what about my deal???? I paid 300k for 2 units.... they rent there from 12-1400 each..... I was gonna buy a house.... for 400k ,...rent for 12-1400....???? did I do ok???
The .gov employment numbers have always been a farce.
What I said before and say now is the same thing. I still see businesses all over looking for help. What you explained illustrates my point. Servers aren't homeowners, they are sitting at home or wherever, and higher paying positions are still understaffed. We are not shedding jobs, we are not net loosing jobs yet. I would expect 50K mortgage processors got laid off this year.. there are no mortgages to do right now. but we are still hiring, for now anyway.
Now we are back to the broad brush strokes of "almost everyone"? Pools didn't exist before 2020? No one got remodels before then? Most people weren't doing "smart money" things with their cash out refi monies in the last 2 years?Yes there has been high demand for stuff in the last 2 years, but it didn't all happen since 2020.
We all keep going round and round on this - you keep saying everyone is dumb and leveraged to the hilt, and is going to get bit. I agree many will, but it is not going to be the majority of people in the country that need to exit their homes. The bottom line of this thread is that you need people exiting their homes in huge numbers for RE prices to drop significantly. And that may happen in some markets, and they may drop significantly. If a 5% average drop nationally in 2023 happens as predicted above, I have no reason to get that worked up over it, and all the RDP Smart Money won't be buying anything.. they will be sitting with their arms crossed on the sidelines.
you don't think he'll pay the rent???
Not only interest rates that are going up, up and up again starting at the end of the month when the Fed raises rates as much as 1%, then again maybe .75 in Sept, then again on the following rate increase. I have absolutely no clue if our rates will ever be down to 2 or 2.5% again in a long time and as they go back to the historical normal rates of 6 and maybe even 7/8% buyers will slow down big time I am 100% for sure on that (I think anyone who has any business, economic, real estate experience or sense knows that as well), no more free money or super low interest rates will guaranteed have an effect on future sales and prices of homes and the market. The only caveat is that since Covid craziness who really knows exacts, my comments are based on my experience, economic data and trend research that I have done and do on a daily basis. I am NO EXPERT by any means and I don't care if anyone buys or sells during any market or what they pay for anything, I just know that for myself and my family I always try to be ready so when/not if the drop occurs it opens up a lot more opportunities for cash purchases and profits down the road.
How about February of 2018.
www.riverdavesplace.com
YES and that's why real estate is important in the macro view of the economy at large. The NAHB estimates the the housing and RE sectors accounts for ~15% of GDP. It's also highly dependent on credit availability and cost.
Drives me crazy too!
300k for 2 - 2 bed 2 bath condos in Vegas is a great price right now, and as long as you get decent renters you will be just fine. Lets hope NV does not screw all its landlords again and let people live there for rent free for almost 2 years while the owners still have to pay mortgages, repairs and HOAs while the renters got away without having to pay a penny, we had clients with property totals of over 5k units in Vegas not paying rent and if they were not Multi-Million dollar owners or low or no debt free owners they got in a lot of financial trouble. I know you know your shit that is for sure.
While I am in the market for a new truck something tells me this demographic isn't owning exactly what I’m looking for.
That was a good read ....lolHow about February of 2018.
I'm starting to get that "2006" feeling again
Looking at the house prices in Havasu and the boat prices in general, the current housing/economy situation on the West Coast reminds me very much of 2005-2006. And we all know what started to happen in 2007! For some reason, my intuition keeps telling me the bubble is going to pop again...
I have plenty of knowledge about it. Just haven’t posted it.
Care to share or….?
will be interesting to see what this does to Chinese home markets & banks
More Chinese Homebuyers Refuse to Pay Mortgage Loans Amid Contagion Fears
(Bloomberg) -- A rapidly increasing number of disgruntled Chinese homebuyers are refusing to pay mortgages for unfinished construction projects, exacerbating the country’s real estate woes and stoking fears that the crisis will spread to the wider financial system.Most Read from BloombergChinese...www.yahoo.com
He's definitely going to pay some but he cant afford the house. We are taking what we payed to his university and applying it to the house. He has a friend he grew up with renting a room also. Its 3500sqft 4bed 3 bath in north central phoenix so a bit much for one or two people.
Fortunately we've owned the house for 24 years and rented it out occasionally on AirBNB for the last 4. Never to make money really but to cover some expenses as opposed to letting it sit. Since we screen guests we've only had one bad group in 4 years. Its been a pleasant expereince but likely because we weren't strapped financially to it and spread out the guests. About 1 in 4 guests we knew or had referrals from friends. Here it is/was. still shows some of July open but we wont accept any bookings now.. https://www.airbnb.com/rooms/434888...1641594438_moraOmqwd8A4N6Rw&guests=1&adults=1
Seriously. I'm looking for anything that will make me 1% rent...Can't find it.
www.ramseysolutions.com
How is the corporate debt side of things looking?
Ramsey is a clown. There is a reason he sells his BS at churches.Real Estate Reality Check | RamseySolutions.com
You’re hearing the housing market could crash and don’t know if you should buy or sell. See why Dave and other Ramsey personalities say you don’t have to worry.
Good Stuff
I didn’t know he was a clown, however I can respect a clown with a 200 million real estate portfolio in 40 years, any given Sunday.
He’s a good salesman 100%. He doesn’t live by his own rules.
Are they seeing cancellations on pool contracts? I'd imagine that would be about the first thing to get cut from a budget?Yes my old house is already off the peak numbers. We have 6 months to go in 2022, and what they are saying is we will stay relatively stable through 2023, is how I am reading it.
We all know there were refis the last couple years. We keep asking the question where are these people going to go? Inflation and rent increases won’t really let them move, and it takes what, a year to foreclose on a house, and everyone imperiled will be looking to the .gov for a reprieve.
Why do you think I’m waiting until next year to do a pool?
Pool people are busy yes, but they can’t even get the materials to do the pools when they need them.These guys I talked to could have done 30% more pools if they had the supply of materials.
As of a month ago they said no, but that may have changed.
www.housingwire.com
I believe price adjustments will depend a lot on where the home is located. People are still bailing out of California by a rate of approx 120K per month (1.4 million annually) and moving to Red States. That number could double or triple if we hit a hard recession or depression and people start losing jobs
We have dinner at Lawry’s in Beverly Hills Sunday. Will see if it’s busy.
I don’t see CA dropping 30-60%. 10-20% sure and that is pre covid pricing. To much overseas money still buying CA.I believe price adjustments will depend a lot on where the home is located. People are still bailing out of California by a rate of approx 120K per month (1.4 million annually) and moving to Red States. That number could double or triple if we hit a hard recession or depression and people start losing jobs
States like Texas, Florida, Tennessee, Arizona etc will see prices flatten or dip slightly until a new administration takes over DC in 2025. I agree that Blue States like California, New York, New Jersey, Pennsylvania, Washington, etc could easily see the 10%-60% dip your speaking of by 2025.
I hope yore wrong!
Last year, so they are not sitting real well right now!
This is us. Reason #1- many places are closed Mon-Tues due to staffing shortages. We consider going out these nights but remind ourselves that the restaurant is probably, or we are certain, closed. Reason #2- if it is open, like on a Fri-Sat, due to staffing shortages and fewer tables available, there is probably a huge wait. That leaves us with 3 nights a week to choose from if we want to eat out. Reason #3- Price versus food quality- The prices have gone up 25-30 percent, and the quality of the food has gone down by about the same percentage. Food is either overcooked, undercooked, or just "meh," edible but not an enjoyable experience for the price. Basically just a mediocre meal, but we don't have to cook or do dishes. We've found not doing dishes is no longer worth the price for a so-so meal. In response, we've found we prefer to spend more effort making nice meals at home.
