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Info Have we learned nothing from the 2007 meltdown?

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JSt0rm

Lifer
Sep 5, 2000
27,399
3,948
126
A big, juicy, recession! Many people crying, some for the first time, I’m being told. Tears in their eyes, as the banks take away their big beautiful houses, so sad. But also good, actually it’s good because some of us will do very well, better than even now actually, in terms of money.
 

Vic

Elite Member
Jun 12, 2001
50,422
14,337
136
The article is a bit lacking on actual facts and figures. Non-QM loans, or mortgages with debt-to-income ratios higher than 43%, have specific residual income and/or liquid asset requirements. For example, a DTI > 43% but < 45% can be acceptable if the borrower has at least $2,500.00 in residual income and/or 3 or more months of the PITI mortgage payment in seasoned liquid assets. And certain rate and term refinance transactions can be acceptable up to 50% DTI provided the borrower's overall housing expense is being reduced sufficiently to meet federal and state Benefit to Borrower standards.
While DTI is extremely important in mortgage underwriting, it isn't everything. It might appear convenient to pick a number like 43% and say that loans on one side of that number will perform and loans on the other side won't, it just doesn't work that way in the real world.
 
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fskimospy

Elite Member
Mar 10, 2006
87,984
55,389
136
The parking I spoke of was for each dwelling, private parking, not public.

Private parking requirements are also dumb. Let them make as much parking as they think their tenants want.

In your free for all scenario, who pays for infrastructure? Roads, sewers, power and water?

Tax money does. The great part about this is that increased density brings with it increased tax revenues to pay for the required infrastructure and more. It’s a huge win for the municipality from a fiscal perspective.

And what happens when a place like California is developed to the point that there isn't enough water for everyone? Do we again use free market ideas and run the price up to the point that only the very well off can flush their toilets?

Farming is the primary consumer of water in California, not residents. If your genuine concern is about the California water supply that’s where you should look. I suspect you’re just looking for reasons to justify your position though.

As far as people go if the price of water goes up we would subsidize it for the poorer residents, yes.

Who decides if there is enough energy available for all those condos? Again, is it purely market driven? Folks with cash have lights and AC while those of less means do without? What about bringing basic necessities in to those areas, who decides if the infrastructure can handle the load?

How exactly do you think the world works? New power plants are built as demand increases, this is how it has always been. What, are we banning new power plants now too?

One nice thing is from an overall energy standpoint places like California have some of the lowest net energy costs in the world so they can easily sustain large increases in density! The idea that you’re trying to frame zoning as some sort of resource conservation plan is laugh out loud ridiculous. Denser housing uses fewer resources per resident, not more. If you actually care about energy costs then you should be on my side.

Planning is a requirement of development, deciding how much to build and where to build it is something that requires oversight. We're seeing some of the problems with the lack of this right now. Cities in heavily forested areas with inadequate facilities to deal with major fires, and zoning that doesn't require defenceable areas around those homes. The Oakland hills fire was a near perfect example of this, they had to much fuel, no water to pour on it and houses with wood roofs and wood siding. We all know how that worked out.

Absolutely nothing you’re talking about here is improved by zoning. Nothing. What you’re talking about here is building codes generally, which I have of course never argued against. Allowing for unlimited density doesn’t mean you don’t have measures to prevent fires, etc. Trying to conflate the two is absurd.

Why not just own your position and say you support zoning restrictions because you don’t want your neighborhood to change? Just own the fact that it’s more important to you than the suffering it inflicts?
 
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Jhhnn

IN MEMORIAM
Nov 11, 1999
62,365
14,685
136
Private parking requirements are also dumb. Let them make as much parking as they think their tenants want.

That's bullshit, particularly in older neighborhoods that are relatively heavily populated to begin with. Parking already sux & developers will only make it worse left to their own devices.
 

fskimospy

Elite Member
Mar 10, 2006
87,984
55,389
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That's bullshit, particularly in older neighborhoods that are relatively heavily populated to begin with. Parking already sux & developers will only make it worse left to their own devices.

Sounds like someone should build a parking garage then or, even better, that we should encourage people to utilize mass transit because in cities single people driving cars around creates gridlock and incredible waste. While I understand that most places in America can’t ban that, downright encouraging it is unbelievably stupid.

The correct minimum for parking is zero.
 
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Jhhnn

IN MEMORIAM
Nov 11, 1999
62,365
14,685
136
Sounds like someone should build a parking garage then or, even better, that we should encourage people to utilize mass transit because in cities single people driving cars around creates gridlock and incredible waste. While I understand that most places in America can’t ban that, downright encouraging it is unbelievably stupid.

The correct minimum for parking is zero.

Yeh, parking garages should be built right in with new high rise construction, no doubt.
 

fskimospy

Elite Member
Mar 10, 2006
87,984
55,389
136
Yeh, parking garages should be built right in with new high rise construction, no doubt.

If people want to use land to build parking garages then more power to them. Requiring parking is a dumb idea though. Car culture is fundamentally a bad idea in cities generally so if anything regulations should discourage parking. Under no circumstances should they be demanding more parking though. That’s silliness.