I stopped the car on the way home to let Cheyenne out. In fact I wanted to step outside and just look at the water.
I have an overwhelming sense of foreboding about the economy this Fall as kids head back to school this week and the news cycle revamps for the post vacation discussion of What Happens Next In America. Me? In my life I go to work, I ride home and I sometimes stop to smell the roses. Or in the case of Keys living I stop to admire the views, alongside my drive home.
I ride my Bonneville every work day, but rarely leave home early enough to pause on my commute. On my days off I like to haul Cheyenne around with me which forges me to take the car, because I enjoy her company, and she seems to enjoy mine.
It's been strikingly hot lately, proper high season for a summer time in the Keys. That means daytimes have hit 95 degrees and humidity is full on tropical. I enjoy the weather actually, as long as I remember to apply mosquito repellent before leaving home. With insect life held at bay I can stand and admire the play of sunlight and shadow on the waters of the Gulf, known locally as the back country, north of the Overseas Highway.
Park Key is an acre of gravel fill overgrown with mangroves at Mile Marker 18, just south of the traffic light at Sugarloaf School. It used to be a place to launch a boat as evidenced by the crumbling cement seawall, but the entrance to the island is blocked off by cement barricades, making the "No Parking" sign at the water's edge redundant.
The waters are shallow and most of the islands dotting the waters to the horizon are simply clusters of mangroves with no dirt to speak of. You can't land on them as they are simply roots buried in the mud under the water. They start out like this:
The heat of the sun is mitigated by the frequent sea breezes that blow across the islands. We have also had some heavy clouds and rain which cool things off quite nicely. Summer is a good time of year to take the skiff out from the dock and go for a swim in the middle of nature.
The water temperature, especially in these shallow waters is bath-like and comfortable.
I am enjoying this summer in the Keys. Tourist traffic is down, and while that is generally the case this time of year, one has to wonder what our winter trade will be like in a year of burgeoning unemployment and the continued destruction of the American middle class.
Today is election day in Florida when Republicans and Democrats go to the polls to decide which party candidates will go forward to the Fall election. As primaries go we Democrats don't have many races to decide but my wife and I will be voting this evening to support local election of the School Superintendent in Monroe County as well as voting for Alex Sink in the Gubernatorial campaign. In this next photo the 16 million dollar Fat Albert balloon operated by the Air Force keeps guard over the straights of Florida from it's position above Cudjoe Key, a modest white speck among the clouds.
We also received our annual estimation of property taxes for the next year. I noted our taxable value has dropped and our tax rate has gone up by 200 dollars from $2450 to about $2650. Lots of my neighbors are up in arms about increasing tax rates on homestead properties (primary residences) but I've always felt paying taxes is my membership fee for participating in society. The other side of the coin is that my home's estimated value is down to $235,000 and with a $50,000 Homestead Exemption my taxable value is a modest $185,000 which sounds reasonable enough to me in this economic climate. Unfortunately we bought the house in 2005 for $559,000 which means we are asking ourselves why Wells Fargo, our taxpayer-bailed-out-mortgage-holder has proved unwilling to help us out, despite repeated polite requests for consideration and as our own income has shrunk. We are drowning in debt on a home worth one third what it was worth. And it will probably never again be worth as much as the mortgage in our life time. What would a sensible business leader do? If we were AIG we would ask for 180 billion in government money to bail us out. Fat chance. We face the prospect of no returns on a mortgage that doesn't seem worth the struggle now our own investment income has shriveled.
And so the merry-go-round goes round and we watch and wait and see what will happen to us and our neighbors and our economy as the upside down nature of it all sweeps us up. Meanwhile summer is hot and pleasant and peaceful in the Florida Keys.
16 comments:
The year 2005 seems to have been a bad one in which to purchase property. I have friends in CA who got into that half-million property pool and now find their properties worth half what they paid. Many are leasing them out, trying to pay the mortgage, since CA rents are still high. Still, there is only so much you can charge for a two-BR condo.
I feel you pain..since the passing of my father,my mother struggles to pay the mortgage..even with the assistance of certain programs to help lower mortgage rates and keep people in their homes.I help her as much as i can,however nine months into starting the barber shop my help is limited.The day will come when she can no longer afford to live in the dream home my paremts bought together...that will be a sad day indeed.
Buffalo Bill
Banks are only banks by loose connection now. We should really call them Loan sharks at every opportunity. Any word from Wells Fargo on your home loan?
Naomi Klein had an article yesterday in the Huff Post on Banks siding AGAINST customers in fraud cases. It was quite stunning. http://www.huffingtonpost.com/naomi-wolf/post_722_b_691188.html
I no longer bank at a large well known banks that show happy smiling faces on their commercialized billboards and am happier for it. I recommend it!! I wish you all had a Westerra Credit Union near you!
Conchscooter, you write as we are planning our Thanksgiving trip. Mr. Cindy has a conference in Bermuda in mid-November. The question has been whether I would go and we'd tack on some vacation days, or I'd skip it and go directly to sister's house in Key Largo and we'd tack on extra extra days in the Keys to support Florida's economy -- and maybe to make a new acquaintance or two. You may have provided the tipping point.
Cheers,
Cindy
If taxes are payment for entering society, is conscription payment for citizenship?
I for one, have attempted the similar actions in regards to reducing the mortgage (or at least an attempt to refi at better terms) after getting laid off and starting my own business. The response was "this investor feels that the risk is too great". I asked "what investor? Me as the taxpaying public?" Went over like a fart in church.
I will vote down any tax increases for small business or the middle class and vote for any tax increase on top wealthy 2%.
Likewise, I will vote down any public assisstence for the lower 2%. We missed the cut off for assistence for medicade by $200 for the $40,000 NICU bill because we had saved for retirement and were told to use that.
Seems the only people that get loans or assistance is the top 2% and poor.
Fuck the bell curve.
But on a positive note, I have a beautiful son and the ability to work from home (even if I don't spell check).
Most is good
Come on! Obamamama is going to make everything ok! Remember? No more special interests running government. No more middle east entanglements. Yes we can! Hope! Change! Keep chanting! (and ignore the lobbyists behind the curtains)
Jeffrey: I too wonder at the "debate" about restoring the modest three percent tax cut on people making ('earning' seems a rather poor choice of words)more than $250,000. It seems a no brainer to me but...
Danette: we have switched to First State, a local bank unfortunately tied to the Spottswoods, but better them thah Bank of America. We also have an account with the Teachers Credit Union.
Bill: We need to redefine the dream... and not all of us are younbg enough to do that. Layne and I are making alternative plans because I don't see tjhings getting better.
Anon: Yup. It's all a chimera and voting Democrat is just a way fo saying no to the Republicans anti immigrant stance for me, the immigrant. Voting Democrat clearly is not a vote for a new New Deal anymore.
More and more, I see and hear the idea of just walking away from a mortgage such as yours being presented as a rational, reasoned economic decision. I read articles quoting people who haven't made mortgage payments in 12 months or more still living in their homes, because what the hell is the bank gonna do with it? Especially in Florida, one of the hotspots of the mortgage meltdown.
Just sayin'...
__Orin
Scootin' Old Skool
We have friends who haven't paid their mortgage in two years and Wells Fargo is blocking any modification. They haven't spent $100,000 on their mortgage! And they occupy their house as ever.
I view not paying as an act of civil disobedience at this point. Brought on in much the same way by economic necessity...
Wells Fargo is the "investor" in my case. To the hell with them. And I have heard the walking away from the mortgage a "strategic default". I own rentals, I could do the same, liquidate the 401K and buy a house lock, stock, and barrel and make money on the rents. Will I? No. That thinking is what partially got us here.
Luckily, I am not really upside down like some of the other folks around me (or those that used to be around me). Sigh. Still loving paradise.
We are not upside down in our mortgage, yet, and hopefully will remain gainfully employed. My husband working in the auto industry and myself working for a BIG cereal company, have both been feeling the encroaching possibilities of unemployment, not because of our work ethic, but because the companies are bleeding from their wounds and it just isn't stopping. If either one of us loses our jobs, we have decided we will walk away from the house. Everything in me is against that idea, I was raised in a time when you were taught to pay your debts. But, at the thought of tapping the only thing we have left, our 401K, to bail out a house, that has dropped to half it's value, with only 18 more years until retirement? I can't justify it. The house can go, along with the ever elusive American Dream, never to be realized by this generation, no matter how hard we worked or what we tried to change!
shonassie: us too exactly. my wife is getting ready to rent or move onto a boat instead of dealing with an intransigent wells fargo.being so bourgeois this possibility gives us hives.
Been a big fan of your blog for awhile now...sorry to read about your mortgage distress. Saw this article today on the frontpage of MSN.com and thought of you...here's the link. Hope it helps.
http://realestate.msn.com/blogs/listed.aspx?feat=1802548>1=35000
P.S. You're not the only one with a pink shoe "thing"...my wife and I both have vintage (& I mean vintage...circa 1988) pink sandal footwear that we've been sporting ever since!
We are working with NACA and we have an attorney lined up who deals with postponing foreclosure if it comes to that. My wife and I always have plan B up our sleeves (possibly moving back to a boat). She deals with bills and she has been too stressed lately and we need to make a change. So does Wells Fargo, frankly.
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