B.C.

Housing starts fell 17.6 percent in March, to an annual rate of 1.837 million units. That was the biggest decline since January 1991. Economists had expected a drop of more like 6.6 percent. This is an unpleasant surprise that would be expected to cause mortgage rates to fall. Indeed, that seems to have happened, slightly.

Those who are on a 1 ARM or 2/28ARM, Interest Only, better re-fi or saveup. (I hope noone here is subprime, because you're locked in until the end of the term before you can re-fi) It's not going to be a 4.5%-5.5% like you are having now, expect a 1-2% Increase in 1-2 years. That could mean 300-1500.00 increase in rent a/month depending on your house value.

Becareful, of the forclosures. Re-fi cost $$$ too. I'm heading into the forclosure homes for investments. There are many out there already, but the prices on forclosures are still pricey or close to market value.

Any comments anyone, any econ major?

BC

CrAzYNeSs

that sucks....

B.C.

Supply and Demand. Like a baseball Card, Ken Griffy Jr when he was hot, it was 1000.00 for a grade 10 card, now he's gone, it's 50.00. Got to catch the waves when it's starting, not ending.

Many people are jumping to buy now, esp. those who can't afford it, will pay the price at the end. It's still a good time to invest, like Warren Buffet says "Buy low, sell high" Invest in a company/business with potential, what goes down, must goes up.

BC

JrodsS2000

this is what i have been waiting for...i just unloaded one of my places holding on to the other 2 since they are free and clear rental income.

now i know its kinda harsh but i am waiting for someone to go belly up on their loan so i can pick up another place or 2

CrAzYNeSs

not harsh at all... I'd call this somewhere along the lines of...

social darwinism

If i had the money I'd be on your same bandwagon

-Jeff

tool462

I've been expecting the real estate market to come down some time in the next few years. I have a gut feeling that a lot of people bought more house than they can afford using 5/1 ARMs and other more risky mortgage schemes. When rates go up, and they can't afford the refi, there are going to be a lot of houses on the market...

watermain

How do you find foreclosures? Inside info?

CrAzYNeSs

Yeah, I'd like to know too.

B.C.

There is nothing wrong with your thinking. You are capturing people's mistakes @ their expense and turning it to make profits. Buffet would have been proud of you.

BTW: The rental industry is booming and not affected. Many of these forclosures will put people in the apts. No worries. Rental is good

B.C.

Contact a local agent near your town, and he/she will deliver 5-20 forclosures every month to you