When I first came to California in the year 2000, an uncle of mine was able to buy a decent house in the Southern California area for about $170,000. I said, someday I can buy one for myself and my family.
Today is already 2006, and I know that the California housing cost has been increasing. But as I checked recently the status of the California real estate, I was shocked. Probably, the house that my uncle bought several years ago would range between $400,000 and $500,000. Just imagine, it had tripled its value in just a matter of six years.
In the Los Angeles area alone, it is now difficult to find a decent home costing less than $200,000. What if I buy a house now. Can I buy a house with no money down at the price of $500,000 or more? But many investors say, yes, I can still buy a house with no money down.
I tried to think like I was on the other side of the bargaining table. Would you suppose that real estate owners are really making money? What about the mortgage, companies? Since mortgage involves money directly, probably it is also high time that I should learn some real estate secrets in the mortgage business. What do you think?