For the Real Estate Drop in sales and price Naysayers HOLD ONTO YOUR HATS

[2Driver]

Are you concerned that the real rate of inflation is well-above 5%?

Yes and no. If you try to stay way ahead of the current months inflation print you will probably get out past your risk tolerance and risk losing money.
Being retired we can navigate around a lot of it but not all of it. We still make more than double what we spend so being 63 I’ll never really in a position to be effected…hopefully. That said a 12 pack of coke was $9 at Safeway yesterday wtf?

 

[LargeOrangeFont]

Yes and no. If you try to stay way ahead of the current months inflation print you will probably get out past your risk tolerance and risk losing money.
Being retired we can navigate around a lot of it but not all of it. We still make more than double what we spend so being 63 I’ll never really in a position to be effected…hopefully. That said a 12 pack of coke was $9 at Safeway yesterday wtf?

Gotta start drinking light beer.. it’s cheaper.

 

[PaPaG]

Here we go again, the idiots in office (BIDEN and his puppet masters) have put into effect as of May 1st FHA loan % increases for good credit score potential buyers and lowers % for low score. To top it off if you put a larger down payment on a house you pay a higher % rate). Just another step in their efforts to destroy the market. Seems a little like going down the 2007 era ideas. Existing home sales as of this morning dropped to an annualized 4.4 million with medium prices of houses 375k, annualized basis was 6.6 million...seems like a slow down to me. Prices are still an average of 100k up higher than the last period but that has also been slowly dropping as it has been in most areas except the high demand areas. Looks like the Idiots in the White House are wanting to reward people that do not pay their bills on time or have bad credit and penalize good credit buyers once again...

 

[hallett21]

Here we go again, the idiots in office (BIDEN and his puppet masters) have put into effect as of May 1st FHA loan % increases for good credit score potential buyers and lowers % for low score. To top it off if you put a larger down payment on a house you pay a higher % rate). Just another step in their efforts to destroy the market. Seems a little like going down the 2007 era ideas. Existing home sales as of this morning dropped to an annualized 4.4 million with medium prices of houses 375k, annualized basis was 6.6 million...seems like a slow down to me. Prices are still an average of 100k up higher than the last period but that has also been slowly dropping as it has been in most areas except the high demand areas. Looks like the Idiots in the White House are wanting to reward people that do not pay their bills on time or have bad credit and penalize good credit buyers once again...

Taxing the “rich”

 

[havasujeeper]

10 Years After were 53 years ahead of their time.

"I'd Love To Change The World"
Everywhere is freaks and hairies, dykes and fairies
Tell me where is sanity?
Tax the rich, feed the poor, 'til there are no rich no more
I'd love to change the world - but I don't know what to do
So I'll leave it up to you

Population - keeps on breeding, nation bleeding,
Still more feeding economy
Life is funny, skies are sunny, bees make honey
Who needs money? Monopoly!
I'd love to change the world - but I don't know what to do
So I'll leave it up to you... Oh yeah

World pollution, there's no solution, institution, electrocution
Just black and white, rich or poor, them and us
We'll stop the war!
I'd love to change the world - but I don't know what to do
So I'll leave it up to you... It's called luck

 

[8dayz]

10 Years After were 53 years ahead of their time.

"I'd Love To Change The World"
Everywhere is freaks and hairies, dykes and fairies
Tell me where is sanity?
Tax the rich, feed the poor, 'til there are no rich no more
I'd love to change the world - but I don't know what to do
So I'll leave it up to you

Population - keeps on breeding, nation bleeding,
Still more feeding economy
Life is funny, skies are sunny, bees make honey
Who needs money? Monopoly!
I'd love to change the world - but I don't know what to do
So I'll leave it up to you... Oh yeah

World pollution, there's no solution, institution, electrocution
Just black and white, rich or poor, them and us
We'll stop the war!
I'd love to change the world - but I don't know what to do
So I'll leave it up to you... It's called luck

Alvin Lee was the man! Great jam, huge band. I saw him play at the Ventura Theater.

 

[Cdog]

Here we go again, the idiots in office (BIDEN and his puppet masters) have put into effect as of May 1st FHA loan % increases for good credit score potential buyers and lowers % for low score. To top it off if you put a larger down payment on a house you pay a higher % rate). Just another step in their efforts to destroy the market. Seems a little like going down the 2007 era ideas. Existing home sales as of this morning dropped to an annualized 4.4 million with medium prices of houses 375k, annualized basis was 6.6 million...seems like a slow down to me. Prices are still an average of 100k up higher than the last period but that has also been slowly dropping as it has been in most areas except the high demand areas. Looks like the Idiots in the White House are wanting to reward people that do not pay their bills on time or have bad credit and penalize good credit buyers once again...

Punitive to the people moving the markets. Had the busiest open house last Saturday & Sunday that I might have had ever in 22 years. 50 +groups of people. All but 1 group were boomers with money.

The fed is a political. They need to be in a position to lower rates next year to save the economy in time to re-elect the geriatric pedo retard. If they do succeed in slowing the boomer demand, know it will only be a temporary manipulation like when pedo was releasing oil from the strategic reserves to lower the price of oil. It's all to bribe idiots to get over the next hurdle.

The wealthiest generation in history is in retirement and is insulated from job losses etc...Lay offs = profits from many big companies.

 

[Todd Mohr]

10 Years After were 53 years ahead of their time.

"I'd Love To Change The World"
Everywhere is freaks and hairies, dykes and fairies
Tell me where is sanity?
Tax the rich, feed the poor, 'til there are no rich no more
I'd love to change the world - but I don't know what to do
So I'll leave it up to you

Population - keeps on breeding, nation bleeding,
Still more feeding economy
Life is funny, skies are sunny, bees make honey
Who needs money? Monopoly!
I'd love to change the world - but I don't know what to do
So I'll leave it up to you... Oh yeah

World pollution, there's no solution, institution, electrocution
Just black and white, rich or poor, them and us
We'll stop the war!
I'd love to change the world - but I don't know what to do
So I'll leave it up to you... It's called luck

History does repeat, I think about that every time that song plays on mt playlist.

 

[DC-88]

One of the Schwab guys I know was telling me yesterday that their deposits are down overall like 30% since last year. People must just be buying dirt and groceries . I still have 18 months + or so of good new const work locked in.

 

[LuauLounge]

Unfortunately, I don’t think history is taught in High School anymore.

 

[530RL]

Unfortunately, I don’t think history is taught in High School anymore.

They banned history and books to save the children.

 

[pronstar]

One of the Schwab guys I know was telling me yesterday that their deposits are down overall like 30% since last year.

Good vid on stimmy money, bank deposits, and how “at least were doing something!” governments created more harm than good.

 

[pronstar]

Redfin Reports Home Prices Fell 3% in March–Biggest Annual Drop in Over a Decade

Pending home sales dipped to the lowest level since the start of the pandemic as elevated mortgage rates curtailed buyer demand and a lack of…...

investors.redfin.com

 

[PaPaG]

One of the Schwab guys I know was telling me yesterday that their deposits are down overall like 30% since last year. People must just be buying dirt and groceries . I still have 18 months + or so of good new const work locked in.

A large amount of investors getting out of the market are more than likely going to short term bonds, great rates and safe for now...

 

[530RL]

A large amount of investors getting out of the market are more than likely going to short term bonds, great rates and safe for now...

It remains a negative real rate of return.

One can’t hide forever and expect positive real rates of return.

 

[PaPaG]

It remains a negative real rate of return.

One can’t hide forever and expect positive real rates of return.

Definitely a negative rate of return in my book. Personally I am 90% invested in the market every single day of the trading week for almost the last 24 months, rate of returns from bonds, Tbills, CDs are both boring to me and very low returns compared to post profit trading. One of my favorite quotes in regards to investing: "How many millionaires do you know who have become wealthy by investing in savings accounts? I rest my case." — Robert G. Allen, and "I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful." — Warren Buffett.

 

[jet496]

The wealthiest generation in history is in retirement and is insulated from job losses etc...Lay offs = profits from many big companies.

There's a cycle that doubtfully can be broken due to human nature:

“Hard times create strong men, strong men create good times, good times create weak men, and weak men create hard times.”

We're in the 3rd cycle where all our kids inherit what we did. The 4th cycle isn't far off. Each cycle is a couple generations.

Just sayin"

 

[Cdog]

There's a cycle that doubtfully can be broken due to human nature:

“Hard times create strong men, strong men create good times, good times create weak men, and weak men create hard times.”

We're in the 3rd cycle where all our kids inherit what we did. The 4th cycle isn't far off. Each cycle is a couple generations.

Just sayin"

I completely agree. It's used over and over to explain the decline but doesn't offer much in details. Here's my prediction. Be prepared to see huge wealth disparities.

The ignorant will vote to tax and regulate the "rich" on the promise they will get something for nothing. Slowly we will watch all the gains made by the last 3-4 generations be gobbled back up by pedo Uncle Sam.

Brazil here we come.

 

[pronstar]

Be prepared to see huge wealth disparities.

I wonder how accurate this will become…

 

[530RL]

Another opinion…

Homebuyers have lost their short-lived edge as spring buying conditions worsen

Buyers are finding far fewer options and little room to negotiate than the winter, as inventory levels have yet to improve.

www.yahoo.com

 

[Orange Juice]

Another opinion…

Homebuyers have lost their short-lived edge as spring buying conditions worsen

Buyers are finding far fewer options and little room to negotiate than the winter, as inventory levels have yet to improve.

www.yahoo.com

Then there’s this!

MSN

 

[Orange Juice]

Look what’s selling.

MSN

 

[TimeBandit]

MSN

 

[Heylam]

If that was the bottom, I love it. My house and neighborhood have done nothing but go up. Bring on another “crash”.

 

[OldSchoolBoats]

Here we go again, the idiots in office (BIDEN and his puppet masters) have put into effect as of May 1st FHA loan % increases for good credit score potential buyers and lowers % for low score. To top it off if you put a larger down payment on a house you pay a higher % rate). Just another step in their efforts to destroy the market. Seems a little like going down the 2007 era ideas. Existing home sales as of this morning dropped to an annualized 4.4 million with medium prices of houses 375k, annualized basis was 6.6 million...seems like a slow down to me. Prices are still an average of 100k up higher than the last period but that has also been slowly dropping as it has been in most areas except the high demand areas. Looks like the Idiots in the White House are wanting to reward people that do not pay their bills on time or have bad credit and penalize good credit buyers once again...

Everything said here is completely false. Stop pulling your information from the media.

 

[LargeOrangeFont]

Everything said here is completely false. Stop pulling your information from the media.

My sides hurt

 

[PaPaG]

Everything said here is completely false. Stop pulling your information from the media.

So I take it you know more actual and factual info than the real world and wall street. lol. I laugh at how so many in the mortgage or real estate business always refuse to except any info in the real world that may lose them business.

 

[OldSchoolBoats]

So I take it you know more actual and factual info than the real world and wall street. lol. I laugh at how so many in the mortgage or real estate business always refuse to except any info in the real world that may lose them business.

It's accept

And the real world here is that these loan level pricing adjusters that you talk about are for conventional loans only, delivered to the GSE by 5/1, so they have already been applied to current rate sheets for well over 30 days now. This has nothing to do with FHA, in fact the cost for FHA loans has actually gone down with the reduced MI.

People are still closing on homes with the current rates so this is a non issue.

Please please please do not go and tank your credit thinking you will get a better rate. That sir is completely false as well.

Carry on.

 

[PaPaG]

HMM I know the fearful will deny what is happening but here is a bit more news on the changes.
Starting May 1, upfront fees for loans backed by Fannie Mae and Freddie Mac will be adjusted because of changes in the Loan Level Price Adjustments (LLPAs), the fees that vary from borrower to borrower based on their credit scores, downpayments, types of home, and more. The changes relate to credit scores and downpayment sizes.
In some cases, people with higher credit scores may end up paying more while those with lower credit scores will pay less.

What are the fee changes?
The entire matrix of fees based on credit score and downpayments has been updated. If you have a top credit score, you’ll still pay less than if you have a low credit score. However, the penalty now for having a lower credit score will be smaller than it was before May 1.

For example, if you have a score of 659 and are borrowing 75% of the home's value, you'll pay a fee equal to 1.5% of the loan balance. Before these changes, you would have paid a 2.75% fee. On a hypothetical $300,000 loan, that's a difference of $3,750 in closing costs.
On the other end, if you have a credit score of 740 or higher, you would have paid a 0.25% fee on a loan for 75% of your home value before May 1. After that date, you could pay as much as 0.375%.

What loans do these fees apply to?​

Any loan that’s guaranteed by either Fannie Mae or Freddie Mac, regardless of the lender.

Fannie Mae's and Freddie Mac’s share of the mortgage market comprised nearly 60% of all new mortgages during the pandemic, up from 42% in 2019, according to the Urban Institute.

Why are these changes being made?
These changes are part of the Federal Housing Finance Agency’s (FHFA) broader examination of fees to provide “equitable and sustainable access to homeownership” and shore up capital at Freddie Mac and Fannie Mae.

Last October, FHFA eliminated fees for conventional loans for about 20% of home buyers, which helped boost affordability for many Americans, particularly as housing costs rose.

Groups that benefit from that change include low- to median-income first time homebuyers; buyers using the HomeReady (Fannie Mae) or Home Possible (Freddie Mac) low-down-payment mortgage options for low-income buyers; buyers using the HFA Advantage (Freddie Mac) or HFA Preferred (Fannie Mae) loans offered through state and local housing finance agencies; and single-family loans that fall under the Duty to Serve program that helps low- and moderate-income families finance manufactured housing and rural housing purchases.

Are these positive changes?
It depends on which side of the spectrum you land.

Will there be any more changes?​

FHFA also plans a fee on August 1 for borrowers with at least a 40% debt-to-income (DTI) ratio and 60% loan-to-value ratio, calculated by how large your loan is compared with the value of your home. This fee was also supposed to take effect May 1 but was delayed after pushback from the industry.

As a standalone measure, DTI's not a reliable indicator of a borrower’s ability to repay, said the Mortgage Bankers Association (MBA), an industry group.

“A borrower’s income and expenses can change several times throughout the loan application and underwriting process,” wrote Bob Broeksmit, MBA president and chief executive, in a recent blog post. “This is especially true in today’s labor market, which is shaped by the growth in self-employment, part-time employment, and gig economy employment.” This would “create complications and problems for borrowers and lenders alike.”

The DTI fee will also likely affect a larger group of potential buyers, Wildcat said. “A lot of people fall above 40% DTI, and this is going to impact their purchasing power.”

But remember folks some seem to think they know more than facts and data available to all...keep dreaming or denying...

 

[OldSchoolBoats]

HMM I know the fearful will deny what is happening but here is a bit more news on the changes.
Starting May 1, upfront fees for loans backed by Fannie Mae and Freddie Mac will be adjusted because of changes in the Loan Level Price Adjustments (LLPAs), the fees that vary from borrower to borrower based on their credit scores, downpayments, types of home, and more. The changes relate to credit scores and downpayment sizes.
In some cases, people with higher credit scores may end up paying more while those with lower credit scores will pay less.

What are the fee changes?
The entire matrix of fees based on credit score and downpayments has been updated. If you have a top credit score, you’ll still pay less than if you have a low credit score. However, the penalty now for having a lower credit score will be smaller than it was before May 1.

For example, if you have a score of 659 and are borrowing 75% of the home's value, you'll pay a fee equal to 1.5% of the loan balance. Before these changes, you would have paid a 2.75% fee. On a hypothetical $300,000 loan, that's a difference of $3,750 in closing costs.
On the other end, if you have a credit score of 740 or higher, you would have paid a 0.25% fee on a loan for 75% of your home value before May 1. After that date, you could pay as much as 0.375%.

What loans do these fees apply to?​

Any loan that’s guaranteed by either Fannie Mae or Freddie Mac, regardless of the lender.

Fannie Mae's and Freddie Mac’s share of the mortgage market comprised nearly 60% of all new mortgages during the pandemic, up from 42% in 2019, according to the Urban Institute.

Why are these changes being made?
These changes are part of the Federal Housing Finance Agency’s (FHFA) broader examination of fees to provide “equitable and sustainable access to homeownership” and shore up capital at Freddie Mac and Fannie Mae.

Last October, FHFA eliminated fees for conventional loans for about 20% of home buyers, which helped boost affordability for many Americans, particularly as housing costs rose.

Groups that benefit from that change include low- to median-income first time homebuyers; buyers using the HomeReady (Fannie Mae) or Home Possible (Freddie Mac) low-down-payment mortgage options for low-income buyers; buyers using the HFA Advantage (Freddie Mac) or HFA Preferred (Fannie Mae) loans offered through state and local housing finance agencies; and single-family loans that fall under the Duty to Serve program that helps low- and moderate-income families finance manufactured housing and rural housing purchases.

Are these positive changes?
It depends on which side of the spectrum you land.

Will there be any more changes?​

FHFA also plans a fee on August 1 for borrowers with at least a 40% debt-to-income (DTI) ratio and 60% loan-to-value ratio, calculated by how large your loan is compared with the value of your home. This fee was also supposed to take effect May 1 but was delayed after pushback from the industry.

As a standalone measure, DTI's not a reliable indicator of a borrower’s ability to repay, said the Mortgage Bankers Association (MBA), an industry group.

“A borrower’s income and expenses can change several times throughout the loan application and underwriting process,” wrote Bob Broeksmit, MBA president and chief executive, in a recent blog post. “This is especially true in today’s labor market, which is shaped by the growth in self-employment, part-time employment, and gig economy employment.” This would “create complications and problems for borrowers and lenders alike.”

The DTI fee will also likely affect a larger group of potential buyers, Wildcat said. “A lot of people fall above 40% DTI, and this is going to impact their purchasing power.”

But remember folks some seem to think they know more than facts and data available to all...keep dreaming or denying...

The copy and paste King never disappoints. Didn't you read my comment?

These changes are for loans DELIVERED to the GSE's on or after May 1st, so the LLPA's are already in current rate sheets. It's a non issue because people are still buying homes and closing loans.

 

[PaPaG]

It's accept

And the real world here is that these loan level pricing adjusters that you talk about are for conventional loans only, delivered to the GSE by 5/1, so they have already been applied to current rate sheets for well over 30 days now. This has nothing to do with FHA, in fact the cost for FHA loans has actually gone down with the reduced MI.

People are still closing on homes with the current rates so this is a non issue.

Please please please do not go and tank your credit thinking you will get a better rate. That sir is completely false as well.

Carry on.

Carrying on and will continue to relay factual data and updates. As far as tanking my credit, not going to happen, keeping my finger on the pulse has thankfully kept me top tier as long as I can remember.

 

[LargeOrangeFont]

But remember folks some seem to think they know more than facts and data available to all...keep dreaming or denying...

These folks?

JP Morgan Chase just announced a layoff of at least 1000 people and more to come due to the drastic drop in both housing purchases credited to CRAZY HOUSING MARKET slowing correcting and the doubling of interest rates..Redfin, Realtor.com did the same...YOU'VE seen Nothing YET.......if you planned on selling I hope you got it done or soon...if not expect some changes very soon. On the other hand, if you are a potential cash buyer TONS of great opportunities around the corner and from what I am guessing another 2 years of downturn and great prices to start very soon....

 

[PaPaG]

The copy and paste King never disappoints. Didn't you read my comment?

These changes are for loans DELIVERED to the GSE's on or after May 1st, so the LLPA's are already in current rate sheets. It's a non issue because people are still buying homes and closing loans.

I read lots of sites and when I find detailed information I sometimes copy and paste to inform folks that may not follow supposed mortgage and real estate experts on boating sites, I also can guarantee I follow the stock market and investment world much more than most and get real information and facts. So where do you get your info from? You keep doing you, I will keep doing me... Last but not least, people will always be buying homes in hot markets no matter what the economy is doing. Check around the US and the slowdown is evident.

 

[Orange Juice]

I read lots of sites and when I find detailed information I sometimes copy and paste to inform folks that may not follow supposed mortgage and real estate experts on boating sites, I also can guarantee I follow the stock market and investment world much more than most and get real information and facts. So where do you get your info from? You keep doing you, I will keep doing me... Last but not least, people will always be buying homes in hot markets no matter what the economy is doing. Check around the US and the slowdown is evident.

We have mortgage experts on this boating website. You’re not one of them.
You do a very poor job passing along information, you know nothing about.
Stick to what you know, not what you read on the internet.

 

[PaPaG]

We have mortgage experts on this boating website. You’re not one of them.
You do a very poor job passing along information, you know nothing about.
Stick to what you know, not what you read on the internet.

I obviously know a hell of a lot more than you. I am judging your expertise like you are judging mine without knowing crap. Follow facts and quit hiding behind your fear. Only a fool believes what others say without research and you my friend need to learn before you speak.

 

[BabyRay]

Have we descended into the dungeon? This thread has gone from informational to confrontational.

 

[hallett21]

@BHC Vic how’d your buddy who shared too much on Facebook do with his 3 or 4 rentals? Hoping he did ok or is making money.

 

[TimeBandit]

MSN

 

[shintoooo]

My agent just texted me 5 minutes ago and we just closed on our rental property. Took a couple weeks longer than scheduled but we had the buyer cover our daily mortgage payment since they took longer to close.

 

[LargeOrangeFont]

My agent just texted me 5 minutes ago and we just closed on our rental property. Took a couple weeks longer than scheduled but we had the buyer cover our daily mortgage payment since they took longer to close.

Congrats!

 

[78Southwind]

The copy and paste King never disappoints. Didn't you read my comment?

These changes are for loans DELIVERED to the GSE's on or after May 1st, so the LLPA's are already in current rate sheets. It's a non issue because people are still buying homes and closing loans.

My understanding is that none of this is affecting 15 year loans. Correct?

 

[gqchris]

Have we descended into the dungeon? This thread has gone from informational to confrontational.

Isn't that all of RDP nowadays? Every thread is a Docktagon pre-qualifier!

 

[OldSchoolBoats]

My understanding is that none of this is affecting 15 year loans. Correct?

Correct

 

[Runs2rch]

Correct

How about now?

 

[Orange Juice]

I obviously know a hell of a lot more than you. I am judging your expertise like you are judging mine without knowing crap. Follow facts and quit hiding behind your fear. Only a fool believes what others say without research and you my friend need to learn before you speak.

I’m not arguing with you about what I know,
I’m saying you’re an idiot, and you need to stay in your lane.

Did you actually read what you wrote?

 

[PaPaG]

I’m not arguing with you about what I know,
I’m saying you’re an idiot, and you need to stay in your lane.

Did you actually read what you wrote?

Only an Idiot himself would not be able to understand facts, look in the mirror and you will clearly see one. You don't know much that is for sure. Start reading and checking facts and we can have a discussion, blindly follow and it will lead you down a road to ignorance or should I say further down your road traveled.

 

[LargeOrangeFont]

The irony is thick enough to drive a speed car through

 

[PaPaG]

Not related to recent comments but funny to see the stalker is back. lol.

 

[BHC Vic]

@BHC Vic how’d your buddy who shared too much on Facebook do with his 3 or 4 rentals? Hoping he did ok or is making money.

he just bought another a couple weeks ago. It’s either going to go really good or really bad. I wish him the best and hope he’s able to retire in 10 years like he plans. He’s got balls and I love someone taking a chance to make life better for their kids. He’s of the mindset havasu will never go down. I have my own opinions but I’ll keep them to myself.

 

[hallett21]

he just bought another a couple weeks ago. It’s either going to go really good or really bad. I wish him the best and hope he’s able to retire in 10 years like he plans. He’s got balls and I love someone taking a chance to make life better for their kids. He’s of the mindset havasu will never go down. I have my own opinions but I’ll keep them to myself. View attachment 1223146 View attachment 1223147

Hope he keeps it up

They’re all rentals right? Long term or short term?