In the words of David Clayton Thomas, “what goes up, must come down”
Our neighborhood is so hot right now houses sell in one day at full price or get into a bidding war. Up to 30 back up contracts. Its crazy but we are taking advantage and selling our house and Mom’s. Taking the profit and moving to the mountains.
The Federal Reserve should stop buying 30-year mortgages.
If five-year term adjustable rate mortgages were used instead, as is very common in Britain, there would be no point in overpaying for a house to lock in a low interest rate.
Changing the length of new mortgages is better than raising interest rates.
People should not rely on working remotely.
They can either be required to show up in the office regularly or they can be replaced by workers in Vietnam or India.
Sounds like hordes of Californians are selling their grossly overpriced houses, moving to Idaho with the proceeds in hand, and overpaying in that market. How long until the Californian immigrants vote for socialism in Idaho, and destroy it too?
“Top 5” listed hotspots:
Austin, Phoenix, Nashville, Tampa, Denver
There is not a house for sale in my neighborhood, so I have no idea if the market is still hot here.
I see little point in this environment in exchanging real assets for the Fed’s hyperinflating paper. Even if there is a housing “crash” in terms of real assets, it isn’t likely that the price in dollars is going to go down very much - if at all.
And I’m still here, because the buyer is allowing me to live here for five months rent-free”!
agent is on site 24/7
Meanwhile, are there any glowing reports by happy home sellers in the Democrat run hell-holes where 150 people stand in line to view a newly listed house or where the buyer pays a 25% premium above the asking price???
It seems the trend is people are moving to small towns if they can.
The people who were confined to their small apartment in a major city during covid are probably saying: “never again”!!!!!!
Free rent! People are whining over getting $3000/mo. (for real). People are whining because they have no jobs but they’re forking over millions for new homes.
Then again, I probably would have paid $100k more for the home I have today so I guess it all evens out.
They forget the first rule of real estate and it isn’t location. It is, “the real estate agent is not your friend, they don’t work for you, they have a conflict of interest built in, they work for commission, they work for the seller and them both to make as much money as they can.” Not all are unscrupulous but a lot will tell you anything you need to hear to make the sale. “It may seem like a lot above market now but at the rate things are going you will quickly make it up in appreciation.” I hope these kids plan on staying a long time or taking a bath when they sell.
I have seen it before in more than one boom town and now it is boom nation. People get caught up in the price of poker and are afraid they will miss the boat. One other thing in real estate, you snooze you lose if you really want to buy.
I do wish people came with good sense. Do you know why old men are cynical? Experience.
My Arizona winter home has more than doubled in value in less than seven years. I may just have to let it go before everything comes crashing down.
You can get a 3% to 4% mortgage. Great time to buy a home.