A little advice from the Eagles on dealing with the market crash:
You say you haven’t been the same since you had your little crash
The more I think about it, old billy was right
Let’s kill all the lawyers, kill ’em tonight
You don’t want to work, you want to live like a king
But the big, bad world doesn’t owe you a thing
Get over it
Get over it
If you don’t want to play, then you might as well split
Get over it, get over it
Get Over It — The Eagles
Income Requirement: $131,250
Downpayment Needed: $105,000
Purchase Price: $549,000
Purchase Date: 8/10/2005
Address: 804 Maplewood, Irvine, CA 92618
1st Loan $439,200
2nd Mtg. $54,900
Sq. Ft.: 1,200
$/Sq. Ft.: $438
Lot Size: –
Year Built: 1999
Stories: Two Levels
Area: Oak Creek
On Redfin: 9 days
From Redfin, “HIGHLY UPGRADED Townhome in Gated Oak Creek featuring 2bd/2.5 baths, Inside Laundry and 2-Car Direct Access Garage w/ Custom Storage System! Luxurious upgrades include HARDWOOD FLOORING * SOLID GRANITE SURFACES THROUGHOUT * Recessed Lighting * Custom Media Blt-In * Upgraded Carpet * Designer Window Treatments & Home Security System! Sparkling Kitchen features Granite Counters w/ Tumbled Stone Backsplash. All Baths Beautifully Remodeled w/ Travertine & Granite! Just Steps to Resort-Style Amenities!”
ALL CAPS, asterisks instead of periods, exclamation points, w/: an A+ in realtorese.
Another day, another losing property. Does anyone still dispute the crash anymore? Oh wait, some claim this is a minor correction. I guess that is as bullish as you can be these days.
Today’s seller stands to lose $55,500 assuming they get their asking price and they pay a 6% commission. Since their downpayment is only $54,900, they will need to write a $600 check at the closing table or make the bank eat it. Which do you think they will do?
You get calloused to the market after a while. When I see a mere $50,000 loss, it doesn’t have much of an emotional impact on me any more. Perhaps, I am “over it.” I have to imagine it is a big deal to the specuvestor who lost everything on the deal — lost money, lost sleep, lost sanity, etc. He will just have to Get Over It too.