Comments on: Condo Market Update - August 2006

By: Priced Condominiums

Priced Condominiums — Tue, 26 Feb 2008 09:02:49 +0000

When Condominiums Go Rental…

Over the course of the past 5 years, there has been an accelerated volume of new developments being built, the majority being condominiums….

By: Ron

Ron — Tue, 28 Nov 2006 14:58:43 +0000

In response to questions about creative financing (interest-only loans, ARMs, option ARMs, etc.)., I’m not aware of anyone in the local area that is tracking it. At this point (November), foreclosures haven’t budged much.

As for timing the market for bargains, barring an economic downturn in the area (or nationally) I don’t think we’ll see much in the way of a wholesale meltdown. Portland’s fundamentals are pretty good overall. I think we’re looking at 6 months of a more balanced buyer/seller market.

By: Chris

Chris — Fri, 24 Nov 2006 23:57:22 +0000

I too would be curious to see how may ARM’s, Interest Only Loans, and the like were employed to finance home purchases in the PDX metro area.

By: rich

rich — Tue, 22 Aug 2006 22:57:48 +0000

Hi , just found this. My wife and I moved to Portland a year ago and are renting with an eye on buying. But I sense after the last couple of years and what is going on now that we can take our time and only get a better price in the months (years?) ahead.

As Paul alludes to, I wonder how many speculators bought homes here like they did in other areas. Heck, where I work at HP Vancouver there is a subdivision of row houses that completed last summer where 33 out of 130 homes have ‘For Sale’ signs and several other properties show signs of being empty / neglected.

Also, where can you get hard data on the number of toxic loans taken out in the PDX area since Greenspan talked up ARMs? How many paid nothing to get in the market? How many PDX mortgages will be resetting their payments between now and 2008?

Those are the questions I want answers for before I become a serious buyer. Thanks!

By: Paul

Paul — Tue, 22 Aug 2006 05:56:29 +0000

The last point is important - and raises a question: Do we know the percentage of owner occupier purchases? I remember a number a few years back when things were really heating up that housing sales were increasingly made up of investor/speculative purchases. If that contiues - then you see a little more air that can be let out of the bubble as investors panic to recoup value if things head south on them. A house is tangible - two or three is a little more problematic.

By: Alex N.

Alex N. — Mon, 21 Aug 2006 22:56:54 +0000

Even if the market slows to its historically average appreciation rate of 6%, people will still have the same monthly payments and a place to live. Even people with ARM mortgages can refinance into fixed rate mortgages without a huge payment shock. Rates have even declined the past couple months providing homeowners ample opportunity to refinance comfortably now and in the foreseeable future. The “bubble” will not “burst” because real estate is a tangible commodity. Everyone needs a place to live and last time I checked our population was increasing.

By: Jim

Jim — Mon, 21 Aug 2006 01:39:54 +0000

let’s face the facts. the real estate bubble is popping. today’s buyers of real estate are tomorrow’s filers of bankruptcy.