Thursday, July 12, 2012

One in four Coto de Caza Homes is under water

Posted By CotoBlogzz

Coto de Caza, CA – One in  four homeowners in Coto de Caza/Dove Canyon owe more on their loans than their homes are worth, according to a new analysis from real estate tracking firm Zillow

When homeowners walk away from their loans or pursue a short sale, something common in Coto de Caza/Dove Canyon,  they push home prices lower, feeding a cycle that has hampered the Southern California real estate market for years.

Rancho Santa Margarita, Ladera Ranch and Lake Forest are even worse, with  35%, 37%  and 29% under water. 

Given these underwater figures,, the ponzi schemes  associated with the homeowners association in these communities makes it even more problematic for these homeowners.  In Her book, From: Villa Appalling!  Deatroying the Myth of Affordable Community Living, Author and LA Times columinist Donie Vanitzian writes:

"If the industry has its way, one association won’t be enough.  In fact, you may pay two or three associations, a master association and several sub-associations.  Bear in mind, you are paying all these association fees on top of your regular bills and mortgage payments.  This now looks like a Ponzi scam:  Associations on top of associations all paid for by the homeowner at the bottom of the pyramid."

In chapter four, Vanitzian explains:

CHAPTER:  Take-It or Leave-It ~ Either Way, Continue to Pay-For-It

Deed-restricted properties went from the simple and supposedly uncomplicated “self-managed” organizations to master-umbrella associations with several sub-associations under them.  The next move will be to remove all choice from buyers by grafting a new leg of mandatory management directly into their purchase contracts.  That will consist of a like-it-or-not, take-it or leave-it management company thus eliminating all viable choice for consumers in their housing purchases.  Just like communism, it continues in the form of legislation that inhibits democracy, civil liberties and individual freedoms.  The loss of these freedoms is best viewed under the heading of “social transformation,” the legislator’s wand for keeping his job.

There is nothing innovative about the deed-restriction movement other than novel corruption in devising legal avenues of separating homeowners from their money and homes.  This is the greatest legally sanctioned Ponzi scheme existing on the planet today.  In the bigger strategy of things, penetrating homeowner association bank accounts is lucrative.

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