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

[4Waters]

Well, I told you so. .50% reduction in rate just now.

Mail in ballots must be ready to be send out

 

[HCP3]

Well, I told you so. .50% reduction in rate just now.

Where do I put my hat?

 

[4Waters]

Where do I put my hat?

It's gone

 

[Cdog]

Where do I put my hat?

Eat it!

 

[EmpirE231]

Just in time for the elections. Here comes more inflation.

 

[shintoooo]

Prices on houses in my neighborhood have dropped a bit in the last month. Let's see if this drop in rate and the anticipated .50 drop in December will boost sales and increase prices again.

 

[billt]

Whatever gloom and doom they're predicting won't happen. Every good housing market is followed by a bad one.

 

[DrunkenSailor]

Meanwhile the bond market is up. All the people who were waiting for the fed to lower rates are going to be wondering why aren't mortgage rates coming down? Lol.

 

[Orange Juice]

If you’re debt free, the only reason you care about a rate cut is how your assets are valued.

 

[Floaterboat]

Whatever gloom and doom they're predicting won't happen. Every good housing market is followed by a bad one.

Ain’t that the truth. 2 years of doom and gloom here and prices are as high as they were back then.

 

[Havasu blue label]

If you’re debt free, the only reason you care about a rate cut is how your assets are valued.

Yes sir

 

[Albert]

If you’re debt free, the only reason you care about a rate cut is how your assets are valued.

And if you’re not selling you don’t care about that either ..

 

[regor]

 

[shintoooo]

View attachment 1432625

It's definitely not like the 2006 housing bubble. There are a lot more people in the country right now that need housing and there is a shortage of houses. Also, lenders were not giving out loans based on a handshake this time around. I don't see home prices crashing like they did back in 2007-2008. It also does depend on location though. I know places like Austin TX are having a huge slowdown in real estate sales and a lot of price drops. Just don't see that happening here in SoCal.

 

[regor]

It's definitely not like the 2006 housing bubble. There are a lot more people in the country right now that need housing and there is a shortage of houses. Also, lenders were not giving out loans based on a handshake this time around. I don't see home prices crashing like they did back in 2007-2008. It also does depend on location though. I know places like Austin TX are having a huge slowdown in real estate sales and a lot of price drops. Just don't see that happening here in SoCal.

Definitely a different ownership environment, along with inflationary pressures, but that chart does not bode well for the middle class or a civil society.

 

[shintoooo]

Definitely a different ownership environment, along with inflationary pressures, but that chart does not bode well for the middle class or a civil society.

Meh. Let them eat cake.

 

[JLG614]

It's definitely not like the 2006 housing bubble. There are a lot more people in the country right now that need housing and there is a shortage of houses. Also, lenders were not giving out loans based on a handshake this time around. I don't see home prices crashing like they did back in 2007-2008. It also does depend on location though. I know places like Austin TX are having a huge slowdown in real estate sales and a lot of price drops. Just don't see that happening here in SoCal.

My wife and I went to an open house for a home in La Habra Heights this past weekend. $1.5 million. It was a nice home around 3500sf kept in really nice shape but it was all original and would have to be redone. The open house was packed, I couldn't believe it for a home at that price and in that particular location. It did look to be like alot of multigenerational families which I guess is what everyone must be doing now adays. Have grandma and grandpa and the whole family living under one roof

 

[regor]

Meh. Let them eat cake.

 

[riverroyal]

Fed drop did nothing to morgage interest rates. Maybe for advertising to get attention.
In the end, nothing changed

 

[Done-it-again]

Fed drop did nothing to morgage interest rates. Maybe for advertising to get attention.
In the end, nothing changed

Because the fed rate is not tied to long term loans. “Mortgage rates”

 

[JL95]

New Braunfels TX is having a ton of price cuts on the zillow listings, new and old.
I keep getting emails

 

[BabyRay]

I know (or think I do) that mortgage rates are tied to bonds, and not to the Fed rate. However, it would seem there must be some indirect effect. No?

 

[OldSchoolBoats]

I know (or think I do) that mortgage rates are tied to bonds, and not to the Fed rate. However, it would seem there must be some indirect effect. No?

The effect to mortgage bonds usually comes ahead of the FEDs rate decision, as it gets priced in.

 

[shintoooo]

Had one house come up for sale three streets down from us for $1.45mil. It was on the market for a week and now it's in escrow. Nice backyard with a view and pool. Inside is livable but I would consider it a teardown. If I had to guess, I think it will close escrow over asking. We'll find out in 30 days or so.

 

[4Waters]

New Braunfels TX is having a ton of price cuts on the zillow listings, new and old.
I keep getting emails

Are you in New Braunfels

 

[Floaterboat]

I held my hat 2 years for 5%?

 

[JL95]

Are you in New Braunfels

No sadly. Have friends and family there. Keep an eye on it for daydreams

 

[attitude]

Lots of home in my area of AZ sitting on the market for at or less than what they sold for a couple years ago.

We drove through a few new build neighborhoods last weekend with tons of brand new homes ready for a buyers. The problem with new builds is they can only lower the price so much before they screw up their current buyer’s equity.

This home just sold in one of my favorite neighborhoods I have found and really hurt the comps for the other homes. If I can get a sub 3000sqf single story for under 700k I would be stoked.

https://www.zillow.com/homedetails/9350-W-Prospector-Dr-San-Tan-Valley-AZ-85142/61821488_zpid/?utm_campaign=iosappmessage&utm_medium=referral&utm_source=txtshare

 

[HNL2LHC]

The neighborhood I follow in Hawaii is certainly down about 10% in value, sitting on the market for 4-6 moths and there are 4-6 units. Last year it was the highest pricing ever, 1-2 units on the market and selling within a month or less.

 

[bentprops]

I held my hat 2 years for 5%?
View attachment 1433425

They changed it. the high in 2022 was 480. also with 10% inflation over 2 years that means houses are really down 28ish%

 

[stillhustlin]

I’m in production spec building in Northern Utah. Existing inventory is up and we have been slow on offers this last month. This year has been hot otherwise. On a side note we’re paying more than ever for land. 7-8k sqft lots in an average neighborhood are running around $275k now. We’re still buying land like crazy. To those that watch Washington County (St George and surrounding areas) new construction inventory is way up. From what I’ve heard Toll Brothers is pulling out of that market…

 

[Gonefishin5555]

Stock market Is up 40-50% since June 2022. If only we knew the future back then. If you sold a $1M house and invested the money you would be up half a million

 

[attitude]

This is the biggest layoff I’ve seen so far, 17,000….

https://www.reuters.com/business/aerospace-defense/boeing-fine-tunes-job-cuts-major-buyer-slams-777x-jet-delay-2024-10-14/

 

[attitude]

I went looking at some more new builds last weekend. When driving through the neighborhood I noticed there was already an open house. I looked it up on Zillow, the owner paid $817,00 for it in 2023, put a pool in and is now trying to sell for $875,000. The problem is his floor plan is no longer selling for anywhere near that, there is 3 of his exact same floor plans with tons of up grades for sale under $650,000. That’s a ton of cash to be out of in 1 year.

Added Zillow links in case anyone is interested.

https://www.zillow.com/homedetails/3902-W-Ruby-Way-San-Tan-Valley-AZ-85142/337490549_zpid/?utm_campaign=iosappmessage&utm_medium=referral&utm_source=txtshare

https://www.zillow.com/homedetails/3951-W-Talc-Dr-San-Tan-Valley-AZ-85144/2053004348_zpid/?utm_campaign=iosappmessage&utm_medium=referral&utm_source=txtshare

 

[Done-it-again]

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This property had an open house this past weekend, took a client of mine that was interested. There was a 20 minute line to get in. So far they have received multiple offers and are all over asking.

I'm sure you already know, but it closed for 80k over asking..... not to bad.

 

[Looking Glass]

This is the biggest layoff I’ve seen so far, 17,000….

https://www.reuters.com/business/aerospace-defense/boeing-fine-tunes-job-cuts-major-buyer-slams-777x-jet-delay-2024-10-14/

There is more than enough "Blame" to go around in this "SAD" Story.

 

[BabyRay]

This is the biggest layoff I’ve seen so far, 17,000….

https://www.reuters.com/business/aerospace-defense/boeing-fine-tunes-job-cuts-major-buyer-slams-777x-jet-delay-2024-10-14/

This layoff is the result the Boeing strike, combined with a company that has gotten too fat on the white collar side and has had several notable technical failures. It’s not an indication of anything related to the economy, except maybe greed. It’s important to note that they’ve been offered 30% pay increase over 4 years and $9500 per year in retirement contributions. The union turned it down with no counteroffer.

 

[attitude]

This layoff is the result the Boeing strike, combined with a company that has gotten too fat on the white collar side and has had several notable technical failures. It’s not an indication of anything related to the economy, except maybe greed. It’s important to note that they’ve been offered 30% pay increase over 4 years and $9500 per year in retirement contributions. The union turned it down with no counteroffer.

Well there sure has been a lot of layoffs due to companies being “too fat” this year.

No matter how you slice it, that’s still 17,000 who will need to find new jobs.

 

[cofooter]

This layoff is the result the Boeing strike, combined with a company that has gotten too fat on the white collar side and has had several notable technical failures. It’s not an indication of anything related to the economy, except maybe greed. It’s important to note that they’ve been offered 30% pay increase over 4 years and $9500 per year in retirement contributions. The union turned it down with no counteroffer.

The Union knows they got em by the short hairs and won't settle for "Fair" Boeing will be forced to eventually settle. Yet another blow to a once great American company that got complacent, sloppy and greedy themselves.......

 

[billt]

No matter how you slice it, that’s still 17,000 who will need to find new jobs.

Most of those people are usually the ones that are always looking for work. If you're good at what you do, your always working. And the company you're working for doesn't want to lose you.

 

[DRYHEAT]

Well there sure has been a lot of layoffs due to companies being “too fat” this year.

No matter how you slice it, that’s still 17,000 who will need to find new jobs.

Haven’t you heard the economy doing so well and they’re so short of workers they’re letting anybody come in.

 

[NicPaus]

Haven’t you heard the economy doing so well and they’re so short of workers they’re letting anybody come in.

I can't find anyone available to work around here. Everyone I know is busy. I could use 5 more guys.

 

[attitude]

Most of those people are usually the ones that are always looking for work. If you're good at what you do, your always working. And the company you're working for doesn't want to lose you.

So in other words, the 17,000 people being laid off are basement dwellers who do not contribute to the economy?

 

[billt]

So in other words, the 17,000 people being laid off are basement dwellers who do not contribute to the economy?

They're basically job hoppers..... Regardless of the economy. If they were that fabulous, they wouldn't be out of work. When these companies chop, they always chop at the bottom.... Dead wood first.

 

[attitude]

They're basically job hoppers..... Regardless of the economy. If they were that fabulous, they wouldn't be out of work. When these companies chop, they always chop at the bottom.... Dead wood first.

I understand what you are saying; however, that is 17,000 people who will all be looking for jobs at the same time. Those people all contribute to the economy and their ability to do so will be affected until they land a new job. That is what hurts the economy.

 

[Bobby V]

Well there sure has been a lot of layoffs due to companies being “too fat” this year.

No matter how you slice it, that’s still 17,000 who will need to find new jobs.

These layoffs are still 3 months away according to your link. Hopefully things can be worked out before then.

 

[Floaterboat]

These layoffs are still 3 months away according to your link. Hopefully things can be worked out before then.

They have to give layoff notice by law for a layoff that large per the WARN act.

 

[HNL2LHC]

They're basically job hoppers..... Regardless of the economy. If they were that fabulous, they wouldn't be out of work. When these companies chop, they always chop at the bottom.... Dead wood first.

That is interesting. I know of a few large organizations that cut out the older higher paid staff. Doing so provides the most bang for the buck. There are many ways to skin the cat OR eat the dogs as they now are doing.

 

[Bobby V]

They have to give layoff notice by law for a layoff that large per the WARN act.

60 day notice in most states.

 

[thetub]

i think as far as Kalifornia the saving grace is ADU permitting...

this saved the contractors from losing all their work ??? think it would be alot slower otherwise ??

thats my ASSessment ..