Housing Rolling Along 2

[S2007S]

Still waiting...

Hey a 5-6% mortgage rate will be considered extreme.when most were buying houses as of recently under 3.5%

 

[S2007S]

Stagflation is the fear of housing owners.
Not to say I know what to do.

I am about to lease a 3500 sq foot house in a good neighborhood in San Diego with an ocean view. The rent is a little below market but we were apparently the only applicants with great credit.

I am conflicted because I probably have enough to stretch and buy the house that I probably need for a family of some to be four kids.

Do I think that the banks can keep interest rates low for years. Or do I think the coming high interest rates and the future collapse of the commerical market will take prices down another big leg.

I have a feeling I will sign the lease on Monday. I would be pretty pissed at myself if I lost more money owning real estate.

I will say this this real estate market was not good for my equity but it has been great for my business.

Real estate has gone too far, the next collapse happens in real estate. The run is about to end as it always does. So kick back and wait for it to unwind and get back in. The drop is going to be pretty significant

 

[Amun Ra]

Real estate has gone too far, the next collapse happens in real estate. The run is about to end as it always does. So kick back and wait for it to unwind and get back in. The drop is going to be pretty significant

I really don't see real estate collapsing anytime soon. Everyone that has bought in the last year has a ton of equity. This is nothing like 2008. I believe real estate will stay flat as a worst case scenario.

 

[Covertibility]

Only goes one direction. Buy the dip.

 

[Nine_Ender]

Only goes one direction. Buy the dip.

S2007S would rather rent or live in a crappy small place because of the "next collapse". I don't know why he says the run will end "as it always does" that's not true at all here in Toronto the last correction was maybe 1992. Can you imagine someone renting 30 years waiting ? And the easy gains for owners with low risk as long as they aren't overly leveraged.