WELCOME TO RIVER DAVES PLACE

Speaking of California is anyone else troubled by this?

Havasu blue label

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Most realtors buy there listing it’s going to hit realty soon when you have to start working and taking early retirement packages and pay cuts
 

EmpirE231

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I think that going forward people that want to buy entry level homes will buy small condos/apartments in CA or buy houses on other states. Anywhere in CA worth living is only building high end large homes or ultra dense condos. CA is squeezing out the middle class home buyer.

After looking at prices in southern Utah... socal area looks like a bargain (inland)
 

was thatguy

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CA “funny money”...lol

Been supervising a prevailing wage job in SoCal.
I had brand new 19 year old hands with zero experience making $68 or so an hour straight time. $100+ an hour on weekends.

A $300K house in the real world should be $2 million in CA.

Funny Money...
 

pkrrvr619

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Wife and I are in an interesting spot in the housing market.

We are being told we can clean up on our home in San Diego, which if we sold in SD Id try to get closer to Irvine where most of my work is. But even taking all of the proceeds from the sale of the home and putting it down somewhere close to Irvine, our mortgage goes up by quite a bit.

Being a commission only sales guy, I try to keep overhead low so we can do all the extracurricular activities we enjoy and be able to put away, so increasing my mortgage 50% or more doesn't make a whole lot of sense. Especially seeing how my mortagate now is lower than renting the home we live in (4 bed 3 bath house).

We are kind of stuck. It is an interesting place to be in for two 36 year olds.
 

LargeOrangeFont

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Wife and I are in an interesting spot in the housing market.

We are being told we can clean up on our home in San Diego, which if we sold in SD Id try to get closer to Irvine where most of my work is. But even taking all of the proceeds from the sale of the home and putting it down somewhere close to Irvine, our mortgage goes up by quite a bit.

Being a commission only sales guy, I try to keep overhead low so we can do all the extracurricular activities we enjoy and be able to put away, so increasing my mortgage 50% or more doesn't make a whole lot of sense. Especially seeing how my mortagate now is lower than renting the home we live in (4 bed 3 bath house).

We are kind of stuck. It is an interesting place to be in for two 36 year olds.

I'm in OC and in the same spot basically. We could move upmarket, I could afford the extra mortgage payment, but like the flexibility of where we are at. Really its the property taxes that are the killer. If we move it will be out of state.
 

LargeOrangeFont

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After looking at prices in southern Utah... socal area looks like a bargain (inland)

Yea the southern Utah deal would be a lateral move for use price wise. I would just have 3X the house and 5X the garage.
 

satellitemike

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Maybe it was mentioned here already but if you sell you still need to live somewhere and it aint going to be cheap to replace!
I have been trying to figure out how to sell my place in Murrieta and move closer to the office? Starting to consider a large 5th wheel in a trailer park for a few years till the market "corrects".
 

c_land

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Do you think alot of parents are paying cash so the kids can get in the door and then refi/changing title into the kids name? I just can't believe people with 700k cash are buying 700K houses. Seems they need the help to get an offer accepted.

This was the situation when I sold my house in September. Parents gave the kids 620k and the kids would find financing later.
 

attitude

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Looks like I’ll just keep paying my rent while all the other houses on my street sell for outrageous amounts. I’ll be saving $1000-1500 a month by renting instead of purchasing and hopefully buy out of CA in the next couple years.
 

Cole Trickle

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This was the situation when I sold my house in September. Parents gave the kids 620k and the kids would find financing later.

I think it's happening quite a bit out this way. Parents are well off and want to help there kids out so they are throwing the cash offers to get noticed/accepted or the kids basically have zero shot.

I have been getting full color 5x10" postcards from families asking if I want to sell my house. The postcard says they are prequalified and have a good down and that they have missed out on the last 20 houses they have attempted to buy.

Crazy.....Selling right now is easy but you could have all the $$$ in the world and you might not be able to buy.

There are currently 0 single story houses for sale in my area 92882.
 

EmpirE231

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I think it's happening quite a bit out this way. Parents are well off and want to help there kids out so they are throwing the cash offers to get noticed/accepted or the kids basically have zero shot.

I have been getting full color 5x10" postcards from families asking if I want to sell my house. The postcard says they are prequalified and have a good down and that they have missed out on the last 20 houses they have attempted to buy.

Crazy.....Selling right now is easy but you could have all the $$$ in the world and you might not be able to buy.

There are currently 0 single story houses for sale in my area 92882.

You should list now to ride that spring wave...... just mandate an extended escrow.
 

Xtrmwakeboarder

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It concerns me but i'm probably looking at it differently than most on here. In short, home ownership was never supposed to be like this. The American dream in Socal for a young couple starting out is either not possible or they will get roped into the frenzy and buy a tiny house that is wildely overpriced and half of their income or more will go to it. Its sad really. I wonder how many people move to southern california thinking it will be one way and then after a year are sorely dissapointed.

My sister is a real estate agent and she has a listing in Irvine right now, 950 sqft condo, association is $325 mo and there is a $109 special assesment due each month at the moment, listed for 525k. I have a hard time wrapping my head around this. Like I said, its sad.
Not surprised. My 2 bed 2 bath, 1270 sq ft rental condo in Irvine is $730k. HOA dues are $180/mo. This place is insane, but the even more insane thing is houses don't last long. Even at these prices, they are snapped up almost immediately.

Trying my hardest to GTFO, but it doesn't look like I'll be able to work remotely. Tough choices ahead.
 

hallett21

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Threads like this push my wife and I harder and harder to get the dirt and rough it in a 5th wheel for a year or 2 while we build.


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Cole Trickle

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will your new place in UT be ready?

No.... going through the stages now. Hope to break ground in the next 2 months.

My wife's dad lives alone and has a 3 bedroom in St. George that he has offered to share. We will see how that program works out as my son and I like our own space. :D

Luckily her dad is a nice mellow guy and can use some help around the house so i will pay rent with some labor and improvements for him.

If its done before thanksgiving i would be stoked...lol
 

stoker22405

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There’s a realtor in Brea named Darryl Jones. He plays stupid bullshit games like this. He’ll price the house way under ask, then it will obviously sell well above.

Just a method so he can tell potential clients he got “X” amount above ask.

It’s just unnecessary games. IMO just be honest with what you want.


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Thats his moms real estate office...And you are correct...The guy is a Douchebag....!
 

pkrrvr619

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Maybe it was mentioned here already but if you sell you still need to live somewhere and it aint going to be cheap to replace!
I have been trying to figure out how to sell my place in Murrieta and move closer to the office? Starting to consider a large 5th wheel in a trailer park for a few years till the market "corrects".

we thought about this as well. selling getting a park model for a bit and trying to find a place down by the beach to hang and have an adventure for a bit. spot prices were 1500 bucks and id need storage to store my stuff as well. Doesn't pencil out on the coast. maybe inland....
 

LargeOrangeFont

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we thought about this as well. selling getting a park model for a bit and trying to find a place down by the beach to hang and have an adventure for a bit. spot prices were 1500 bucks and id need storage to store my stuff as well. Doesn't pencil out on the coast. maybe inland....

I think that deal only works out financially for people in very specific situations. You start talking about waiting "years" in limbo for a "correction" you start burning through a lot of money, and it will likely end up costing you in the end. We have not even peaked out on the upswing of pricing yet. The fundamentals of the market are much different than last time.

Better off sitting in the house you currently own that is cheaper to own than rent and buy the dip. A house that costs $200K more today will still cost $200K more in a housing dip.
 

shintoooo

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Our realtor listed a house down the street from us for $1.388 and it went into escrow three days later for $1.5+. Multiple cash buyers.

The buyers that missed this house asked her if she had any other leads for houses in the neighborhood because they want their kids to go to Calabasas schools. She called me on Thursday to ask if we would be interested in showing our house. Ours is a little smaller but we have a 240 degree view of the whole valley. I told her there's a price for everything so they are coming on Wednesday to take a look. My wife and I talked about it and if they offer us the magic number, we would sell. I love my house but like I said, there's a price for everything. They also said they would rent it back to use for a year or two if we want since their kids are in good private schools for the time being and they are looking two years out. We'll see what happens.
 

Cole Trickle

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Our realtor listed a house down the street from us for $1.388 and it went into escrow three days later for $1.5+. Multiple cash buyers.

The buyers that missed this house asked her if she had any other leads for houses in the neighborhood because they want their kids to go to Calabasas schools. She called me on Thursday to ask if we would be interested in showing our house. Ours is a little smaller but we have a 240 degree view of the whole valley. I told her there's a price for everything so they are coming on Wednesday to take a look. My wife and I talked about it and if they offer us the magic number, we would sell. I love my house but like I said, there's a price for everything. They also said they would rent it back to use for a year or two if we want since their kids are in good private schools for the time being and they are looking two years out. We'll see what happens.

I knew you were moving to Utah.....lol
 

pkrrvr619

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I think that deal only works out financially for people in very specific situations. You start talking about waiting "years" in limbo for a "correction" you start burning through a lot of money, and it will likely end up costing you in the end. We have not even peaked out on the upswing of pricing yet. The fundamentals of the market are much different than last time.

Better off sitting in the house you currently own that is cheaper to own than rent and buy the dip. A house that costs $200K more today will still cost $200K more in a housing dip.
How high can this possibly go?

I was floored at the price the realtor said we can get for our pad now. Don’t think it can go much higher. Wild times.
 

LargeOrangeFont

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How high can this possibly go?

I was floored at the price the realtor said we can get for our pad now. Don’t think it can go much higher. Wild times.

There are more people with cash and desire to purchase than there are houses to buy.. it’s going to go higher.

Plus it is a great appreciating hedge against inflation.
 

Carrera205

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I think that going forward people that want to buy entry level homes will buy small condos/apartments in CA or buy houses on other states. Anywhere in CA worth living is only building high end large homes or ultra dense condos. CA is squeezing out the middle class home buyer.
This is because developers realized that they can fit 15 families in the spot of one house. Charge the same amount as a house x 15 and then slap a 450 dollar hoa fee on you a month.
 

LargeOrangeFont

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This is because developers realized that they can fit 15 families in the spot of one house. Charge the same amount as a house x 15 and then slap a 450 dollar hoa fee on you a month.

Correct.. and 15X the property taxes.
 

lIQUIDATEDdAMAGES

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Pretty much everything said here is true. The market is completely nuts. We placed two offers on a house two weekends ago and lost out above ask with a 21 day close. We also knew the neighbors across the street who know the sellers and put in a good word for us.

This past weekend we offered 25k above ask the first day on the market on a place that was listed for 725k. Our realtor thought it was worth 700k and it sold within a day and a half for 775k. 3 bed 2.5 bath in San Juan built in 1978 that had some lipstick on the pig but needed a lot of work...

Also offered on another yesterday that had been on the market for a few days. Again decent amount above ask and the selling agent told ours that they accepted an offer that was WAY higher than anything else received. Whoever submitted that offer must be WAY high in another way too...


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c_land

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Pretty much everything said here is true. The market is completely nuts. We placed two offers on a house two weekends ago and lost out above ask with a 21 day close. We also knew the neighbors across the street who know the sellers and put in a good word for us.

This past weekend we offered 25k above ask the first day on the market on a place that was listed for 725k. Our realtor thought it was worth 700k and it sold within a day and a half for 775k. 3 bed 2.5 bath in San Juan built in 1978 that had some lipstick on the pig but needed a lot of work...

Also offered on another yesterday that had been on the market for a few days. Again decent amount above ask and the selling agent told ours that they accepted an offer that was WAY higher than anything else received. Whoever submitted that offer must be WAY high in another way too...


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What is the point in an Agent making statements like "accepted an offer that was WAY higher than anything else"? Trying to make you submit a higher bid?

Why not just tell the buyer's agent that another offer was accepted?
 

Slink

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Im retiring at the end of this year....lived in my old home in Woodcrest for the past 25yrs....I put the house on the market last August as I thought Biden and the China Virus would would effect the market in 2021...Boy was I wrong. But had I held it until now.....The market would have tanked...so you're all welcome.

I listed my house on a Thursday....had 25 offers before the weekend was over. Sold for 10k over listing price....which was also 10k over appraisal. Young LACO fireman and his nurse fiancé bought it. Several Asian families with cash offers... Had I waited til now...probably could have got an extra 40-50k.

Renting a 1 bedroom now for almost the same as my mortgage was......but the end game will be living lake front in TN.
 

lIQUIDATEDdAMAGES

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What is the point in an Agent making statements like "accepted an offer that was WAY higher than anything else"? Trying to make you submit a higher bid?

Why not just tell the buyer's agent that another offer was accepted?

Talking with our agent I think it may have been because the selling agent was concerned it might not go through escrow. Possibly wanting to keep some of the other offers interested. There are people who are literally making offers site unseen due to how quickly things are going right now...


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Ace in the Hole

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Do you think alot of parents are paying cash so the kids can get in the door and then refi/changing title into the kids name? I just can't believe people with 700k cash are buying 700K houses. Seems they need the help to get an offer accepted.

Part of the reason we moved to texas originally was over this... asking parents to cover the cash purchase then refi was the only way we would have been able to buy a property back home..(same way we bought our first condo there). It just wasn't worth it and im glad we moved to TX. Now that we are planning to move to MT, the only way we are even a player in the game there is to have a proof of funds letter, funded by both sets of parents that we will refi and repay. We lost out on our "dream property bc we tried to go it alone, and now its owned by a Chinese investment firm...I'm not doing that again. We aren't kids per say but im early 30's and my wife just turned 30. It's gone stupid. My wife gets pissed bc its the same issue we had back in HI...chinese buyers agents buying everything cash over ask, second to that is California cash buyers.
 
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Ace in the Hole

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What is the point in an Agent making statements like "accepted an offer that was WAY higher than anything else"? Trying to make you submit a higher bid?

Why not just tell the buyer's agent that another offer was accepted?

Had that happen on some land we really really wanted... I kinda thought it was a bit sleazy, but I think its their way of having you try to offer even more. The property it happened to us on had some issues on access and a state lease next to it. The other buyer offered $65k over us..no contingencies, no survey, no fence install etc which were expected on it with our offer. They still haven't closed, it keeps getting extended.. We only found out bc the seller agent called my agent to see if we would make any more offers after the deal started falling apart. We would have in 30 days. Seller was a crusty old bastard who only saw $ vs a solid offer from us that would have gone through.
 
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lIQUIDATEDdAMAGES

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Talking with our agent I think it may have been because the selling agent was concerned it might not go through escrow. Possibly wanting to keep some of the other offers interested. There are people who are literally making offers site unseen due to how quickly things are going right now...


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Just got word that the latest one we offered on went for 788k. Listed at 715 we offered 735 and the thing was only on the market for like three days. Absolute madness. Where the fuck are all these people coming from that can afford this shit! [emoji23]


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hallett21

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Just got word that the latest one we offered on went for 788k. Listed at 715 we offered 735 and the thing was only on the market for like three days. Absolute madness. Where the fuck are all these people coming from that can afford this shit! [emoji23]


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The other issue is when you get into the extra 30-80k. It only changes the monthly $150-350 a month. Not a hard sell on the realtor’s end.

“Really? You’re going to let your dream home go because of $300?”

And the average buyer will get worn down and just say fuck it eventually lol.


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TimeBandit

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Since the 1980's every bus boy and gardener had 3 kids, and those kids are already grown and now have 3 kids, and those kids have 3 kids....

They have to live somewhere, and as one explained to me "they can't move to a tree hanging state" to buy a cheaper house.

So section 8, housing assistance... none of it will keep up with the population explosion in the urban areas.

Dirt? there is no more. Crap apartments rent for $2400/month in Reseda. Starter homes are $700,000.00

and next year the prices for both will be higher.
 
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jeteater1

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Lots of foreclosures coming soon. Wife is almost finished getting her realtor license and has a broker waiting for her.
 

cofooter

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Lots of foreclosures coming soon. Wife is almost finished getting her realtor license and has a broker waiting for her.
Hope she can take advantage of the current hot market, but agree, it can't go on forever............
 

RodnJen

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I do, but its my home... Because I refuse to own a Rental in CA...
Ca Gov - has proven, they dont give a shit about the property owners... therefore I would not risk a rental property.
Stock Market is a far better play... For now anway
Too bad, you are missing out.
 

arch stanton

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What is collapsing that will cause foreclosures?
This is what I want to know
I remember the 2008 crash if my memory is right the only reason the sub prime mortgage crashed happened is that Fannie Mae and Freddie Mac quite financing them because they could no longer package them together and sell them as derivatives to the institutional investing companies that were investing government and Union retirement plans funds.
I had heard about the sub prime lending crisis coming for years before the crash happened, it took along time for what was happening to matter to the investors in the derivatives.

The question is what will trigger Fannie Mae and Freddie Mac to stop righting mortgages, Since most buyers seem to be coming in with lots of cash and way more than 20% down I don't see it slowing down on its own it going to take some bad news to slow the roll, the government has been keeping the money cheap, interest rates having pretty much been coming down since Ronald Reagan was President I know I bumped up hear and there but the overall trend has been down.
I read that in Australia, Germany and some other countries have negative interest rates this means they pay you 1/2 % to take out a loan this keeps their economy running but if you put money in the back the charge you a percentage also, I think it's 3/4 to 1 % this is also the reason the are housing market and stock market keep going up is the rest of the world's money is coming hear.
 

jeteater1

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Aguanga, Riverside
But there is a lot of building on the empty lots here too.
 

jeteater1

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Shit ill sell mine for $450.000
She is an older 1983 2900 sq ft.
3 bed room,made it a 4 just need to put in a small closet. 2 bath . 4 seasons small lake
low HOA fees $140 2 1/2 acres not fenced
20201208_120800.jpg
All dirt roads , Air Strip
In Lake Riverside Estates Aguanga.
My back is gone and can't keep up anymore.
FB_IMG_1490937240178.jpg
 

Eliminator21vdrive

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Wonderful news! I am selling a rental in June and was just looking at comparable yesterday $$$$$$$$$$$$$$$$$$$!!!!!!!!!!!!!!!!!!!!!!!!
 

Christopher Lucero

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well, there's also the Prop 19 effect....dubious but voted in nonetheless. It's dates of inception are very recent, and the April 1 date is only a few weeks away.

Critics at the time believed it would severely impair young people's home purchases in future if their parents did not already have a stake, or multiple stakes - in the housing market.

In a coy alliance with firefighters (in for $110k), - and once again leveraging 'safety' and/or beneftis to 'elderly' or to 'victims' as the reason for acceptance of the inititaive - Prop 19 was funded to the tune of $40M by the California Association of Realtors, with a resistance campaign funded at a mere $45k by the Howard Jarvis Taxpayers Association.

The result is new bureaucracy and further state employee ranks fueled by the state’s proposal to create two new, barely defined funding vehicles within the state budget (one for a personnel expansion, the other for administration/research). These will no doubt be a new way to create bureaucracy and further inflate state personnel ranks.

In 2011 similar legislation, AB X1 29, established a State Responsibility Area (SRA) "fire tax" on properties in special districts covered in that area. According to the Fire Districts Association of California, this measure was plundered by politicians' access to it through the general fund. Prop 19 is set up to suffer the same exploit.

 
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