing agents just say the bank is on the other side of the table to give heft to their seller’s otherwise untenable position.

    *whistles*

  172. Anon E. Moose says:

    ChiFi [170];

    I walk through TS daily. New York did not rise to become the commerce capital of the world on the back of rickshaw pedicabs. I wonder how many trillions of dollars it would cost the city to rebuild the crumbing hundred year old subway vault beneath street level, and where they would get the money to do so. On the other hand, tourists are MUCH lighter than cars and trucks. Just sayin’…

  173. Confused In NJ says:

    178 Deja Vu

    This listing in Berkeley Heights is similar to what we sold in 2006. They are asking $564,500, back in 2006 they were $700K+. Taxes are $9,450 & Common Fees are $630 per month, so annual nut is $17K. They are nice however.

    http://new.gsmls.com/publicsite/propsearch.do?method=moredetails&sysid=2845000

  174. Shore Guy says:

    I just got this from ASCAP. So, those of you who love live music, make note:

    Make Music New York Returns June 21, 2011

    Get Involved! Make Your Concert Arrangements By April 21

    Make Music NY

    Tuesdsay, June 21, 2011

    All day, all over New York City

    Free!

    Last year, on the summer solstice, Make Music New York organized one of the biggest musical events in the city’s history: over 1,000 free outdoor concerts in an incredible array of genres and locations. Thousands of musicians entertained New Yorkers on sidewalks, streets, parks, and gardens throughout all five boroughs of NYC in “an eleven-hour escapade of musical creativity” (New Yorker).

    Make Music New York returns on Tuesdsay, June 21, 2011. This year, hundreds of parks, sidewalks, and streets are available for musicians — including 88 locations with upright pianos! Enroll in the free program today, and Make Music New York will coordinate your concert with others in the neighborhood, secure all necessary permits, and promote your event through Time Out New York, Metro New York, and WNYC. Last year’s festival drew tens of thousands of listeners and international media coverage. Don’t miss out on this opportunity to connect with New Yorkers from all walks of life.

  175. Outofstater says:

    Just in case anyone wants weather and radiation levels near the Nevada Test Site:

    http://cemp.dri.edu/cemp/

  176. Al Mossberg says:

    This is how I see our future. Do you see it differently?

    Eustace Williams where are you?

    http://www.youtube.com/watch?v=J2LG-ASco6o

  177. Al Mossberg says:

    So where was that Kenyan bastard born? I, for one, still believe in Barack Hussein Obama. All you haters make me ill.

    In 2012 we will revel like the old days. It almost brings tear to my eyes to even think of it.

    http://www.youtube.com/watch?v=lLVN3Trs5VQ

  178. moose (182)-

    Why don’t you put your lips together and blow yourself?

  179. Oh…fcuk you, too.

  180. You’re a white trash, lawyer-lackey pig that I will not address in person.

  181. 1031 Route 202, Branchburg. Please set one foot on my property, and give me a reason to blow your brains out.

  182. Shore Guy says:

    For those who like wine:

    http://www.nytimes.com/2011/04/13/dining/13flash.html?pagewanted=print

    Interesting sources for discounted wine.

  183. Fabius Maximus says:

    Lacrosse is for wimps. This is the worlds best sport.

    http://www.slate.com/id/2291001/

  184. chicagofinance says:

    Manhattan island is constituted of some of the hardest rock around. It’s the reason that can build the skyscrapers as high as they do. The subway tunnels will be there longer than man on earth….didn’t you see Planet of the Apes?
    http://en.wikipedia.org/wiki/Manhattan_schist

    Anon E. Moose says:
    April 13, 2011 at 9:24 pm
    ChiFi [170]; I walk through TS daily. New York did not rise to become the commerce capital of the world on the back of rickshaw pedicabs. I wonder how many trillions of dollars it would cost the city to rebuild the crumbing hundred year old subway vault beneath street level, and where they would get the money to do so. On the other hand, tourists are MUCH lighter than cars and trucks. Just sayin’…

  185. sas3 says:

    Shore, didn’t come across news about this new fee structure. Seems a little steep. I am a few years away wrt citizenship…

  186. Barbara says:

    “Sales prices have depreciated 63.1% over the last 5 years in Montclair.” Trulia

    Wouldn’t know it by the current asking prices.

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