The housing market crisis in America
[QUOTE='ryanator]Where do you think things are headed?
[/QUOTE]Recession as I have said. Housing and retail are seeing demand destruction first, as the fed wanted by rate hikes. Just getting started though, some locations haven't seen it yet but those areas are indeed cooling in even the hottest markets (Austin, Florida, Idaho) as it relates to housing. The problem is, they have to walk the tight rope to cool things off by raising rates and not causing a super deep recession/stagflation. I can see how people would be skeptics due to Powell's recent blunders.
Inflation is sticky though and takes awhile to overcome once it gets entrenched in the system. Nothing that the country hasn't dealt with before however. Call me an optimist. I do not think this administration has what it takes to accomplish anything positive so it will take awhile.
[/QUOTE]Recession as I have said. Housing and retail are seeing demand destruction first, as the fed wanted by rate hikes. Just getting started though, some locations haven't seen it yet but those areas are indeed cooling in even the hottest markets (Austin, Florida, Idaho) as it relates to housing. The problem is, they have to walk the tight rope to cool things off by raising rates and not causing a super deep recession/stagflation. I can see how people would be skeptics due to Powell's recent blunders.
Inflation is sticky though and takes awhile to overcome once it gets entrenched in the system. Nothing that the country hasn't dealt with before however. Call me an optimist. I do not think this administration has what it takes to accomplish anything positive so it will take awhile.
I talked to a home builder on the phone today and had an interesting conversation with him. He said a lot of the smaller home builders are starting to back out now because of the economy, but he said the real big homes are wanting to be built more and more. The mansions. He said he is losing smaller jobs but gaining more expensive builds since are the rich folks are moving here, but the smaller Guys are scarred of inflation. Middle class is dead.
[QUOTE='nodle]I talked to a home builder on the phone today and had an interesting conversation with him. He said a lot of the smaller home builders are starting to back out now because of the economy, but he said the real big homes are wanting to be built more and more. The mansions. He said he is losing smaller jobs but gaining more expensive builds since are the rich folks are moving here, but the smaller Guys are scarred of inflation. Middle class is dead.
[/QUOTE]Kind of reminds me of the stock market. The rich are still going to be in. They'll snatch up houses on the cheap for rentals and they'll buy discounted stocks.
[/QUOTE]Kind of reminds me of the stock market. The rich are still going to be in. They'll snatch up houses on the cheap for rentals and they'll buy discounted stocks.
I talked to a realtor of our main real estate company in town today. I asked her if there was any slowdown in area and she said no, she said she can’t keep track and they are desperate to hire more agents because they can’t keep up. I asked if the interest rates affected it, and she thought there would be at first, but she said there hasn’t been any slow down. Then she asked if I wanted ton get my real estate license and become and agent. Lol
[QUOTE='nodle]I talked to a realtor of our main real estate company in town today. I asked her if there was any slowdown in area and she said no, she said she can’t keep track and they are desperate to hire more agents because they can’t keep up. I asked if the interest rates affected it, and she thought there would be at first, but she said there hasn’t been any slow down. Then she asked if I wanted ton get my real estate license and become and agent. Lol
[/QUOTE]My real estate friends in town here say the same thing too, not slowing down any. But I wonder why then, there are plenty of homes having to do price cuts. I see them on Zillow here, and also in your town. That wasn't happening during the real hot time. So I believe the housing market is mostly fine, things are still moving. But no slowdown whatsoever? I don't believe it. I do believe they are plenty busy though. Those people are busy on nights and weekends, all hours of the day.
[/QUOTE]My real estate friends in town here say the same thing too, not slowing down any. But I wonder why then, there are plenty of homes having to do price cuts. I see them on Zillow here, and also in your town. That wasn't happening during the real hot time. So I believe the housing market is mostly fine, things are still moving. But no slowdown whatsoever? I don't believe it. I do believe they are plenty busy though. Those people are busy on nights and weekends, all hours of the day.
Do you think people maybe just don’t care and are still pushing forward? I think people aren’t as cautious as they once we’re back in the day. I mean the first recession people had been through world wars and might had been more cautious back then. I think the new generations have had it so easy that they think they are indestructible. I think they think this will all just pass and they will skip it. Who knows?
So, my boss is friends with the other big realtor in town here and I told him what I posted above. He asked her the same thing. She told him that the time to sell is taking longer, but they are still selling like hotcakes. It used to be you list and you sold the same day, now she says it may take up to a week (still not that long if you ask me).