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From what I've been hearing, bidding wars are still quite common in areas that might be considered less desireable, like Cleveland. But they're less common in places like Seattle and Boise that were hotbeds recently.Quote:
Originally Posted by jackstraw
The Boise housing market is in freefall. It's down more than 20% since peaking last year, but I'd guess it still has a long, long way to fall.
5 offers on this house last week:
https://www.zillow.com/homedetails/1...51278831_zpid/
I don't find that too surprising. Yard could sure use some trees but it's a pretty nice place. It says there's an offer pending, do you know how much it's for?
The 'Starter home' now starts at a million. It's the new $250,000
It's almost 6100 square feet, in the city proper, with decent finishes, not horribly ugly, shouldn't need anything major, that's a pretty nice starter home. Yard kinda sucks but less to mow.
well I guess this supports what Goldenboy's been hearing.Quote:
Originally Posted by sirbumpsalot
Some kids start on third base.
don’t fear sir, we have a financial product for thatQuote:
Originally Posted by rideit
feature not a bug
Turn key is huge in today’s market and is only growing in importance. That house was priced right and is super clean.Quote:
Originally Posted by sirbumpsalot
This one is around the corner, overpriced, and has been sitting nearly 3 months.
https://www.zillow.com/homedetails/1...ource=txtshare
Carries a Portland address, but not actually Portland proper. This is Washington County suburbs at the western bottom of the West Hills. Didn't want to pry on price, but I think its the buyers 4th or 5th house.Quote:
Originally Posted by ötzi
Just wanted to show that there seems to a early pick up in the demand around here. Maybe it won't be on price movement, but at least volumes won't be dead. Money is abound and those thinking there will be a 50% drop where they can swoop in and "steal" some housing might end up disappointed. We shall see.
Thats not a starter home. Starter home around here would be a townhome for $500K. There are older homes in that same subdivision that would qualify as a starter home in the 2200sqft range detached for $700,000, but yeah...$700,000 is the new $250,000 as you say.Quote:
Originally Posted by rideit
Sadly, starter homes in San Diego also average $700k. That is 6 times more than our first home but wages sure have not gone up 6 times for most anyone.
I think that's the lot size. House is a bit over 3K sq ft.Quote:
Originally Posted by ötzi
These overpriced houses are a joke and then top off with an HOA fee.
And I'm part of the problem. We just threw a number at a house knowing they had two offers over asking. We had the high bid (I believe) and the seller decided to put it back out (counter offers amongst the 3 bidders) starting 5k above our offer. Thats why we assumed we had the high number. I said fuck off and so did the other 2 on the counter. One guy stayed with his original offer and may end up with it, but they lost my offer and the other guys. We completely withdrew.
Kevo, Bloomberg agrees with you...
“Marry the house, date the rate.” That’s the advice realtors and mortgage lenders are giving worried homebuyers as mortgage rates reapproach the two-decade high of 7% reached in November. In other words, don’t be afraid to commit to the house you love, because you can just refinance when rates come down in the next couple of years.
But frankly, it’s bad advice. New homeowners may come to find they’re in a longer-term relationship with today’s rate than they expected.
https://www.bloomberg.com/opinion/ar...on-a-refinance
Without a serious correction in Real Estate prices OR significant wage gains across the board, how does one even afford their first house?Quote:
Originally Posted by rideit
Yeah yeah, mortgages approached 20% the last time we had unchecked inflation back in the early 80's, but the average home was also under $100K.
Our kids are all fucked.
Lower their standards and start with this:Quote:
Originally Posted by Percy Rideout
https://www.zillow.com/homedetails/1...79898776_zpid/
Half a mil to live in Beaverton? Pass.
Glad to see an article counter to the endless stream of "home prices only go up, now is a great time to buy" nonsense that has been promoted across every media outlet for the past 3 years.Quote:
Originally Posted by liv2ski
This country (and most of the developed world) is quickly headed down a path to neo-feudalism. The average person in need of a starter home won't ever be able to afford said home. The above average person in need of a starter home also won't ever be able to afford said home. Most of gen Z will be renting forever.Quote:
Originally Posted by Percy Rideout
Median home price in the US is $476K. Average new car in the US is $47k. Median household income is $71K. Average cost of childcare per child is more than $10k per child per year.
The federal reserve does a pretty shitty job of measuring and controlling consumption inflation, and does literally nothing to control for asset inflation.
Asset prices have soared beyond the grasp of most wage earners. The average person (especially the average young person looking to gain access to property) is fucked, and their quality of life is going to continue to become measurably worse over time as all the capital pumped into the system seeks to maximize returns across every facet of life.
Maybe people should stop having so many kids...
Here you go....something for everyone! Good luck!Quote:
Originally Posted by Supermoon
https://www.zillow.com/homedetails/1...53862247_zpid/
Yeah, the Fed clearly doesn't understand the new economy where jobs and inflation aren't tied together. Their only tool is the rate, and driving rates up has really done nothing to counter inflation, so why they continue to drive rates up, which costs jobs, hurts buyers, etc, is beyond me. Maybe they should just sit this one out and let someone else tank the economy for once.
It also feels like lots of boomers, talking heads, and rich muckity mucks are rooting for a downturn, knowing they will be safe from it. I saw the CEO of some big company saying that if he didn't listen to CNBC he wouldn't think there was a recession coming because all of the actual numbers are holding strong. Same sentiment in this thread. Lots of talk about how there has to be a crash soon, even though I don't think there is really any evidence of it, just a shrinking of supply and a slowing down of the price increases.
That's a much better value, IMO. Detached, two car garage and a yard in the heart of Portland. Neighborhoods are a bit hit of miss in that area, but depending on the street it could be sweet.Quote:
Originally Posted by sirbumpsalot
Everyone has different tastes, desires, and value.Quote:
Originally Posted by Supermoon
Can we all just agree the real estate turns everyone into a complete cunt and move on to the next argument?
Yeah, not doubt. Not having kids, so not worrying about schools, sports, etc. certainly makes it easier to live closer in.Quote:
Originally Posted by sirbumpsalot
I mean, I think they do, but they also recognize that they can't rely on Congress to act in any rational way on a consistent basis. Corp leadership want a downturn to keep wages suppressed as they're being forced to open their pocketbooks repeatedly, especially for high demand areas like tech folks.Quote:
Originally Posted by Supermoon
Rate increases haven't countered inflation because real rates are still strongly negative. FFR needs to be greater than CPI to stop inflation. This has been known for generations and the fed is absolutely dropping the ball this time around.Quote:
Originally Posted by Supermoon
And a $8600 annual tax in 2021. So about 9k+ now. Ouch.Quote:
Originally Posted by jackstraw
Unless It's standard for Portland? Never really looked.
Unless we buy them houses ahead of time just like we save for college. That's what I'm doing (with my middle class lifestyle). Only one kid though.Quote:
Originally Posted by yeahman
Being poor is gonna suck more than ever.
Pretty nice place actually. Even with the HOA and fairly high taxes.Quote:
Originally Posted by sirbumpsalot
At least until the Boomers die off in significant numbers. Anecdotally, a older couple had bought a lot near us, and then got word that one of the couple was diagnosed with some serious illness and put the lot back on the market.Quote:
Originally Posted by yeahman
Kinda risky buying a house with such high rates and crossing the fingers that the rates will start to come down to a level where folks won't be stressed with the monthly mortgage payments.
Varies wildly from neighborhood to neighborhood and even street to street. Had a weird CA-Prop-13 like standard made in 1995 and it general rises 3% a year from that...but like all good governments they find ways around that rule.Quote:
Originally Posted by Mani_UT
In general its ~1% +/- some variance. People in the Portland West Hills are more like 1.5+%.
You should see the income taxes!
Yeah sitting this out want buy but not paying 500k for a shit hoke in a location with zero local economic growth or potential for good jobs or tourist industry makes no sense
One house 500k in a flood plain no interior photos outside is a wreck no water rights.
When the economic downturn catches up the good part is we will be able to force major systematic changes such as anti trust laws cutting govt spending balanced budgets tax reform tax tge rich single payer health care since hospitals are so bloated they are going under you know the basic shit that is fucking us up
Thanks. Quite familiar with the income tax living in Oregon (Hood River).Quote:
Originally Posted by sirbumpsalot
1.5% of property value would be insane. I definitely like the +3% max increase rule. I think it keeps neighborhoods from getting levelled and old houses getting replaced by macmansions as it would reset the tax level. My property tax on primary home is ~ 0.3% of value (old home).
Okay, maybe we can help our kids. Especially if we cash in on the ridiculous value increase of our own houses. But this doesn't solve the problem of having a country where a huge percentage of the populace, i.e. those without generational wealth, have zero hope of ever owning a house. It didn't used to be this way, not that long ago.Quote:
Originally Posted by Mani_UT
Something has to give.
Wow thats awesome! Its not like CA prop 13 in that the value resets everytime it changes hands or someone rebuilds....you build a new house it conforms to taxes for that neighborhood/street.Quote:
Originally Posted by Mani_UT
Home ownership has been in the 60%+ range for 70 years now despite all the twists and turns. I have high hopes for the next generation to figure it out like the rest of us and our parents and grandparents did. People are fairly resilient and pragmatic.Quote:
Originally Posted by yeahman
Starting pay at Target is now $24 an hour, nationally. Starbucks is $15. Jobless rates are ridiculously low. And with boomers soon dying, that will only continue. There's plenty of starter homes in the Tacoma area in the 350-400k range. The only reason housing seems so unaffordable in the US is because we insist on living sprawled out in giant, brand new homes, unlike the rest of the world.
If you really want to help your kid, get a rental property. When you die, and they inherit, they will get the home at a stepped up basis and can sell without any capital gains tax. You can do a cash out refinance on your primary home to get the money to purchase the rental property, and then the interest on the loan can be deducted from your rental income.