{ July 30th, 2010 }

Real Estate Double Down

Blackjack Double Down: When you are playing blackjack one of the most favorable situations arises when you have the opportunity to double down. When you double down you are allowed to double your bet after receiving your fist two cards. You then receive one card only on your hand.

KFC Double Down: Take two pieces of fried chicken fillets and use them to sandwich two slices of Monterey Jack and pepper jack cheese, two slices of bacon and a special sauce. As KFC says, there’s so much chicken that there’s no room for a bun.The nutrition facts aren’t the best, as you can imagine. The Double Down weighs in at 540 calories, 32 grams of fat and — hold on — 1,380 milligrams of sodium.

Real Estate Double Down: The housing crash has left at least 11 million people in the unenviable position of owing more on their homes than they are worth—and many more millions with properties worth far less than they paid for them.  Some intrepid homeowners are intentionally taking a loss on their current house—and writing a big check to retire their old mortgage—in order to buy twice the home for not much more money.

Hopefully, you've got a few dollars left over after writing the check to get out from under the weight of your mortgage.

Are you one of the eleven million people that owes more on your home than it’s worth?   Take a minute to read the Wall Street Journal article, referenced above.  It’s an interesting read, and presents a pretty logical argument for biting the bullet on the home that you’re in, and moving up to greener/larger/better located pastures.

If you’ve read the article and are starting to think about your next move,  give me a shout.  We can talk about it over Double Down sandwiches.

Edit Credits: About.com (Blackjack), Los Angeles Times (Chicken), Wall Street Journal (Real Estate)

Posted by Jon Effron

Labels: Current Events : Due Diligence