This week in Notices of Trustee Sale:
$706155.72 owing on a house that was bought for $774K in 2004 and is now worth $733000.
A house purchased in 1986 with a $65000 mortgage that is now facing foreclosure with a $300000 loan. If I foreclose with a half-million-dollar mortgage I never paid, one year after I was supposed to pay it off, I am either institutionalized with mental illness or I have a nasty drug habit.
I cannot be the only fossil who remembers when a house was a "money pit" and not a "piggy bank/credit card".
Is it only people who grew up in other countries with shorter boom-bust cycles who know real estate can go down when they're not actually in a down cycle? Or people with at least a passing knowledge of economics?
Someone at the Blonde & Balanced Blog (I used to be both, am now neither) stated that homeownership peace of mind was most likely when the 20/25 rule was followed: 20% downpayment on a property, and no more than 25% of your gross income as a monthly payment.
Put some more toward the HELOC and look! I have one of my goals completed! It is my hope to have at least one goal crossed off every two weeks: at my least ambitious I am sure I can afford Maybelline or one gallon distilled water.
Why I am a misanthrope
September 24th, 2011 at 03:21 am
September 24th, 2011 at 04:46 am 1316835997
September 24th, 2011 at 04:59 am 1316836797
September 24th, 2011 at 10:13 pm 1316898792