The thing that is mind-blowing to me is rental costs. Near me I have no idea how anyone making less than 100K a year (household total) can even rent. As is always the case, when this much imbalance exists in a fundamental life need (a place to live/shelter) between what normal folks with normal jobs earn and what it costs to rent/own...well...here we go again.
Another article showing concern in the housing market- yet the author may have lacked critical thinking
- Thread starter GON
- Start date
GON
$100 Site Donor 2024
In our subdivision, three homes went on the market in the past 11 days. All three homes had multiple offers and contracted above listing price. And I live in a high crime/ moderate tax state.
Shortage of homes on the market seems to be equalling top dollar for sellers of single family homes on a macro basis.
Shortage of homes on the market seems to be equalling top dollar for sellers of single family homes on a macro basis.
Probably a year too early on this one, but:
Here is a quick update on Hongcouver, overpriced real estate capital of North America. Enjoy.
Zee09
$200 Site Donor 2023
Where I live there is no inventory. Houses don't last long.
The real question is who's mainly buying, individuals or institutions? Not that houses are selling in some areas..
Those are only funny if they are real world...and that's not. Yea too early....
At these prices it isn't middle-income folks....it's got to be a lot of investors. Airbnb/vrbo etc. I can't wait until we are all just renting places to say by the day.
Mortgage Company Closed A Week Before Closing
Saw some headlines that up to 50% of US banks may be insolvent. I don’t work on wall street nor am I an economist but I feel like we’re heading toward some fun times. Save your cash.
Some of y’all don’t need to worry about saving cash - you can just sell off some of your motor oil stashes to get by for a couple years.
Some of y’all don’t need to worry about saving cash - you can just sell off some of your motor oil stashes to get by for a couple years.
Do not understand--if you are down -$150k then you at $150k gain in value.
Methinks this meme fails basic math.
The country is too big to generalize.
The housing market is so strong in the Carolinas that builders can not build them fast enough. I know having just moved into a new community and sold our home in our old 15 year old community, took one day to find the buyer for that one but we waited the weekend to entertain multiple offers OCT 2022 and signed contracts the Monday after the first weekend the house went on the market.
Crazy again in our new community as fast as lots can be prepared and utilities installed the biggest hold up is contractors trying to keep up with demand.
These are all buyers.
One must keep in mind areas even within states. But the bottom line is any working person can buy a home in the USA, you just have to move to where you can afford one, like always in the history of mankind. Supply and demand rules and in case anyone hasn't noticed there was a supply shortage because of Covid. But the media doesnt want you to know that it would be expected after the world shut down for a year to 2 years really, that it would take years to recover.
Ah... the media, keeping America and the world tuned in for advertising revenue... there are the magic words, void of any fact what so ever ... "may be"
I have one for them after all this media frenzy "may be" only 1% or less banks would be affected.
Insolvency is a matter of accounting. In a nut shell the rules are that banks do not have to mark-to-market the value of their government bonds which they plan hold for the long term. This is important because the value of a bond moves on the opposite direction of interest rates. So if a bank has been buying US Treasuries over the last 3 years the value of those treasuries drops every time the Federal Reserve increases rates over that time. Forcing banks to mark-to-market their bond portfolio would reveal that the portfolio is worth less because current prices are lower and therefore the bank would have insufficient capital based on an arbitrary figure. Note: The amount of capital adequacy ratio for banks is arbitrarily set at 10 percent.
The irony is that all banks are insolvent all of the time. This is how banks operate. The entire banking system generates credit which is payable in currency.
A simple example. Your employer has an unsecured line of credit which it uses to make payroll. The bank just created this line of credit out of thin air. Your employer direct deposits your paycheck using its line of credit. That "money" then flows through the system. It's not cash, but a money substitute which functions is payable in USD when you go to the bank to withdraw it. It's kinda funny if you think about it. Your employer pays you with loan proceeds, which you then use to pay your grocery store, and they use to pay their employees/suppliers, etc etc.
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As a property owner it is a great feeling!
AS you know, we moved into a new home one month ago, sold our last 15 year old house in the first weekend it was on the market.
WELL, we got in our new community just at the right time, just as we did when we bought our last house 15 years ago. (if you do the math we bought during the last housing crash (so they say)
Now our new community, just like our last the builder sees how fast the homes are selling, and we no longer can buy this house for what we paid.
Furthermore, all the options the home came with at no cost are being left off the new homes being built and they have started building more expensive models. More or less a smooth well planned transition to the homes costing approx 10% more than they did when we signed contracts Late August 2022. I already know they will be another 10% higher this year, they have so many contracts that new buyers now will have to wait until 2024 for the house to be built. They are already booked through the end of the year and contracts being signed for completion dates next year.
AMAZING, love it!
Funny that we buy all the time during what the media presents as gloom and doom, its has worked out great for us to be buying during those times.
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