Irvine Housing Blog

The killer is the $400/mo HOA fees, in addition to being right on yale.

of course, this relitter says the fees are quarterly.  do you think they even know what quarterly means?

Problem with Woodbridge is its high association.  Even though there is no mello roos, the association in woodbridge ranges from $100-$300/month.

Now is woodbridge worth such high association, I think not, but they definitely have more amenities compared to other areas of Irvine.

Is that the Schmids next to the Lighter Than Air derigable hangers and the Bamboo Bistro over in Tustin off Jamboree?

“Most buyers want to know two things: (1) am I paying too much, and (2) are prices likely to go up or down in the future. These are important questions. People asked these same questions in 2006 and came up with the wrong answers. The people who answered these questions incorrectly in 2006 have either been wiped out financially, or they are trapped underwater in their homes for the foreseeable future.”
If that is, indeed, the future of the residental single family market then builders, architects, interior designers, advertising agencies that specialize in that marketplace need to re-think their career path.  Sorry, IHB, but on this one I think you are missing an aspect that is core to driving home purchases, and perhaps it is really not there any more:  and that is the emotional need for a “home base”, a place to feel surrounded by ‘community’, a place where your kids will look back to as ‘my town’....like you have fond memories of yours.  If all there is to a purchase of real estate is 1.  appreciation, 2. increasing personal net worth, then folks would be better off buying a more diversified REIT.  I’m not saying there is not a rental market for single family homes, but if “rental parity” is the criteria, then that criteria is serving only to keep the ‘bubble’ prices from coming back to the reality of price/down payment/income standards.  Investment properties have different structures.  The lax standards of the recent past helped to create the financial crisis.  If we, as a country, truly do not want to repeat that terrible mistake, and the Financial Reform Act requirements are not totally adulterated by special interest groups, we will again be subject to the old formula for loan qualification.  You cannot have it both ways.  Perhaps we should throw out “comps” as an appraisal method.  Rely only on replacement cost as a criteria, excluding land cost, or at least taking it back to pre-2002 levels; when incomes + down payment had to be in place in order for loan approval.

Irvine Renter,
I love your blog.  This is some of the best stuff and YOU HAVE helped me so much in avoiding making a precipitated transaction.  I wish there were another Larry Robert to analyze markets in other counties like Sacramento.  I try to use your insight and apply as much as I can in SacTown.  I hope to buy soon, but I still see housing droping another 25% maybe here in the next 2-3 years.  Especially if all that shadow inventory must come out.  I see tons.  At least 500 houses in foreclosure/shadow inventory in just Natomas (not including pre-foreclosure and other distressed properties).  Like you, I don’t want to miss the time to buy,  Cash flow is my interest.  I would have liked to attend your seminar.  Ever think you could do this in Northern California/Sacramento area?