From the Inquirer:
Phila. single-family home prices, sales volume soar in 2Q, data show
In the spring, Philadelphia’s single-family housing market had its best quarter in a decade, with prices and sales volume surging throughout the city.
The average house value “soared” by 7.3 percent in 2015’s second quarter compared with the first three months of the year, said Kevin Gillen, chief economist of Meyers Research and senior research fellow at Drexel University’s Lindy Institute for Urban Innovation.
Based on single-family home sales data between April 1 and June 30 from the city Recorder of Deeds, Gillen said, the quarterly price rise was the largest since second quarter 2005, at the height of the real estate boom.
“With this increase, average Philadelphia house prices are up 5.4 percent from where they were a year ago, and 14.4 percent since their bottom in the first quarter of 2012,” said Gillen, who tracks the real estate market throughout the Philadelphia area. (His analysis of second-quarter sales in the region will be available in two to three weeks.)
Spring 2015’s median price of $138,600 was up 18 percent from $117,500 in the previous quarter, and 20 percent higher than the $115,000 median of second-quarter 2014, Gillen said. (The report did not include sales of condos, which he defines as multifamily housing.)
Every city neighborhood saw an increase in price – the first time that has occurred since second quarter 2013, he noted.
“It is the hottest market I’ve seen in more than 10 years,” said Carol McCann, an agent with Re/Max Millennium in Fox Chase.
From NJ Spotlight:
THE LIST: TOP 10 COUNTIES IN NEW JERSEY WITH THE HIGHEST FORECLOSURE RATES
The Garden State has the dubious distinction of having the second-highest foreclosure rate in the country
It’s no secret that New Jersey has a foreclosure problem. In fact, it’s the state with the second-highest foreclosure rate, after Florida, according to realtytrac.com,
And as NJ Spotlight has reported, the Garden State ranks No.1 for “zombie foreclosures”: instances in which a foreclosed property is vacated but not repossessed, thus remaining uninhabited. Another dubious distinction: New Jersey has the longest foreclosure timeline in the country– 1,103 days, one of the main factors in the “zombie” problem.
Where are foreclosure problems the worst? This list counts down the 10 counties with the highest foreclosure rates, using data from realtytrac.com, which ranks counties by calculating the number of housing units — houses, apartments, and so on — all told, and how many of those have been foreclosed on. The foreclosure total is a sum of all the assorted foreclosure filings in a county. If a single property receives multiple filings, only the most recent is counted.
…
1. Atlantic County: 1 in every 230 housing units foreclosed
Atlantic County is New Jersey’s most foreclosure-prone area, and one of the most foreclosure-riddled counties in the country. As of May 2015, one in every 230 housing units in the county had been foreclosed, which translates into 553 units out of a total of 126,929.
2. Camden County: 1 in every 257 units foreclosed
A total of 39 percent of the county’s 513,512 housing units have been foreclosed on: that’s 799 properties, the highest number in the state.
3. Sussex County: 1 in every 266 units
In Sussex County, 038 percent of a total of 61,993 housing units have been foreclosed on, for 233 foreclosures all told.
4. Cumberland County: 1 in every 273 units
This county in southern New Jersey hosted 205 foreclosure filings in May 2015; 0.37 percent of its 55,992 housing units are in foreclosure.
5. Salem County: 1 in every 319 units
New Jersey’s smallest county has one of its highest foreclosure rates. Only 86 housing units were in foreclosure in May 2015, but the county as a whole has only 27,469 units — 0.31 percent of these are foreclosed.
6. Burlington County: 1 in every 331 units
This county’s foreclosure rate is 0.30 percent; 532 of its 176,180 housing units are in foreclosure.
7. Union County: 1 in every 407 units
This county hosts 200,061 housing units, 492 of which have received foreclosure filings, equaling a 0.25 percent foreclosure rate.
8. Ocean County: 1 in every 426 units
This coastal New Jersey county has a 0.23 percent foreclosure rate, with 654 out of 278,766 units foreclosed on.
9. Mercer County: 1 in every 456 units
This central county is home to New Jersey’s state capital. A total of 315 foreclosures in May out of 143,656 housing units, gives it a 0.22 percent foreclosure rate.
10. Gloucester County: 1 in every 466 units
This South Jersey county , boasts 110,415 housing units; 0.21 percent of which have received foreclosure notices.
Deadbeat lenders, disgruntled NJ borrowers, drive NJ’s preeminent foreclosure law firm into bankruptcy, from NJ Law Journal:
Foreclosure Firm Pins Pending Demise on Non-Paying Clients
Even as foreclosure filings surge in New Jersey and elsewhere, Zucker Goldberg & Ackerman, arguably the state’s bellwether foreclosure firm, finds itself in debt to the tune of $20 million and facing bankruptcy after 92 years in the business.
But, after posting $30 million in gross revenue in 2014, the Mountainside firm’s expected shuttering is not for lack of business; it is instead due to changes in the nature of the business, according to its bankruptcy counsel.
“The clients have driven Zucker Goldberg to this point,” said Daniel Stolz of Wasserman, Jurista & Stolz in Basking Ridge. “The regulations and compensation structure that the large banks have imposed on firms like Zucker Goldberg do not allow them to make a profit.
“Management of Zucker Goldberg over the years has overcome a lot of these types of issues,” Stolz added. “You don’t want to just walk away, but if it’s a downward spiral … at a certain point you say, this is crazy.”
Just walking away appears to be one of a few possible outcomes, but one for which the firm is prepared.
From CoreLogic:
Strong Dollar Discourages Many Foreign Homebuyers in the US
Home sales in the U.S. during the first four months of 2015 have been the best in eight years. Relative to the same period one year ago, sales jumped 9 percent, helped by a drop in fixed mortgage rates of almost one-half a percentage point. However, one group of homebuyers has backed off over the past year: foreign buyers.
The National Association of Realtors reports that the number of U.S. homebuyers who identified as international dropped to 2.0 percent during the first four months of 2015 from 2.5 percent a year earlier, a 19 percent decline. About three-fourths of real estate agents who work with international clients report that changes in foreign exchange rates have a moderate to very significant effect on foreign buying.1
The U.S. dollar has strengthened against currencies used by many foreigners who buy homes in the U.S. Exhibit 1 shows that from the beginning of 2014 through April 2015, the U.S. dollar had appreciated 10 percent relative to the United Kingdom pound, 13 percent relative to the Canadian dollar and 26 percent relative to the euro. Notable exceptions to these large swings in foreign exchange values were the Chinese yuan and Hong Kong dollar, which have closely tracked the value of the U.S dollar.
…
In addition to the sticker shock caused by the stronger U.S. dollar, the markets where foreigners tend to buy have had strong home price appreciation in the last few years. For example, many Canadians, Europeans and South Americans prefer to buy along the Southeast coast of the U.S. for the beaches, cultural amenities, warm winter temperatures and accessibility. Canadians made roughly two-thirds of their U.S. home purchases during the first four months of both 2014 and 2015 in Florida. Of these purchases in 2015, nearly one-half were located in the Miami-Fort Lauderdale-Palm Beach area where home prices rose about 7 to 8 percent from April 2014 to April 2015. Couple that with the effect of a stronger U.S. currency, and the average Canadian considering a home purchase in south Florida saw a jump in purchase cost of 20 to 25 percent in the past year.
For comparison, what are rates for Essex and Bergen?
Here is most of North and North Central NJ
Somerset 1:897
Bergen 1:830
Morris 1:799
Hunterdon 1:739
Middlesex 1:681
Monmouth 1:600
Essex 1:517
Passaic 1:472
Warren 1:469
Mercer 1:456
Ocean 1:426
Union 1:407
Sussex 1:266
Also keep in mind that the county averages aren’t necessarily representative of the town by town differences, for example:
Bergen County – Wyckoff 1:5962 vs Closter 1:257
Passaic County – Bloomingdale 1:1371 vs Hewitt 1:214
Essex County – Millburn 1:2675 vs Irvington 1:354
Union County – Summit 1:2888 vs Plainfield 1:195
Monmouth County – Homdel 1:3007 vs Port Monmouth 1:259
Warren County – Great Meadows 1:1148 vs Port Murray 1:296
Morris – Whipany 1:3394 vs Kenvil 1:260
Hunterdon – Califon 1:2379 vs Pottersville 1:196
Counties like Passaic, Essex, Union are dragged down by the urban core areas. Passaic somewhat by both the urban and the exurban near Sussex (Hewitt, Haskell, West Milford, Oak Ridge)
Amazing that 6 counties have higher rates than Irvington
Sussex is pretty ugly though.
Glenwood 1:125
Vernon 1:141
Montague 1:171
Highland Lakes 1:172
Augusta 1:179
Ogdensburg 1:196
Sparta 1:215
Hopatcong 1:228
Hamburg 1:255
Sussex 1:265
Stanhope 1:316
Andover 1:361
Newton 1:406
Paul Krugman reads your comments and isn’t impressed.
http://mobile.nytimes.com/2015/07/13/opinion/paul-krugman-the-laziness-dogma.html
“It all adds up to a vision of the world in which the biggest problem facing America is that we’re too nice to fellow citizens facing hardship. And the appeal of this vision to conservatives is obvious: it gives them another reason to do what they want to do anyway, namely slash aid to the less fortunate while cutting taxes on the rich.
Given how attractive the right finds the image of laziness run wild, you wouldn’t expect contrary evidence to make much, if any, dent in the dogma. Federal spending on “income security” — food stamps, unemployment benefits, and pretty much everything else you might call “welfare” except Medicaid — has shown no upward trend as a share of G.D.P.; it surged during the Great Recession and aftermath but quickly dropped back to historical levels. Mr. Paul’s numbers are all wrong, and more broadly disability claims have risen no more than you would expect, given the aging of the population. But no matter, an epidemic of laziness is their story and they’re sticking with it.”
Those Sussex numbers are brutal. I’d like to own one of those crappy ancient houses as a rental, as long as it had an acre behind it. Nice place to renovate and move into later in life. Better set up some saved searches.
These appear to be zip codes not towns. Pottersville is a sparsely populated village with a post office that serves homes in Hunterdon, Morris and Somerset counties. Great Meadows, Whippany, Hewitt, Kenvil, and Port Murray are zip codes and in some cases span multiple towns and even counties.
“Also keep in mind that the county averages aren’t necessarily representative of the town by town differences, for example:”
facts are irrelevant .
we need this dogma to support upward redistribution
Wily Millenial says:
July 14, 2015 at 8:04 am
“Given how attractive the right finds the image of laziness run wild, you wouldn’t expect contrary evidence to make much, if any, dent in the dogma. Federal spending on “income security” — food stamps, unemployment benefits, and pretty much everything else you might call “welfare” except Medicaid — has shown no upward trend as a share of G.D.P.; it surged during the Great Recession and aftermath but quickly dropped back to historical levels. Mr. Paul’s numbers are all wrong, and more broadly disability claims have risen no more than you would expect, given the aging of the population. But no matter, an epidemic of laziness is their story and they’re sticking with it.”
Those are indeed zip codes
But Sussex Co. in aggregate is still running at 1:266, and some of those areas represent significant population percentages (despite the small stragglers).
Delinquency data out for May from CoreLogic this morning:
New Jersey
Foreclosure Inventory – 4.9% (down 0.9% YOY)
Completed Foreclosures – 9,220 (12 mo)
Serious Delinquencies – 8.4% (down 1.1% YOY)
New York-Jersey City-White Plains, NY-NJ
Foreclosure Inventory – 3.8% (down 0.8% YOY)
Completed Foreclosures – 4,995 (12 mo)
Serious Delinquencies – 6.7% (Down 1.0% YOY)
Newark, NJ-PA
Foreclosure Inventory – 4.7% (down 1.1% YOY)
Completed Foreclosures – 2,308 (12 mo)
Serious Delinquencies – 8.3% (Down 1.2% YOY)
Nassau County- Suffolk County, NY
Foreclosure Inventory – 4.9% (down 0.9% YOY)
Completed Foreclosures – 1,685 (12 mo)
Serious Delinquencies – 8.5% (Down 0.9% YOY)
Regarding helicopter parenting.
In yesterday’s wsj.com, there was an article about adults taking lessons on how to ride a bicycle. In a nationwide study, “while just 5% of those 55 and older lack that skill, 13% of those 18 to 34 don’t know how to ride.”
So many of these Millennials can’t even ride a bicycle.
Bicycles are too mainstream, they are too busy riding unicycles and penny farthings to care.
Where’s the list showing the number of folks underwater and not qualified to sell?
Looks like my county, Somerset, is top of the list.
Yeah, I was reading those numbers, too and Pottersville? Pottersville is actually centered in Somerset County and one of the richest areas of the whole state. Gov Kean lives near there, the Johnson family, big big bucks. I think the ratio is so high because there are only 196 houses there in that zip code. 195 of them are mansions. That solitary exception must have been a gardeners home donated by the former master.
Oh, who else lives there…damn forget there names. Cox, I think. The main guys of ConEd. The family trusts own 3000 acres alone in Bedminster
Trigger me timbers! I’m going to faint. I heard the director of this documentary interviewed on the BBC, and he apparently is fluent on the PC buzzwords – microaggression, triggering. Everyone is a victim of society, and he even feels sorry for white people who have been conditioned into becoming our modern-day micro- gestapo.
http://www.ew.com/article/2015/07/08/mtv-documentary-white-people-trailer
anon (the good one) says: “facts are irrelevant” <– sickness
[1] grim – and those foreclosure numbers are *just* actual completed foreclosures; Long term delinquencies not even reflected, right? I’d say triple those numbers to get the real number of distressed properties in opaque pipeline.
re: Pottersville
The ratio is the ratio. If we care about the percentage of foreclosures, that’s what we’re going to look at when we drill down. The argument cuts both ways, as small areas that are high in foreclosures are easily overwhelmed in the net totals lists once you factor in large population areas.
The counterpoint is Irvington, where 1:354 doesn’t seem so bad in comparison. But factor in the density and population, and the net numbers shift dramatically.
We’ve looked at NJ foreclosures from a net numbers perspective, and when you do it the vast majority, by a long shot, are concentrated in the high density urban poor areas.
What was the number I’d come up with? For every 500-1000 foreclosures in Newark you would have 1 in Wyckoff?
#22
It can take a long time to realize, but hopefully after a few successive generations of attack, these kids will wake up and realize that progressivism is their eternal enemy. Might as well start to redraw the lines now.
Long term delinquencies not even reflected, right? I’d say triple those numbers to get the real number of distressed properties in opaque pipeline.
Not so easy. Last Zillow negative equity report had Wyckoff at 3% of mortgaged homes being in negative equity, and 13% of them being delinquent. I believe the average of paid off/mortgaged homes in NJ is still hovering around 36%, so.
100% of homes -> 64% are Mortgaged -> if 3% of the 64% are underwater, that’s 1.92% underwater, and if 13% of that 1.92% are delinquent, that means -> 0.25% of homes in Wyckoff are underwater and delinquent.
So, if we contrast to the Realtytrac numbers, the Wyckoff 1:5962 foreclosure numbers don’t look as crazy as they first seem.
Wyckoff has 5,141 total owner occupied housing units per the 2000 census (I just had the numbers handy).
So it looks like less then 1 foreclosure per year in Wyckoff from a rate perspective. From a delinquency perspective, based on the numbers above, Zillow says there should be approximately 12 houses in Wyckoff that are underwater and delinquent at this time.
Further cross check of zillow and realtytrac, BC Sheriff currently has 9 Wyckoff properties on the docket, and 12 properties that went through the process to resolution in the past 12 months. So, a bit higher than would be expected by the numbers, buy not dramatically.
In terms of properties coming to market, looks like 3 of the 12 prior foreclosures stopped in bankrupcy, 2 were settled, 2 were cancelled. So 7/12 never made it, and I just noticed some of the previous 12 are overlapping with the new 9. So maybe the numbers need to be a bit lower.
Either way, we’re talking about tiny numbers here, I don’t see the tidal wave of delinquent foreclosures in Wyckoff that you guys do. Those few foreclosures, if they do come to market, will be welcome as additional inventory, and probably scooped up pretty quickly.
A fool and his money will soon depart….
For just $2,700, Christie will take a photo with you at 2016 N.J. fundraiser
Tickets start at $250, but for $2,700 “founding members” ($5,400 per couple) are granted a photo op with the governor, according to a copy of the invitation obtained by NJ Advance Media.
http://www.nj.com/politics/index.ssf/2015/07/for_just_2500_christie_will_take_a_photo_with_you.html
Zillow says there should be approximately 12 houses in Wyckoff that are underwater and delinquent at this time.
LOL! Why, sure there is!
My sister in Somerset County finally had her tax-grieving winning streak broken, up 11.5% this year. Too bad her house is still worth $200K less than they paid in 2005.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 — $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 — $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 — $1,485,500 +7.8%
2005 $24,246 — $1,377,600 —
It is not far fetched to make the assumption that the delinquencies are where the foreclosures are, and that these two populations are not necessarily geographically dispersed. That assumption is probably the one in error (that there are large pockets of hidden delinquencies or near delinquencies).
From the guys at Bergen Jersey Foreclosures (you guys still around?):
Sale Date Address City State Judgement
7/31/15 188 Hillside Avenue Wyckoff NJ $742,535.27
7/31/15 100 Edison Street Wyckoff NJ $166,531.49
7/31/15 507 Terhune Terrace Wyckoff NJ $479,629.09
8/7/15 64 Logan Lane Wyckoff NJ $823,260.31
8/21/15 538 Wyckoff Avenue Wyckoff NJ $505,186.47
9/4/15 98 Crescent Avenue Wyckoff NJ $1,532,551.76
9/11/15 203 Sunrise Drive Wyckoff NJ $1,053,842.67
10/9/15 457 Radcliffe Street Wyckoff NJ $515,081.78
10/9/15 386 Brownstone Court Wyckoff NJ $773,481.22
So what happens to these 9? 25% get settled, 25% get pushed to bankruptcy, 25% are adjourned to next year and 25% go to REO?
She paid around$240,000 in taxes since 2005 around 2k a month. Imagine is she dollar cost averaged into the S&P 500 at a rate of 2k a month for last decade. She have like $500,000.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 – $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 – $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 – $1,485,500 +7.8%
2005 $24,246 – $1,377,600
FKA…what is the point you are trying to make about the Christie Photo Op?
I remember people paying $25,000 in Montclair to go to dinner with the Clinton’s in 2008. Talk about a waste of money. They didn’t even get a picture with the deal.
grim – I don’t think you can directly derive delinquency from underwater stats, especially comparing today’s supposed value to a mortgage amount from many years ago. I suspect many home occupiers just stopped paying their mortgage because they couldn’t afford the payment, under water or not. Once they get behind 6 months of payments and maybe a Lis Pendens is filed, they just continue to dig the hole deeper and deeper, but I don’t think we have access to those numbers. I have reason to believe that there are delinquent home occupiers who’ve been delinquent for about a decade now and I don’t think they will show up in any of these stats.
100% of homes -> 64% are Mortgaged -> if 3% of the 64% are underwater, that’s 1.92% underwater, and if 13% of that 1.92% are delinquent, that means -> 0.25% of homes in Wyckoff are underwater and delinquent.
Hey 30 Year – You around?
If a properties goes delinquent and gets a lis pendens, maybe gets a NOD and goes into foreclosure, borrower works out a payment plan with the lender and let’s assume stays on track. When does the lien get cleared? Does the lien stay clouded until they’ve gotten current? Gone through the trial/mod period? Is it based on the borrower’s lawyer filing a motion to remove? I’ve never been able to figure that out.
I just thought of something. Shouldn’t we be seeing Fannie Mae and Freddie Mac mortgages on foreclosure sales, or are these bad notes pushed back to the originating/aggregating/servicing banks for foreclosure?
[38] Might be time for me to reread Tanta.
[35] Libturd
My point is that there are fools that are willing to simply be around these politicians that are already bought by some corporate backer. $25k, wow must be nice to have money to spend like that. I can’t think of one politician I would pay over $100 just to be in the same room with them. Well maybe Palin, I could at least have a good laugh and look at something nice.
An nevermind, now I see it, there is a corresponding lis pendens satisfaction filing. Need to do some digging to see what companies like realtytrac do once the satisfaction gets filed.
Sadly, they are all backed by corporate backers.
How many transactions occurred from 6/2004 through 6/2008 in Wyckoff? Take that number and subtract those that have sold since buying in that time period and that’s the number of muppets currently underwater.
[38] ExPat
Fannie has HomePath and Freddie has HomeSteps to handle their foreclosures. Typically the mortgage servicer will coordinate (try loan mods, contract lawyers for foreclosure, contract RE Agents to sell, etc) the foreclosure process.
East Orange is ground Zero for NJ, 700 abandoned properties and all they are going to do is cut the grass. Time to fire up Bulldozers!!
http://www.nj.com/essex/index.ssf/2015/07/plan_to_clean_700_abandoned_properties_could_attra.html#incart_2box_nj-homepage-featured
Approximately 500 homes per year sell in Wyckoff.
So figure 2000 properties between 2004-2008, and 3500 since that point. There are some properties with higher levels of turnover. Given the mean ownership is something like 7-10 years, we’d expect about 50% of the stock to turn over above and below the line, sometimes multiple times.
Digging through some more data:
Wyckoff
3570 – Homes with mortgage (72%)
1370 – Homes without mortgage (28%)
4940 – Housing Units
Ah the damn realtors have some good numbers – 8% a year turnover – 58% of residents there longer than 5 years. So closer to 400 a year.
http://www.realtor.com/local/Wyckoff_NJ/lifestyle
So let’s say 1600 for that 4 year period, and let’s say 58% of them are still around (since that period was greater than 5 years). That would be roughly 900 properties purchased during the bubble that are still occupied.
But, at the same time, let’s say they have been paying the mortgage and are current. With some rational assumptions, we are talking about 20% paydown of a mortgage in the first 10 years of the 30 year term.
So, of those 900, their mortgage balances are likely to be 20% lower than they were at closing. This is roughly in-line with NJ pricing below peak. Also reasonable that at least 50% of these folks would have had enough equity to refinance over that time period, substantially reducing their monthly piti (knocking off at least 200 basis points). Was pretty common to see 6.5% over that time period, on a $500k loan we are talking about $3170/mo. Reducing to 4% would take that payment down to $2380/mo. That’s a $10k a year reduction in housing costs.
So maybe a remainder of 450 in some sort of higher stress position than the balance remaining. Also, realize that none of this looked at actual down payment amounts, which I would argue are slightly higher than average in Wyckoff due to the fact that it’s more typically a move-up market, so incoming buyers have historic equity. For those during the bubble, they would have sold high to buy high, so presumably larger DP.
I just don’t see the great wyckoff collapse anytime soon.
East Orange is ground Zero for NJ, 700 abandoned properties and all they are going to do is cut the grass. Time to fire up Bulldozers!!
Yeah, exactly my point. There will be a disaster, it’ll just be over there and not over here.
Today’s Privileged News: the boring life of a 10 year
True Life: I’m A Rich Kid
Here’s a gem from the pages of The Daily Summer: How does a 10-year-old boy among the blessed 1 percent spend his days on the East End?
What’s the latest must-have item in your circle of friends?
The Apple Watch! There are also these model Ferrari toy cars that race up to 40 mph.|
Does everyone you know have a nanny?
They do. Some of my friends have a manny, but that’s not for me. That’s more for the sporty kids. I’m not into that.
How long do you get to keep your nanny for?
My mom has promised me that my nanny will be with me until I go to college. I’m not sure what happens to her then, but we don’t really talk about it. She started when I was 2. I had a few before her.
What’s your allowance?
It’s $350 a month, but if I run out, I’ve memorized my mom’s credit card number so I’m covered.
What do you think your allowance should be?
About $700 a month seems fair.
You have a credit card. What kind?
I have a Gold AmEx. Sometimes at stores they question me, like when I was buying chocolate recently, and they looked to my nanny to see if she was going to pay, but I gave them my credit card and they said, “Aren’t you a little young for this?”
http://fashionweekdaily.com/true-life-im-a-rich-kid/
How many candidates are out there running for President now? The mere fact that Palin was close to be being President has significantly lowered the bar. Not that I followed it as a kid, but I think this is the most that has ever put their name in the hat. And who goes to Georgetown to become a public school teacher, in Baltimore no less?
How Martin O’Malley wants to lighten the load of college debt
In recent years, O’Malley’s daughter Grace, 24, graduated from Georgetown University, and another daughter, Tara, 23, graduated from College of Charleston. (Georgetown is a private university, while College of Charleston is a public university in South Carolina.) Aides said O’Malley and his wife, a district court judge in Baltimore, have taken out nine loans totaling $339,200 to help pay for the education of their oldest two children. The interest rates range from just over 6 percent to 8.5 percent, an aide said.
http://www.washingtonpost.com/blogs/post-politics/wp/2015/07/08/martin-omalley-racked-up-339200-in-loans-putting-two-kids-through-college-he-wants-to-lighten-the-load-for-others/
I just don’t see the great wyckoff collapse anytime soon.
No collapse, they just can’t move anytime soon. If you’re around 20% underwater, you’re not going to sell, even if you can. And, there were a lot of “rational assumptions” in your argument. I was waiting for the sun to be eclipsed by the moon, bringing the total number of stressed homeowners to around 1 or 2.
People are f.ucked. They have no money and they’re unqualified sellers. I know three, three, three people in Wyckoff who bought during the peak and owe more than the house. Go to Ridgewood, Hillsdale, wherever; it doesn’t matter. They’re f.ucked and I have nothing to look at. And, when a house does come on the market and has 7 out of 10 on the checklist, it’s gone. I made an offer three weeks ago and never had the chance to volley. Before all this bullsh1t, one would look at three or four houses, negotiate during the week and seal the deal by the weekend. What we have now is a f.ucking tragedy and a comedic sh1t show.
And how did these people refinance if the appraisals came in lower than what the owe?
Wyckoff sucks 30 + mile commute to NYC and no train.
Can’t make that argument. It costs money to live, especially in a nice area. You can’t just eliminate that cost like it doesn’t matter. She could have moved to alabama and payed 300 dollars a year, but her standard of living would have reflected the cost of her taxes. Standard of living would be right there with trailer park trash.
JJ says:
July 14, 2015 at 10:47 am
She paid around$240,000 in taxes since 2005 around 2k a month. Imagine is she dollar cost averaged into the S&P 500 at a rate of 2k a month for last decade. She have like $500,000.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 – $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 – $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 – $1,485,500 +7.8%
2005 $24,246 – $1,377,600
Shrug – I’d only put down 10% when I purchased, pre-remodel, and then refinanced post-remodel which brought my equity to over 20% and eliminated PMI along with dropping my rate.
How much equity to do you need to refinance?
If you purchased in 2004, with 10% down, by 2014 your mortgage payments would have reduced your mortgage balance by 20%. Wyckoff prices are better than 30% below peak, so technically you would have been fine.
Hell, if you only put down 5% and did some work to the house, you are probably still in a position to refi with pmi.
Grim,
We did the same thing.
#52..won’t folks just live there for next 15-20 years until the mortgage is paid off?
Moving might be nice, but living in Ridgewood is probably not hellacious either.
24k is way way too much taxes. I would say 18K is my vomit threshold.
The Great Pumpkin says:
July 14, 2015 at 12:44 pm
Can’t make that argument. It costs money to live, especially in a nice area. You can’t just eliminate that cost like it doesn’t matter. She could have moved to alabama and payed 300 dollars a year, but her standard of living would have reflected the cost of her taxes. Standard of living would be right there with trailer park trash.
JJ says:
July 14, 2015 at 10:47 am
She paid around$240,000 in taxes since 2005 around 2k a month. Imagine is she dollar cost averaged into the S&P 500 at a rate of 2k a month for last decade. She have like $500,000.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 – $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 – $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 – $1,485,500 +7.8%
2005 $24,246 – $1,377,600
Even if they are kicking the can, they can still kick.
Let’s say $500k mortgage in 2004 – $3,160/mo
Refi in 2014 – 20 year loan, $400k balance, 4% – $2,424/mo ($8832/yr less)
Now, if they wanted to kick the can:
Refi in 2015 – 30 year loan, $395k balance, 4% – $1,886/mo ($6456/yr less)
Overall you are talking about lowering the monthly payment by 15,288 a year from the original PI amount.
That’s huge. Add in the property taxes and you are talking about $2,900 a month. What kind of nice SFH are you renting for $2,900 a month in Wyckoff?
You’d be renting a 3/1 or a 3/2 for that much.
Is it so painful to just stay? #58 nails it.
Financially the kick the can approach is idiotic, but if what we are saying is that they are idiots for buying at peak, then we can reasonably assume they’ll be similar idiots when they refi.
Fast E –
I’m currently living in and renovating a Victorian style house. I’ve decided that I don’t want to complete it but instead buy one that’s done (I’d rather concentrate on rental properties). I got a great deal, paid cash, did most of the work myself and can sell with a substantial profit however… All the restored/’finished’ Victorians for sale in my area were bought during the bubble and are so overpriced you’d be a hundred maybe two hundred grand in the hole if you paid asking (NONE of them want to negotiate…can’t blame them).
I don’t intend to leave the area any time soon but I’d like to have the option of being able to sell for at least what I paid if some unforeseen incident(s) occurs.
So many ‘underwater’ owners/mortgage slaves out there…
Of course not. If people in Morris County can stay 10 years with no payments, I imagine the banks will let Wyckoff residents stay about forever, even if they are rolling 120 days late.
I just don’t see the great wyckoff collapse anytime soon.
#64 [XP]
I personally know of a family in Morris County going on 8 years without paying!.
Which would be like almost having their down payment back. Almost.
She paid around$240,000 in taxes since 2005 around 2k a month. Imagine is she dollar cost averaged into the S&P 500 at a rate of 2k a month for last decade. She have like $500,000.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 – $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 – $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 – $1,485,500 +7.8%
2005 $24,246 – $1,377,600
[63] This is where I think people largely have the completely wrong (and emotionally driven) attitude. Personally, I only care about selling fast without writing a check at closing, should that server my purposes. A 40% down payment and overpaying one’s mortgage goes a long way to making that so.
I’d like to have the option of selling my FIL’s Energy MLPs at the price he paid for them, but the market is not complying with my demand for 4 times the market price. No fair.
I don’t intend to leave the area any time soon but I’d like to have the option of being able to sell for at least what I paid if some unforeseen incident(s) occurs.
NY times reported back in March. “There are tens of thousands of homeowners who have missed more than five years of mortgage payments, many of them clustered in states like Florida, New Jersey and New York, where lenders must get judges to sign off on foreclosures.”
Statute of limitations may have passed for many too. Only thing bank can do is keep a lien on property if it is ever sold.
JJ, because you are not rich. If you are making 500,000 a year, wtf is 50,000 in property taxes? It’s your cost of living. The taxes represent a value. The value is good schools, safe neighborhoods, great demographics, police/ambulance response of 3-5 min, and a beautiful area with access to good hospitals. Let’s not forget the premium return on the real estate value in a good area. Their values go up the most. Stop thinking the taxes are going into thin air. So wrong.
Also, stop thinking 20,000 or more in taxes is a lot of money for someone making 250,000 or more a year. You guys truly don’t understand the tax situation. Do you guys really make big money like you say? If so, you would piss on the thought of 20,000 in taxes (on your million dollar home) as being a lot. If you make 250,000 or more a year, and you are crying about 20,000, you have some issues.
JJ says:
July 14, 2015 at 1:01 pm
24k is way way too much taxes. I would say 18K is my vomit threshold.
The Great Pumpkin says:
July 14, 2015 at 12:44 pm
Can’t make that argument. It costs money to live, especially in a nice area. You can’t just eliminate that cost like it doesn’t matter. She could have moved to alabama and payed 300 dollars a year, but her standard of living would have reflected the cost of her taxes. Standard of living would be right there with trailer park trash.
JJ says:
July 14, 2015 at 10:47 am
She paid around$240,000 in taxes since 2005 around 2k a month. Imagine is she dollar cost averaged into the S&P 500 at a rate of 2k a month for last decade. She have like $500,000.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 – $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 – $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 – $1,485,500 +7.8%
2005 $24,246 – $1,377,600
We have a family member in Florida that hasn’t paid their mortgage since at least 2009. They are still in the house, have two new cars and a nice new boat, and from what I can see on Facebook they enjoy various trips and vacations. Wife is stay at home ofcourse, and they hubby well he works part time doing handy man stuff around the retirement communities. Their backup plan was to move into her parents condo in Florida if they got evicted, that was at least 4 years ago. Tick, Tick, Tick statute of limitations.
Yes, and if I didn’t have to pay for gas, electricity, water, and food…. Taxes are a part of your cost of living. Stop acting like our society could function without property taxes.
The Original NJ ExPat says:
July 14, 2015 at 1:23 pm
Which would be like almost having their down payment back. Almost.
She paid around$240,000 in taxes since 2005 around 2k a month. Imagine is she dollar cost averaged into the S&P 500 at a rate of 2k a month for last decade. She have like $500,000.
YEAR PROPERTY TAXES CHANGE TAX ASSESSMENT CHANGE
2015 $20,338 +11.5% $1,107,500 +3.5%
2014 $18,234 – $1,070,400 +11.6%
2013 $18,234 -7.1% $959,200 -3.1%
2012 $19,632 – $990,100 -5.9%
2011 $19,632 -13.0% $1,052,100 -2.8%
2010 $22,564 -3.2% $1,082,400 -17.1%
2009 $23,320 -4.1% $1,305,800 -9.2%
2008 $24,322 -1.4% $1,438,600 -6.0%
2007 $24,659 +1.7% $1,529,700 +3.0%
2006 $24,246 – $1,485,500 +7.8%
2005 $24,246 – $1,377,600
So many ‘underwater’ owners/mortgage slaves out there…
There’s an ocean of them… duped, frustrated and have finally reached the acceptance level.
Don’t worry, they are not getting over on anyone. They ruined their life, just don’t know it yet. When they get evicted and can’t find a job due to bad credit, or can’t rent an apartment in a safe area because of bad credit, then come tell me how good they have it. I can only imagine what rate they are paying on their car loan. Their life will suck real soon.
Juice Box says:
July 14, 2015 at 1:50 pm
We have a family member in Florida that hasn’t paid their mortgage since at least 2009. They are still in the house, have two new cars and a nice new boat, and from what I can see on Facebook they enjoy various trips and vacations. Wife is stay at home ofcourse, and they hubby well he works part time doing handy man stuff around the retirement communities. Their backup plan was to move into her parents condo in Florida if they got evicted, that was at least 4 years ago. Tick, Tick, Tick statute of limitations.
#70, I am sure they will win a lawsuit against the bank too for being treated poorly….
You want to lower taxes, then stop putting people in jail for bs. Stop the war on drugs. War on drugs was created as a means to rob tax dollars. Cia created the war on drugs as a means to rob the tax payer. It’s well documented that the CIA funded themselves by smuggling in heroin. Jokers and the joke is on us.
re # 73 – Pumpkin – They was no talking the wife into getting a job so they could continue to pay their mortgage and the hubby well he likes to fish lots and take hunting trips. They have no illusions about living a fancy New Jersey life with a massive tax bill in haughty town in Bergen County (where they are from). We are talking Florida condos here. You can get by down there on apparently very little. Like I said backup plan was to take over her Parents Florida Condo which is paid for.
I know several people my generation who are just getting by down there. Sure it isn’t Bergen County in all it’s haughty glory but heck at least they don’t have to shovel snow.
Hypocrisy—- land of the “free”…,lmao. Land with the highest % of people in jail. Evil China has 4 times more people than us, yet we have more people in jail. But blame education for your taxes.
[68] *AND* Who wants to maintain those properties and pay the exorbitant taxes? Oh…and recognize the losses on their balance sheet too. Not banks, that’s who.
NY times reported back in March. “There are tens of thousands of homeowners who have missed more than five years of mortgage payments, many of them clustered in states like Florida, New Jersey and New York, where lenders must get judges to sign off on foreclosures.”
Didn’t seem to help you any. You should see if your parents can sue to get their tax money back.
The Great Pumpkin says:
July 14, 2015 at 1:48 pm
JJ, because you are not rich. If you are making 500,000 a year, wtf is 50,000 in property taxes? It’s your cost of living. The taxes represent a value. The value is good schools
Okay, eliminate property taxes. Pay everything on a per cost basis. Enjoy getting really ripped off when you have to pay a toll for every block you drive on. Call the police or fire department and get hit up with 5,000 to 10,000 charge. You will be begging to go back to the shared services model.
The Original NJ ExPat says:
July 14, 2015 at 2:12 pm
Didn’t seem to help you any. You should see if your parents can sue to get their tax money back.
The Great Pumpkin says:
July 14, 2015 at 1:48 pm
JJ, because you are not rich. If you are making 500,000 a year, wtf is 50,000 in property taxes? It’s your cost of living. The taxes represent a value. The value is good schools
[76] Oxymoron?
They have no illusions about living a fancy New Jersey life
Just checked the records of the family member’s home down in Florida. Sold for $236K in 2005. Zesitmate is now $90k. No way they are ever going to pay what they owe or sell any time soon. Bank may never foreclose or even evict either, just perhaps a lien if they ever try and sell down the road. Meanwhile nice new cars and heck a nice boat for puttering up and down the Indian River.
re: . “Not banks, that’s who.”
You’re dern tootin’!
FRB – Still holding Trillions of MBS to this date. Reverse Repos yeah thats the ticket, what a joke Bernake hosited on us the taxpayer.
My taxes are way too cheap. Yours blow. Take a good look at your dopey next generation as they file out of Wayne Hills and Wayne Valley and see what you’re getting.
Okay, eliminate property taxes. Pay everything on a per cost basis. Enjoy getting really ripped off when you have to pay a toll for every block you drive on. Call the police or fire department and get hit up with 5,000 to 10,000 charge. You will be begging to go back to the shared services model.
re # 81 – exact words they used unfortunately. I went to school with these people in suburban Bergen County. Lots and lots of Gen Xers like me from New Jersey moved down to Floridia, almost every one is a train wreck too.
Gourd [75];
Moron, my property taxes don’t fund the CIA. They fund the local schools (and I’m pissed that my spouse didn’t want another one — I’d rather have amortized the investment more).
Take off your tin foil hat, junior.
I blame the schools for my property tax bill and I blame the prison system for my income tax bill.
The Great Pumpkin says:
July 14, 2015 at 2:06 pm
Hypocrisy—- land of the “free”…,lmao. Land with the highest % of people in jail. Evil China has 4 times more people than us, yet we have more people in jail. But blame education for your taxes.
Taxes are the cost of govt, hence they are all indirectly related to each other. If the Feds didn’t have to take so much Nj money, maybe we would be able to lower property taxes with those savings. So yes, our property taxes indirectly support the cia.
Anon E. Moose says:
July 14, 2015 at 2:27 pm
Gourd [75];
Moron, my property taxes don’t fund the CIA. They fund the local schools (and I’m pissed that my spouse didn’t want another one — I’d rather have amortized the investment more).
Take off your tin foil hat, junior.
I wonder if the Pumpking always types with the same hand.
Prove my arguments wrong, smart guy!
The Original NJ ExPat says:
July 14, 2015 at 2:42 pm
I wonder if the Pumpking always types with the same hand.
88- yes, extreme corruption in these states leads to higher costs put on other states. Someone has to pay for it.
“The researchers studied more than 25,000 convictions of public officials for violation of federal corruption laws between 1976 and 2008 as well as patterns in state spending to develop a corruption index that estimates the most and least corrupt states in the union. Based on this method, the the most corrupt states are:
1. Mississippi
2. Louisiana
3. Tennessee
4. Illinois
5. Pennsylvania
6. Alabama
7. Alaska
8. South Dakota
9. Kentucky
10. Florida”
http://www.thefederalistpapers.org/us/ten-most-corrupt-states-in-the-united-states-list
You know pumpkin, my school had zero bullying incidents last year. Zero! The high ups claim this is a result of a massive improvement in student behavior. Or…they just don’t acknowledge it happens anymore.
Believe it or not, nj is one of the most difficult places to perform blatant corruption. Too many watch dogs. The local govt is transparent. The state govt is pretty transparent too. These other states don’t provide much information.
Ben says:
July 14, 2015 at 3:29 pm
You know pumpkin, my school had zero bullying incidents last year. Zero! The high ups claim this is a result of a massive improvement in student behavior. Or…they just don’t acknowledge it happens anymore.
[77] punkin
“Evil China has 4 times more people than us, yet we have more people in jail. ”
There are several reasons for that. First, culturally, they are not as predisposed to crime, mostly because they are used to having the government looking over their shoulders. Second, theirs isn’t an economy in which there is still a lot to steal. Third, where there is a lot to steal, there is corruption, hence no arrests. Finally, China executes people for spitting on the sidewalk (not really but close) and bodies don’t take up room in cellblocks.
[92] Ben,
I was in NJ when they passed the new law requiring mandatory reporting and process for bullying. I quipped with the principal of an elementary school in the Brig that this was gonna make his life miserable. Basically, he gets the parties to walk it back so that there is no mandatory report or process. Surprise, bullying dropped to zero!!!!
Also, the definition of bullying doesn’t include . . . wait for it . . . classic bullying!!!! If you taunt the ret@rd (anon knows all about that) or call some girl fat, you can get written up for bullying. But if you slam smaller kids into lockers until they hand over their lunch money, that isn’t bullying. Really. Look it up.
92-
Ben, great example of how easy it is to manipulate the data.
I don’t feel like paying 20k in property taxes to pay for teachers boob jobs, liposuction and car leases. If they want my 20K, dont take it out of my property tax bill come over and suck my c0ck and earn it the old fashioned way
The Great Pumpkin says:
July 14, 2015 at 1:48 pm
JJ, because you are not rich. If you are making 500,000 a year, wtf is 50,000 in property taxes? It’s your cost of living. The taxes represent a value. The value is good schools, safe neighborhoods, great demographics, police/ambulance response of 3-5 min, and a beautiful area with access to good hospitals. Let’s not forget the premium return on the real estate value in a good area. Their values go up the most. Stop thinking the taxes are going into thin air. So wrong.
Also, stop thinking 20,000 or more in taxes is a lot of money for someone making 250,000 or more a year. You guys truly don’t understand the tax situation. Do you guys really make big money like you say? If so, you would piss on the thought of 20,000 in taxes (on your million dollar home) as being a lot. If you make 250,000 or more a year, and you are crying about 20,000, you have some issues.
#93 [Ben]
My son and his buddy experienced ‘bullying’ two years ago from the biggest piece of WT in town. Wife and I met with the Principal. Waste of time. I went over to the bully’s house and ‘talked’ with his dad. Problem solved.
Now my son is 6′ 1″ (at 14) so…
If pumpkin starts a family, I am buying stock in Alcoa. Tin foil prices will just skyrocket.
[97] JJ
” If they want my 20K, dont take it out of my property tax bill come over and suck my c0ck and earn it the old fashioned way”
I’m confused. I thought they paid YOU to suck your prodigious member?
[91] Pumps
PA is No. 5 because of Philadelphia, which is really an outpost of NJ. Ridiculously corrupt.
Whoops…Eric Garner’s widow rejects NYC’s $5M vows to sue for allot more.
#12
That’s a sh!tload of loosies, where are they pulling theses damages from, thin air?
I read in the evolution process women’s canine teeth over time become smaller to make blow jobs easier
Comrade Nom Deplume, the anon-tidote says:
July 14, 2015 at 3:46 pm
[97] JJ
” If they want my 20K, dont take it out of my property tax bill come over and suck my c0ck and earn it the old fashioned way”
I’m confused. I thought they paid YOU to suck your prodigious member?
De Blasio used the published Reparations Index value from the Sharpton Insitute for Social Justice.
nwnj says:
July 14, 2015 at 4:39 pm
#12
That’s a sh!tload of loosies, where are they pulling theses damages from, thin air?
BPOP Trups got downgraded I think it is BS the bank is muy grande para fallar
If taxes are the cost of government, then who don’t people who use government the most, pay the most?
Actually, it’s more important to separate costs from funding sources. Taxes aren’t a cost of government. It’s one way government attempts to finance the cost of government spending. There are many alternative ways to raise revenues to finance government spending besides levying taxes that are based on the estimated value of one’s house. One could charge a poll tax for example. One person, one share of the town’s cost. One could charge taxes on items sold within town. One could set up speed traps to raise revenue. One could organize a raffle or a contribution drive.
Members of a town, in theory, decide what they need to spend on, and then figure out how they fund that. If people walked into an undeveloped land area, and set up a new town, I bet they would make smarter decisions about what was a necessity and what was a luxury in terms of town spending, and townfolk taxing, than the institutionalized shakedowns that NJ towns have perfected.
Juice [102];
Media reported yesterday when she rejected $5 MM that her lawyer recommended she take it. Reports today are she accepted $5.9 MM. I wonder if it includes a gag order.
Daily News now says they’re suing for 75 million.
Daily News now says they’re suing for 75 million. Sharpton is advising them
So they gag her because they choked fatso? That’s pretty fast and loosie.
Media reported yesterday when she rejected $5 MM that her lawyer recommended she take it. Reports today are she accepted $5.9 MM. I wonder if it includes a gag order.
The End Is Nigh (Nothing Compares Edition):
http://www.nydailynews.com/entertainment/sinead-o-connor-blasts-rolling-stone-kim-kardashian-cover-article-1.2292104