Seems like sound advice to me, only wrinkle might be if the Senate passes the bill that allows everyone to refinance at 4.5% as long as DTI ratio and credit scores qualify, but LTV would not be a factor which would allow even people underwater to refi.
Isn't part of the stimulus package a $7K buyers tax credit? Does that mean you can buy a house for $1K and get $7K from uncle sam
Its all the single family people downsizing. Apartment rents holding up well here in Boston, in many cases are higher than SFH rents I think in part because people are trying to cut costs and don't want the higher utilities of a SFH, the landscaping and snow removal costs, and also they are probably trying to save so if they can live in a place with gym or pool included no gym membership fee to pay either. May also allow them to reduce driving with shops within walking distance of apartment buildings vs SFHs. I know a couple that sold their cars, moved from their SFH (which they are renting out) to a condo they bought downtown (200K off asking price of 1.1M) and are using these zip cars a couple of times a month for a run to Costco. Their building has everything they need (though as they bought not sure what their cond fee is but its probably hefty!)
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aqnsawHvxyCQ Rents fell in 75 percent of apartment buildings in New York last quarter, up from an average 37 percent in the prior three quarters, Reis found. âWe havenât seen this speed of decline before. Reis expects default rates to worsen considerably over the next two years.â