Housing Bubble: Imperial County - June 30, 2005

Real Estate Bubble: Imperial County, California Reply with quote Edit/Delete this post Delete this post View IP address of poster
I came across an article in the Imperial Valley Press Today that had some great entertainment value. Here is the article link before I forget:
http://www.ivpressonline.com/articles/2005/06/22/news/news02.txt
For you folks out in the world that don't have a clue about the "armpit" of California called Imperial Valley I'll enlighten you.
Imperial Valley has the highest unemployment rate in the state of California according to The U.S. Census bureau and a recent article from the L.A. times published on June 18, 2005. You may read the article here:
http://www.latimes.com/business/la-fi-caljobs18jun18,1,5823526.story
Four years ago, homes in El Centro and Heber "comp" between 42,000.00 and 80,000.00 if the the house is exceptional with a huge lot. I pulled 15 property reports to look first hand at the monster housing bubble they have going on in "the Valley". The 42,000 dollar houses are now 240,000 - 275,000.
The 80,000.00 dollar houses are selling for 335,000 - 450,000.00.
The average median income reported for this forsaken area is around 28,000.00 Most employment here is from working in the fields with hay and picking watermelons as examples.
The Imperial Valley is a "stones throw" from Mexico and uses quite a few people from Mexico to work in the fields and to build the new houses. You can drive through any of the new housing tracts and see the Mexico license plates left front and center. There are plenty of americans that need jobs so I suspect that if the jobs were at a decent salary then americans would fill them. I do not think an american will stucco a house for 6-7 dollars an hour.
The housing bubble will burst in Imperial County and the "creative financing" will have people turning their keys into the bank just like they have in the past with a few new housing tracts. in the 1990's.
I spoke with a resident who moved into a brand new neighborhood in Heber in 1997. I was told that several of the new houses stayed vacant for up to four months because they were asking 100,000 dollars in a city that has several houses that comp for 35,000 - 45,000 dollars so people working at Wal-Mart and picking watermelons out in the field could afford to buy a house and live close to where their job is located. The education level of the people in Imperial Valley is very low if any, hence the low income that most people in the valley earn or get for free laying around and collecting welfare for knocking out kids like hotbread. Appraisal and lending fraud are felonies. Report Mortgage Fraud to the Federal Bureau of Investigation. An example of mortgage fraud is falsely inflated property values and loans based on fictitious information.
You may file a complaint with the F.B.I. using the following URL:
http://www.mossback.net/bubble.htm
I challenge you to prove me wrong my friend.
Start by pulling comps from 2001 when interest rates were at a historic low and "flipping" wasn't really an issue. You may do a bit of research and investigation when the "bending in lending" started as well as the rampant real estate fraud that has been on the rise. Creative and predatory lending has taken off and americans are in record debt. Some cities for you to check property title information are heber 92249, and El Centro 92243, calexico 92231, Seely 92273 , brawley 92227 and Niland 92257. You will be amazed at the hilarious and perhaps illegal prices that people are getting in the middle of some wasteland desert called Imperial Valley located in California just 100 feet North of Mexico and about 2 hours East of the Pacific ocean. The bubble will pop here the loudest along with San Diego on the west coast. Since when are houses 8 times the median income for perspective buyers? The greed in the valley is out of control and will come to screeching halt shortly.
Since when are houses built before jobs?
You may pull comps using a free trial at the following URL:
http://www.sitexdata.com/

You may find more useful information of the housing bubble here:
http://www.mossback.net/bubble.htm
Invest wisely my friends and make informed financial decisions.....
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Well today there was only about 1,100 articles released worldwide about the housing bubble that apparently is a global issue. I am hedging on May 31, 2006 for the correction to take place on or before.

There is a great essay written about the unaffordable housing in San Diego, California. The essay reports on how far out of wack the prices are compared to the the average salaries that are paid.

For the essay go here:
Housing Affordability in San Diego
http://nie.uniontribune.com/events/homewords/home_winner2005_4.php


I read an article a few day ago where it was reported that the median house price was almost 600,000.00 dollars in San Diego and the median salary was reported to be around 48,000.00 dollars. Here is an article from last year where the content is still very accurate. You may view the article at:

More find homes out of reach:
http://www.signonsandiego.com/uniontrib/20040819/news_1b19housing.html

Here is a great article regarding the amount of houses that are not even built that are already posted for sale (flipping)

Unbuilt Houses Flood Listings
http://www.builderonline.com/industry-news.asp?sectionID=26&articleID=145737

Last week I posted information about one of the worst cases of fraud in regards to the real estate bubble in Imperial Valley. Imperial Valley includes but is not limited to the following cities: Calexico, Heber, El Centro, Brawley, Imperial, Holtville, Seeley, Octotillio, Westmoreland, Niland, Bombay beach and "Slap City". Those vities make up the largest part of the infamous valley.
This article was released from the local paper called the Imperial Valley Press.
http://www.ivpressonline.com/articles/2005/06/28/news/news01.prt

The article touches on house prices more then doubling since 2000. Tom DuBose, who owns Development Design and Engineering in El Centro goes on with propaganda about how the current market will sustain itself without job creation. I'm not sure how that is going work. For those of you who missed out on this article released recently by L.A. Times that shows Imperial County has the highest unemployment in the state of California.
Here is the link:
http://www.latimes.com/business/la-fi-caljobs18jun18,1,5823526.story?ctrack=1&cset=true
I am confident that the F.B.I. will investigate the residential real estate bubble. Appraisal and mortgage fraud are rampant throughout Imperial county. If you have been a victim of real estate fraud in Imperial County or anywhere else in the United States, please use the following link and report this felonious behavior.
http://www.mossback.net/bubble.htm

Invest Wisely My Friends

US Housing Bubble: China Prepares For War

The interesting article today goes to the great reporting by Bill Gertz of the Washington Times:
http://www.washtimes.com/national/20050609-120336-4092r.htm

The massacre at Tiananmen Square in 1989 killed thousands of students. The country is Communist and please stop supporting it as a consumer. China is obviuosly preparing for war thanks to the american consumer buying crap left and right that are "Made in China"
Here is an article that reports on China becoming only the third country in the world to enter into space. Russia was helpful in training the Chinese astronauts. China has big plans for outer space. It seems a bit odd that before Bill Clinton became president China couldn't get a rocket to launch across the street and now they are in space(Oct 15, 2003), have nuclear bombs and have very accurate intercontinental ballistic missiles - all paid for by the american consumer buying merchandise "Made in China".
http://www.space.com/missionlaunches/shenzhou5_launch_031014.html

For those of you who do not understand the United States residential real estate bubble and its relationship to the economic boom of communist China please read the following article :
http://www.iht.com/articles/2005/05/20/opinion/edkrug.php

Thank you Mr. Paul Krugman for writing such a great article!

If you care about this country and the future of this great nation, please stop purchasing items that are "Made in China".