From HousingWire:
Homeowner equity soars in first quarter
Homeowner equity increased significantly in the first quarter of 2017, according to the Q1 2017 home equity analysis from CoreLogic, a property information, analytics and data-enabled solutions provider.
Homeowners with a mortgage, about 63% of all homeowners, saw their equity increase by 11.2% a total of $766.4 billion since the first quarter last year. The average homeowner gained about $13,400 in equity over the last year.
The total number of mortgaged residential properties with negative equity decreased 3% from the fourth quarter to 3.1 million homes, or 6.1% of all mortgaged properties. This is a drop of 24% from 4.1 million homes in the first quarter last year.
“One million borrowers achieved positive equity over the last year, which means mortgage risk continues to steadily decline as a result of increasing home prices,” CoreLogic Chief Economist Frank Nothaft said. “Pockets of concern remain with markets such as Miami, Las Vegas and Chicago, which are the top three for negative equity among large metros, with each recording a negative equity share at least twice or more the national average.”
Good Morning New Jersey
NJ is slowly grinding it’s way out of negative equity, in lock-step with foreclosures. It’s absolutely a mix of finalizing the foreclosures of deeply negative properties (which improves the overall equity picture), and smaller price gains.
Currently sitting at 10.2% negative equity – for reference this time 2 years ago we were at about 13.5%. So only improving by a measly point and a half a year. Which, would still require some 4 years to achieve national average of around 6%.
New York-Jersey City-White Plains, NY-NJ Metro Area shows much, much stronger performance, currently sitting at 5.3%, which is BELOW the national average, and half the rate (or even better) than Miami, DC, Chicago, and Las Vegas.
Based in the last Zillow map, the offenders in Northern NJ are Hudson with a 17.5% negative equity rate, and Sussex with a 17.2% rate. Best performance is Monmouth with a low 7.2%, and Morris with a 7.4%.
But, South Jersey is still dragging the state down significantly.
Q4 NE
Atlantic County – 24.5%
Salem County – 19.9%
Cumberland County – 17.5%
Camden County – 16.2%
Burlington County – 13.9%
Gloucester County – 13.4%
The ex-ex-urbs in Penn. continue to be an absolute horrorshow – Monroe at 28.5% and Pike at 26.4% – which are now the worst county-level negative equity rates IN THE ENTIRE NORTHEAST US. Sorry to all those Jerseyans who sought McMansion Nirvana over the river, it’s going to take another bubble to bail you out.
If I read this correct, NYC is the #1 destination for millennials, and the Northeast represents the top destination for millennials.
The 25 Cities Where Millennials Are Moving
While NYC ranks 25th of this list of 25, at nearly +30,000 net gain of millenials from 2010-2015, it absolutely eclipses the rest of the country … other than Boston with +15k and Philly with +14k. NY, Boston, and Philly combined look to vastly outweigh the entire remainder of the list, probably the entire top 50.
Looks like a good time to be in the Northeast.
Isn’t this guy bought and paid for by big oil? The big question, why is the United States the head of the anti-climate change movement? Why? And why is it predominately made up of Republicans, specifically the ones that support the mindset of Ayn Rand?
D-FENS says:
June 8, 2017 at 11:04 pm
And now some comments on climate change from the scientist who founded the weather channel.
“The concerted effort to discredit the scientific consensus over man-made global warming has been continuing for two decades in the United States, and shows no sign of weakening. It is very often described as an attempt on the part of corporate America, most notably the fossil fuel industries, to hinder governmental regulations on their activities. While emphasising this dimension of the US climate denial movement, this article also aims to show the complexity of the movement, rather than the mere defence of the narrowly-defined and short-term economic interests of the oil and gas industries, by shedding light on two additional factors which have been instrumental in blocking strong climate action. First, climate denial stems from the strong ideological commitment of small-government conservatives and libertarians to laisser-faire and their strong opposition to regulation. Second, in order to disarm their opponents, US climate deniers often rest their case on the defence of the American way of life, defined by high consumption and ever-expanding material prosperity. It is the contention of this article, therefore, that the US climate denial movement is best understood as a combination of these three trends.”
https://ejas.revues.org/10305
When does Plumpy take a vacation?
Yes, no one wants to live in the NYC metro area, who would want to do that?
grim says:
June 9, 2017 at 7:34 am
If I read this correct, NYC is the #1 destination for millennials, and the Northeast represents the top destination for millennials.
The 25 Cities Where Millennials Are Moving
While NYC ranks 25th of this list of 25, at nearly +30,000 net gain of millenials from 2010-2015, it absolutely eclipses the rest of the country … other than Boston with +15k and Philly with +14k. NY, Boston, and Philly combined look to vastly outweigh the entire remainder of the list, probably the entire top 50.
Looks like a good time to be in the Northeast.
Go Lurks! Right on point.
LurksMcGee says:
June 6, 2017 at 5:55 pm
Young people make that statement as their 2nd choice to New York when they see their earning potential climbing on the horizon. Sure its not NY, but its close to things where they can earn more than some podunky place.
“My observation is that nobody ever says, “I’ve had enough of this place. I’m going to pick up and move to New Jersey.”
Wow! This is the long term impact of people who try to leave for low cost areas and pat themselves on the back for being smarter than the rest.
“The ex-ex-urbs in Penn. continue to be an absolute horrorshow – Monroe at 28.5% and Pike at 26.4% – which are now the worst county-level negative equity rates IN THE ENTIRE NORTHEAST US”
North Jersey Foreclosures? Are we pretending away Morris County as if the new Pennsylvania state line is a couple hundred yards West of Pump’s highway shack?
https://salesweb.civilview.com/Sales/SalesSearch
Pumps grim said good time to be in the northeast and you jump to the young people’s second choice will be Wayne .
Pretending away Morris County? It’s nearly the strongest performing in the state behind Monmouth.
On a county level, Morris and always tends to perform better than the major NENJ counties, as it has no major urban poverty center, instead, small suburban pockets.
I guess I love living in Massachusetts because it is 104% Democrat so they are just regular people, not desperate and demented like the Democrats in DC.
Who founded the weather channel?
D-FENS says:
June 8, 2017 at 11:04 pm
And now some comments on climate change from the scientist who founded the weather channel.
Hillary’s Cankles are ground zero for Zika virus says:
June 9, 2017 at 8:32 am
When does Plumpy take a vacation?
When you and your buddies stop acknowledging his existence. Too bad your superiority complex won’t allow it.
Al Gore
PumpkinFace says:
June 9, 2017 at 9:13 am
Who founded the weather channel?
D-FENS says:
June 8, 2017 at 11:04 pm
And now some comments on climate change from the scientist who founded the weather channel.
Just perusing the HUD spreadsheets. These numbers are not comparable with the others.
For Morris, based on total number of active foreclosures per town.
Dover – 209 7.6%
Parsippany – 145 1.6%
Morristown – 111 3.7%
Wharton – 54 3.7%
White Meadow Lake – 52 2.1%
You get to the desirable areas of Morris, and you are sub 1% foreclosure rates.
My data shows that foreclosures in Morris County are under-reported, and I’ve semi-quietly made that case for years. The banks are just letting it be because it works for them and won’t tank the market. It just proves that subsidizing educated people works a lot better than subsidizing…
On a county level, Morris and always tends to perform better than the major NENJ counties, as it has no major urban poverty center, instead, small suburban pockets.
Exactly
Ottoman says:
June 9, 2017 at 9:13 am
Hillary’s Cankles are ground zero for Zika virus says:
June 9, 2017 at 8:32 am
When does Plumpy take a vacation?
When you and your buddies stop acknowledging his existence. Too bad your superiority complex won’t allow it.
Now contrast this with the major urban distressed areas.
Newark City – 3,418 estimated foreclosures
Paterson City – 2,274 estimated foreclosures
Jersey City – 2,195 estimated foreclosures
Elizabeth City – 1,462 estimated foreclosures
East Orange – 1,028 estimated foreclosures
Irvington – 999 estimated foreclosures
Plainfield – 987 estimated foreclosures
Trenton – 957 estimated foreclosures
In other words, going really, r e a l l y, r e a l l y slow in Morris County keeps the PA state line in place.
A single urban city in Northern NJ has more foreclosures than all of Morris County, by a factor of at least 3x.
Give middle class people free rent and they’ll just quietly take it.
grim – I can show you foreclosures from 2006 in Morris County that have still not been resolved. If you search back you’ll see that it was confirmed here by a current resident.
Maybe I’m being unclear. Foreclosures have appeared, no deal was made, no properties changed hands and now those properties are no longer listed on the foreclosure rolls.
Remember all of the red flags on the old RealtyTrac web site? Those red flags disappeared but the homes were never foreclosed (or maybe foreclosed but not sent to a sheriff sale). You would do the same if it was your portfolio (think about a smaller version of the Fed’s $4.5 trillion balance sheet).
The “e” in ejas stands for European…..case closed…
The Great Pumpkin says:
June 9, 2017 at 8:17 am
https://ejas.revues.org/10305
HUD Estimated Foreclosure Rate
Hoboken – 0.0%
Ridgewood – 0.3%
Spring Lake – 0.4%
Chatham – 0.4%
Englewood Cliffs – 0.5%
Allendale – 0.5%
Westfield – 0.5%
Ho Ho Kus – 0.5%
Mountain Lakes – 0.6%
Alpine – 0.6% (Blame Lil’Kim)
Chester – 0.6%
Wyckoff – 0.7%
Madison – 0.8%
Fort Lee – 0.8%
Mendham – 0.9%
Old Tappan – 0.9%
Tenafly 0.9%
Morris Plains – 0.9%
Peapack – 0.9%
White House Station – 0.9%
Allenhurst – 1.0%
Ramsey – 1.0%
Florham Park – 1.0%
Harrington Park – 1.0%
Far Hills – 1.1%
Princeton – 1.1%
Hillsdale – 1.1%
Montvale – 1.1%
Lebanon – 1.1%
Paramus – 1.1%
Demarest 1.1%
Glen Rock 1.1%
Upper Saddle River – 1.2%
Long Valley – 1.2%
Closter – 1.2%
River Vale – 1.2%
Califon – 1.2%
Norwood 1.2%
Clinton – 1.2%
Watchung – 1.2%
Sea Isle City – 1.2%
Princeton Junction – 1.2%
Rumson – 1.2%
Pennington – 1.3%
Bernardsville – 1.3%
LOL. A lot of those mortgages are probably on the Fed’s balance sheet.
grim – you can buy the data as fed to you. I choose to study it.
If you want to go home by home, Lis Pendens ….then nothing, I’ll give you the records.
Rather, LP, then assignment, then nothing.
“major urban poverty center”
Can we just call it by it’s real name, “Democratic hand-out areas.”
Yo talkin’ ’bout the ‘hood, Homes?
Can we just call it by it’s real name, “Democratic hand-out areas.”
BTW Lib – you made a common grammatical mistake, two extra letters on the end of “Democrat”.
Can we just call it by it’s real name, “Democratic hand-out areas.”
The Republicans need to change the name of their party. I’m proposing they re-brand themselves as the “Fiscal Unity Democrat Party”. This would naturally be shortened to “FU Democrats” and then we could all enjoy ourselves as all the cable news stations talked about how the FU Democrats are beginning their 3rd decade of control of congress.
What is with the hate towards me? It seem like you have the superiority complex.
Ottoman, I never did anything to you. Why you have your nose to the sky when it comes to me, I have no idea. Same with Pumpkin Face. I’m sorry I’m not as intelligent as you, or as well written.
I get it, can’t waste your time with individuals not on your level of intelligence.
PumpkinFace says:
June 9, 2017 at 9:15 am
Exactly
Ottoman says:
June 9, 2017 at 9:13 am
Hillary’s Cankles are ground zero for Zika virus says:
June 9, 2017 at 8:32 am
When does Plumpy take a vacation?
When you and your buddies stop acknowledging his existence. Too bad your superiority complex won’t allow it.
It’s an academic study. So it’s automatically ignored if it comes from Europe? All the study was doing, was analyzing why the U.S. has such a strong denial movement with a specific part of its population. It should be rightfully questioned and analyzed.
What is wrong with the conclusion of the study below?
“5. CONCLUSION
32 It is worth bearing in mind that the origins and motives of the American climate change denial movement are highly complex and cannot be merely described as the upshot of an attempt on the part of the energy sector to ward off regulation—although this interpretation sheds light on a large part of the movement. Climate change deniers also illustrate the strong ideological forces that have been shaping Republican politics over the last few decades. The generally accepted scientific explanation for global warming significantly damages the soundness of the ideological pro-market position which the American conservative movement has been embracing since the Reagan era and the end of the Cold War. The central contribution of human activities to the warming of our planet does not destroy the case for a market economy per se; it does, however, put a dent in the validity of the American Right’s faith in the free market as the ultimate solution to all social, economic, and environmental problems. In effect, conceding defeat in the climate war would have devastating repercussions on the intellectual bearings of many conservative officials and activists. So far, for the most part, with a few notable exceptions like former Utah Governor Jon Huntsman and Arizona Senator John McCain, it has been a defeat too hard to swallow. While the scientific case of climate deniers has now been seriously discredited, their economic arguments will certainly continue to carry a lot of weight in American politics in the years to come.
74
33 Finally, the resilience of the climate change denial movement in the face of mounting scientific evidence also highlights the weaknesses of their proponents’ own ideology. Broadly defined, the ideology of the proponents of strong climate action points to a willingness to adapt to the limitations imposed on modern civilisations by ecosystems and the biosphere. Yet, their reluctance to be more straightforward about the major cultural and behavioural changes that would inevitably stem from more ecologically-sensitive climate policies demonstrates that the implications of the policies they advocate are not completely developed. In addition, their irenic 74perception of the international community and its potential for well-coordinated, effective climate-related action does not bode well for the future. When it comes to laying out international measures to reduce greenhouse gas emissions, US proponents of strong climate-related action place a disproportionate burden on developed countries like the United States. Although from a historical and moral perspective this approach may seem justified, global warming remains first and foremost a global problem impossible to solve without the full participation of all countries, including developing countries.”
chicagofinance says:
June 9, 2017 at 9:26 am
The “e” in ejas stands for European…..case closed…
The Great Pumpkin says:
June 9, 2017 at 8:17 am
https://ejas.revues.org/10305
Coming to America?
https://www.bloomberg.com/politics/articles/2017-06-09/the-young-avenge-the-old-as-divided-britain-upends-its-politics
Some of the most powerful computers on earth predict the weather. There are many many variables. They are often wrong…or predictions must be adjusted. It’s OK to question a prediction and adjust your forecast.
Use of the term “climate change denier” is dismissive and an attempt to silence an opposing viewpoint. The subject should be controversial and should be debated openly.
Looking at the Morris County Clerk’s site, there have been 5,664 discharges of lis pendens in the last year and a half. Yes, there are lis pendens that are outside of foreclosures in this lis (lis pendens is notice of legal action, not necessarily foreclosure).
OK – now work that data.
lis pendens, assignement, (nothing) is not a normal progression, right?
I can show you entire neighborhoods in MC where there is no inventory and no price appreciation. Nice, secure, family neighborhoods. Reason? Free renters. After 5, 6, or 7 years of not having to make mortgage payments you probably even start taking better care of your lawn.
Better yet, you move out and collect rent.
30yr needs to chime in, but I would imagine that could indicate all sorts of things, but I would imagine mortgage modification process would be a very likely scenario.
There are wide swaths of Jersey that would need to collapse under the weight of their foreclosures before I’d even be concerned about the whole of Morris County.
Hell, lots of Morris would be happy if all of Dover were foreclosed on.
Look at the Southern region of Rockaway Township. I grew up there. No inventory, no foreclosures and values are $100K below peak. Think about that. $450K houses now worth $350K and everyone is just holding on to their houses. No one is being foreclosed, no one is selling. Just happy, happy, happy Pump types who will be living there forever. I call BS.
Likewise the assignment after the lis pendens isn’t nefarious, this is likely administrative and if the lien was previously assigned via MERS (robosigned), a physical assignment would be put in place to eliminate issues at a later time. I would imagine this would be regular course of action for any securitized lien that a lis pendens was filed on these days. Not that this is a new assignment, but a physical recording to memorialize the last assignment.
Grim – remember over a decade ago when you had your first epiphany?
Totally agree. Unfortunately, deniers didn’t want a debate. They came out swinging using all types of terms to describe the people they don’t agree with, which leads me to have hard time taking anything they say seriously. They don’t debate, all they do is yell out claims of “lefty” this, “liberal” that. With the result being, an adult acting like a child, hurling names at anyone they don’t agree with. Always screaming and full of anger. Really hard to take serious.
“Use of the term “climate change denier” is dismissive and an attempt to silence an opposing viewpoint. The subject should be controversial and should be debated openly.”
Just look at that video you posted with the weather channel founder. All he did was yell and scream. Can’t speak like a normal human being. Why so angry? Why always resorting to calling the other side names? Why always belittle the other side?
And the macro trend of diminishing lifestyle in the US, that’s something far off and can’t have possibly begun in NJ already? We’d all notice because we are so smart.
A prophet is never honored in his hometown. That’s why I moved;-)
Hey I bought in southern Rockaway (richard mine) in 2014, and I actually do love it. Not crazy about paying for waste pickup though.
The Original NJ ExPat says:
June 9, 2017 at 11:07 am
Look at the Southern region of Rockaway Township. I grew up there. No inventory, no foreclosures and values are $100K below peak. Think about that. $450K houses now worth $350K and everyone is just holding on to their houses. No one is being foreclosed, no one is selling. Just happy, happy, happy Pump types who will be living there forever. I call BS.
I can’t chime in as I don’t have MLS anymore, but it doesn’t look like southern Rockaway has no inventory. I can’t comment on quality or pricing, but there doesn’t at all seem to be a vacuum. Are you talking generally south? Or the sliver south of 80?
Yes, do you expect them to sell for a loss if they don’t have to?
The Original NJ ExPat says:
June 9, 2017 at 11:07 am
Look at the Southern region of Rockaway Township. I grew up there. No inventory, no foreclosures and values are $100K below peak. Think about that. $450K houses now worth $350K and everyone is just holding on to their houses. No one is being foreclosed, no one is selling. Just happy, happy, happy Pump types who will be living there forever. I call BS.
Grim got suburb price crash right but everyone here missed the rebound in hoods across river from Manhattan.
Defies logic.
“Tesla topped U.S. rivals General Motors Co. and Ford Motor Co. by market capitalization in April, a change in rank the largest car dealer in the country called “inexplicable.” Tesla delivered fewer than 80,000 vehicles last year and has only reported two profitable quarters in its short history. GM, by comparison, sold more than 10 million vehicles and expects to earn more than $9 billion this year.
For Tesla, surpassing BMW is significant because luxury carmakers earn bigger profit margins and their stocks trade at higher multiples of earnings than mass-market players like GM. Model S sedans and Model X crossovers compete for many of the same affluent buyers as BMW’s 7 Series or X6 sport utility vehicles.
Tesla shares are climbing for the fifth consecutive day and are headed for another record close. The stock trades at about $93 higher than the average target price among analysts surveyed by Bloomberg.”
https://www.bloomberg.com/news/articles/2017-06-09/tesla-passes-bmw-in-market-cap-ranks-no-4-automaker-by-value-j3pxj7gc
The climate change thing is interesting, all scientific data points to us not fully understanding the inputs into the system, yet we have people declaring the science is “settled” when it’s not just the models being a little off, they are flat out wrong. All of your politicians who talk about climate change are really big carbon offenders, if the people talking about global warming were really so concerned why is there no effort on their part?(big houses, cars, private plane rides, etc). We have an added variable(fossil fuel produced Co2) into a complex system with thousands of external variables, is it causing the rise in temperature, how much, etc. The climate of the earth is changing as it always has, can we control it or will reductions in Co2 just be p*ssing in the wind? I’m not a fan of politicized science in either direction.
Has Tesla turned a profit yet?
The place for EV’s is in fleets.
Jcer, that’s exactly what it has become, a politicized debate. No science involved anymore. When the debaters refer to “denier,” “lefty,” or “liberal,” in their debates, the debate is always tarnished and nothing good will come of it. You need real scientists working together to figure out the problem. The future existence of our species might depend on how well we as a species are able to adjust to these changes. It’s best that we learn as much about it, and work from there.
No comments on the Hoboken foreclosure rate? It’s the best performing town in NJ based on the last HUD report.
Zero Percent foreclosure rate.
Better than the best performing towns in BC.
grim – South of 80 and a a mile North. White Meadow Lake and South, essentially. Sure, there are some nice houses built off of Meridan Road in the North and vacation homes up at Green Pond, but statistically they don’t amount to anything. I went through Rockaway Township Public schools and I can’t think of a single classmate who lived North of WML, if that helps. So take the “sliver” South of 80 and add half of that sliver North of 80 and that is Rockaway Township
I’m telling you that there is something very wrong in Morris County
I can’t chime in as I don’t have MLS anymore, but it doesn’t look like southern Rockaway has no inventory. I can’t comment on quality or pricing, but there doesn’t at all seem to be a vacuum. Are you talking generally south? Or the sliver south of 80?
Does pointing this out multiple times serve a purpose?
Yo! says:
June 9, 2017 at 11:38 am
Grim got suburb price crash right but everyone here missed the rebound in hoods across river from Manhattan.
So why are my tax dollars still going there?
Give the guy some recognition on his great call. He was yelling this for years. Besides me, not one person has given him his due.
Whether they are saying it or not, you made a hell of a call on something no one saw coming. Nice job. Any other trends you see happening for that area? Peaking? Spill over to other areas?
joyce says:
June 9, 2017 at 1:01 pm
Does pointing this out multiple times serve a purpose?
Xolepa, won’t last for long. Only a matter of time, they now have a HUGE TARGET on their back. No hiding the wealth coming into those areas, and it’s about time they start paying like the suburbs.
” No hiding the wealth coming into those areas, and it’s about time they start paying like the suburbs.”
ExPat…did you really write a plug-in?
Hoboken foreclosure rate is zero due to the financial strength and savvy of the city’s homeowners and the rapid increase in home values in Hoboken. When a Hoboken homeowner gets into financial trouble, which is rare, he can sell his home for a lot more than he owes on the mortgage.
Wow. Wouldn’t expect the NJSC to rule this way…
Second Amendment right to meet people at the door with a machete by your side?
https://www.washingtonpost.com/news/volokh-conspiracy/wp/2017/06/09/second-amendment-right-to-meet-people-at-the-door-with-a-machete-by-your-side/?utm_term=.8f323d476c28
“There are far more than two choices when it comes to economics. The issues are not “capitalism” vs. “Social!sm” it is “laissez-faire capitalism” vs. “fettered capitalism”. Fettered Capitalism is where the government enforces regulations to ensure free and fair exchange of goods. For instance, fettered capitalism enforces anti-monopoly legislation, transparent pricing, and accurate financial reporting. “Laissez-faire capitalism” is basically a “buyer beware” type of phenomena.
Ronald Reagan (under the economic guidance of Wendy Lee Gramm), advocated a strong laissez-faire capitalism. All studies (back t Adam Smith) has shown that monopolistic practices break out within a generation in all laissez-faire capitalists which increases the income disparity. Wendy Lee Gramm (FWIW) was appointed to the board of Enron six weeks after she changed commodity rules to favor them. She remained on the board when her husband (Sen. Phil Gramm) ran the CFMA through the distracted, post-election congress which included the “Enron Loophole”. Most of us would call that corruption — but, to them, this was laissez-faire capitalism.
We should also consider that some industries are better served with basically social!stic practices. The most obvious is health-care. You point out that the west had better life expectancy than the Soviet satellite states. This was true. However, most western nations have better life expectancy than the United States. Plus, their health care with costs that are 50% – 60% lower than the United States. The reason is (of course) health care expenses do not respond well to free-market forces. It is easy for medical to take advantage of sick people.”
“It is easy for medical to take advantage of sick people.”
This is why it needs to be social!zed and taken out of a profit based system. That last paragraph says it all. We do not have the highest life expectancy in the world, yet we are paying 50-60 more for a lesser service? Wtf? Free market sure as hell doing their best to rig the f’en market. Such bs!! Just taking advantage of sick people and making the entire country pay for it through some bs health insurance market. Not everything should be privatized for the millionth time.
“It is easy to see how capitalism is more efficient. However, predatory capitalism effectively degenerates to a feudalistic class system without oversight. This is a system where the few rich exploit both their customers by removing competition. This is the challenge of our current system — we have created an inherited aristocracy which is every bit as harmful as the English System that we rebelled against.
“Wherever there is great property, there is great inequality… for one very rich man, there must be at least five hundred poor.” — Adam Smith””
First time looking at this today. Grim is correct about modifications making many foreclosures go away. Ex Pat, you are forever the conspiracy theorist. So much of the outstanding mortgage debt in foreclosure has been sold, sold and sold again. If the debt is bought at the right price getting it to re-perform can be quite profitable. Let us not forget the impact of short sales and paying mortgagors to turn over the keys and deed.
Busy week for me. Bought one in Bergen and one in Morris. Both properties built in 2003 and worth about $800,000. Paid upper 5’s for one in Bergen and 505 for the one in Morris.
I’m relaxing at a bar in downtown LA right now. What a turnaround compared to what I witnessed last time I was here 10 years ago. So many places in this country are thriving, it isn’t just New York City and Hoboken.
I went somewhere nice for dinner. It was very nice, reminded me of Hoboken.
30 year – Is there a secondary market for non-performing mortgages like there is for consumer debt? That would be the only thing that would kind of square up with the facts on the ground. Can you buy a mortgage for pennies on the dollar and then get the debtor to pay you dimes without recording any documents with the county?
OTOH, I could be convinced that there is a huge market shift like the one that has occurred before if I had access to public school registrations to confirm. The majority of houses in the Southern part of Rockaway Township were built in the early 1960’s. By the late 1970’s, after many schools had been built, the HS graduating classes started shrinking. I only know this because some then current HS students started a web project in the mid 90’s posting lists of every graduating class from Morris Hills where alumni could post their email addresses if they were so inclined; it was the infancy of social media. Anyway, I was amazed at the data. HS graduating class size almost fell to less than 1/2 over the period from about 1980 to the early 1990’s. This was easily explained as families headed by parents in their 20’s that bought houses for $15-$25K brand new in the early 1960’s now owned houses that were selling for $125K in the early 1980s and there was no appreciable turnover, these weren’t starter houses anymore. Empty-nesters stayed put and the school population tumbled for more than a decade. Maybe the same thing is happening again?
First time looking at this today. Grim is correct about modifications making many foreclosures go away. Ex Pat, you are forever the conspiracy theorist. So much of the outstanding mortgage debt in foreclosure has been sold, sold and sold again. If the debt is bought at the right price getting it to re-perform can be quite profitable. Let us not forget the impact of short sales and paying mortgagors to turn over the keys and deed.
Busy week for me. Bought one in Bergen and one in Morris. Both properties built in 2003 and worth about $800,000. Paid upper 5’s for one in Bergen and 505 for the one in Morris.
I was just thinking about our Fuller brush man in the 1960’s. Can you imagine the life of a door-to-door salesman in 1965 where every door you knocked on was answered by a woman under age 30 who might have not much to do until after 3PM when the kids got home?
Those women didn’t even have color TV yet. They were watching Jeopardy in black and white as the height of their daily adult stimulation. I wonder if any of them used to diddle themselves while watching Art Fleming?
Guy on Long Island hasn’t paid mortgage since at least 2007, blames Sandy which happened in 2012, and courts are smacking down lenders when they try to collect.
http://www.newsday.com/business/lender-faces-friday-deadline-to-appeal-li-foreclosure-defeat-1.13709835
Let me know if link has paywall. Then I’ll cut and paste the report.
OG, yes clever investors snapped up delinquent mortgage paper for pennies on dollar from panicked servicers, contacted borrowers and reset mortgages to conform with their incomes, then flipped reperforming mortgages for sickeningly huge profits.
Today was a pretty amazing and divergent day in the US stock market. I don’t think I’ve ever seen such differences in the major averages:
S&P 500 – down 0.08%
Dow 30 – up 0.42%
Nasdaq Composite – down 1.80%
Russell 2000 – up 0.43%
Normally the deviation is between Large Caps (Dow & S&P) and small(er) caps (Nasdaq and Russell 2000). Today it was a whole, weird, different thing. The mega-caps (Dow 30) and the small caps(Russel 2000) gained modestly while it was the Information Technology sector specifically that was bent over and spanked repeatedly. What makes this interesting is usually a reversal in a leading sector like Tech would trigger a broad market decline. Not this time. Tech got put in solitary while the other sectors retained their privileges. Today’s price action should be preserved as a finance lesson illustrating why diversification is of great value.
Here you go, chi.
“1) The Tesla Killer Isn’t What You Think It Is
The electric car seems to be on an unstoppable trajectory. In the past five years, the number of electric cars on the road worldwide has soared to two million from basically nothing, the International Energy Agency said this week. But one nation is showing there’s a way to halt their popularity: Stop paying people to buy one. Electric-car sales in Denmark fell more than 60 percent in the first quarter after the government announced that tax breaks would be phased out. Tesla’s Elon Musk had traveled to Copenhagen and lobbied against the cuts, and now the Danish government has extended the tax breaks but still intends to reduce or eliminate various incentives. The phase-out plan “completely killed the market,” said Laerke Flader, head of the Danish Electric Car Alliance. “Price really matters.” “
“2) Trump Keeps Blowing His Own Deadlines
Bloomberg’s Toluse Olorunnipa has noticed something peculiar. In President Donald Trump’s world, everything is about to happen in two or three weeks. “The president has used two-week timelines to sidestep questions from reporters or brag to CEOs at the White House,” Olorunnipa wrote. “But his pronouncements have also flummoxed investors, Congress and occasionally even members of his staff.” A few examples:
Feb. 9: Trump says his tax overhaul plan will be announced in “the next two or three weeks.” A one-page outline was published 11 weeks later.
March 15: Trump tells Fox News’s Tucker Carlson that “some very interesting items” will come out “over the next two weeks” to support his claim that former President Barack Obama wiretapped Trump Tower, but no evidence has come out.
April 5: Trump tells the New York Times he’ll announce “in two weeks” something about workers’ wages on federally funded infrastructure projects. Nothing has come out.
April 29: Trump says he will file a $1 trillion infrastructure program “over the next two or three weeks—maybe sooner.” Nothing yet.
May 21: Trump promises a news conference “in about two weeks” about progress fighting ISIS. Nothing yet.
“You can’t con people, at least not for long. You can create excitement, you can do wonderful promotion and get all kinds of press, and you can throw in a little hyperbole,” Trump wrote in his 1987 book, “The Art of the Deal.” “But if you don’t deliver the goods, people will eventually catch on.””