IAC Renters. Check the prices before you renew your Lease.

NEW -> Contingent Buyer Assistance Program
Honestly, I have no idea what a Reyn Spooner shirt is, but i do enjoy applying gold bond to ... everything. Who won the arguement? Or who made the better point?
 
<p>Remember the grumpy old men that sat in the theater balcony in the muppets show? That discussion reminded me of them.</p>

<p>No one won - but it was entertaining. </p>
 
<p><strong><strong></strong></strong></p>

<p></p>

<p><a href="http://www.youtube.com/watch?v=7h15xIoVwWw">http://www.youtube.com/watch?v=7h15xIoVwWw</a></p>

<p> </p>
 
<p>Trooper your real close. </p>

<p>BLT = 52</p>

<p>Going to guess JCaraway in his early 40`s. I will pick 43.</p>

<p>Glad everyone enjoyed the rant. In hindsight it is pretty funny. </p>

<p>I just hate that perma bull RE attitude that IAC rents wil always go up and your helpless. </p>
 
nice cheapshot blt, can we get a little more creative than a "perma bull" insult? Also, it's not an attitude, it's a fact of life, IAC lease renewal agrements will never offer renters a rent decrease. There wasn't anything funny about your claim that you had beaten the evil IAC at their own game, grabbed them by the balls and negotiated a lower rate; it was pathetic and asinine.



I still can't believe that no one else on this forum hasn't commented about the incongruity of blt's eagerness to go through the trouble and expense to move out of his apartment to save $100 bucks a month while he owns his own niche, movie computer business, owns two $100K cars, and had cashed out on his home at the top of the bubble. If you really cared that much about saving some money, why wouldn't you dump just one of your fabulous automobiles, savings in maintenance and gas alone will be at least quadruple your potential apt savings.
 
Bltserv is going to be in the same (or worse) situation next year when the rent on the new (larger) apartment is raised to market rate, thus surpassing the rent bltserv would have paid on the smaller apartment. Any gains will be wiped out by next year. If you like the new apartment more and don't care that you will be paying more by next year, then great.
 
RIght, I agree, the main bit of advice to take away from the colorful discussion is that right now, due to increasing vacancy rates, IAC is offering significant 1st year discounts, however, come lease renewal, those rates reset to market plus inflation adjustment. People just need to be aware.
 
And right now it seems like the deals are starting to taper off and market rents are going back up. Expect to be paying even more by summer. If you are determined to get a better deal, and don't mind paying more in the long run, perhaps do what bltserv did. Or, exercise your upgrade privileges and move to another community to take advantage of new move in specials. It all seems like a real hassle to me,but worth it if you wouldn't mind a larger or upgraded apartment. You will be paying more in the long run though.
 
<em>>>I still can't believe that no one else on this forum hasn't commented about the incongruity of blt's . . . </em>





Probably because (1) no one cares except, perhaps, you, and (2) BLT has been around for a long time and has built up friendships in the community, which a go a lot farther than the intemperate comments of someone relatively new. Just sayin'.
 
<p>Its that same attitude that "home prices would never go down". I must have heard that from 2003-2006 like a broken record. Then the line was "they are just going to stop going up". Then the line was they "will decline slightly". Well now they are FALLING LIKE A STONE. </p>

<p>So lets take a hypothetical situation. As housing prices in Irvine continue to decrease. Lets just take a flyer at another 25% so now we have about a 40% decrease from lets say the 2006 peak. And thats about when I started my lease. Again lets say now we have a Japan Like flattening of housing that sees prices slide for several years. So other Rentals that are not IAC could possibly be 30-40% from market. Do you think the law of supply and demand could make IAC change its policy when the vacancy rates start to move up and effect cash flow because you could get a non IAC place for 30-40% less?</p>

<p>Your predictions of the future remind me of the NAR. And we know how accurate and real those guys have been. NOT. </p>

<p>A rental for a single person like me is a place to sleep and shower. No emotional attachment what so ever. Sure its nice to not move. But the IAC is not going to be able to hold people hostage with 20-30% over market rates. Dont kid yourself. Especially as the recession gets deeper and people watch their budgets.....</p>

<p> </p>

<p> </p>
 
This does bring up an interesting relationship between rents vs. home values. The predominant thinking that I've read about here is that rent is a fundamental-- on the Jan 2007 graph, it's the sort of constant, that only changes as a function of inflation. But, as people are foreclosed upon, forced to downsize, etc-- they will need to rent. So, as the economy in general goes down, renting should become more desirable. I don't know how smooth the tradeoff will be between those two variables. Anyone know anything about this? I do know that IAC is fine with keeping a lot vacant to get their price on other units (which I do not totally understand how that works out mathematically).





blt, Leykis 101 man?<img src="http://www.chicagogigs.com/images/content/tom-leykis_tom-leykis__tickets_3633639.jpg" alt="" />





jcaraway: Reyn Spooner shirt: <img src="http://www.submarinestore.com/images/products/clothes/reyn-spooner.jpg" alt="" />
 
<p>Blt, If that holds true then the rent on your previous unit would not have gone up, and it would be less than the place you just rented by the time you renew next year. </p>
 
<p>ISB,</p>

<p>A few months ago I pestered IR with questions about rents in the face of massive foreclosures. I was concerned that they would skyrocket due to demand by all the homeowners looking for a place to live. While I can't find the thread, the general gist of his reply was that rents are fundamentally tied to wages, and that the displaced homeowners are offset either by renters purchasing the reduced price home or by investors purchasing and then renting out the homes.</p>

<p>It stands to reason then that IAC can't raise rental rates unless the wage levels rise except in the face of high demand, which doesn't seem to be occuring. Even if wages rise, they can't raise rates in the face of falling occupancy and expect to retain residents. Something, somewhere, has to give. Either occupancy rates have to rise or rents have to fall. The Irvine Company does have the advantage of controlling the market in Irvine, because they control the actual complexes, but if investors are undercutting them they will have no choice but to adjust to the market. </p>

<p>Unless they turn out to be the investors, buying up all the Irvine REO to maintain price stability in both rents and sales. I don't know how well capitalized they are, but I can certainly see the possibility of bargaining with a company like Countrywide to buy their entire inventory of Irvine REO, then renting them out until the market recovers and they can resell them.</p>
 
first of all, how DARE anyone suggest i enjoy wearing reyn spooner shirts, thanks for the pic ISB. Relationship you specifically have a question on, foreclosed peeps becoming renters is dubious. I doubt any of these foreclsed on people will be able to qualify for an IAC apt due to low credit scores, but i have heard that landlords are lowering their standards.



Eva, i wish i had an online buddy like you, that's willing to stand by their virtual man in the face of lies and sophomoric conclusions. I have noticed how territorial a group of the posters on this website are.



Speaking of sophomoric conclusions, blt,you can't compare the decline of the for-sale housing market to a future decline in the for-rent. As nude pointed out, apartments are tied to wages and employment not to the availability of credit. Furthermore, as nude also mentions, all the vacant for sale housing on the market will not turn to rents even at the REO price, they don't cashflow still, ave homeprice will need to be at $300K. Individual underwater owners attempting to flip aren't prepared to become prop managers neither are banks who would be the worst of all landlords. Tough to back up the comment that that IAC rentals are 20% over market given that there at least several other apartment communities (camden, avalon) in irvine are priced higher than IAC and, not to mention the fact that IAC is the market.



"So lets take a hypothetical situation. As housing prices in Irvine continue to decrease. Lets just take a flyer at another 25% so now we have about a 40% decrease from lets say the 2006 peak. And thats about when I started my lease. Again lets say now we have a Japan Like flattening of housing that sees prices slide for several years. So other Rentals that are not IAC could possibly be 30-40% from market. Do you think the law of supply and demand could make IAC change its policy when the vacancy rates start to move up and effect cash flow because you could get a non IAC place for 30-40% less?"



Did you even read over this paragraph? How does this make sense? "Japan Like"? Why not just say a "lets say we have decreasing home values for several years" and not try to prove you do have a degree from ITT Tech?
 
<p>jcaraway, you even said, <em>"i'll admit, my tone in some of these forums has been less than friendly".</em></p>

<p>Why not just let blt enjoy his small victory over IAC ? I, for one, was glad to read about it. IAC is Goliath, and some of us are David.</p>

<p>You are obviously wise and well informed about Irvine RE....I enjoy reading your posts, but not when you get cranky ! </p>

<p> </p>
 
Guess I should have known when walking into the lion's den that is jcaraway ;-)



"Are you concerned with not having the option to renew your lease or that you'll come back one day to find a red tag on your door?"



I'm month to month. Now while that may seem precarious, my roomies have been in this house for the last 2 years with the same type of lease & no rent increases. Knock on wood nothing will change. Our landlord is one of those people who think that good tenants are more valuable than messing with raising rents and kicking people out. And about a red tag? Well the landlord owns a few other props, and well before the bubble. I've done my research as far as public records on this place, and its fine. Plus I always check on things just in case, because I can be a bit paranoid about that. But to me, its well worth it instead of dealing with IAC.
 
Hey Caraway You need to do your home work. Avalon is not open till 2009. Camden looks like its just an empty shell. Kind of like most of that Cookie Cutter, Box Car, No Garage housing that enjoys the traffic sounds of Jamboree. How about all those empty new units all up and down Jamboree. You need to put your RE crack pipe down. Your talking about prices going up and all I see are the dead bodies of empty units along Jamboree. Stop blowing smoke. I sure hope you are not trying to make a living in any type of a sales position.
 
<em>>>Eva, i wish i had an online buddy like you, that's willing to stand by their virtual man in the face of lies and sophomoric conclusions. I have noticed how territorial a group of the posters on this website are.</em>





I know it would be a lot of work for you to go back and read the posts. If you did, you would probably notice that so long as a person is nice and can disagree without becoming disagreeable, they are welcomed with open arms. To my knowledge, there is no official comment policy here, but if you were take <a href="http://www.boingboing.net/2008/03/27/boing-boings-moderat.html">these </a>as guidelines, you might find many of us enjoying your company more.
 
jcaraway: "<em>Also, it's not an attitude, it's a fact of life, IAC lease renewal agrements will never offer renters a rent decrease.</em>"





ism: Hi there, friendly Santa Rosa office staff! I'd like to renew my lease please!





Santa Rosa: Why sure! And since you've been a valued resident for two years, we're going to knock $50 off your monthly rate!





ism: But that puts it to $2235. Your advertised rate is $90 higher than that. How can this be?





Hmmm. Must be the single mom discount.
 
blt, well per the experience we had with the asian finaicial crisis and the Japanese government (and i'm talking about miti here) really dropped the ball and let residential and real estate commericals decline by 25% and later 43% of the 50% of the land owning population was forced to reconsider and recognize that after realizing it, real estate was going to be in decline for several years and that applies to the current US situation, but the decline may or may not be more severe, it depends on the economy.



hey, psst, i don't want to embarass you here, but i didn't mention that rent rates would be increasing, just that renewal would be subject to no negotiation. While that's awesome and a really convenient example that you got $50 bucks knocked up ISM just recently, but that still doesn't count as negotiation. Find someone that went in and requested a discount and recieved it than i'll eat my words.



"Camden looks like its just an empty shell. Kind of like most of that Cookie Cutter, Box Car, " - hate to point this out to, but camden is stylistically very different from all the current product on the jamboree corridor as it has a large vibrant color pallate, utilizes metal siding, has a mixed use component (which is type III construction as opposed to Type V) and wraps a parking garage.



"No Garage housing that enjoys the traffic sounds of Jamboree." - juh?



"I sure hope you are not trying to make a living in any type of a sales position." i sure hope you aren't trying to make a living in an industry that's slowing being exported to Canada and is at the mercy of several activist and disfuntional labor unions. Oh and who's profits are slowly being cut away by that new fangled internet and direct to home tv
 
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