The Glade 4.0

Had a cashiers check made today for $98,258.30 to pay off what will remain on our home loan after we sell the house tomorrow.

All in all I wish the US would have handled the fiscal crisis like Iceland did instead of coddling the banks. But mostly just glad to get the whole mess behind me.

Condolences. Not much else to say to that sucky situation.

_________________
The U. S. Constitution doesn't guarantee happiness, only the pursuit of it. You have to catch up with it yourself. B. Franklin

"A mind needs books like a sword needs a whetstone." -- Tyrion Lannister, A Game of Thrones

Oof. We're trying to avoid getting into the same boat in a few months. Very sorry to hear to hear of ... your loss, I guess, so condolences are in order.

_________________
This cold and dark tormented hell
Is all I`ll ever know
So when you get to heaven
May the devil be the judge

Best of luck moving forward.

_________________
When he's underwater does he get wet? Or does the water get him instead?

Did you see it coming?

For me, I totally called it, and still **** it up. That's the worst. As the market peaked, I knew there would be a market adjustment. I decided I'd rather take the equity hit in a new house and not be stuck trying to sell the old one (we were planning on moving), so I sold the house around peak. I considered holding out and not buying, but the wife wanted a house and to start a family. I knew a hit was coming, but oh well. So, in AUGUST 2007 I closed on our house.

I knew there would be a hit, but had no idea it would be that bad. We're not underwater, but we've pretty much lost our equity. I refinanced at 4%, and, well, yeah.

The other painful thing is that the house I sold, I had purchased 2 years earlier at $215k, fixed up, sold for $280k, and it foreclosed later at $210k. Someone had a very bad experience, and I feel very badly about it. It was a very nice little house by the time I was done, too.

I knew there was going to be an adjustment, but like you didn't think it was going to be nearly as bad as it was. Our intent was for this house to be our 2nd to last house, basically waiting until close to retirement to build our "dream home". But my company offered me a promotion that required us to relocate, so we had to sell it. (House isn't really in an area where it makes sense to rent)

Could be worse; you could own a house in Woodbury.

_________________

I did not see the this coming. I chose not to refinance because I didn't have to and taking out equity merely meant I would have to pay it back later. I feel for you folks, but also feel that was one of my best decisions.

One of the guys in the office is pushing 70 and can't retire because he lost everything in the "adjustment." He came to work for the State in 2008 because the company he had worked for going on 20 years folded. He's a little pissed off at the world.

_________________
The U. S. Constitution doesn't guarantee happiness, only the pursuit of it. You have to catch up with it yourself. B. Franklin

"A mind needs books like a sword needs a whetstone." -- Tyrion Lannister, A Game of Thrones

The equity I lost is what I built up in flipping the other home. Which, unless I had pocketed it, was somewhat imaginary anyway (telling myself this helps....)

I had the opposite issue, I bought in 2009 when I thought the market was bottomed out. Two months later I got a notice from the taxman that my home value was cut another 10% which pushed me underwater.

_________________

Your tax assessment has basically nothing to do with the real value of the home or the financial implications. It really only affects your tax bill. I've never owned a house where the tax assessment reflected the real sale value. Tho most recently it's been the closest I've ever seen it. Typically you're taxed as many thousand dollars less than what the property is worth. At least in the areas I've lived. MN and TX.

Appraisals work the same way. You'll never know the actual value of your home until you sell it. That's what it's worth.

Hah, when buying our first house in 2001, I was there when the appraiser came by. He asked what we were offering. I told him, and he looked around the living room, said "That's about right," and left. Voila, appraisal for our exact asking price.

I always thought that seemed like good work if you could get it.

_________________
This cold and dark tormented hell
Is all I`ll ever know
So when you get to heaven
May the devil be the judge

It's changed a bit as a result of the housing crash.

But yes, prior to the crash they were doing tons of appraisals and just giving people whatever they wanted.

Yeah, my appraiser for my recent refi came back with a value way under comps in the area. The mortgage company was a little baffled. Still, it was appraised at more than the amount of the loan, so it worked out in the end...

What sucks is that, under the terms of my separation agreement, I'm still paying out equity to the ex based on the 2007-2008 appraisal, which was substantially higher. No way to adjust it down. Oh well. I guess I can just say I paid good money to get rid of his dumb ***. Could have been worse.

_________________
When he's underwater does he get wet? Or does the water get him instead?