Housing slowdown creating 'ghost towns'

[link to www.app.com]
MONEY WORRIES: Could Kara filing, Dwek case herald financial meltdown?

Alarm bells ringing
Wobbling real estate market sparks fears of banking implosion

Posted by the Asbury Park Press on 10/15/06

BY JASON METHOD
STAFF WRITER

When Kara Homes filed for bankruptcy this month, Amboy National Bank of Old Bridge was listed as the largest creditor with $58.2 million in loans.

When local real estate mogul Solomon Dwek's $400 million empire was frozen by a judge following charges of bank fraud, Amboy was again the largest creditor — for $49.7 million.

Just as Amboy has been surprised by the loans gone bad, a real estate market in decline could spell financial trouble for other local banks and thrifts that have lent heavily for housing developments and commercial real estate, bank analysts and federal regulators say.

Industry analysts recall the savings and loan crisis from the late 1980s and worry that a new round of bank bloodletting could start if a once-robust real estate market founders.

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Last Edited by Account Deleted by User on 12/22/2011 07:30 PM

Yes, it's going to get fugly. The smart buyers are patiently waiting. It could take years for this bubble to totally unwind, unless there's an event that expedites things.

Especially with every yayhoo caught on the wrong side of an ARM loan that had no business buying a house in the first place out on the street and pissed off.

I sold my house last August at(near) the market peak, and I'm renting a condo while I wait for the crash. Then I'll buy again - this time with some acreage. I got caught in the last bubble in the late 80's - took 6 years or so for the price to recover...

You're lucky, goat! The greedy bastards couldn't build them fast enough here in Phoenix. In a way, I'm glad it's biting them back. I feel sorry for the poor slobs who actually bought houses to be homes, not get-rich-quick schemes, though. Me included. I bought before the market went nuts, should have sold last year. I hope I don't have to wait too long for it to pick up again. *sigh* I can never win.

I got a few acres in Bastrop ,TX, land is beautiful, the mobile home (yeah I live in a mobile home, flame on, lol) is a POS. The trailer is paid for, a few years on the land.

I hang on the end of the long dirt road with guns, knives, dawgs, trailers and trucks having a good ole time with nature.

.22 ammo will be the next US currency.

Just hold - if you can. That's how I got through - my bubble-burst experience ended well - but only because I held on for 17 years. Ended up making about 140,000 net-margin profit. Real estate has always been best as a long term investing strategy. Just don't get out of the market completely - because it always goes up....

Sounds like a lotta fun - I've got the same idea in mind up here in the Ontario bush-lands in Canada. Only hope I make it before the Zombies come looking for my tender brain....

Buying investment properties is a bit like going to Vegas - don't you think?
Hit - Hold - Fold....who knows?!

Yea, I know. I hope we can hold on. Thanks for the encouraging words

Way to go. Get some wood, a few 2x4 and some 2x8s and start building....soon enough...wallah....you have a House.

I wish I could live somewhere like that.
Hopefully soon.

Peace
Love
God Bless

"ghost towns" just on time for halloween!

You're right - liquid is good. And BTW - I'm in big-ticket consumer goods - consumer spending IS off - nobody's talking about it too much yet, but it's way down..

That's cuz the US consumer uses their house like an atm machine. Let's face it, the party is over, since US consumer spending drives world markets.

Remember that america haters. We go down, you go down.

I'm seeing the same where I'm at in Florida. House two doors down, on market about year and a half ago, 500K, rented it to a nieghbor after the Hurricanes destroyed his home, Up again right now for 400K No offers both times. Talked to a guy the other day, he said Tropical Homes last year this month built 350 houses, this month thay've build 2 so far, he said it looks like they're probably done. We have Tory Pines research landing soon in my County, so big we're building them an exot off I95, and scripts research coming to Palm Beach County, close by enough. So that should help. Glad I bought waterfront Ocean access for big boats, but I'm sure some Bubble money went away for me, anyway, but at least I ain't down. If you can afford it, always good to buy property with value added somehow, it's more stable. There used to be three pages of houses sold in the Sunday paper here, now not even one whole page and we were a boom county where I'm at, held a record or two for the state. It's defenetly headed down, but I think also alot of it is correction, it was out of control. People who made stupid moves are likely to get hit hard. There are actualy going to be more than a few people upside down in their homes, at least for awhile, that's pretty much unheard of prior.

Market is hot as hell here right now in Canada...my house has doubled in value.

Just getin to refinance now...better get some o that coin while i can.

I paid less than 90,000 in 2003.

I've put around 5 grand, give or take.

And could sell it right now, lowball, at

$175,000.

That's not bad.

Banks and Realestate agents are promoting this LIE. Gov NEWS is reporting this LIE...

THe houseing market is only coming back down to reality. A home that WAS selling for $500 000 is now being sold for what it is REALLY worth, say 350 to 375 000.

Is that really that bad . Well yes to the Fools that dumped all there money into these buy re sell or buy re-vamp then sell scams.

I myself am looking forward to this ,, Real life corretion.

Tron 2.0

Yep, I understand you, bro.

I bought in '03. And was very very conservative, if you'll pardon the expression.

Not everyone will lose their butts. Some may just not make as much as they hoped.

For me, I'm happy. It's my home. I don't plan on selling anytime soon anyhow.

Dude, your AV is hyp-mo-tizing me...

Sounds like you're alright where you are... These kinds of markets are created when people who aren't in the market look at the rising values and think they better get in or they'll never be able to. Many others are just dumb - overpaying. People who can sit it out where they are will do best - people who mortgaged up to pay for Plasmas and Hummers could be in trouble.

Oh.

So I guess I don't deserve any recognition?

I'm talking to you, you old goat.

Yeah, that's pretty good. If you're thinking of selling though - do it soon. Unless you live near the oilpatch LOL.

Thanks, you old repulican goat you.

I'm not selling.

oops. I have a mental block against the

"b" for some reason.

That should have read "republican".






But you knew that. :)

"22 ammo will be the next US currency."

Shooting me with a .22 would just piss me off

Ya need something with stopping power

The .22 is useful for hunting small game to stay alive in a SHTF scenario, and is the most common calibre and cheapest ammo available. It will also be very useful as a barter item.

For the record I own .22,.38, .357, .44 mag, .45acp, .303, .308, 30/30, 375 H&H and 12 gauge weapons.

YIKES! That may be why so many houses I have been seeing are saying owner is realestate agent.

BUT in GA I haven't seen the price dropping very much yet.

I do hope land prices drop this go around.

(a lot of people are trying to dump properties they bought for investments at huge loses right now)
A lot don`t know what the fock their doing... motivated by a deep sense of pigish greed, they get focked