[ReagansShinyHair]

$510,000 2 Bed, 1 Bath

964 Sq. Ft

I watched a real estate show on MSNBC a couple of weeks ago. They said that HALF of all new mortgages in CA are "creative", meaning they are interest-only loans, 60 year loans, etc. That's what happens to housing prices when half the people buying houses are willing to do stuff like that.

[P8riot]

We bought a 4 BR 1-1/2 bath 1500 sqft tract house in Orange County in 1970 for $39,000 (which was pricey then). Last year it sold for over $650,000.

In 1997 we bought a 5 BR, 2-1/2 BA 3000 sqft house on 7.5 acres of agriculturally zoned (unlimited use) land for $160,000. Last year, our neighbor's house 1/2 the size of ours on 3 acres went for $280,000. I'll stay here thank you.

[hinckley buzzard]

...HALF of all new mortgages in CA are "creative", meaning they are interest-only loans, 60 year loans, etc.

It also means that half the homebuyers probably don't belong there. A lot of that creative financing is ARM's which by year's end will break many substandard borrowers. There may be a REAL exodus then.