Real Estate Crash thread

[XXX-er]

I get my house insurance thru the local credit union so they must have at least half the town for clients and my ski bud was head of the board so no problems that I have heard about and you would in the small town

[Toadman]

Got to think that at some point that >7% interest rates are going to have a substantial impact on the housing market.

The average daily mortgage rate this week surpassed 7.4%, the highest level since last November, after a hotter-than-expected inflation report and the Fed’s confirmation that interest-rate cuts will be delayed. Home prices are rising, too: The median U.S. home-sale price increased 5% from a year earlier during the four weeks ending April 14, bringing it to $380,250—just $3,095 shy of June 2022’s all-time high. The combination of high mortgage rates and prices have brought homebuyers’ median monthly housing payment to a record $2,775, up 11% year over year.

There are signals that buyers are out there touring homes despite rising rates. Mortgage-purchase applications are up 5% week over week, and Redfin’s Homebuyer Demand Index–a measure of requests for tours and other buying services from Redfin agents–is near its highest level in seven months. Chen Zhao, Redfin’s economic research lead, said some house hunters are hoping to buy now because they’re concerned rates could rise more, and others have grown accustomed to elevated rates and pushed down their home-price budget accordingly.

[Kevo]

^My parents' bought in fall of 2021 at 2.625% APR.

As of this month, houses on their street are selling for +25% of 2021 prices in a couple days. There is limited supply in their neighborhood and people are jumping all over everything that comes on the market.

[liv2ski]

Everything I read indicates if the home is reasonably priced, so what's that 700,000 or less, it sells and often very quickly.

[Mazderati]

Tacking an extra $50 or 100k onto the asking price doesn't seem to be any deterrence.

[Name Redacted]

RE friends around here are saying things are slowing down quite a bit. Definitely a microcosm resort town, but yeah, it is happening and we are usually pretty insulated from major downturns.

[smmokan]

Going back to the HO insurance discussion... our policy with Nationwide recently came up for renewal, a simple email with the policy PDF. No mention that they were jacking the premium up from ~$3k to $4k a year. WTF? Luckily I caught it a couple weeks before the renewal date.

I shopped around and everyone came in between $2-2.5k for better coverage (we live outside of Boulder), so we switched providers immediately. Our agent bitched about us not being loyal, but geez.

[mcski]

Not being loyal? GTFO, wow. Some of these agents can’t do anything but cash checks.

I like our insurer but really don’t like the agent that took over the biz from our previous one. How hard is it to switch agents without fucking around w the policy?

[dan_pdx]

Uneducated question: what do insurance agents do? Allstate more than doubled our premiums and I switched to USAA 100% online, where would the agent come in?

[SKIP IN7RO]

Uneducated question: what do insurance agents do? Allstate more than doubled our premiums and I switched to USAA 100% online, where would the agent come in?

They bask in the glory of their own farts.

[BmillsSkier]

Our agent bitched about us not being loyal, but geez.

Loyal? To the $298 billion insurance company?

My heart bleeds.

[dan_pdx]

They bask in the glory of their own farts.

Good to know, I thought silicon valley had a monopoly on that

[Foggy_Goggles]

Work the cocktail party circut, have all the good tee times on lock, guilt trip their friends into doing business then sell the agency and retire early?

You think your old guy sucked? Wait until the new guy calls and you tell him you were looking for a reason to switch and this looks just right!

Ski Town Real Estate - your agent friends are back from MX already? They must be new. This time of year you pay the young and hungry to sit at the open houses and go heavy on the pinot until Memorial Day.

Sent from my Turbo 850 Flatbrimed Highhorse

[SKIP IN7RO]

Ski Town Real Estate - your agent friends are back from MX already? They must be new. This time of year you pay the young and hungry to sit at the open houses and go heavy on the pinot until Memorial Day.

disfrutando de la gloria de sus propios pedos

[smmokan]

Not being loyal? GTFO, wow. Some of these agents can’t do anything but cash checks.

I like our insurer but really don’t like the agent that took over the biz from our previous one. How hard is it to switch agents without fucking around w the policy?

Yep. He was working so hard he didn’t even bother to try and match the rate I found on my own with 15 minutes of searching.

Btw, Nationwide makes it a total PITA to cancel their plan, since they won’t take your phone call and you can’t do it online.

[Danno]

Btw, Nationwide makes it a total PITA to cancel their plan, since they won’t take your phone call and you can’t do it online.

the agent can't do that? lol

[Toadman]

Yep. He was working so hard he didn’t even bother to try and match the rate I found on my own with 15 minutes of searching.

Btw, Nationwide makes it a total PITA to cancel their plan, since they won’t take your phone call and you can’t do it online.

What if you simply just stopped paying?

[Foggy_Goggles]

Most likely it is in the escrow. The servicer/lender wouldn't like that.

Sent from my Turbo 850 Flatbrimed Highhorse

[smmokan]

the agent can't do that? lol

He can, but he was being a little bitch about me not being “loyal” so I tried to not involve him.

And FG is right, it’s paid directly through our mortgage company.

[yeahman]

Probably losing a good share of his "book" (I think that's what insurance agents call it) because of the rate increase. Not your fault, move on.

[neufox47]

Loyal? To the $298 billion insurance company?

My heart bleeds.

No loyal to the agent. He was collecting a yearly fee on that renewal, that was very rude…

As far as what they do, they advise you on the policies and coverage you should take out and then are supposed to help you with the claim process.

While many agents do fight for their policy holders, they are Agents of the insurance company.

Careful though Smokkan, all policies with the same limits are not equal. I know you said it’s better but not sure how you define better - pay attention to both the limits and the coverage. It is somewhat complex (or at least lengthy and tedious) and part of why agents exist.

Also who the carrier is matters. Some pay a lot easier and are much better to deal with than others.