Posted on 11/07/2010 2:34:57 PM PST by dragnet2
California and Florida had a lot in common during the housing industry's last boom-and-bust cycle.
Both were overrun by buyers hooked on high-risk mortgages, speculators who helped push prices to historic peaks and builders who didn't know when to stop.
But in the last year or so, California's housing market, though still weak, has begun recovering, while Florida's remains on the critical list.
California keeps things less complicated and largely outside the courtroom... Like 22 other states, Florida requires that repossessions be approved by judges...
"The California process is very efficient, and that allows the state to work through the foreclosure morass much more quickly, and the result is a more stable housing market and economy,".....
"Florida, in contrast,.... still have a long way to go
Home prices in the two states tell the tale.
California home sales and prices have tapered off since the boost from federal tax credits for buyers vanished in July, but home values are up considerably from the worst days of the bust. The median price for town homes, condominiums and single-family houses in September was $265,000, up 20% from the bottom in April 2009....
In Florida, prices in much of the state have struggled to find a bottom. The median price of a single-family home in Florida was $133,400 in September, a 48% decline from its June 2006 peak..Condominium prices have seen an even bigger plunge, with the statewide median hitting $83,400 in September, a 61% drop from its June 2006 peak.
Standard & Poor's index, shows prices in Los Angeles up 10% from their bottom, San Diego up 14% and San Francisco up 21%.
In Miami, home prices have remained relatively flat, up 2% from their bottom, and Tampa-area prices have yet to stop falling.
(Excerpt) Read more at articles.latimes.com ...
Most CA mortgages were pay option ARMs and the bulk of those have only just started to come due. 2011 will be a very ugly year for CA real estate as the bulk of those ARMs will come due.
Is this true in commercial foreclosures as well as residential?
California is financially stable because of this directive politically.
Kalipornia, here it comes, right back where it started from (Mexico)
Funny article. Notice it is from the LA Times. I have lived in CA for the past 40 years. Believe me, real estate at all levels in NOT recovering. The state continues to race towards bankruptcy, and the corrupt pols in Sacramento are working harder than ever to make that happen. The idiot Brown doesn’t have a clue. He has been sucking up to the public unions since the 1970s. Does anyone think he is going to do what needs to be done now which is to cut their wages and pensions and lay off a bunch of them? The only hope for this state is to file bankruptcy and force these issues.
I don't think anyone here read the article except the man from Florida...lol
Amazing...
California is the sewer of America. We should cut it away like an infected limb.
You bet...Kill them all!
wow....
Yeah its a shame the banks actually have to prove they have standing and their paperwork in order. Such a shame
To that list of Marxist "news"papers add these major market dailies:
The San Francisco Chronicle
The San Jose Mercury News
The Sacramento Bee (flagship of the seditious McClatchy Company)
[...and so on...]
Free Republic is perhaps the only source of truth from an information entity based in California.
Bullshit!!
I get lots of notices from my realator every day with homes being reduced in price that have been listed for over 60 days.
“California is the sewer of America. We should cut it away like an infected limb.”
Just cut away the coast and we’ll be just fine. San Francisco would be a good place to start.
I quit reading the Fresno Bee aka The Fresno Democrat many years ago. Can’t get Sheila to drop her subscription though, because she loves reading the comics every morning with her tea. Old habits die hard.
I have a Homeowner’s association. About ten years ago I was deliquent on my payment. I went in and paid it, and a small fine for the delinquency.
Last year, I was delinquent. (Second time!) I got the notice with the late payment, AND a lawyers fee I had to pay. You see, for some reason (to protect the homeowner? I doubt it) the legislature said the HOA must take on the burden of doing everything with a lawyer in regards to back dues. (You are probably more aware of this than I am).
In any case, I had an extra fee of $125 dollars because of the legal paperwork. I guess it’s part of being “protected” legally.
CA recovering?
Are you series?
Did the LA Times also mention that California has a state income tax while Florida does not?
Nah, it's because CA is more than 12 feet above sea level.
CA is more efficient.
Fla is not?
If you bring up fraud in CA, the judge shrugs his shoulders and says “they appear to have a copy of the right paperwork”. they’ve turned a blind eye to supreme court rulings which say that the note and deed of trust must be together, and they’ve managed to overlook the document recreation factories and robo-signing frauds and the fake notaries.
Sure we may be more efficient, but then again, bankers are trying to turn Florida into a non-judicial state to repeat it all over again.
Do some research on David J Stearn. and MERS.
Msfraud.org
livinglies.wordpress.com
This system is oozing with fraud on all ends, and most of it is blessed by a judicial system and legislature which is turning its backs on the individual for the benefit of a free house to be given to a bank which never could have owned it and should never have been give then deed in the first place.
don’t get me wrong, there were people which didn’t deserve to stay in their houses due to non payment and the inablilty to afford the house in the first place.
But, if it weren’t for the banksters setting up a way around all the pesky state and local laws, this system would have been unable to go through the roof and crash as hard as it did.
California is only been perceived as recovering due to the oligopoly between false front environmentalist groups and property developers for the last 35+ years since Moonbeam was last Governor.
Florida has millions of acres of land available for future development, meanwhile San Diego and Los Angeles metroplexes are pinned in by geography and artificially mandated punitive land use laws.
California is not recovering in any meaningful sense, westside San Diego and posher zip codes in Los Angeles are going to see the same collapse that Miami is going to see after this recent stabilization in pricing.
THe real question is why isn’t California’s property market following the collapse trajectory of Osaka, Kyoto and Tokyo in the 1990’s.
THe answer is, they would be if it weren’t for artificial hot money, artificial land use restrictions, and unsustainable population immigration being pumped in ...
Greater fool theory suggests that Californians will be the last person at the table not knowing who the sucker is on this hand of cards.
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