Irvine Housing Forums

Here We Go. Shutting down lines of credit.

2008-10-09T18:27:30-08:00

I received a letter in the mail today from Chase. I have not used this credit card in a very long time and it has had a zero balance. The letter advised me that if I do not use the card by Nov. 20 they will cancel my account. (My credit rating is 760 last time I checked so it’s not because of anything fishy going on with me.)

My friend said he also got a letter this week. (Not sure which bank.) It’s been just a couple months since he’s used his credit card. They did not give him a choice. The letter said his line of credit is being cancelled immediately.

... and so the cookie crumbles…

Ladera Ranch projections

2008-10-24T17:30:57-08:00

Hey everyone -

I’m 24 in Temecula (went to UCI) and looking to move back to OC. I thankfully followed the advice of others in this forum and avoided buying a condo for about $280k out here in June. I’m now renting here until next September when I hope the market would have shedded another 10-15%. I’ve been checking out neighborhoods and areas for about a year (all over OC, LA and San Diego and Temecula) and I really, REALLY enjoy the feel in Ladera (density, small streets, canyons, etc). It is also very close to the Ortega, so a quick jott out to Temecula for friends and family. I thankfully work at home, so a commute is a non-issue (but I’d rather be in OC just in case - not many Software jobs in Temecula!).

Anyway, I understand the cons of Ladera - the high taxes, mello roos, etc etc. What is the average additional monthly load like out there? Say on a $375k place, I’d estimate $500 in taxes/melloroos + $300 association/mo - does that sound about right? (This is based just on informal calculations from RedFin’s previous tax data). Factor in the homeowner’s insurance savings from the Townhouse’s HOA and the included Internet, it’s realistically about $150 extra, so $650 or so more a month.

What about upcoming foreclosures? I’m looking at places right now under $450k, 3/2 at least 1500sqft, pref 1600+. There are only about 20-30 that match my preferences, but I’d like to stay UNDER $400k for a comparable place next September. I was considering a subscription to ForclosureRadar but I can’t justify the cost this long out. Anyone have an idea of the number of lower end places (under $500k) that are in the pipeline? From everything I hear, Ladera is way underwater…

Opinions on a 3/2, 1500+ in Ladera, August/September 2009?

Headlines…

2007-02-27T05:48:23-08:00

I don’t think the sharp appreciation of the yen got nearly enough attention today. If the carry trade continues to un-wind then today was only the beginning.
It’s too bad they don’t issue paper t-bills any more. I’d be sniffing them right now.

Can anyone recommend a good BK lawyer in Orange County?

2008-12-01T19:39:12-08:00

I have a friend that is seriously considering filing for Chapter 7 bankruptcy, but I mentioned to him that he should speak with a lawyer before he decided to do it because he has unique situations such as a second home, alimony payments, and a failed business. Any good BK lawyers in OC I can refer him to?

Another young flipper in over his head

2008-12-01T18:23:59-08:00

Good article. These on the ones that I enjoy showing to people who say things like “OC real estate won’t fall” or “In Pacific Beach, real estate will keep going up since only really rich people own and invest there.“ Well as you’ll read I’d say a 28 year old mortgage broker a.k.a flipper, the gig is officially up. I’d propose there are many others like him who own in Irvine and are getting a wake up call every morning lol.

http://www.signonsandiego.com/uniontrib/20081128/news_1n28credit.htm

Matt Sauer, a young, single mortgage broker, planned to get rich quick after graduating from college. By age 28, he owned properties in Pacific Beach, Las Vegas and Florida. To save money, Sauer, now 30, cut back on dining out and moved in with three roommates. He also has re-evaluated his views on debt.

Mark Miller, a San Diego bankruptcy lawyer, is seeing the fallout. His offices are buzzing with young couples, many facing foreclosure and some owing as much as $200,000 on credit cards. “We have finally gotten over the concept that debt equals wealth,” Miller said. “I’d get guys coming in with their arms crossed, saying, ‘I’m only here because my wife dragged me in.‘ Now I am seeing capitulation.” Alger and his wife bought a one-bedroom condo in Mission Valley as newlyweds. A few years later, they turned it into a rental property and bought a three-bedroom condo nearby, where they planned to raise their two young children. Money was tight on his $32-an-hour job as a sheet metal worker, especially after his wife quit working as an aesthetician and went back to nursing school. It didn’t take long for their financial house of cards to collapse. When their interest rates adjusted, the Algers used a home equity line of credit to pay their property taxes. This spring, Dan Alger lost his job. The Algers defaulted on both mortgages in a matter of months.

Too bad they don’t find religion before the greed/problems set in.

Tithing

2008-12-01T18:50:03-08:00

Do any of you regular church attenders faithfully tithe 10% of your income to your church? I have to admit, this is one area that i do struggle with, especially during recessionary times like this. My wife is very big on tithing and makes sure that she always gives 10% of her gross income to our church, where i am still working on faithfully tithing 10% of my net. We also had a little disagreement when she wanted to give her entire first pay check to the church as an offering.

Question?
Do any of you feel very blessed when you faithfully tithe? Not just in monetary sense, but maybe family or your overall happiness? Sometimes i wonder if it because i am not faithfully tithing that my business sales have remained flat and not growing? I guess i am asking this as my pastor’s message really challenged me last Sunday. When guys like Marc Faber, Peter Schiff, and Jim Rogers says we are headed for a serious depression, I don’t take it too seriously, but when my pastor says we are headed for some serious hard times in 2009, I get really concerned as I know he is a serious man of God.

Anyone been watching the Towering Inferno at Marquee Place?

2008-01-10T00:23:39-08:00

I counted at least 20 units for sale. Some for almost a year and a half. With $1200.00 a month in HOA’s and empty units this place must be really hurting. I pass by there at night and it still looks like a ghost town.

It’s official. We are in a recession.

2008-12-01T11:12:01-08:00

CNN stating the obvious.

NEW YORK (CNNMoney.com)—The National Bureau of Economic Research said Monday that the U.S. has been in a recession since December 2007, making official what most Americans have already believed about the state of the economy .

American Eagle silver sold out at APMEX within 24 hours…silver maples still avail $3.49 above spot

2008-12-01T18:27:33-08:00

200,000 Silver American Eagles Sold Out in 24 Hours… Amazing!
12/01/2008 01:53:00 PM, Posted by APMEX, One Comment

APMEX kicked off our 12 Days of Christmas promotion on Cyber Monday and the results have been phenomenal. We expected this would be a great sale on a very popular item, but didn’t expect the flood of customers. It was like watching the flood of people at Wal-Mart on Black Friday looking for flat panel TV’s.

Amazingly, we sold out of our supply of 200,000 Silver American eagles within the span of 24 hours!

A huge number of customers flooded the site, causing the shopping cart system to crash earlier in the day. With our site down, customers lined up on the phone to place their orders. Needless to say, our trading department was a madhouse. Phones were ringing off the hook from the colossal amounts of orders.

While we would have liked to be able to return everyone’s calls, the sheer volume made this impossible. We’re trying our best to order more, but at this point we can’t make any guarantees. Be sure and check back with us regularly. We’ll keep you updated on events as they develop.

As a substitution we have reduced the price of 2009 Silver Maple Leafs to $3.49 over spot in any quantity while supplies last.

Don’t wait for the next rush, get yours today!

———-
I tried at least 10 times to get my order in, was finally able to do so at 11:53am. Their 800 number was busy since 7am. Was so tempted to borrow from my 0% credit card, but good sense prevailed. Silver maples @$3.49 above spot is a good price also.

irvinefsbo

questions for the O.C. coming from D.C.

2008-12-01T10:27:51-08:00

First time poster here, long time lurker and fan of IHB

My wife and I are 30, no kids, and we rent a townhouse (been locked in at $1400 for years which is a steal around here) in an affluent suburb of Washington D.C. We have a combined income of $125K with no loans, credit card, etc debt, except a car payment for one of our cars. She has long been enamored of the O.C. and I love being near water, beach etc. We have visited there, but only doing the touristy thing. Having lived in this area all my life I know it like the back of my hand, and maybe its a mid-life thing but I am itching for change, especially climate-wise! I read alot about the housing market there, and I see a fair amount of griping about the “preceived” OC lifestyle, whatever that is. So I guess Id love some opinions, such as…

1) What would be the hardest part of life there for east coast converts?
2) Everything points to cost of living being more expensive there than in D.C. Where does the above income fall into the normal spectrum there?
3) Where are good websites to look for home rentals in the area there?
4) Lastly, what is your favorite aspect of living in Orange County?

Any additional insights are welcome of course!