Comments on: The Evolution of the Los Angeles Housing Bubble. 50 Years in Perspective. http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/ How I Learned to Love Southern California and Forget the Housing Bubble Sat, 22 Nov 2008 11:01:08 +0000 http://wordpress.org/?v=2.2.2 By: Anonymous http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-296 Anonymous Wed, 21 Feb 2007 20:19:00 +0000 http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-296 <i>If so, why would anyone rent then? I always thought that rent was approximately 30% less mortgage payments on a similar property? (Dr. Housing Bubble, please feel free to answer the same question if you like).<br/></i><br/><br/>Renting is always a bit more than carrying a mortgage because you pay for the immense flexibility in renting. No maintainence issues, flexibility to move without a huge 30yr commitment. You trade flexibility for long term commitment that is why a mortgage is cheaper. Also landlords need to turn a profit on rentals after their overheads ;-) Otherwise having rentals makes no sense.<br/><br/>We are in a strange situation where carrying a mortgage is about double or more than renting an equivalent place but that will align with a 50% correction over the next 3-5 yrs :) What goes up MUST come down to align with fundamentals, there is no escaping that at all! So just have patience!!!! If so, why would anyone rent then? I always thought that rent was approximately 30% less mortgage payments on a similar property? (Dr. Housing Bubble, please feel free to answer the same question if you like).

Renting is always a bit more than carrying a mortgage because you pay for the immense flexibility in renting. No maintainence issues, flexibility to move without a huge 30yr commitment. You trade flexibility for long term commitment that is why a mortgage is cheaper. Also landlords need to turn a profit on rentals after their overheads ;-) Otherwise having rentals makes no sense.

We are in a strange situation where carrying a mortgage is about double or more than renting an equivalent place but that will align with a 50% correction over the next 3-5 yrs :) What goes up MUST come down to align with fundamentals, there is no escaping that at all! So just have patience!!!!

]]> By: Jessica http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-286 Jessica Sun, 18 Feb 2007 21:41:00 +0000 http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-286 Hello IrvineRenter. You mentioned you were going to hold off on purchasing a home until the payments on a 30 year mortgage were as much as rental payments on the same house. Has this ever been the case? If so, why would anyone rent then? I always thought that rent was approximately 30% less mortgage payments on a similar property? (Dr. Housing Bubble, please feel free to answer the same question if you like).<br/><br/>Dr. Housing Bubble, I am very interested in learning more about investing in real estate and creating passive income. I was in the local bookstore the other day looking for information on the topic and was surprised to see just how many books there are on the education of real estate investing, real estate market economics, etc. Could you, or anyone else for that matter, recommend the best books from which to learn?<br/><br/>A very appreciative, <br/>Jessica Hello IrvineRenter. You mentioned you were going to hold off on purchasing a home until the payments on a 30 year mortgage were as much as rental payments on the same house. Has this ever been the case? If so, why would anyone rent then? I always thought that rent was approximately 30% less mortgage payments on a similar property? (Dr. Housing Bubble, please feel free to answer the same question if you like).

Dr. Housing Bubble, I am very interested in learning more about investing in real estate and creating passive income. I was in the local bookstore the other day looking for information on the topic and was surprised to see just how many books there are on the education of real estate investing, real estate market economics, etc. Could you, or anyone else for that matter, recommend the best books from which to learn?

A very appreciative,
Jessica

]]> By: Dr Housing Bubble http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-278 Dr Housing Bubble Thu, 15 Feb 2007 16:26:00 +0000 http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-278 gepetoh:<br/><br/>I think your market observations are astute. 20 to 30% nonimal drops seems more realistic. And yes, milk is a losing business unless you're on the organic side. gepetoh:

I think your market observations are astute. 20 to 30% nonimal drops seems more realistic. And yes, milk is a losing business unless you’re on the organic side.

]]> By: Dr Housing Bubble http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-277 Dr Housing Bubble Thu, 15 Feb 2007 16:25:00 +0000 http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-277 Irvinerenter:<br/><br/>DQ numbers are out. Big change in Orange County:<br/><br/>Dec 2006 Median: $642,000<br/>Jan 2007 Median: $600,000<br/><br/>A $42,000 drop in one month. Maybe 3x or 4x ratios isn't so realistic.<br/><br/>All I got to say is wow.<br/><br/>Dr. Housing Bubble Irvinerenter:

DQ numbers are out. Big change in Orange County:

Dec 2006 Median: $642,000
Jan 2007 Median: $600,000

A $42,000 drop in one month. Maybe 3x or 4x ratios isn’t so realistic.

All I got to say is wow.

Dr. Housing Bubble

]]> By: IrvineRenter http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-276 IrvineRenter Thu, 15 Feb 2007 01:25:00 +0000 http://www.doctorhousingbubble.com/the-evolution-of-the-los-angeles-housing-bubble-50-years-in-perspective/#comment-276 "First, looks like historically housing has appreciated at quite a greater rate than income in SoCal."<br/><br/>How long can this go on? Can trees really grow to the sky? “First, looks like historically housing has appreciated at quite a greater rate than income in SoCal.”

How long can this go on? Can trees really grow to the sky?

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