One Man’s Trash is Another Man’s Treasure
We’ve all been talking about the foreclosure crisis and the headlines in this weekend’s news were ominous on the subject: “Home loans failing at record rates; foreclosures up 257% over Jan. ’07.” Half the population is agonizing over this and half are raising their glasses to the heavens in utter joy. It’s such a mixed bag of sorrow and delight.
Of course, everything depends on your perspective. If you’re in the throws of financial disaster because you can’t make your mortgage payments, that’s sorrow. If you’ve been sitting and waiting on the sidelines for the chance to get back in the market, the fact that someone else’s misfortune has opened a window of opportunity is sheer bliss. Yin yang yo.
So, what about foreclosures? What’s the real story and why should we care (besides the fact that there are good deals as a result)? We should care because of the larger implications to our society, economy and culture; and how the fallout effects everyone. There is an old saying that should we not learn from our mistakes we will be forever doomed to repeat the past. Lenders and borrowers both made mistakes in the boom and the ramifications are huge. Dr. Housing Bubble has a couple of really good true life stories of foreclosure worth reading. Every Second Paycheck chronicles a real estate investment disaster that has become infamous in certain circles. Redfin’s own Sylvia Walker recently published an article about the manic-depressive cycle of the market and coping strategies that are rooted in sanity instead of hysteria. Sheila McDaniel reported on the failure of foreclosure auctions to generate much anticipated buyer interest and all the steam that’s created. Julie Lance and I have written about the foreclosure bus and creative strategies by lenders to try to entice buyers back into the market. For sure there will be more fallout in the days ahead and worry not, we will have more to say.
Recent Orange County Sweet Digs Posts:
Lots of Past Sales for Newport Beach…But Why?
More Buyers Able to Afford a Home…Ya, Right
They Say a Picture’s Worth a Thousand Words
It’s Not What You Know, But Who You…
Taking Stock in Huntington Beach
Neighborhood Spotlight: Galicia
The Irvine Market Report: February 2008
Celebrate Presidents’ Day in Aliso Viejo…With Recent Price Reductions
