Comments on: One Third of Seattle Homebuyers Have Unaffordable Mortgages http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/ local real estate news, statistics, and commentary without the sales spin. Mon, 15 Mar 2010 01:03:50 -0700 http://wordpress.org/?v=2.9.2 hourly 1 By: Ravenorhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16297 Ravenor Mon, 18 Jun 2007 20:03:21 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16297 The Growth Management Act did not mean that fewer houses could be built; its primary effect is that houses have to be built on smaller lots.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16297','Ravenor',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16297','Ravenor','The Growth Management Act did not mean that fewer houses could be built; its primary effect is that houses have to be built on smaller lots.',''); return false;">Quote</a></div> The Growth Management Act did not mean that fewer houses could be built; its primary effect is that houses have to be built on smaller lots.
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]]> By: Dadehttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16222 Dade Fri, 15 Jun 2007 20:07:11 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16222 One in five U.S. homes entering the foreclosure process last month were located in Florida. It's not the sort of ranking that makes you want to shout, "We're No. 1!"<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16222','Dade',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16222','Dade','One in five U.S. homes entering the foreclosure process last month were located in Florida. It\'s not the sort of ranking that makes you want to shout, \"We\'re No. 1!\"',''); return false;">Quote</a></div> One in five U.S. homes entering the foreclosure process last month were located in Florida. It’s not the sort of ranking that makes you want to shout, “We’re No. 1!”
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]]> By: Dadehttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16214 Dade Fri, 15 Jun 2007 17:14:05 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16214 Shawn, you are up in the night.http://eyeonmiami.blogspot.com/http://www.sptimes.com/2007/06/13/Business/Mortgage_breakdown_in.shtml?ref=patrick.net<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16214','Dade',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16214','Dade','Shawn, you are up in the night.\r\n\r\nhttp:\/\/eyeonmiami.blogspot.com\/\r\n\r\nhttp:\/\/www.sptimes.com\/2007\/06\/13\/Business\/Mortgage_breakdown_in.shtml?ref=patrick.net',''); return false;">Quote</a></div> Shawn, you are up in the night.

http://eyeonmiami.blogspot.com/

http://www.sptimes.com/2007/06/13/Business/Mortgage_breakdown_in.shtml?ref=patrick.net

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]]> By: Shawnhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16186 Shawn Thu, 14 Jun 2007 21:46:10 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16186 Data from: www.tiny.cc/Florida_Echos<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16186','Shawn',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16186','Shawn','Data from:\r\nwww.tiny.cc\/Florida_Echos',''); return false;">Quote</a></div> Data from:
http://www.tiny.cc/Florida_Echos
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]]> By: Shawnhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16182 Shawn Thu, 14 Jun 2007 21:42:07 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16182 Florida 2005 equals Seattle 2007
Overall sales will remain strong through the end of the decade.
Higher home prices will not snuff out Florida’s housing boom.
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]]> By: Shawnhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16180 Shawn Thu, 14 Jun 2007 21:40:44 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16180 Florida 2005 equals Seattle 2007 Supply Has Been Constrained By Growth Management Initiatives.For all the talk about speculators, there is at least one surprising statistic that tends to downplay some concerns. The latest data from LoanPerformance.com show that just 14.3 percent of the mortgage loans made in Dade County were interest-only loans. By contrast, the national average in 2004 was 22.9 percent.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16180','Shawn',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16180','Shawn','Florida 2005 equals Seattle 2007\r\nSupply Has Been Constrained By Growth Management Initiatives.\r\n\r\nFor all the talk about speculators, there is at least one surprising statistic that tends to downplay some concerns. The latest data from LoanPerformance.com show that just 14.3 percent of the mortgage loans made in Dade County were interest-only loans. By contrast, the national average in 2004 was 22.9 percent.',''); return false;">Quote</a></div> Florida 2005 equals Seattle 2007
Supply Has Been Constrained By Growth Management Initiatives.

For all the talk about speculators, there is at least one surprising statistic that tends to downplay some concerns. The latest data from LoanPerformance.com show that just 14.3 percent of the mortgage loans made in Dade County were interest-only loans. By contrast, the national average in 2004 was 22.9 percent.

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]]> By: Shawnhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16179 Shawn Thu, 14 Jun 2007 21:39:48 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16179 Florida 2005 equals Seattle 2007 Florida has also enjoyed exceptionally strong job growth throughout recent years. With job and income growth handily outpacing the rest of the country, Florida has tended to pull job seekers in from other states.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16179','Shawn',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16179','Shawn','Florida 2005 equals Seattle 2007\r\nFlorida has also enjoyed exceptionally strong job growth throughout recent years. With job and income growth handily outpacing the rest of the country, Florida has tended to pull job seekers in from other states.',''); return false;">Quote</a></div> Florida 2005 equals Seattle 2007
Florida has also enjoyed exceptionally strong job growth throughout recent years. With job and income growth handily outpacing the rest of the country, Florida has tended to pull job seekers in from other states.
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]]> By: Shawnhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16176 Shawn Thu, 14 Jun 2007 21:38:19 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16176 Florida 2005 equals Seattle 2007
While there is a fine line between boom and bubble, we still believe that most of the rise in Florida’s housing values can be explained by basic economic and demographic forces. Quite simply, prices are rising rapidly throughout most parts of Florida because the demand for single-family homes is vastly outpacing supply.
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]]> By: Shawnhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16172 Shawn Thu, 14 Jun 2007 21:28:48 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16172 Re is going to go up? Okay then, the question is "is it going to go up at a rate that makes it worth less over time than other investments?"<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16172','Shawn',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16172','Shawn','Re is going to go up? Okay then, the question is \"is it going to go up at a rate that makes it worth less over time than other investments?\"',''); return false;">Quote</a></div> Re is going to go up? Okay then, the question is “is it going to go up at a rate that makes it worth less over time than other investments?”
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]]> By: Joelhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16144 Joel Wed, 13 Jun 2007 17:16:44 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16144 <a href="http://paper-money.blogspot.com/2007/06/here-we-go-again-harvards-state-of.html" rel="nofollow">Nice post over at paper-money about the bias of the Harvard report</a>. No matter what the facts are, real estate is always poised to go UP!<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16144','Joel',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16144','Joel','<a href=\"http:\/\/paper-money.blogspot.com\/2007\/06\/here-we-go-again-harvards-state-of.html\" rel=\"nofollow\">Nice post over at paper-money about the bias of the Harvard report<\/a>. No matter what the facts are, real estate is always poised to go UP!',''); return false;">Quote</a></div> Nice post over at paper-money about the bias of the Harvard report. No matter what the facts are, real estate is always poised to go UP!
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]]> By: Eleuahttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16143 Eleua Wed, 13 Jun 2007 16:39:00 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16143 I had to post this.From some Kitsap RE agent named Jacobson:<i><blockquote>"The doom and gloom really doesn't apply in the Pacific Northwest," Jacobson said, adding that it's particularly true in Kitsap County, because of the stable military presence and the housing prices compared with the market closer to Seattle. "We're still a great value over here."</blockquote></i>WOW! What a version of "we are special." I can understand if Ballard Bob is saying that about King County, as it is where job creation is happening. I would still disagree with him, but at least there is some ephemeral tether to reality.Over here in the hinterlands, you have to be on serious drugs to say something like that.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16143','Eleua',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16143','Eleua','I had to post this.\r\n\r\nFrom some Kitsap RE agent named Jacobson:\r\n\r\n<i><blockquote>\"The doom and gloom really doesn\'t apply in the Pacific Northwest,\" Jacobson said, adding that it\'s particularly true in Kitsap County, because of the stable military presence and the housing prices compared with the market closer to Seattle. \"We\'re still a great value over here.\"<\/blockquote><\/i>\r\n\r\nWOW! What a version of \"we are special.\" I can understand if Ballard Bob is saying that about King County, as it is where job creation is happening. I would still disagree with him, but at least there is some ephemeral tether to reality.\r\n\r\nOver here in the hinterlands, you have to be on serious drugs to say something like that.',''); return false;">Quote</a></div> I had to post this.

From some Kitsap RE agent named Jacobson:


“The doom and gloom really doesn’t apply in the Pacific Northwest,” Jacobson said, adding that it’s particularly true in Kitsap County, because of the stable military presence and the housing prices compared with the market closer to Seattle. “We’re still a great value over here.”

WOW! What a version of “we are special.” I can understand if Ballard Bob is saying that about King County, as it is where job creation is happening. I would still disagree with him, but at least there is some ephemeral tether to reality.

Over here in the hinterlands, you have to be on serious drugs to say something like that.

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]]> By: CCGhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16142 CCG Wed, 13 Jun 2007 15:46:12 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16142 What's hilarious is how they keep referring to the bubble in the past tense. As you listen to the boo hoo stories from the rest of the country (and the world), keep in mind that the ONLY thing that has affected the bubble so far is sheer oversupply. Rising mortgage rates and tightening lending standards have barely begun to bite. The party is just getting started.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16142','CCG',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16142','CCG','What\'s hilarious is how they keep referring to the bubble in the past tense. As you listen to the boo hoo stories from the rest of the country (and the world), keep in mind that the ONLY thing that has affected the bubble so far is sheer oversupply. Rising mortgage rates and tightening lending standards have barely begun to bite. The party is just getting started.',''); return false;">Quote</a></div> What’s hilarious is how they keep referring to the bubble in the past tense. As you listen to the boo hoo stories from the rest of the country (and the world), keep in mind that the ONLY thing that has affected the bubble so far is sheer oversupply. Rising mortgage rates and tightening lending standards have barely begun to bite. The party is just getting started.
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]]> By: bilirubenhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16141 biliruben Wed, 13 Jun 2007 13:47:48 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16141 There is historically a very strong correlation between 10 year yields and 30 year fixed interest rates, with a spread of 1.5 to 2.So we are essentially almost certainly going to at least 7 in the near future.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16141','biliruben',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16141','biliruben','There is historically a very strong correlation between 10 year yields and 30 year fixed interest rates, with a spread of 1.5 to 2.\r\n\r\nSo we are essentially almost certainly going to at least 7 in the near future.',''); return false;">Quote</a></div> There is historically a very strong correlation between 10 year yields and 30 year fixed interest rates, with a spread of 1.5 to 2.

So we are essentially almost certainly going to at least 7 in the near future.

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]]> By: Matthewhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16140 Matthew Wed, 13 Jun 2007 13:10:54 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16140 Regarding interest rates:It's going to take a little while before people realize that rates are going up. Most people don't follow this stuff and rely on the "good faith estimate" provided by their lender when they have that initial conversation about their mortgage options.I know a mortgage broker, and her company recently went from using a flat 6% estimate to a flat 6.5% estimate. The difference between that and the actual 30 year rate is tiny right now so the estimate will stand and it's still "low".HOWEVER, once that estimate goes to the magic 7%, which it likely will if the real rate heads up to 6.8-6.9, then the public will take notice.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16140','Matthew',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16140','Matthew','Regarding interest rates:\r\n\r\nIt\'s going to take a little while before people realize that rates are going up. Most people don\'t follow this stuff and rely on the \"good faith estimate\" provided by their lender when they have that initial conversation about their mortgage options.\r\n\r\nI know a mortgage broker, and her company recently went from using a flat 6% estimate to a flat 6.5% estimate. The difference between that and the actual 30 year rate is tiny right now so the estimate will stand and it\'s still \"low\".\r\n\r\nHOWEVER, once that estimate goes to the magic 7%, which it likely will if the real rate heads up to 6.8-6.9, then the public will take notice.',''); return false;">Quote</a></div> Regarding interest rates:

It’s going to take a little while before people realize that rates are going up. Most people don’t follow this stuff and rely on the “good faith estimate” provided by their lender when they have that initial conversation about their mortgage options.

I know a mortgage broker, and her company recently went from using a flat 6% estimate to a flat 6.5% estimate. The difference between that and the actual 30 year rate is tiny right now so the estimate will stand and it’s still “low”.

HOWEVER, once that estimate goes to the magic 7%, which it likely will if the real rate heads up to 6.8-6.9, then the public will take notice.

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]]> By: Eleuahttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16139 Eleua Wed, 13 Jun 2007 08:17:04 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16139 I posted this in the forums.How much does a 65bp rise in interest rates chop off a $600K house?$40K, or 7%.How would you like to lose $40K in one month? That's ONE MONTH!! We still are not done with the interest rate revival. What happens if we hit 6%? At this rate, we will be there by the mid-July.What happens if we get to 8%?You get the idea.I'd like to get Ballard Bob's take on this.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16139','Eleua',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16139','Eleua','I posted this in the forums.\r\n\r\nHow much does a 65bp rise in interest rates chop off a $600K house?\r\n\r\n$40K, or 7%.\r\n\r\nHow would you like to lose $40K in one month? That\'s ONE MONTH!! We still are not done with the interest rate revival. What happens if we hit 6%? At this rate, we will be there by the mid-July.\r\n\r\nWhat happens if we get to 8%?\r\n\r\nYou get the idea.\r\n\r\nI\'d like to get Ballard Bob\'s take on this.',''); return false;">Quote</a></div> I posted this in the forums.

How much does a 65bp rise in interest rates chop off a $600K house?

$40K, or 7%.

How would you like to lose $40K in one month? That’s ONE MONTH!! We still are not done with the interest rate revival. What happens if we hit 6%? At this rate, we will be there by the mid-July.

What happens if we get to 8%?

You get the idea.

I’d like to get Ballard Bob’s take on this.

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]]> By: Pegasushttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16136 Pegasus Wed, 13 Jun 2007 03:52:00 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16136 It's over guys. Seattle area homes are going DOWN. I have been tracking listings on Craigs List for months. Every couple of days I search for "reduced" on the listings. That number that appears is up about 30 percent from three months ago. The local press will have to start reporting this trend within several months because it has become so prevalent and the lies will have to stop. Once the public sees this they will add to the decline and increase the amount of homes on the market.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16136','Pegasus',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16136','Pegasus','It\'s over guys. Seattle area homes are going DOWN. I have been tracking listings on Craigs List for months. Every couple of days I search for \"reduced\" on the listings. That number that appears is up about 30 percent from three months ago. The local press will have to start reporting this trend within several months because it has become so prevalent and the lies will have to stop. Once the public sees this they will add to the decline and increase the amount of homes on the market.',''); return false;">Quote</a></div> It’s over guys. Seattle area homes are going DOWN. I have been tracking listings on Craigs List for months. Every couple of days I search for “reduced” on the listings. That number that appears is up about 30 percent from three months ago. The local press will have to start reporting this trend within several months because it has become so prevalent and the lies will have to stop. Once the public sees this they will add to the decline and increase the amount of homes on the market.
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]]> By: Ballard Bobhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16133 Ballard Bob Wed, 13 Jun 2007 00:54:08 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16133 You foolish prognositicators and your technical indicators. Downtown condos are hot! hot! hot!<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16133','Ballard Bob',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16133','Ballard Bob','You foolish prognositicators and your technical indicators. Downtown condos are hot! hot! hot!',''); return false;">Quote</a></div> You foolish prognositicators and your technical indicators. Downtown condos are hot! hot! hot!
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]]> By: Ballard Bobhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16132 Ballard Bob Wed, 13 Jun 2007 00:31:46 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16132 We will defeat the infidels on the steps of their townhomes! Do not listen to their lies!<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16132','Ballard Bob',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16132','Ballard Bob','We will defeat the infidels on the steps of their townhomes! Do not listen to their lies!',''); return false;">Quote</a></div> We will defeat the infidels on the steps of their townhomes! Do not listen to their lies!
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]]> By: Eleuahttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16131 Eleua Wed, 13 Jun 2007 00:25:06 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16131 The Ten Year Bond is up 65bp in one month. That is huge.Today it popped up to 5.25%, which was the highest since Clinton was in office. In after hours trading, we have hit 5.3%This is a meltdown. Mortgages tend to track the 10 year bond, so things are going to be ugly for anyone trying to sell or anyone with an adjustable mortgage.KABOOM!Where is Ballard Bob when you need him?<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16131','Eleua',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16131','Eleua','The Ten Year Bond is up 65bp in one month. That is huge.\r\n\r\nToday it popped up to 5.25%, which was the highest since Clinton was in office. In after hours trading, we have hit 5.3%\r\n\r\nThis is a meltdown. Mortgages tend to track the 10 year bond, so things are going to be ugly for anyone trying to sell or anyone with an adjustable mortgage.\r\n\r\nKABOOM!\r\n\r\nWhere is Ballard Bob when you need him?',''); return false;">Quote</a></div> The Ten Year Bond is up 65bp in one month. That is huge.

Today it popped up to 5.25%, which was the highest since Clinton was in office. In after hours trading, we have hit 5.3%

This is a meltdown. Mortgages tend to track the 10 year bond, so things are going to be ugly for anyone trying to sell or anyone with an adjustable mortgage.

KABOOM!

Where is Ballard Bob when you need him?

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]]> By: Alanhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16130 Alan Tue, 12 Jun 2007 22:45:40 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16130 I thought we came to the conclusion months ago that the GMA did not create a shortage of housing, but instead prevented builders from creating a large surplus. It is called "growth management" and not "growth termination" for a reason.I suspect the percent of investors varies greatly by area. I classify anyone who owns more than one property as an investor.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16130','Alan',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16130','Alan','I thought we came to the conclusion months ago that the GMA did not create a shortage of housing, but instead prevented builders from creating a large surplus. It is called \"growth management\" and not \"growth termination\" for a reason.\r\n\r\nI suspect the percent of investors varies greatly by area. I classify anyone who owns more than one property as an investor.',''); return false;">Quote</a></div> I thought we came to the conclusion months ago that the GMA did not create a shortage of housing, but instead prevented builders from creating a large surplus. It is called “growth management” and not “growth termination” for a reason.

I suspect the percent of investors varies greatly by area. I classify anyone who owns more than one property as an investor.

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]]> By: TJ_98370http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16128 TJ_98370 Tue, 12 Jun 2007 22:39:04 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16128 <i>...but its biggest problem is that homes are too expensive for too many families, according to a report released Monday....</i>These guys have a firm grasp of the obvious.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16128','TJ_98370',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16128','TJ_98370','<i>...but its biggest problem is that homes are too expensive for too many families, according to a report released Monday....<\/i>\r\n\r\nThese guys have a firm grasp of the obvious.',''); return false;">Quote</a></div> …but its biggest problem is that homes are too expensive for too many families, according to a report released Monday….

These guys have a firm grasp of the obvious.

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]]> By: The Timhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16129 The Tim Tue, 12 Jun 2007 22:19:44 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16129 <p>FYI, I moved the above comments from the previous post to this one after posting it since they were more relevant here. That's one of the many cool things I can do now that we're on WordPress. :^)</p> <div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16129','The Tim',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16129','The Tim','<p>FYI, I moved the above comments from the previous post to this one after posting it since they were more relevant here. That\'s one of the many cool things I can do now that we\'re on WordPress. :^)<\/p>\r\n',''); return false;">Quote</a></div> FYI, I moved the above comments from the previous post to this one after posting it since they were more relevant here. That’s one of the many cool things I can do now that we’re on WordPress. :^)

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]]> By: Onlookerhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16126 Onlooker Tue, 12 Jun 2007 22:18:24 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16126 I thought the Joint Center on Housing Studies was a bunch of industry shills?<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16126','Onlooker',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16126','Onlooker','I thought the Joint Center on Housing Studies was a bunch of industry shills?',''); return false;">Quote</a></div> I thought the Joint Center on Housing Studies was a bunch of industry shills?
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]]> By: housing-bull-dozerhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16124 housing-bull-dozer Tue, 12 Jun 2007 22:11:56 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16124 Read the article again. It's actually a thinly veiled plea to legislatures that they remove the Growth Management Act. The summary at the end says it all.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16124','housing-bull-dozer',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16124','housing-bull-dozer','Read the article again. It\'s actually a thinly veiled plea to legislatures that they remove the Growth Management Act. The summary at the end says it all.',''); return false;">Quote</a></div> Read the article again. It’s actually a thinly veiled plea to legislatures that they remove the Growth Management Act. The summary at the end says it all.
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]]> By: Confusahttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16122 Confusa Tue, 12 Jun 2007 21:02:58 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16122 So breaking down that PI article, roughly 50% of housing is being sold to investors and people that can't afford it....nice.<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16122','Confusa',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16122','Confusa','So breaking down that PI article, roughly 50% of housing is being sold to investors and people that can\'t afford it....nice.',''); return false;">Quote</a></div> So breaking down that PI article, roughly 50% of housing is being sold to investors and people that can’t afford it….nice.
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]]> By: tlwhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16121 tlw Tue, 12 Jun 2007 20:23:18 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16121 From the article that LHR posted above: According to the center, 7.8 percent of Seattle-area mortgages were for investors last year -- good for 125th place among the 332 areas in the report. The report also broke out state percentages of loans where buyers only pay interest or can even pay less than their interest charge, meaning their balance increases. <b>Washington had a 30 percent rate of interest-only loans -- sixth among states</b> and higher than the national rate of 22 percent -- and a <b>12 percent rate for payment-option loans, fifth among states</b> and more than the U.S. rate of 11 percent.(emphasis is mine)<div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16121','tlw',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16121','tlw','From the article that LHR posted above:\r\nAccording to the center, 7.8 percent of Seattle-area mortgages were for investors last year -- good for 125th place among the 332 areas in the report.\r\nThe report also broke out state percentages of loans where buyers only pay interest or can even pay less than their interest charge, meaning their balance increases. <b>Washington had a 30 percent rate of interest-only loans -- sixth among states<\/b> and higher than the national rate of 22 percent -- and a <b>12 percent rate for payment-option loans, fifth among states<\/b> and more than the U.S. rate of 11 percent.\r\n\r\n(emphasis is mine)',''); return false;">Quote</a></div> From the article that LHR posted above:
According to the center, 7.8 percent of Seattle-area mortgages were for investors last year — good for 125th place among the 332 areas in the report.
The report also broke out state percentages of loans where buyers only pay interest or can even pay less than their interest charge, meaning their balance increases. Washington had a 30 percent rate of interest-only loans — sixth among states and higher than the national rate of 22 percent — and a 12 percent rate for payment-option loans, fifth among states and more than the U.S. rate of 11 percent.

(emphasis is mine)

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]]> By: Lake Hills Renterhttp://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16120 Lake Hills Renter Tue, 12 Jun 2007 20:10:21 +0000 http://seattlebubble.com/blog/2007/06/12/one-third-of-seattle-homebuyers-have-unaffordable-mortgages/#comment-16120 But as long as "local experts" say we're ok, then it doesn't matter what happens nationally, right??<a href="http://seattlepi.nwsource.com/local/319412_housing12.html" rel="nofollow">Homes cited as too costly for too many</a><i>Local experts pinned Seattle's continued increases in house prices on its strong job growth and growth management's constraints on supply.<i><div class="comment-remix-meta"><a href="#" class="replyto" onclick="replyto('16120','Lake Hills Renter',''); return false;">Reply</a> - <a href="#" class="quote" onclick="quote('16120','Lake Hills Renter','But as long as \"local experts\" say we\'re ok, then it doesn\'t matter what happens nationally, right??\r\n\r\n<a href=\"http:\/\/seattlepi.nwsource.com\/local\/319412_housing12.html\" rel=\"nofollow\">Homes cited as too costly for too many<\/a>\r\n\r\n<i>Local experts pinned Seattle\'s continued increases in house prices on its strong job growth and growth management\'s constraints on supply.<i>',''); return false;">Quote</a></div> But as long as “local experts” say we’re ok, then it doesn’t matter what happens nationally, right??

Homes cited as too costly for too many

Local experts pinned Seattle’s continued increases in house prices on its strong job growth and growth management’s constraints on supply.

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