By Drive By Media Victim

March 7, 2008 12:08 PM | Link to this

What about the 42% of Florida homes owned free and clear that DON’T EVEN HAVE A MORTGAGE!! The sleazy news media forgot to tell you about that!!This slam reporting by The Palm Beach Post is why our market is the worst in Florida. Much worse than even Miami where prices are actually UP! After a four year noose media GANG-BANG of the housing market every one is paying the price! See how many ways nasty reporters at The Palm Beach Post slammed real estate:

1.Routinely MASQUERADING foreclosure and distressed property consultants as impartial real estate experts whose always negative comments became a self full-filling prophecy TO SCARE AWAY HOMEBUYERS! Foreclosure consultants make lots of money when there are lots of foreclosures!

2.Quoting Wall Street brokerage economists whose only interest was to kill the housing market and drive investor $$$ back into stocks.

3.Targeting Florida with completely fabricated horror stories like the 100,000 condo’s being bulit in Miami when condo construction starts in all of Miami-Dade never exceeded 6,000 a year!

4.Constantly telling readers that mortgage interest rates were rising when interest rates were actually FALLING!

5.Hyping foreclosure statisitics but NEVER telling readers that over 40% of Florida homes DON’T even have a mortgage!

6.Deliberately reporting and misrepresenting much worse foreclosure stats from Arizona and Nevada as Florida’s (A Palm Beach Post special tactic).

1. Never reporting that 50% of the homes that have actual foreclosures filed against them have their loan worked out and KEEP THEIR HOME!!

By THE USUAL SUSPECTS

March 7, 2008 12:17 PM | Link to this

Yeah, why is it BUBBLE headline news that 1% of the homes that have a mortgage are in foreclosure BUT the news media FORGETS TO REPORT that 42% of Florida homes are ownerd free and clear with NO mortgage. Amazing how biased The Palm Beach Post is when it comes to destroying the middle class.

By Get in the Game

March 7, 2008 1:53 PM | Link to this

Yeah, yeah.

Where was this guy when all this reckless lending and LYING was occurring?

When shall the banks return to proven income x THREE = the amount of a house one/couples can afford?

50 year house debt obligations and NINE year auto debt obligations are RIDICULOUS…

By WAKE UP

March 7, 2008 2:18 PM | Link to this

Is it reckless lending when the majority of the borrowers have no clue what they are getting themselves into?

The banks got sloppy and didn’t perform their due diligence, but the real bottom line is that the borrowers didn’t have a freakin’ clue. How can anyone sign a mortgage and not understand that the rate was going to adjust? IF the banks get smart and restructure some of those loans (rather than taking on a distressed property) it seems that they would be much better off. Take the write down on the lost income of the loan and put these people in fixed rate loans. If they still can’t afford that, well then I guess they’re screwed, blued and tattooed…

By jayfinn

March 7, 2008 2:38 PM | Link to this

Please—Palm Beach post, can’t you block the postings by “Drive by media victim”. He keeps posting and reposting the say long winded crap. He is so in denial. Anyway, to end on an amusing quote that i always like:

“Only in America, can a buyer borrow his downpayment and finance the rest, yet still call himself a HOMEOWNER”

By Jeff Ostrowski

March 7, 2008 3:36 PM | Link to this

Can you imagine the howls of protest if we blocked Drive-By? Besides, I’m starting to admire his persistence. For someone who hates the media, he sure is eager to be the first to post a comment every time I update the blog or post a story.

By drive by media victim

March 7, 2008 4:11 PM | Link to this

Maybe JO can acknowledge why the news media never reports that 42% of Florida homeowners don’t have a mortgage! Or why The Palm Beach Post recently rushed to cite a self-proclaimed expert study by Wall Street giant LEHMAN BROTHERS that the South Florida housing market was not near bottom WHILE FORGETING to report that the very same LEHMANN BROTHERS had had just defrauded Florida taxpayers of $1 BILLION by selling worthless securities to the Florida State Pension Fund. Were they the same Lehman Brothers experts that assured the state pension fund that the $1 BILLION mortgaged backed securities were a great investment! Only to have the whole package go belly-up 4 months later. Typical unimpeachable experts of the caliber frequently cited by The Palm Beach Post in it’s war on the South Florida real estate market.

By Stupid Beyond Belief?

March 7, 2008 5:17 PM | Link to this

Are you sure he wasn’t talking about Curious?

By Get in the Game

March 7, 2008 8:53 PM | Link to this

Oh gimme a break with Lehman and their cohorts!

If you truly and HONESTLY look at almost ALL the US money center banks, regional banks, and investment banks; these guys/gals are on the take.

They fail to conduct due diligence with risk premiums and then they want handouts that ALL US taxpayers fork over.

BofA, Citi (in its OWN category), Wachovia, MER, LEH, and yes even GS…

Again, the problem is that American citizens are not SAVING money.

If all these bubbas who are ‘losing their houses’ had rented and SAVED money, they would be good-to-go.

AND, this securitized crap would not be floating over in Japan, Saudi, Australia, and Europe.

Instead they (house ‘OWNERS’) are breaching their lease agreement with their creditor.

So Drive By, don’t give me garbage about $1 B to the state of Florida…

What about ALL the money the Feds are pitching to Fred/Fan? Who the heck is going to cover that? These well-run companies that took a year to file their annual report AND were not de-listed?

What about RAISING the limits for these chumps? Or the stimulus package? Or Bernanke actually ASKING (serious gall and stupidity) banks to forgive portions of lease agreements so house ‘owners’ can add equity to their balance sheets???

Remember, the same post you type is nonsense.

Business Week, Fortune, Bloomberg, Reuters, NYT, LAT, WP - you name it - all had $$$ in their eyes and the articles PROVED IT.

As always, if all this crap is NOT a problem then why is the TREASURE SECRETARY on The Today Show; AND

Why is Club Fed dropping money from a helicopter and running the printing press?

Cannot have it both ways…

BTW, where does the money originate for our debt?

Exactly…

By Curious

March 7, 2008 9:38 PM | Link to this

To the people who blame the media for their current fix, and another one who blames me for freely voicing what I see:

If the reality of this current situation results in verbal salt being spilled on your self-inflicted financial wound, you got no one to blame but the person in your mirror.

Sorry.

Reality exists. A = A.

By stop crying drive by

March 8, 2008 9:39 AM | Link to this

your crying will do no good. south florida is not a different housing market, its worse.

More jarring statistics: For every listed home sold in January in Miami-Dade County, lenders filed six foreclosure claims, according to statistics from the Florida Association of Realtors and the county clerk of court. In Broward, the ratio was one to four.

By Drive-By Puppet

March 8, 2008 1:20 PM | Link to this

I am beginning to wonder if ‘Drive-by Media Victim’ is just another belated last-gasp blog puppet from dearly departed Linda. After all, the bitterness and denial contained in the repetitive conspiracy theorist’s rantings look awful similar to the kinds of far reaching denial by former RE blog puppets Max, cw, and ABC.

Come on Linda, why dont you just admit that you ran out and got your RE licence, had jumped on the specualative bandwagon and ended up failing badly on your ill-fated flip attempts. I wonder how many downtown WPB condos she bought during the frenzy seeking to cash in? hmmm…610 Clematis? Prado? The Strand?

Greed always comes back to haunt you in the end.

Hey ‘Drive-by’, no one is denying the fact that there were many Floridians who stayed out of the house trading frenzy, and simply continued paying their mortgage, thus were unnaffected by the current situation. The whole point of this blog and the emphasis on the stagnant market is the 58% of the people who DID jump on the bandwagon and gambled on the artificially rising housing market, and LOST.

Gambling your savings and assets on Re specutlation is no different than placing your financial hopes in day trading stocks, or gambling in Vegas. You play the lottery, a game of chance, more than likely you will lose. The government doesnt bail out losers in Las Vegas, why should they bail out losers who threw the dice too many times in housing?

By Foreclosure is an Opportunity

March 8, 2008 10:46 PM | Link to this

Nobody gambled and lost. A few people invested and may lose (more likely not). 58% ??? More like .058 per cent.

People like “Drive-By-Puppet” continue to show their naivete if they don’t understand that people around them are STILL using the real estate situation for personal gain.

Forelcosure has become an opportunity for ANYONE to live in a house for a year or so without paying his mortgage, and pocket 40K, 50K or more. When the house is foreclosed he may owe a few dollars in tax to the IRS. So what?

People who think others are losing by owning or having owned homes just continue to show their naivete.

We live in a captialist country and society. The Federal Government will ALWAYS favor those who invest over those who don’t invest — even it has to take extreme direct action to bail out those who invested.

Grow up, will you?

By To Curious the Clown

March 9, 2008 7:38 AM | Link to this

Personally I don’t blame the media. And you are free to voice your opinions. You just happen to be an incredible dolt, and you prove it with every comment you make.

By POST PRICE FIXING

March 9, 2008 11:36 AM | Link to this

Drive by Media victim is on the mark.

Palm Beach Post has false ads of properties for sale in their classifieds. These false real estate ads in Post reflect much lower prices than actual prices listed in several communities.

I came across several ads of properties with extreme lower prices listed that do not exist.

Therefore, Palm Beach Post is promoting PRICE FIXING for the local real estate market.

PRICE FIXING is against the LAW!

By Curious

March 9, 2008 7:02 PM | Link to this

This is getting to be somewhat boring and too much like spearing fish in a barrel — but someone has to do it.

HEHEHEHE!

Looks like one of the persistent shrill “Media Is At Fault” posters here is sinking even further and now touting a unique level of bazaar cause and effect – “These false real estate ads in Post reflect much lower prices than actual prices listed in several communities.”
… Whatever that means??

What I and most other real estate mavens have been using for years, so far as “actual prices” (more or less) can be freely obtained in Palm Beach County from the on-line Property Appraisers Office:

http://pbcgov.com/papa/index.htm

DUH!

By Curious

March 10, 2008 5:50 PM | Link to this

What’s the old saying? — “The ability to finance is the ability to sell.” That was the crux of the real estate boom.

Viewed using a different commodity, you could sell a tired, 7-year old junk azz Oldsmobile for $10,000 if you could find someone to carry paper allowing the buyer to pay $25 a week.
Right?

Well, in the WSJ, more bad news for sellers in areas where financing is now almost unobtainable.

“In some cases, lenders have blacklisted not specific properties, but entire geographical areas.”

http://www.realestatejournal.com/buysell/mortgages/20080306-wotapka.html

Again though, this is no surprise and as expected if you have been doing your financial homework.

It’s getting more and more interesting.

Cheers!

By Get in the Game

March 10, 2008 6:19 PM | Link to this

Yep.

Now, what happens in 2010+?

Is America going to learn a DEBT is not cash lesson or not?

And that residential RE is not an investment?

We shall see.

In the interim, keep listening to the ‘pundits’ who said that residential RE would ‘rebound’ (BTW: what does that mean anyway) in 2007 and 2008.

Or Citi was a ‘steal’ at $41/shr because of their great earnings???

Do your research Buyers - wait until some of the house builders go bankrupt; AND

Some of these used houses are priced with the appropriate level of risk.

In the interim, just wait…

By Curious the Idiot

March 10, 2008 7:05 PM | Link to this

Curious, you are a “real estate maven” like I am Napolean.

A “maven” in this case is someone who has demonstrated his knowledge by making substantial money in real estate, a couple of million at a bare minimum.

You have not made a dime in real estate. You missed the boom, just as you have missed every opportunity in your comical life.

You are nothing but a garden-variety idiot, who, AMAZINGLY, finds some reason to be arrogant.

If you want to continue to advise people on real estate, let’s first hear your credentials — what Ivy League school your MBA is from, what professional designations such as CPA you hold, how many millions or tens of millions you have made in the past few years in real estate.

If none of these apply to you, Mr. “Maven,” SHUT YOUR STUPID TRAP before you get someone into trouble.

By Millionaire Maven

March 10, 2008 7:52 PM | Link to this

So you wanna talk Ca$h wiseguy? I got so much cash and so many Benji’s, I literally wipe my doo with aloe enriched 100 dollar bills. The aloe leaves my hiney less raw that the crisp cold hard cash does, learned that one back in Nam and figured I’d pass the tip along. Call me Mr. Millionaire Maven, catch me at da mall, all the chickens be staring! Catch me in my drop top lambo with the wood on the wheel and wood on the dash. Ain’t no way you got mo bigger bank roll than me. Just cashed a fat check and I’m taking a phat chick to checkers. wipe it!!! wwwwwwwww wwwwewww wwwwwww wipe!

By Curious

March 10, 2008 7:53 PM | Link to this

To Get in the Game.

Did you read the last two paragraphs in the article I linked to above?

They are worth repeating:

One silver lining: For “all-cash buyers, ” Mr. Zalewski says, the lists are “heaven sent.”

Buyers who have cash “can use that to negotiate,” he says: “If you don’t sell to us, who are you going to sell to?”

Sooooooooooooooooooooooooo true.
Love it!

Gonna be great times for those now holding gold, certain foreign currencies, and so on. Buffet is again way way beyond this from what I just read. Sure gets my respect.

Cheers!

By Curious

March 10, 2008 8:54 PM | Link to this

“… how many millions or tens of millions you have made in the past few years in real estate.”

You’ll never know, semi-literate little man.

By Millionaire Maven

March 10, 2008 9:13 PM | Link to this

By Curious “… how many millions or tens of millions you have made in the past few years in real estate.”

You’ll never know, semi-literate little man.

Right on, Curious! I will never know how many tens of millions I’ve made. I couldn’t even guess how many Mill I made in the past few years…. Probly more than 22 mill in my lifetime althogh I’ve spent most of it with my extravagant lifestyle. I eat shrimp errr day, figure, I’m worth about a quata billion on pluto. how many inches is you sitting on? Just curious.

By Rainbow Coalition

March 11, 2008 1:37 AM | Link to this

I DO know, Curious: you completely missed the upswing. Likewise every other opportunity. You haven’t made a dime in real estate, except by getting a paltry salary from a builder, so shut up, and don’t imply otherwise. What a prize a*****e you are.

By WAKE UP

March 11, 2008 8:35 AM | Link to this

Curious - did you read the whole article or just the first and last paragraphs? Strangely, there is an implication that home sellers will have a problem, but the article only mentions condos…all the “lists” revolve around…condos. The loans that are being stopped are for…condos. Let’s all chant together - condos…condos…condos. Now let’s try this - condos are not single family homes…condos are not single family homes.

Call us back when the banks stop writing loans on SFH. And remember restricting the amount of the LTV ratio is not the same as refusing to write the loan…

By Get in the Game

March 11, 2008 9:25 AM | Link to this

Making money in residential RE?

If one was talking about commercial RE (or an ‘investment’ that CASH FLOWS), then that’s different.

I think the premise of the article is a CASH CRISIS. Banks do not have any money, are struggling for deposits, have their tin cup in hand borrowing from the ME, and are sneaking to the Fed discount window (seems to be nightly, lately)…

So again - at some point - which is quickly approaching banks are going to require 20% - 30% down for house debt; AND

They are going to take proven income and multiply x THREE for the amount of house one can afford.

Just think, like I keep typing, besides the mortgage bubbas, no major house builders have gone bankrupt; OR

Any state or regional banks.

And still all this crying. Some banks are going to fail, they must.

Which shall further constrict the house and auto debt process.

So, it provides Americans an opportunity to SAVE money (the only true equity one is ‘building’) and place a proper down payment.

By WAKE UP

March 11, 2008 10:11 AM | Link to this

okay Get - 20% down - agreed, a good thing - takes a lot of people out of the market unfortunately, but a standard loan should require this. The 3x lending just doesn’t fit everyone. If you’re talking about Joe/Jane Bluecollar - it’s not a bad idea to keep him/her in a relatively low inexpensive house. Can you honestly say that someone making $250k a year can’t afford anything more than a $750k house with 20% down?!?!? $600k mortgage at 6% is only $3,600/month - pocket change for someone bringing in almost $21k a month…

Granted the percent of the population making $250k is small compared to the percentage that’s not, but there are many double income families out there that bring in $200k plus…one size does not fit all…

By Get in the Game

March 11, 2008 11:10 AM | Link to this

Bankers are SUPPOSED to be conservative.

They used to (over the last FORTY YEARS, according to govt. stats) take the median income and multiply x THREE.

For some reason, since the end of 1999, that number increased to 4.5.

Well, using history as a guide, I am guessing that number shall return to 3.0 (going to be lower here shortly, see below).

The whole CREDIT is not CASH issue, I have written about, at great length - pretty sure America shall be forced (via the banks, see above) to SAVE money which is going to take a lot longer than people think (see below).

Now, the double earners residing under one roof - agreed.

However, this number is going to shift to the left - much more than people think - during the next down cycle.

Joe/Jane BlueCollar consist of ~63% (earning under $60,000 annually) of Americans.

So, yes - $120k (dual earners) X 3 = $360k. These are national numbers. I am sure WPB, Broward, and Miami-Dade counties the avg is not anywhere near $60k a head.

And remember during down cycles employers are going to have the upper hand, so incomes are not going to be in-line with expectations.

All this crap means that: bankers are going to CLAMP down on lending and return to historic lending standards AND actually are going to be more cautious than historical levels.

Citizens shall save money.

House prices are way out of whack with local wage earners. And no, the Euro, Franc, Real, and whatever is not going to ‘save’ the market.

Locals need to be able to afford what is up for consideration, in this case a house - not to mention the traded item is not cash-flowing.

Again, simple principle, however people get lost in debt vs. cash.

Note: I didn’t even hop in the overall DEBT ratios of Americans, the ridiculous inflation Club Fed is kicking out, or that ALL Americans are going to be paying for house debt obligations for the next several years (Fred/Fan and printing more money), since Asia and most of Europe is no longer interested (again, until the next irrational up cycle).

These are going to greatly alter household balance sheets and erode their ability to add more DEBT.

So, hunker down, hoard cash, and just wait.

There is absolutely NO RUSH. Take your time to buy or sell. And yes, sorry guys prices are going to move south for a while.

By Get in the Lame

March 11, 2008 2:58 PM | Link to this

“Get in the Game” is another self-styled “maven” who, like Curious, never made one thin dime in real estate, yet he has just as much groundless advice and just as many unfounded opinions.

Another prize a*****e.

By Prize A*****e

March 11, 2008 3:58 PM | Link to this

Uhoh, judging by the childish name-calling, I would say that the hand that operates the ‘Max’ puppet is back at work.

Q: What is harder to find in downtown West Palm Beach than a snowball?

A: An owner occupied condo! haha I do amuse myself.

An economy that is mostly fueled by selfish indulgence, materialism, and greed, is destined to collapse.

By Curious

March 11, 2008 6:36 PM | Link to this

“Uhoh, judging by the childish name-calling, I would say that the hand that operates the ‘Max’ puppet is back at work.”

Great minds travel in the same channel!

:-)

By Who is Max?

March 13, 2008 8:58 PM | Link to this

Is “max” an arcane reference a newcomer would not understand?

A*****e above used the wrong word. He doesn’t just amuse himself. He stimulates himself. That’s also called self-abuse.

Whoever Curious is, I work with retarded disabled children who have far greater minds than hers.