Is this a good deal?

[talkinghead]

I am looking at a new house in Temecula. The builder has come down on the price - total amount unknown but about 5-10k in the last 2 weeks.
Now they are offering 60k off the price (incentives) in addition to the price reductions.
Good time to make the jump?
Oh yah, I can use the 60k to reduce the price or use 50k (price reduction) and then they will make the 1st 6 months payment on the new house. In that case I will either put my current house on the market or rent it out for a year.

[burtandnancy2]

You may have gotten lucky today, 8/17, the fed just dropped the prime interest rate. Going to be a buyers market soon...

[bigq]

As long as it's not an investment and a place to live. :(

[socalmoney]

You should wait another 18 months. It will get better.

[HocusPocus]

You may have gotten lucky today, 8/17, the fed just dropped the prime interest rate. Going to be a buyers market soon...
its only the discount rate that was dropped.. not the prime rate, thats different.
WASHINGTON (AP) — The Federal Reserve approved a half-percentage point cut in its discount rate on loans to banks Friday, a dramatic move designed to stabilize financial markets roiled by a widening credit crisis.
The decision means that the discount rate, the interest rate that the Fed charges to make direct loans to banks, will be lowered to 5.75 percent, down from 6.25 percent.
The Fed did not change its target for the more important federal funds rate, which has remained at 5.25 percent for more than a year. Friday's move was not expected to have an immediate impact on consumer borrowing.
as far as buying a house now.. i would wait a bit longer unless you have to get into something soon.

[essexjet]

I am looking at a new house in Temecula. The builder has come down on the price - total amount unknown but about 5-10k in the last 2 weeks.
Now they are offering 60k off the price (incentives) in addition to the price reductions.
Good time to make the jump?
Oh yah, I can use the 60k to reduce the price or use 50k (price reduction) and then they will make the 1st 6 months payment on the new house. In that case I will either put my current house on the market or rent it out for a year.
Sounds like a good deal to me, make sure the loan you get makes sense and the 10K if the builder make the first six mortgage payments (is that up to the 10K or 6 months period - with having the first month off makes it 7 months):D Assuming this is the builders lender, get a fixed low rate that you can handle after the first six months

[Cole Trickle]

I would wait another 6-18 months unless the home is perfect and your init for the long haul.
You could loose quite a bit of equity before the market rebounds.

[Big Inch]

I am looking at a new house in Temecula. The builder has come down on the price - total amount unknown but about 5-10k in the last 2 weeks.
Now they are offering 60k off the price (incentives) in addition to the price reductions.
Good time to make the jump?
Oh yah, I can use the 60k to reduce the price or use 50k (price reduction) and then they will make the 1st 6 months payment on the new house. In that case I will either put my current house on the market or rent it out for a year.
Whats the price on the home? 60k on a 300k home is a lot better then 60k on a 1.3 mil home. Just don't use the 60k for upgrades or for buydowns on the rate because then you will only see a small portion of that since they will pad it.

[talkinghead]

The 60k off is for basically all of the homes.
With the 60k, the house comes to 389,900, but has a 1.7% tax rate.
Yes, I plan on living there for a long time.
Ofcourse there is always a catch - the lot is smallish at 5500 sq. ft., and yes they have one with a larger (11,000 sq. ft.) lot at 414k with the 60k off.

[talkinghead]

I want the bigger lot - but it mean more taxes since the price is higher.
But as I stood around the sales office, nearly everyone walking in asked about lot sizes.

[talkinghead]

5000 sq ft lot = 552/month
11,000 sq ft lot = 586/month
Yearly difference = about 420/year
Payments would be higher since there is a price difference of: $24,000
Probably around $150 more per month

[talkinghead]

BTW, the community I am talking about is Wolf Creek.

[talkinghead]

I can afford it, but I was thinking the question was value - ie.: is it worth it...?

[talkinghead]

I currently own in Paloma Del Sol...

[talkinghead]

I have been waiting to buy like many others - the market may further decline but who knows.
It seems like a good time to pounce with 60k + incentives and lowered prices.
They have one house for 80k off - fell through escrow.

[talkinghead]

I have made offers on pre-owned houses, but I find resale houses harder to make a deal on as compared to new houses.
It seems like builders want to move inventory.

[Big Inch]

Talkinghead:
I was at the river all weekend so just rechecked this thread now. 60k off that price seems like a great incentive. If you want I can do some research for you and let you know what the other homes in that development are selling for so you can see if they will drop the price beyond that. Let me know. Just shoot me a pm or email me: edgar@mtgmaker.com

[Pussywhippled]

We live in Wildomar in a tract, and our lot size is 15,000sqft. If we sold, we could never replace what we have without spending huge $$$.
We have a wide lot with RV parking etc. and it seems like all of the new homes have narrow lots.
It seems like most all builders are building 3000sqft houses on 6000sqft lots now days...

[4DAY4PLAY]

Wolf creek will be a nice community when its all built out. It has all new schools, a new multi million dollar city owned sports park, and is in the farthest southern part of the county so you get cooler weather (from there your only about 15 miles from the coast) One thing i did read recently was the riverside county tax collector lowered property taxes on about 35,000 homes (throughout the County) in preparation for decreasing homes values now and in the near future. They specificly mentioned the wolf creek area in the article. This just came out in the press about a week ago. So by lowering existing homes values in the area, it may cause new home prices to come down even more due to comps. If the home builder is woodside...we have been very happy from the home they built us in temecula 6 years ago. I can honestly say i havent had 1 single problem with my home. Good luck with everything.

[Big Inch]

I hope that's true about the taxes. When we bought, our taxes were 2.1%. I'm honestly not sure if they still are, my wife takes care of that, but I've never heard her mention a tax rate decrease. We could use some good news like that.
Oh please. Like you don't love paying your taxes :rolleyes:

[4DAY4PLAY]

I hope that's true about the taxes. When we bought, our taxes were 2.1%. I'm honestly not sure if they still are, my wife takes care of that, but I've never heard her mention a tax rate decrease. We could use some good news like that.
Unfortunantly this will not benefit you or me...there not lowering the tax "rate" but they are lowering the assesed value of appx 35000 homes(even without a request by the homeowner). It said they are doing this in certain areas and on homes that were mostly purchased at the "peak" of the market last year. So if you bought at the peak for lets say 500k....on this years tax bill you may see your assessed value be 450k...which would temporarily lower your tax bill. They are being proactive, knowing that many lost equity instantly when the market turned. Again i dont know all the details, you can look online or call the county tax collecter. This was also done in san bernadino county on like 25000 homes in the past few weeks in preparation for this years tax bill.

[PaPaG]

The 60k off is for basically all of the homes.
With the 60k, the house comes to 389,900, but has a 1.7% tax rate.
Yes, I plan on living there for a long time.
Ofcourse there is always a catch - the lot is smallish at 5500 sq. ft., and yes they have one with a larger (11,000 sq. ft.) lot at 414k with the 60k off.
Wait another year and get the big one for 325k....in the case of houses in Cali, Az, Nv and most other states the SKY is really falling....:eek: