Washington county, Oregon has a cooperative library system that has a Cultural Pass program. They buy memberships to the zoo, different gardens, museums and historical sites and as a library member you may reserve and check them out. We can take our entire family plus guests for a simple quick stop at the library on the way there to get the card.
I hope other cities do this also, or maybe people that read this can suggest it to their library!
maybe 125 works out in the midwest, not in California, where the bubble was big.
we still have to see the prices knocked down in santa monica
our bubble was huge. i've seen houses priced at over 500k now asking for 230k, and probably won't sell for more than 200k. there's no 125% in that. this is in a working class neighborhood.
My mom was being billed incorrectly for her meds and I tried talking to everyone. The insurance company, "It's the billing company" Customer service at the billing company, "I'm sorry it's some sort of computer error". The customer service manager, "I'm new here." The tech guy "Oh you're in a billing loop. It's a program error." After more than eight phone calls and five letters, I talked to a younger fellow actually in billing, he was not only sympathetic, he sent several memos to the computer guys, to get the glitch fixed. It took six months but he pulled it off. I could have kissed him.
An inspection and an appraisal are two completely separate things. Once a consumer pays for an appraisal that money goes to the appraiser/appraisal management company.
One big advantage of living rural is that you can buy milk from local dairy farms. For example, I buy from Picket Fences Creamery in central Iowa, just a few miles from my home. You can go over there, pet the cows, see what they eat and how they're treated, and even watch them getting milked. I've eaten and had conversations with the farmer that produces the milk I drink.
I will happily pay a nice premium for that kind of relationship with my milk provider.
Please check out your LOCAL small producers. Call your local custom butcher and ask him if they can set you up with a 1/4 or 1/2 a beef or pig. We sell our extra meat through our butcher -- he has a waiting list of folks and matches us up.
Asking at local feedstores is another way to find small producers.
Thanks a bundle, I will use some of these techniques to hide my meager fortune from the greedy and blood-stained hands(war funding) of the "tax-man."
I am glad to live in a country that still has free speech, at least while it lasts.
I think with most illegal activities, greed and over-confidence is what always gets people caught. Stay small and fly under the radar, have patience, and move cautiously and slowly.
I hate sponges, they just seem so germy and stinky, but my husband REALLY prefers them. He soaks them in peroxide because it kills the germs and it doesn't make the sponges fall apart like bleach does.
I like using the scrub brushes with a handle. They work great, and they don't get stinky.
For stubborn pans, I use on old plastic fake credit card (they come in the mail as advertisments). They're firm but flexible, so they're great for getting stuck-on stuff off of plate and pans.
If an appraiser hired by an appraisal management firm makes a comment that a minor repair is needed, then that likely means that the consumer seeking a refinancing would have to pay another fee for the follow-up inspection. This is where the underwriting process and the dangling of the notion that one is closer to getting refinanced works against the consumer. It is also the point in time when all involved turn the consumer upside down and shake out any lose change. So, in the end, even the poor appraiser still gets the chunk of money deprived him/her by the appraisal firm the first time around. But now the consumer's out-of pocket expenses spirals upward, while the process is prolonged.
My comment on the new law. I am a realtor. An appraiser called me last week for a complete contract telling me that they now had to review and comment on the contract as part of the appraisal. This infuriates me. 1. What gives them the knowledge to judge a contract? 2. I don't think they need the contract price, as an appraisal should be a supported opinion of value. I think they should come to their conclusion of value without the help of a contract price. As for choosing our appraisers, we are not able to and never have been able to as agents. (at least where I live) The lenders choose-although there is not much choice. Yes they have gone up in price. They also will not transfer, they make you pay for a new one. Small town. Small town also means there are also only 2 V.A. appraisers, this is a military community and 80% of my loans are V.A. - So I have a darn good guess of who will do the appraisal! V.A. appraisals cost more than conventional ones.
I had the same thing....I thought it was my 'super' floride toothpaste...threw that tube out, but it's those crazy pine nuts! Thanks for sharing your story!
I have a dog and a 9mm. The dog to let me know if something is happening and the gun in case my yells don't cause the intruder to leave. I'd rather not have the gun, but I live in the country, at least three hundred feet in all directions from a neighbor, and a good twenty minutes for a response from the country sheriff's office....and I live alone.
As I've told friends: "I'd rather have it and never need it, then need it and not have it."
If you have a gun, you need to know how to use it and keep it loaded and ready. And for God's sake, unload it and lock it up whenever children--or idiot friends-- come to the house.
You are right in saying that the loan amounts in my examples are quite large. That's because the jumbo loan limit in certain areas of California is pretty high. In San Mateo county the limit is 625k.
I'm the person who posted the original article about non-recourse loan. I'm not an expert, but according to here, all refinance loans are non-recourse:
"The law is different in every state, in almost all cash out refinance loans these are almost always a recourse loan. In short, take the money now, but if you don't pay it back, they are going to come after you in court and with a multitude of ways to get that money back."
Regardless, I agree that I can't see the Fed Gov. doing this without making it recourse.
This website lists states with anti-deficiency laws (where they can't pursue you for the balance if you walk away) and hence by refinancing you are likely to make your situation worse:
Alaska, Arizona, California, Connecticut, Florida, Idaho,
Minnesota, North Carolina, North Dakota, Texas, Utah,
Washington
Notice the list contains some of the top hotspots for house prices drop. It's possible that the ability to walk away in these states may be part of the reason...
we here at Sky Meadow Farms in Leona Valley, California Never over charge on our fruit. we have always been lower than most stores. we charge a flat rate from $1.50 to $2.00 a pound. it's a experience that the entire family enjoys. think of the Benefits it provides... Getting the children off the game boy, t.v, guitar hero, Exercise never hurts anyone. In addition to picking your own fruit! try eating a few Apples or any fruit in that Manner at the store... We u pick Growers often Joke about weighing in our customers before sending them out to pick. It's all in fun and Love the Smiles. We also encourage the children to weigh the fruit themselves it aids in Mathematics. Perhaps comparing farms pricing could avoid any Sad experiences. Sky Meadow Farms.
In general, if you plan to stay in the house and can afford the payments, it should be worth it to you to take the 125, as long as your house payment will decrease, and you aren't adding any closing costs or escrows or anything else to the new loan balance.
But here is pure speculation on my part, based partially on post #9. Since this is a government sponsored program you will probably be more on the hook than you will be with your current mortgage, even if you don't live in California.
Your current loan may be underwater because of the market plunge, and it'll be easier to deal with if you have to short sell. On the new 125s rest assured there's some language buried deep in the fine print that will require that you surrender your first born and all of your wordly possessions in the event that you sell within X number of years or are otherwise unable to payoff the loan in full. (Technically, that's true with all mortgages, but it isn't usually enforced--Calif uses Deeds of Trust which don't include the recourse provision.)
I wouldn't be the first one to take one of these loans, not until they're fully understood and have been at least a little time tested.
I have had the exact same experience since early this week, Tuesday morning. I did the same google search and came to your site. It is funny that you mention pine nuts because monday night, I went to a pizza place that has a great saled bar. I put a TON of pine nuts on the side of my plate...thought I would give them a try and I must have eaten three tablespoons worth. This MUST be the cause of my nasty taste and hopefully it doesn't last too much longer. I had even stopped eating the last day or so because I was getting so grossed out.
I use citric acid to remove the hard water deposits left around my house. I will put 1 tbls. in with my regular dishwasher soap once a month to keep the dishwasher running well and it helps with glasses too.
It's great on faucets and sinks and it starts to bubble when it comes in contact with the hard water.
A gal at work has a cup from her childhood that was so caked with hard water deposits at the bottom that she was going to throw it away. It has taken several repeat applications, but now the hard water deposits are gone and her cup is usable and pretty again.
I have used it in the toilet too, to remove the hard water stains there.
But a word of caution, although citric acid is a food safe item, please do not think it is safe in concentrated quantity's. It can burn your skin and eyes just like any other acid. Take precautions to protect your skin and eyes when using it.
I definitely think we will go back to a pre-1990s spending rate. Whether I would call that "frugality" is questionable, though.
In re: to the 8% spending rate everyone is shocked over... it's a joke. As you go over in this post, Philip, all one needs to do is look at equity extraction rates over the last 15 years. Compare that to the savings rate. (They are inverse)
People were being told "your house won't lose value! we have the best economy in the world... the stock market will keep going up!" Because they bought into these (laughable) conjectures, they saved less and treated their equities as semi-liquid savings. It's easy to get pulled into the hype so I don't really blame them. They were being told this is the "new economy" and to have "faith in capitalism."
Now that people have seen both bubbles pop, they have been shocked back into the reality that houses are assets that appreciate, but not at the unsustainable rates they were appreciating at. And stocks gain value. But they can not grow at 10-20% every year when the company is actually only growing at 5%.
1. In the state of California, you can just walk away because first mortgages on primary residences are non-recourse. That means that the mortgage is only secured against the house you have bought.
2. However, in the state of California, refinance mortgages are recourse loans. What does that mean? It means you are on the hook for that loan. You cannot just walk away. The bank can come after you and take your car and the stocks in your E-Trade account. They can garnish your wages. They can even take your clothes and the shirt off your back, literally. The only thing they can’t touch is your 401-K. But it’s down 40% anyway.
Why would you trade a non-recourse loan from which you can walk away for a recourse loan that guarantees you’ll end up as bad as some poor slob at Tappahannock? It doesn’t seem like an incredibly appealing choice, does it?
This article also points out that if you take this step, you may want to be sure that you don't want to move in the next 13-17 years:
Washington county, Oregon has a cooperative library system that has a Cultural Pass program. They buy memberships to the zoo, different gardens, museums and historical sites and as a library member you may reserve and check them out. We can take our entire family plus guests for a simple quick stop at the library on the way there to get the card.
I hope other cities do this also, or maybe people that read this can suggest it to their library!
If you're looking for jobs in charity (paid or unpaid), try the following:
http://www.CharityJobsWorldwide.com - for paid charity jobs
http://www.VolunteerJobsWorldwide.com - for volunteer roles
There are also more job search resources at http://www.CharityJobsDirectory.com.
Well put! JB
This is a fun tool...great story! Who knew I could go to Italy with my kids next year?
maybe 125 works out in the midwest, not in California, where the bubble was big.
we still have to see the prices knocked down in santa monica
our bubble was huge. i've seen houses priced at over 500k now asking for 230k, and probably won't sell for more than 200k. there's no 125% in that. this is in a working class neighborhood.
My mom was being billed incorrectly for her meds and I tried talking to everyone. The insurance company, "It's the billing company" Customer service at the billing company, "I'm sorry it's some sort of computer error". The customer service manager, "I'm new here." The tech guy "Oh you're in a billing loop. It's a program error." After more than eight phone calls and five letters, I talked to a younger fellow actually in billing, he was not only sympathetic, he sent several memos to the computer guys, to get the glitch fixed. It took six months but he pulled it off. I could have kissed him.
An inspection and an appraisal are two completely separate things. Once a consumer pays for an appraisal that money goes to the appraiser/appraisal management company.
One big advantage of living rural is that you can buy milk from local dairy farms. For example, I buy from Picket Fences Creamery in central Iowa, just a few miles from my home. You can go over there, pet the cows, see what they eat and how they're treated, and even watch them getting milked. I've eaten and had conversations with the farmer that produces the milk I drink.
I will happily pay a nice premium for that kind of relationship with my milk provider.
Please check out your LOCAL small producers. Call your local custom butcher and ask him if they can set you up with a 1/4 or 1/2 a beef or pig. We sell our extra meat through our butcher -- he has a waiting list of folks and matches us up.
Asking at local feedstores is another way to find small producers.
Thanks a bundle, I will use some of these techniques to hide my meager fortune from the greedy and blood-stained hands(war funding) of the "tax-man."
I am glad to live in a country that still has free speech, at least while it lasts.
I think with most illegal activities, greed and over-confidence is what always gets people caught. Stay small and fly under the radar, have patience, and move cautiously and slowly.
I hate sponges, they just seem so germy and stinky, but my husband REALLY prefers them. He soaks them in peroxide because it kills the germs and it doesn't make the sponges fall apart like bleach does.
I like using the scrub brushes with a handle. They work great, and they don't get stinky.
For stubborn pans, I use on old plastic fake credit card (they come in the mail as advertisments). They're firm but flexible, so they're great for getting stuck-on stuff off of plate and pans.
My husband traded an old Cushman Truckster for an older Mercedes 300 Diesel car. I love my new ride!
If an appraiser hired by an appraisal management firm makes a comment that a minor repair is needed, then that likely means that the consumer seeking a refinancing would have to pay another fee for the follow-up inspection. This is where the underwriting process and the dangling of the notion that one is closer to getting refinanced works against the consumer. It is also the point in time when all involved turn the consumer upside down and shake out any lose change. So, in the end, even the poor appraiser still gets the chunk of money deprived him/her by the appraisal firm the first time around. But now the consumer's out-of pocket expenses spirals upward, while the process is prolonged.
My comment on the new law. I am a realtor. An appraiser called me last week for a complete contract telling me that they now had to review and comment on the contract as part of the appraisal. This infuriates me. 1. What gives them the knowledge to judge a contract? 2. I don't think they need the contract price, as an appraisal should be a supported opinion of value. I think they should come to their conclusion of value without the help of a contract price. As for choosing our appraisers, we are not able to and never have been able to as agents. (at least where I live) The lenders choose-although there is not much choice. Yes they have gone up in price. They also will not transfer, they make you pay for a new one. Small town. Small town also means there are also only 2 V.A. appraisers, this is a military community and 80% of my loans are V.A. - So I have a darn good guess of who will do the appraisal! V.A. appraisals cost more than conventional ones.
I had the same thing....I thought it was my 'super' floride toothpaste...threw that tube out, but it's those crazy pine nuts! Thanks for sharing your story!
I have a dog and a 9mm. The dog to let me know if something is happening and the gun in case my yells don't cause the intruder to leave. I'd rather not have the gun, but I live in the country, at least three hundred feet in all directions from a neighbor, and a good twenty minutes for a response from the country sheriff's office....and I live alone.
As I've told friends: "I'd rather have it and never need it, then need it and not have it."
If you have a gun, you need to know how to use it and keep it loaded and ready. And for God's sake, unload it and lock it up whenever children--or idiot friends-- come to the house.
Hi cwaltz,
You are right in saying that the loan amounts in my examples are quite large. That's because the jumbo loan limit in certain areas of California is pretty high. In San Mateo county the limit is 625k.
I'm the person who posted the original article about non-recourse loan. I'm not an expert, but according to here, all refinance loans are non-recourse:
http://www.nonrecourselending.com/non-recourse-lending.php
"The law is different in every state, in almost all cash out refinance loans these are almost always a recourse loan. In short, take the money now, but if you don't pay it back, they are going to come after you in court and with a multitude of ways to get that money back."
These tends to agree with the above:
http://banking.about.com/od/loans/a/recourseloan.htm
http://www.forecloseddreams.com/deficiency-after-trustee-sale
Regardless, I agree that I can't see the Fed Gov. doing this without making it recourse.
This website lists states with anti-deficiency laws (where they can't pursue you for the balance if you walk away) and hence by refinancing you are likely to make your situation worse:
http://www.helocbasics.com/list-of-non-recourse-mortgage-states-and-anti...
Alaska, Arizona, California, Connecticut, Florida, Idaho,
Minnesota, North Carolina, North Dakota, Texas, Utah,
Washington
Notice the list contains some of the top hotspots for house prices drop. It's possible that the ability to walk away in these states may be part of the reason...
we here at Sky Meadow Farms in Leona Valley, California Never over charge on our fruit. we have always been lower than most stores. we charge a flat rate from $1.50 to $2.00 a pound. it's a experience that the entire family enjoys. think of the Benefits it provides... Getting the children off the game boy, t.v, guitar hero, Exercise never hurts anyone. In addition to picking your own fruit! try eating a few Apples or any fruit in that Manner at the store... We u pick Growers often Joke about weighing in our customers before sending them out to pick. It's all in fun and Love the Smiles. We also encourage the children to weigh the fruit themselves it aids in Mathematics. Perhaps comparing farms pricing could avoid any Sad experiences. Sky Meadow Farms.
In general, if you plan to stay in the house and can afford the payments, it should be worth it to you to take the 125, as long as your house payment will decrease, and you aren't adding any closing costs or escrows or anything else to the new loan balance.
But here is pure speculation on my part, based partially on post #9. Since this is a government sponsored program you will probably be more on the hook than you will be with your current mortgage, even if you don't live in California.
Your current loan may be underwater because of the market plunge, and it'll be easier to deal with if you have to short sell. On the new 125s rest assured there's some language buried deep in the fine print that will require that you surrender your first born and all of your wordly possessions in the event that you sell within X number of years or are otherwise unable to payoff the loan in full. (Technically, that's true with all mortgages, but it isn't usually enforced--Calif uses Deeds of Trust which don't include the recourse provision.)
I wouldn't be the first one to take one of these loans, not until they're fully understood and have been at least a little time tested.
I have had the exact same experience since early this week, Tuesday morning. I did the same google search and came to your site. It is funny that you mention pine nuts because monday night, I went to a pizza place that has a great saled bar. I put a TON of pine nuts on the side of my plate...thought I would give them a try and I must have eaten three tablespoons worth. This MUST be the cause of my nasty taste and hopefully it doesn't last too much longer. I had even stopped eating the last day or so because I was getting so grossed out.
I use citric acid to remove the hard water deposits left around my house. I will put 1 tbls. in with my regular dishwasher soap once a month to keep the dishwasher running well and it helps with glasses too.
It's great on faucets and sinks and it starts to bubble when it comes in contact with the hard water.
A gal at work has a cup from her childhood that was so caked with hard water deposits at the bottom that she was going to throw it away. It has taken several repeat applications, but now the hard water deposits are gone and her cup is usable and pretty again.
I have used it in the toilet too, to remove the hard water stains there.
But a word of caution, although citric acid is a food safe item, please do not think it is safe in concentrated quantity's. It can burn your skin and eyes just like any other acid. Take precautions to protect your skin and eyes when using it.
Matt & Philip --
I definitely think we will go back to a pre-1990s spending rate. Whether I would call that "frugality" is questionable, though.
In re: to the 8% spending rate everyone is shocked over... it's a joke. As you go over in this post, Philip, all one needs to do is look at equity extraction rates over the last 15 years. Compare that to the savings rate. (They are inverse)
People were being told "your house won't lose value! we have the best economy in the world... the stock market will keep going up!" Because they bought into these (laughable) conjectures, they saved less and treated their equities as semi-liquid savings. It's easy to get pulled into the hype so I don't really blame them. They were being told this is the "new economy" and to have "faith in capitalism."
Now that people have seen both bubbles pop, they have been shocked back into the reality that houses are assets that appreciate, but not at the unsustainable rates they were appreciating at. And stocks gain value. But they can not grow at 10-20% every year when the company is actually only growing at 5%.
Good post.
MLR
Naked capitalism blog makes the following point:
Here are two points to consider.
1. In the state of California, you can just walk away because first mortgages on primary residences are non-recourse. That means that the mortgage is only secured against the house you have bought.
2. However, in the state of California, refinance mortgages are recourse loans. What does that mean? It means you are on the hook for that loan. You cannot just walk away. The bank can come after you and take your car and the stocks in your E-Trade account. They can garnish your wages. They can even take your clothes and the shirt off your back, literally. The only thing they can’t touch is your 401-K. But it’s down 40% anyway.
Why would you trade a non-recourse loan from which you can walk away for a recourse loan that guarantees you’ll end up as bad as some poor slob at Tappahannock? It doesn’t seem like an incredibly appealing choice, does it?
This article also points out that if you take this step, you may want to be sure that you don't want to move in the next 13-17 years:
http://seattlebubble.com/blog/2009/07/02/125-refinance-pricing-you-in-fo...