CA housing more under water

[Sarge]

I hope people like the houses they are in in CA. They are not likely to be selling or moving with any money anytime soon.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aN3quz_Z5r8U

Notice it is investor's and out of state people buying. Will they have the same problem again with flippers?

Does anyone get the idea that the mortgage companies and banks are in further trouble here? More people likely to default or walk away? This is turning into a black hole.

One major earthquake and it hits the fan. Most don't have earthquake coverage and are so under water they just walk away. When it happens, other states are likely not going to be able to respond.

As all in CA know it is not if but, when.

 

[Sarge]

I found this after I posted,

http://www.wired.com/wiredscience/2009/08/quake-radar/

I wonder why they are spending all this money?

 

[ImpeachKingGeorgeII]

Thx for the post Sarge!

On a related note, I've always wondered, if there was another major natural event (earthquake, hurricane), or some kind of disaster in the USA, what would it do to the dollar, markets, etc.

 

[Brian4Liberty]

One major earthquake and it hits the fan. Most don't have earthquake coverage and are so under water they just walk away.

You got that right! After the Loma Prieta Quake, housing prices in the SF Bay Area dropped for almost ten years (Late 1989 - Mid 1996). A big quake right now would be a double whammy. On top of the Depression, people would flee damaged houses, as well as people fleeing out of fear of another quake.

 

[Sarge]

Your welcome all.

I remember the last earthquake when AZ sent supplies and helped. I remember we had a problem later and no one helped from CA. Next time few are going to be able to help, as things keep getting worse despite what the media says.

 

[Brian4Liberty]

Your welcome all.

I remember the last earthquake when AZ sent supplies and helped. I remember we had a problem later and no one helped from CA. Next time few are going to be able to help, as things keep getting worse despite what the media says.

Probably half the people that were in the SF Bay Area at the time are gone now (Many moved to AZ). They were replaced with immigration from India, China and south of the border. History (of help) doesn't mean anything to people that just got here.

 

[Sarge]

I hope you are kidding about them moving to AZ.

I agree on the history of help doesn't mean anything. At the time AZ had problems though they had not yet moved.

My main point is don't count on help the next time. Few will be able to help.
We are coming to the plan your own help time. Not looking for help here in AZ, even if it gets tough.

Likewise CA should be ready to deal with it on their own, as few states will be able to help the next time.

I didn't even post the hundred more news articles on states cutting jobs today, just the big ones on the Austin job cut thread.

We have donated all our lives, and now the government has seen fit to donate for us. Their list and our list don't line up. Some how GS, the banks, those gaming the system are not making it onto our list so they force it onto us.

 

[Brian4Liberty]

I hope you are kidding about them moving to AZ.

Absolutely not. I personally know a couple of families that moved to AZ. I hate the term, but they called it "white flight". People left the SF Bay area and moved to the Sacramento area, NV, UT, MT, AZ, CO, OR, WA... In Silicon Valley, if you see a "white" person, more than likely they are a relatively recent immigrant from Russia/Eastern Europe. The massive immigration influx to CA more than offset the CA natives who moved elsewhere. It was a contributing factor to the housing bubble. Drove up prices in CA, and also the places that Californians moved to (if you believe that "demand" plays any part in the price equation).

 

[Sarge]

Next earthquake they might move here but, will likely not have any money to buy anything.

Saw this just a minute ago,

"Think of the banking industry as a school of fish, moving in generally the same direction, but not uniformly or even consistently."

That has to be the quote of the day. They did forget to put in that they were swimming towards the cannery.

 

[muh_roads]

We'll all have to take advantage of HARP then rent out our places if we want to move. Then maybe in 30 years we can resell for the value we got in at...maybe...