Monday, November 21, 2005

Happy Thanksgiving!!!

I want to wish everybody a Happy Thanksgiving! Have fun, enjoy the time off with friends and family, and keep checking Ben's blog for up to date housing bubble info. I will be checking in if/when I get a chance. card minimum payments are set to double in January. So take it easy with those credit cards over the holidays if you don't plan on paying the balance in full!

I don't want anybody that ready this blog or Ben's blog ending up as a FB!!

Have a great holiday...and keep checking back!


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Blogger David said...

Happy Thanksgiving. Love your blog.

11/21/2005 3:16 PM  
Blogger SoCalMtgGuy said...


I'm trying to fix it up a little bit. I am going to be adding more links and content over the next few weeks.

Keep checking back...and point other people this way if you like the blog.


11/21/2005 3:39 PM  
Blogger ccards2themax said...

what's this about payments doubling?

11/21/2005 7:46 PM  
Blogger SoCalMtgGuy said...

The minimum payment that is due on credit cards is set to change in January.

Right now it is about 2% of the outstanding balance. So on a $7000 balance, the min payment is about $140 bucks.

The min payment is going to about 4%.

Here is one article:

Just search google for this phrase (or similar) and you will get plenty of info.

credit card minimum payment increase

11/21/2005 8:03 PM  
Blogger tollhousecookies said...


\where you are do you find it easier to get a deal through if it is larger(i mean a 600k deal vs a 200k deal) all things being equal.

The ae's on the coasts are soaking this up, but its tough for the HC's in the middle... thoughts??

11/21/2005 10:43 PM  
Blogger SoCalMtgGuy said...

Depending on the loan, things can start getting "tougher" when you get over $500k.

We have all sorts of guidelines...but it seems that they are not as open with exceptions/etc. when the loans climb over 500k, and are at higher LTV's.

But it ALL depends on the merits of the whole file. I have had some 600-700k loans slide through soooo easy because they were lower ltv's with good appraisals. I have also had 80/20's in that range as well.

I have had some 130k loans that were a nightmare to get done.

You have bigger loans on the coasts...but I would also say that the competition is very cut-throat as well. Heck, every subprime lender is headquartered out of Orange County and San Diego (at least it seems that way).

I hope that sort of answers your question.

11/22/2005 12:18 AM  
Blogger ccards2themax said...

re: credit card minimum payment increase...


goodbye trout almondine, hello beanie-weenie

11/22/2005 6:11 AM  
Blogger jack mehoff said...

Bubble Blogs, A Market Barometer?

The quantity of housing bubble blogs reached new highs over the Thanksgiving weekend. Today, Google reports 1,810,000 "real estate bubble blogs" and a mind numbing 2,510,000 "housing bubble blogs." As the number of blogs increases, the quality has taken a sharp decline. "When free lance writers in northern Arizona climb aboard, you know the train is headed off the cliff," says a report from the NAR. "With this many morons fobbing themselves off as real estate investment experts, you know the time to buy property and homes is now" the report concludes.

11/28/2005 11:15 AM  
Blogger SoCalMtgGuy said...

Hey Jack,

I'll leave your post up. It is a sign of the desperation you must be feeling.

I am NOT a real estate investor...I'm just here to help people not fall victim to people like yourself.


11/28/2005 12:29 PM  
Blogger jack mehoff said...

Are you kidding? I sold Q305 and left the country. I am greatly enjoying reading the bubble blogs because I know what motivates the bloggers. I am giddy with joy watching the developers and builders squeal like little girls as their scam unwinds. But most of all I love watching the real estate agents try and sell crap into a shrinking market. I went FSBO after my agent failed to do squat for three months. I reduced the asking price by the amount I would have paid him in commission and sold my house in two days. Keep up the good work.

11/28/2005 12:42 PM  
Blogger SoCalMtgGuy said...


I agree with what you say, but your first post seemed like you were "bashing the bloggers"...and taking the position of the CAR/NAR.

Glad you got out...and you did it smartly. The problem is that nobody thinks for themselves anymore, or takes responsibility for their actions.


11/28/2005 12:49 PM  
Blogger jack mehoff said...

I was a bit pissed off because I posted to Ben's blog and asked a polite question: Why does he have active links to dozens of real estate agents, lenders, appraisers and various other bubble blowers? He immediately deleted my post. He is the guy who calls himself a freelance writer living in Northern Arizona. He seems a bit touchey about his relationship with the dark side.

11/28/2005 12:53 PM  
Blogger SoCalMtgGuy said...


His links are to other blogs. What you are seeing are the google ads that are keying off the "housing" nature of his blog.

He did not place those links himself.

If you look at my blog...the ads are for mortgages, etc. The ads key off of the blog topic.

I hope that helps some.

11/28/2005 12:56 PM  
Blogger jack mehoff said...

Thanks, it helps alot. Perhaps Google should post a disclaimer or something.

11/28/2005 1:03 PM  
Blogger SoCalMtgGuy said...

Google has nothing to disclaim.

It says "ads by google" by all of those links you talk about.

You have to look for it...and it can be glossed over...but it's there.

11/28/2005 1:07 PM  
Blogger jack mehoff said...

I'm not accustomed to anyone posting anything on one of my websites without permission. I guess bloggers can't consider the turf their own. And why should they as it is provided "free of charge."

11/28/2005 2:50 PM  
Blogger SoCalMtgGuy said...


bloggers don't HAVE to put the ads there. The ads allow the blogger the potential to make money.

check out the "adsense" button on my website to learn more. or check out google adsense on google.

You would be surprised the amount of money that is out there for internet advertising (I had no idea). Websites with enough traffic can make a few cents here and there...and that can add up when they are getting thousands of hits per day.

11/28/2005 3:19 PM  
Blogger jack mehoff said...

Gee, then I guess I must retract my apology to Ben Jones. Back to square one. He is making money by steering his readers to the slaughterhouse. He must be very proud of himself. Of course, as you have stated, he makes a few pennies here and there.

11/28/2005 3:24 PM  
Blogger SoCalMtgGuy said...

he isn't steering his readers anywhere. the only place he steers with what he posts on his blog...and the Links that he added.

Ads are absolutely EVERYWHERE on the internet. Those ads finance the internet so to speak. If people cannot discern content from ads...then so be it.

I too find it funny that there are mortgage ads running on my site, his site, and every other bubble site out there. BUT, we are not steering people to those website anymore than nbc/abc/cbs steers people to buy from their advertisers.

Check out some of the car message boards and blogs. A BMW blog will have mercedes ads running on it...and audi, and ford, etc.

11/28/2005 3:40 PM  
Blogger George said...

I have been an advid Blog reader for about the last year.

I just had a Good friend that has been having a relationship with a schoolteacher for about 2 years anyways I had here read the Rich-Dad poor dad book and gave her a Carleton Sheets course which she spent a little time just listening to some of the cassettes & and she jumped in the real-estate investing game.

12/05/2005 1:15 AM  
Blogger George said...

to continue the story.. I was also started getting interested in Real-Estate however I went about 2-3 books further and purchased a John Burley Real estate DVD Set and even headed for Texas to look at some houses.

However the More I looked and studied the more the real-estate game looked like the emperor without cloths. Just didnt make any sense people buying properties based on appreciation. Pricing appreciation going forward just doesn't make sense. Since everything I ever have read is based on sound fundamentals of buying and getting positive cashflow with expected appreciation only slightly ahead of inflation.

so to get back to the school-teached she went ahead and purchased her first property and probably neted close to about 100,000. ... I complimented her for being extremly lucky & very smart to get out with a good profit.

however Greed & Fear.. Unfortunatly She then just recently jumped back in the game went out and bought another house and now about 2 months later after the purchase is having trouble renting it... She thinks its because the location of the home she bought is not in prime location to the downtown area and is now planning on moving out of her primary residence and moving into the rental in hopes of renting the primary house.. What A Mess.. .. Meanwhile she is loosing $$$

really I wish she could of listened to me and not some real-estate agent that had a vested interest in her $$$$

12/05/2005 1:27 AM  
Blogger SoCalMtgGuy said...


I completely agree with you. It is amazing the because people make 100k on 1 property, they think it will happen on EVERY property.

It is not going to end pretty.

12/05/2005 10:17 AM  
Blogger George said...

It doesn't end with just my Friend the School teacher~!

I know total of 2 others that have just bought in the last couple of months..

one works or lets just say he did work for a high end cabinet shop~ he quite his job to start his own business riding the housing job market to install cabinets.
anyways he has a girlfriend that is a Mortgage Broker, she is about 24-25.. she somehow got him into a house that's about 500,000.- he is in a interest only loan... he couldn't at the time be making much more than 20. bucks a hour.. to make matters worse he is now riding her coat-tails and is now apparently part time entering the mortgage game himself, since she is or was making so much money roughly 125,000. a year in the mortgage business..

anyways they just made a supposibly another real-estate purchase.. don't know the details completly... seriously doubt that they are positive cash flow in either case.. most likely both purchases are 100% interest loans.

Then at work another friend who is married to a mortgage broker bought a house with his wife with negitive cash flow just on the idea of appreciation.~!

At the Gym I know a guy just gotten approved for a 500,000. dollar loan so he can do a condo Flip.. .. his mentor is some guy that flys arround the country currently doing this.. lemmings heading for the cliff~!!

12/05/2005 12:03 PM  
Blogger George said...

all these stories are from the Seattle Area~!

1) The School-teacher,
2) Cabinet Installer with Mortgage Broker.. get this the guy also has a Cady Escalade with over 4,000 dollar rims and tires 50 Inch plasma all borrowed money..
3) Boeing worker with Mortgage broker wife..
3) retired 50+ guy..

Forgot to add my Sister Who lives in Dallas Texas~ she is a Morgage Underwriter.. she had a awesome house 140,000 dollars for an 2200 square foot house, Constructed in the late 90s.. anyways she just wasnt happy she had to go out and buy some monstrous house in Dallas of all places with an 100% interest loan. ....

1) Who cares as long as you can make the payment~!
2) not to going be able to pay-it-off anyways (when I asked why she is using a 100% interest loan..)

my thoughts are there are times when it could be smart to do so.. However she is spending almost 50% of her and her husbands money just making the interest loans.. I just dont understand why you would do something like that in Dallas Texas of all places?? you can still buy a very nice house in Texas with the average income.. why go out and over-reach yourself?? In Seattle a comparable home to the one that costs 150,000 would of ran over 400,000.+ ..

She is very much into mortgaging her Future Away~!!

12/05/2005 12:17 PM  
Blogger George said...

It Seems that the people WORKING IN THE MORTGAGE Industry are some of the Biggest Gamblers in The Real-Estate Game..~!!

I think its because they are exposed even more so to how EASY GETTING THE LOANS Are..

Wait a second have another Friend that also is a mortgage broker playing the same game- he has made a bundle~!! Havent talked to him recently maybe should give him a call and chat..

Other than the school-teacher I havent really discussed my position to any of the people Im discussing because It would like talking to the Choir~!! I seriously doubt they would ever listen.. they seriously think they know best.. being a X-Trader I have so much better understanding of markets~!! and crowd Theory.. LEMMINGS RUSHING OFF FOR THE SEA~!!

I'm sure many of you know the Story behind the "Lemmmings March to The Sea- Massivve Suicide March~!@!

12/05/2005 12:24 PM  
Blogger George said...

dHere is a funny story..

I was looking on Craigslist at properties there was a Housing Unit for sale.. 3 Units rental income was 2,500 a month.. ASKING PRICE Over 500,000.

I called the Agent to just get a laugh @@ ... I told him the math didn't work..

I Asked him when he had his next open house so I could come to get some good drugs..

12/05/2005 12:32 PM  
Blogger SoCalMtgGuy said...


You are right about many things...especially the fact that people IN the industry are some of the worst offenders in terms of "drinking the cool-ail".

Thanks for your posts...and keep checking back!


12/08/2005 4:07 PM  

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