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mkl654321
mkl654321
Joined: Aug 8, 2010
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January 19th, 2011 at 10:28:06 PM permalink
2010 Foreclosures: 9.42% (Worst)
Unemployment: 14.3% (Worst)
Decrease in Building Permits 2006-2010: -84.39% (Worst)

The most incredible statistic is that almost one in ten homes in Nevada were foreclosed upon in 2010!

I feel sorry for anyone who owns a house in Nevada, and needs to sell it to get the hell out of there to somewhere where there are jobs. A LOT of people must be absolutely stuck in Vegas, Reno, etc.
The fact that a believer is happier than a skeptic is no more to the point than the fact that a drunken man is happier than a sober one. The happiness of credulity is a cheap and dangerous quality.---George Bernard Shaw
EvenBob
EvenBob
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January 19th, 2011 at 10:51:02 PM permalink
Quote: mkl654321



The most incredible statistic is that almost one in ten homes in Nevada were foreclosed upon in 2010!



The good news is you can buy a 3 bedroom 3 bath condo for 100K (or less) when it would have cost 275K 3 years ago.
"It's not enough to succeed, your friends must fail." Gore Vidal
Wavy70
Wavy70
Joined: Nov 3, 2009
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January 20th, 2011 at 12:40:18 AM permalink
I wish I was a few decades closer to retirement than I am. For what I would buy a 1500sqft house in CT I could get almost a mansion in LV.
I have a bewitched egg that I use to play VP with and I have net over 900k with it.
FarFromVegas
FarFromVegas
Joined: Dec 10, 2010
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January 20th, 2011 at 7:41:32 AM permalink
Quote: Wavy70

I wish I was a few decades closer to retirement than I am. For what I would buy a 1500sqft house in CT I could get almost a mansion in LV.



Even being at least 15 years from retirement and being able to ignore school districts for the kids we bought a foreclosure in the Phoenix area two years ago when the mortgage rates were rock bottom. Vegas and San Diego were both also struggling then, but the attraction of Vegas is the hotels and "cheap" in San Diego still wasn't cheap in the real world. We got a place as large as our home on the East coast for half the price, plus it's newer and nicer, and it's close enough to Vegas for me.

It's hot in the summer but the kids don't care and we were able to stay there for Christmas and miss out on the snow. So if you think you'll want a place in Vegas down the road you could check into the foreclosures now and see if you can swing the payments on maybe a more modest home than the mansion!
Each of us is entitled to his own opinion, but not to his own facts. Preparing for a fight about your bad decision is not as smart as making a good decision.
Wizard
Administrator
Wizard
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January 20th, 2011 at 9:07:21 AM permalink
Quote: mkl654321

I feel sorry for anyone who owns a house in Nevada, and needs to sell it to get the hell out of there to somewhere where there are jobs. A LOT of people must be absolutely stuck in Vegas, Reno, etc.



Many in that situation have just quit paying their mortgage, living rent free for about the year it takes for the banks and courts to foreclose, and then move out of state. Those foreclosure homes keep depressing prices, and the vicious circle continues.

Personally, I have lost about half the wealth I've ever accumulated due Vegas real estate prices falling 60%.

However, let the record show I think it IS a good time to buy. Then again, I said that the summer of 2009, when I bought a bigger house, and prices have continued to fall. If you're a way off from retirement, I think it would be a good idea to buy a home here now, and rent it out until you are prepared to retire. The rent should more or less cover the mortgage. You might consider Sun City Summerlin, which is just down the street from where I live.
It's not whether you win or lose; it's whether or not you had a good bet.
dm
dm
Joined: Apr 29, 2010
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January 20th, 2011 at 9:19:25 AM permalink
Quote: EvenBob

The good news is you can buy a 3 bedroom 3 bath condo for 100K (or less) when it would have cost 275K 3 years ago.




True, bit I would feel very uncomfortable being subject to association dues that could go up up up......Maybe there is protection
against that. I have heard dues amounts in the $1000/month being referenced.
clarkacal
clarkacal
Joined: Sep 22, 2010
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January 20th, 2011 at 9:32:13 AM permalink
Quote: dm

True, bit I would feel very uncomfortable being subject to association dues that could go up up up......Maybe there is protection
against that. I have heard dues amounts in the $1000/month being referenced.



Seems like there is a niche out there for someone starting a property management co. that guarantees saving 15% or more on the homeowners/association dues. No way it can be that expensive for what you get. My condo is paid for but I still pay almost half what the mortgage was in dues and assessments yearly. Sorry, just had to vent...
mkl654321
mkl654321
Joined: Aug 8, 2010
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January 20th, 2011 at 10:06:16 AM permalink
Quote: clarkacal

Seems like there is a niche out there for someone starting a property management co. that guarantees saving 15% or more on the homeowners/association dues. No way it can be that expensive for what you get. My condo is paid for but I still pay almost half what the mortgage was in dues and assessments yearly. Sorry, just had to vent...



When I bought my "chain of houses" in 1999-2005 (trading up every time), most of those houses were in subdivisions that assessed homeowner's association fees. The fees were substantial, they kept going up, up ,up, and the associations were run by anal-retentive little Napoleons who enjoyed wielding their petty power. I was told I couldn't do ANYTHING without those association's approval, such as installing a jacuzzi tub in my master bedroom. Once I sent them my detailed proposal for installing a paper towel dispenser over the kitchen sink. They didn't even get the joke.
The fact that a believer is happier than a skeptic is no more to the point than the fact that a drunken man is happier than a sober one. The happiness of credulity is a cheap and dangerous quality.---George Bernard Shaw
clarkacal
clarkacal
Joined: Sep 22, 2010
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January 20th, 2011 at 10:13:05 AM permalink
Quote: mkl654321

anal-retentive little Napoleons


That would be a good name for a band!
odiousgambit
odiousgambit
Joined: Nov 9, 2009
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January 21st, 2011 at 7:11:41 AM permalink
Quote: Wizard

Personally, I have lost about half the wealth I've ever accumulated due Vegas real estate prices falling 60%.



The paradox about investing in real estate is that although it has had god awful results for years now most places, it is probably also the one successful investment most people make in their lifetimes. It is uniquely the single investment for most of us where we are allowed the kind of investment leverage that goes with it [low downpayment] at no risk of margin calls. Not to say that it is free of risk, but then again you can manipulate your occupancy as you note.

It also is probably the most common way to get wealth for those who get rich in their lifetimes [at least I suspect that].

Nonetheless, personally, I have never had much taste for investing in real estate, even though purchasing my current residence has worked out very well at great leverage.
"Baccarat is a game whereby the croupier gathers in money with a flexible sculling oar, then rakes it home. If I could have borrowed his oar I would have stayed." .......... Mark Twain

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