Tuesday, March 14, 2006

overvalued realestate

according to money.cnn.com article markets are overvalued
Reno 40%
Spokane 17%
Boise 21%

9 comments:

forkev said...

nice find.
I now own about 12% of my house, so it's about par for the course, i guess.

Sarah said...

And yet, we have to have our house reappraised in order to cancel PMI ("to make sure it hasn't gone down in value"). Arg.

~ AH ~ said...

oh yeah, your house is a dump now. definately less value... ha ha

too bad you didn't get two mortgages to avoid the PMI to begin with. I'm glad we avoided that.

k2h said...

re sarah
around here, you cannot ditch PMI from a re-appraisal alone. it has to be higher in value due to IMPROVEMENTS you have made to the property. if your bank appraisal doesn't come in as high as you think it will, you'll be forced to refi to prove the worth. =(

k2h said...

maybe I missunderstood your statement. now that I've read it another way it looks like your close to your 20% dollar amount per origional financing, but are at risk of deflation. got it...

Sarah said...

We're actually at something like 23% equity now, but the bank is being maggoty. If I was doing it again, I'd definitely go the two loans route. But a few more hoops to jump through and we'll be done with it, so it's all good (I guess).

k2h said...

maggoty..... thats my word of the day.

Dan said...

The total amount I estimate we will end up paying due to PMI and the banks appraisel is $3461... this is between the two loans we have been on. about 2k on the 30 year and 1400 on the 15 year. If we had done the 80% / 20% split we would have restricted our cashflow and not been as far along on our student loas as we are now but we might have come out ahead. The 20% loan would have been around 24k and probably at 7.5% on the original loan. Based on not refinancing the second and putting the same amount extra on the second that we have been putting on our home loan less the 28% tax deduction since intest on a second is deductible and pmi is not we would have come out pretty close to even maybe a few hundred off from just sticking with what we did do. So in the end if we buy another house and don't have the 20% to put on it I will definately look seriously at doing the 80/whatever split kinda loan setup.

Oh and in my opinion ALL BANKS play dirty. They are in it for their share holders and will treat you accordingly. To expect anything more or less is investing your emotions in a just, but un-winnable cause.

k2h said...

our next loan will probably be through INGdirect where you get to manager your own impound account. decent interest rates. only down fall Is the parent company is in europe, so the 'profit' would be going to the europeans. no big deal to me. ye who has the best deal gets my business.

on a slightly unrelated note: I have noticed that buy american, or MADE IN USA is really back in these days. alot of people are VERY anti import. weird.