Thursday, October 26, 2006

The $288K Home for $365K

For the past year I've been bullish on the Las Vegas housing market. Perhaps it was just geniune optimism or perhaps it was market ignorance but I was bullish. The point of laying down some earnest money for a new home.

It's been a fascinating experience, and one that I've tried very hard to remain objective, but it's exciting to build your own home, pick and choose all the fixtures and options. In the end, I'd like to think that I built a very nice home that splurged on what mattered, i.e. ubatuba granite counters, deep maple cabinets, picket rail stairs, 16" clay tile, concrete driveway pavers, 9' ceilings, super master bath and a covered patio.

I toured the house back in June. It was nearly completed. It looked great and I was a bit disappointed that my tenants were going to be the ones enjoying my optional open den/workspace and not me. Of course, if I had lived in the house, I would have installed a casino grade craps table because it's Vegas and I wanted to practice for the World Series of Craps (whenever that would happen).

One thing that wigs me out about West Coast Living is the proximity to your neighbors. I mean, the large bay window next to the jacuzzi tub is very cool, but with your neighbor's house ten feet away, it's a bit unnerving. However, it goes without saying that had I lived in the house, my neighbor would at some point come up to me, congratulating me because of the ever-changing parade of women going through the house and my prowess as a physical champion (as evidenced through the bay window next to the jacuzzi tub). Without a doubt, I would remain humble in my victory and console my neighbor in his marriage and lack of sex life.

I digress.

All in all, the house was going to cost me $365,000 - or, if you looked at the Truth In Lending Statement, $1.5 million over thirty years. Holy crap - one point five million??? Gee, how many 21 year old female "companions" could I buy for that much money? Six thousand - to be exact, which would take me 16.4 years if I had one per day.

Oh, fantasies.

So what happened to the house? I ejected from the deal back in September when I finally realized that I no longer had confidence in the housing market and good timing too.

Today I looked up the price of the house I would have bought and it had fallen to $288K.

So much for the World Series of Craps...