Housing Updates

Wow in just a few short months things are starting to drastically change.

Firstly, inventory is still extremely low. (that might not be the case in all areas)
What is astonishingly different is that the houses that are for sale, AREN’T selling. Not only that, they are doing price reductions. The high interest rates are just too much. I said it before you can’t have both, a high interest rate and a high asking price. Something has to give because people only have so much to spend on a mortgage. It appears most are at a total standstill. I feel for people that really need to move, they are probably getting screwed both ways!

Give me an update on your area. This is just a little hobby of mine, I like to watch real estate and see how it changes.

a reply to: JAGStorm

I am not there; but I honestly do not understand how people are surviving with the cost of, rentals, food, electricity etc etc. Some of my friends who have returned to the states in the last year have said no more stateside visits...and most of them are not poor.

a reply to: JAGStorm

Just learned that one of my sisters and her husband have partnered with another couple to purchase a house for renovation and offer as a rental. Eventually, they plan to sell the house and repeat the process with a new property as an investment plan.

a reply to: JAGStorm

same situation... one of my student's parents just paid me, and the majority went to groceries

but on the upside, I won a nice coffee mug at a supermarket contest held by a vendor

yeah yeah its not a lot, but it made my day, I got my picture and everything

a reply to: TheToastmanCometh

High inflation, High Interest Rates, High Debt to Earnings Ratio leads to a Recession, which causes layoffs and cost cutting scenarios for corporations. This in turn reduces spending leading to more cost cutting, which leads to a deeper recession. When a recession happens what is the solution? Cut interest rates? Can't need it to pick up the bonds on the debt. Cut debt? can't we have a 3.5 Trillion dollar deficit each year, need to keep it humming. Cut spending? can't inflation offsets the use of dollars so it costs more for less product.

Here is the reality, we are entering into a very long/deep recession. This is a result of the current democrat bs. The standard of living will go down as a result. You need to prepare now for the next 2-3 years, by circling the wagons, and setting the stage to defend your standard of living.

I believe we will continue to have a degradation of standard of living accelerating in 4th quarter of this year and 1st quarter us entering a recession.

Camain

Right now a 30 year fixed loan with an average credit score is 8.65%.

No one will be buying a house at those rates, even if they reduce the price of the house. The current administration has done nothing for the average American and has bent over backwards for other countries and special interest groups.

Remember what Obama said ..."elections have consequences"

a reply to: 727Sky

Youve seen the videos of our tent cities and growing homeless population, right?

I don't think the country has seen anything like this since the Great Depression, and we are just bring more poor and desperate people in on top of them.

It can't possibly end well.

I go on walks on my route periodically to take count of homeless/displaced/panhandlers/mental health/drug and alcohol issues as part of neighborhood watch duties.

It waxes and wanes, but services and charities and folks with the means are helping the folks transition and they don't stay out on the streets for long.

It's been clear the past few weeks, and the cooling centers and drop in centers are widely known and in good operation.

As far as the housing market goes, most of the properties are still well below the national average, but we're a poor state and there are no rental protections for renters so property owners could rent out a shed with no plumbling or electricty and get away with it.

There are some issues with low income housing, one complex the new owners/managers are trying to charge them extra to have an air conditioner unit and the out of state manager is currently in court for reportedly sending pictures of his genitals to residents.

We'll see how that plays out in the courts, so far they've done next to nothing to address the A/C issue.

Rent is still going up and a lot of low income folks are having to make tough decisions, a lot are cohabitating with family or friends or else downsizing to smaller apartments.

Half the units in my complex are vacant, and at the end of our lease we'll be moving in with family.

I shudder to think what will happen once we're out of the city, every place I've lived has turned into a nightmare soon after I left (Seattle, Austin, San Francisco)....our town is liberal but our state is Red.

We'll see.

a reply to: DAVID64

I bought the house I'm living in paid for now in the late 80s when interest rates were 14%. The home prices were in the basement because of it.

I paid 84k for my 4 bedroom home a mile from a beautiful quiet beach in so. ca. The house appraised last month at 600k.

After Reagan straightened out the economy, interest rates went down to about 6% where I gladly refinanced at took out money to remodel.

Same payment. A 5th bedroom. Modern plumbing, windows, roof, upgraded everything.

It's paid for now. All profit when or if I sell. I probably will put it in trust. It's on a big lot too. Two modern 2 story homes like they are building here now will fit on it easily, and zoning will change here as there is no land left. My grands will have a good investment.

If the rates go up and more, house prices will collapse. My 600k will be around 400 or even 300k. It will come back to 700 or 800k, my grands could end up fairly well set just with the land. Ive seen this happen twice in the 30+ years I've lived here.

I bought this place when married, as a starter home. Didn't work out that way. I saw my friends keep buying up. Now they live in palaces they can't retire because they cant get rid of them nor the mortgage.

I have zero payment. In a state that freezes your property taxes at value when you bought. Which means 84k not 600k like my neighbors pay. I pay a around a 100 a month housing costs. For the rest of my life.

I did well. For a single mom. I got the house when it was upside down after the remodel. There was no equity then, when the market took a dump the first time and values collapsed, we were getting a divorce, so he just quit claimed it to me, outright to get out from under the upside down loan. I smiled and said THANK YOU

No regrets. I love wear I live, my house is exactly how I want it after I remodelled it. I hate the politics, and the flood of migrants, but there is no perfect place on earth. And if it gets too bad, I could rent it for about 3k a month and go ANYWHERE with that kind of $ for housing in return.

I could BnB the 5th bedroom I added as a separate dwelling, and that would pay my rent in Morocco half the year.

a reply to: JAGStorm

I do a lot of work in Real Estate and foreclosures here in Michigan, and everything is just going to get worse for the foreseeable future.

I've been banking on, and anticipating, a housing crash that should've happened last fall, but I didn't account for silly little variable in my prediction: The impressive, astounding stupidity of the current average person.

Smart people (at least people that value things like food and their own mental health) would boycott and rally to drive prices down, or just give up altogether on being able to afford housing as it is, and create a big ol "pop" that would be heard around the world.

Stupid people keep partaking in the market and continuing this nonsense. As long as idiots continue to buy houses at 8+% interest, overpay for homes, and take zero action against property tax laws, local governments, and slum lords, we will continue to get driven into the ground.

originally posted by: DAVID64
Right now a 30 year fixed loan with an average credit score is 8.65%.

No one will be buying a house at those rates, even if they reduce the price of the house. The current administration has done nothing for the average American and has bent over backwards for other countries and special interest groups.

Remember what Obama said ..."elections have consequences"

I remember when anything under double digits was considered great

a reply to: JAGStorm

all over the county i live in here in fl they are clearing land to build massive housing projects.any where from 120 to what could be seen as the start of small towns of 4000 homes with planned strip malls. there at least three that have been cleared, utility lines installed, streets paved and not the first house built yet and sitting for a year and a half .there are four i know of that have been approved that haven't even started clearing. all of this has been before, during, and after covid.

to tell the truth i'm kinda glad. when my family moved here from a neighboring county 50 years ago there were only 30,000 people in a county of 1,174 square miles of which 1,012 square miles is livable land. or about 30 people per square mile. back then you could go places and not see a soul for hours, sometimes all day now there are very few places it like that left.now they say that the population is 193,998 i think it's more, that would be 191 per sq mile. plus there is so much thru traffic that from neighboring counties, which are growing in residents, winter snowbirds, and summer tourists, that a trip to town that use to take 15 mins, now takes any where from 30 to 45 mins depending on the time of day.

sometimes i get so frustrated with all congestion that i almost find myself agreeing with the worlders. 500 million or less world wide. but then i come to my senses and say blank them SOB's, i like being able do what i want.

been serious thinking about moving to one of the dakota's, wyoming, or montana, population of a million or less. if i could hit a lottery that's more than likely where i'll be.

a reply to: JAGStorm


I’m in Massachusetts. There are starting to be homeless people everywhere!

Hospitals, they literally order takeout in the ER waiting rooms to eat. I’ve seen it myself. I have met so many homeless people that live at my work in the parking lot. I do what I can to help them, but one guy is seriously mentally Ill and scary. Pulls his Knife out to open packages, approaches cars, throws things around, winks at one the pharmacy tech girls. Hung out for 12 hours yesterday, and my s/v said he was there at 6:00am.

My town currently has plans to build several more apt buildings and is waiting for a factory turned apts to open to help. The only problem with that is. The traffic is going to be a nightmare. It already takes me 25 minutes to drive 1-1/2 miles to work during the week, only 5 minutes on the weekend. I’m thinking of getting a bicycle. Winters could be rough though.

Housing costs are insane, and if I had the money I wouldn’t buy here. My son wants to go back to AZ some day, and at this point I’m thinking of maybe retiring there. Never thought I’d entertain that idea ever again, but Massachusetts is turning into an expensive sh$thole fast.

Everyone’s kids live at home, and they can’t even think about paying these rents!

a reply to: KTemplar

Housing costs are insane, and if I had the money I wouldn’t buy here. My son wants to go back to AZ some day, and at this point I’m thinking of maybe retiring there. Never thought I’d entertain that idea ever again, but Massachusetts is turning into an expensive sh$thole fast.

I have friends that just left Arizona and one that just moved there. The heat is unbearable. I don’t mean normal Arizona heat either. Im talking record breaking temps. My friend that moved there from the Midwest said it’s worse than blizzards.

I think for a lot of us that are Gen X our retirement locations are going to be a moving target!

a reply to: JAGStorm

In my area, real estate (houses) simply isn't moving at all. A lot of for sale signs but no sales and very few "lookers" from what I can tell. Auto sales appear to have stalled as well.

From the channels I follow on Youtube, it appears that auto loan delinquicies are way up. Worse, a lot of people find themselves upside down on their Auto debt. Saw yesterday that Heartland Bank of Kansas has gone belly up.

My spidey sense indicates we're tipping into recession. Just have to wait and see. The tourist season has been peculiarly light.

What's really hurt the middle class in my area is the County Tax assessor who appears to have gone on an insane campaign to squeeze taxes out of every business and land/property owner in the county while at the same time drastically raising rates and adjusting rates backwards to collect taxes on a higher rate for prior years.

Something's gonna have to give and I can't see where this is headed at the moment.

a reply to: JAGStorm

Imo we r safe until after the 2024 election due to optics. They will lie cheat and print money to keep it going until biden or another globalist gets selected for us in 2024.

Then its all coming down and the middle class will get wiped away and blackrock and vamgaurd will buy all the real estae for penny on the dollar . Then we will shift from a monetary system to a social credit system.

Then because they are great humanitarians they will rent it back to us for eternity based on our social credit score to fulfill their goal " You will own nothing, and be happy"

a reply to: JAGStorm

www.activistpost.com...

Interesting read pertinent to your OP. Thought you might find it interesting.

our housing market is still crazy inflated in my area(montana).what was 250-300k 4 years ago is now going for high 800ks to 1 millions .rent went from about 500 a month to 1100 for a one bedroom.i had been debating selling and getting out but my ex came back into town so may not legally be able to move now (parenting plan bs). its the property taxes that have gone insane the last few years , mine when i got the place were about 600? a year now about 14 years later mine are close to 8k a year my elderly moms are 16k.... that is the next domino to fall here id imagine

originally posted by: RalagaNarHallas
our housing market is still crazy inflated in my area(montana).what was 250-300k 4 years ago is now going for high 800ks to 1 millions .rent went from about 500 a month to 1100 for a one bedroom.i had been debating selling and getting out but my ex came back into town so may not legally be able to move now (parenting plan bs). its the property taxes that have gone insane the last few years , mine when i got the place were about 600? a year now about 14 years later mine are close to 8k a year my elderly moms are 16k.... that is the next domino to fall here id imagine

We were very late to feel any of the effects, and your area might be even later.
Something else I’m noticing, slowly, very slowly wages are inching up.
I guess desperate business owners realize people aren’t going to go for $12hr anymore.

a reply to: KTemplar
Here in NJ a company closed up (what a surprise!) and they have started construction on a 300 Unit Apartment Building on that spot.
No one is happy about it, we are choked with traffic, bumper to bumper, all over our highways and side streets, getting worse all the time.
We are planning to move down to Louisiana within the next few years. Not overpopulated, low cost of living, even gas is cheaper than in the northeast. We can rent a small home there at a very low cost, and the next house won't be a foot away from us, we will actually have a large garden and, best of all, a place to park our car!
We both grew up in this little town, but we've had enough.