Is there a housing bubble?

[Goat poster]

Im not arguing with you over this when every study agrees with me. You prove to me with numbers and facts that the market didn’t drop in March-April 2020.

your wrong, stop.

 

[Ugo Ogugwa]

Bought my house in 2012 for 380K. Putting it on the market in a little over a week for 889K and expecting to get at least 15% over asking.

What's your address?

 

[CBSwagga]

Like all things, it'll probably drop a little, but this may be the new normal. I do see a lot of new construction going on in all the cities that I've traveled so eventually supply will match demand.

 

[DaddyFresh]

Looooolll right back. It’s not on us to prove to you that Covid affected markets. That’s common sense. It’s on you to prove that it didn’t as that’s kinda a ridiculous POV to have.

I’ll waste my time though. Here you go breh. All these charts are telling you the same thing. There was a drop in home sales, home prices and search activity in the March to April 2020 period. The drop was very short. The Fed immediately responded with guidance on low interest rates, buying treasuries, the Main Street Lending program with Congress kicking in with fiscal stimulus and the markets calmed down. This was talked about ad nauseum in the WSJ, CNBC, Bloomberg, etc. everyday. If you were a buyer in those months, and trust, there were rich people who were, there were tons of desperate sellers who got scared and sold for less.

.

Buyers also reduced their home-buying activity. Home showings per listing in the U.S. were down over 40% in April compared with the same period last year.2 Other measures of housing demand—such as online search activity, queries for agents and offers made—were also down sharply in April.3
Typically, a large decline in demand for new home sales would be accompanied by a drop in prices. However, the coronavirus turmoil in the spring did not lead to large price declines. The combination of low supply and historically low mortgage rates allowed prices to remain steady throughout April and May. Figure 2

Breh their was a shortage of homes for sale during COVID because people were scared and didn’t want people in their houses. So you’re “crackhead prices” comment was pure cap. I wasn’t looking for you to educate me but to back up your bs comment

 

[Ozymandeas]

Breh their was a shortage of homes for sake during COVID because people were scared and didn’t want people in their houses. So you’re “crackhead prices” comment was pure cap. I wasn’t looking for you to educate me but to back up your bs comment

I knew it was a waste of time talking to your uneducated ass. I posted charts from the Fed and articles from CNBC and the Wall Street Journal and you post your opinion. The anti-intellectualism on this forum is disgusting. I included a chart for median home prices dikkhead. As well as a home recovery index chart which again includes home prices which shows a dip in March and April You definitely don’t read financial news and you can’t be that much of a real estate investor because if I read the sh*t everyday for months, why the fukk didn’t you? All y’all nikkas are retarded and I’m almost just as retarded for arguing with y’all.

 

[DaddyFresh]

I knew it was a waste of time talking to your uneducated ass. I posted charts from the Fed and articles from CNBC and the Wall Street Journal and you post your opinion. The anti-intellectualism on this forum is disgusting. I included a chart for median home prices dikkhead. As well as a home recovery index chart which again includes home prices which shows a dip in March and April You definitely don’t read financial news and you can’t be that much of a real estate investor because if I read the sh*t everyday for months, why the fukk didn’t you? All y’all nikkas are retarded and I’m almost just as retarded for arguing with y’all.

Majority of the charts you posted are about sales and inventory not prices. The one chart you posted shows a very small dip and then a boom. You can’t back up your crackhead price comment so you just juelzing. But I get it you just wanted to sound cool and informed. Like I said carry on fam. I’m not arguing with someone who wants to be right no matter what

 

[Ozymandeas]

Majority of the charts you posted are about sales and inventory not prices. The one chart you posted shows a very small dip and then a boom. You can’t back up your crackhead price comment so you just juelzing. But I get it you just wanted to sound cool and informed. Like I said carry on fam. I’m not arguing with someone who wants to be right no matter what

Blah blah blah. We’re done. Stop quoting me.

 

[BLAZO da GAWD]

Sadly, this is why I'm not taking clients who don't have at least 10% to put down right now. It's a waste of time.

In short, can you explain why cash buyers or buyers who can put more cash down is more preferred? If the price is $100k for example, what does it matter to the seller if I put down $5k or $50k? The bank gonna give the seller their bread regardless, right?? Genuine question.

 

[Json]

we just put in some changes to move our neighborhood from an HOA to a POA and amend the rules to limit investment companies from buying in the neighborhood. No more than 15% of the houses can be rented now. Almost 25% of the homes are owned by investment companies in my neighborhood now!

This is what I was making a point of in taxing capital gains. These hedge fund/investment dudes have no problem sitting on multiple homes cause it’s profitable to gouge the prices of other homes in the area and the interest fees they make off the mortgages of people in one residency.

 

[HabitualChiller]

Man the housing market in DC has become even more insane. Right now there are only about 1000 3br 2ba homes up for sale in DC and them shyts are getting snapped up with the quickness. And if you thinking of getting a spot in PG within the Beltway, then you better get ready for bidding wars there as well.

On another tangent, we in an auto loan bubble as well.

Yeah, these car prices are absurd as well.

 

[Shoog Shatmi]

In short, can you explain why cash buyers or buyers who can put more cash down is more preferred? If the price is $100k for example, what does it matter to the seller if I put down $5k or $50k? The bank gonna give the seller their bread regardless, right?? Genuine question.

Quicker closing.

 

[Azul]

In short, can you explain why cash buyers or buyers who can put more cash down is more preferred? If the price is $100k for example, what does it matter to the seller if I put down $5k or $50k? The bank gonna give the seller their bread regardless, right?? Genuine question.

You're right.

However, other than a quicker closing, the general perception is there is less risk of not closing.

For example, there are certain inspection requirements with FHA. If there is peeling paint anywhere, they will refuse to lend until it is taken care of. Sellers who don't wish to fix anything are going to avoid that.

The less you're putting down, the stricter the bank will be about appraisal.

 

[Mr Hate Coffee]

Closed on a new house a month ago. The market is fukking crazy although still okay in Atlanta. Just not a lot of inventory. shyt is ridiculous in places like Seattle and Denver tho.

We decided to keep our old house but could sell it right now for a nice little profit. The problem with most people wanting to sell for profit is that you need to find somewhere to live. And anywhere you want to move to is inflated as well.

 

[Mr Hate Coffee]

Bought my house in 2012 for 380K. Putting it on the market in a little over a week for 889K and expecting to get at least 15% over asking.

where are you moving to?

 

[Hoshi_Toshi]

Man I just lost 3 houses. I’m about to take a break on this shyt for a while. The realtor called me back saying “they got an offer for 15k more, do you want to go up on that?”

hell nah, these 1500 sq ft homes out here getting snatched up