Only fools buying into the hype of the skyrocketing housing market

S

S2007S

Because rents weren't high enough already first time house buyers must be paying lots of money to outbid their rivals and those who own already and selling for top dollar i hope they are buying in areas where housing prices aren't getting bids 15%, 20 %%25%% 30% higher. Sell high buy high.



Over three days in late July, a three-bedroom house in East Orange, N.J., was listed for sale for $285,000, had 97 showings, received 24 offers and went under contract for 21 percent over that price.

On Long Island, six people made offers on a $499,000 house in Valley Stream without seeing it in person after it was shown on a Facebook Live video. In the Hudson Valley, a nearly three-acre property with a pool listed for $985,000 received four all-cash bids within a day of having 14 showings.

Since the pandemic began, the suburbs around New York City, from New Jersey to Westchester County to Connecticut to Long Island, have been experiencing enormous demand for homes of all prices, a surge that is unlike any in recent memory, according to officials, real estate agents and residents.





https://www.nytimes.com/2020/08/30/nyregion/nyc-suburbs-housing-demand.html
 
Last edited:
https://www.cnbc.com/2020/08/28/improvement-in-coronavirus-mortgage-bailout-stalls.html

Improvement in coronavirus mortgage bailout stalls, as more borrowers struggle to make payments
  • As of Aug. 25, 3.9 million homeowners were in mortgage forbearance programs, according to Black Knight, a mortgage technology and analytics firm.
  • This represents 7.4% of all active mortgages and is unchanged from the week before.
  • A reduction of 23,000 borrowers in Fannie Mae and Freddie Mac forbearances was almost entirely offset by a 10,000-borrower increase in FHA forbearances and a 12,000 increase among bank-held and private-label loans.
 
https://www.bloomberg.com/amp/news/...property-prices-fall-and-worst-is-yet-to-come

U.S. Commercial-Property Prices Fall With Worst Yet to Come

U.S. commercial real estate prices are falling as the economic toll of the Covid-19 pandemic worsens -- and the decline is just getting started.

Indexes for office, retail and lodging properties all slipped year-over-year in July, data from industry tracker Real Capital Analytics Inc. show. Transaction volume plummeted to $14 billion across all sectors, down 69% from July 2019.

“The worst is yet to come,” Real Capital Senior Vice President Jim Costello said in a telephone interview. “We’re not seeing the fallout yet of owners selling properties and taking a loss.”

Commercial real estate deals have been in a deep freeze as lenders give borrowers slack to defer payments and landlords are reluctant to drop asking prices. That may change in the next few months as debts mount and the outlook dims for retail, hotel, office and even apartment properties that already suffered from oversupply before the pandemic hammered the U.S. economy.

“I wouldn’t be surprised if we start to see some of it start to break in September or October,” Costello said.


Hotel prices dropped 4.4% in the year through July, while retail declined 2.8% and offices fell 0.9%, according to Real Capital. Apartment building prices climbed 6.9%, and industrial values rose 8.3%, leading to a 1.5% gain for all property types in the period.

On a monthly basis, industrial prices jumped 0.9% from June, while apartments gained 0.2% and other sectors fell.

The last time office prices slipped year-over-year before the pandemic was January 2011. In central business districts of cities such as New York, San Francisco and Boston, prices started recovering from the Great Recession in the fourth quarter of 2010.
 
S2007S said:
Because rents weren't high enough already first time house buyers must be paying lots of money to outbid their rivals and those who own already and selling for top dollar i hope they are buying in areas where housing prices aren't getting bids 15%, 20 %%25%% 30% higher. Sell high buy high.



Over three days in late July, a three-bedroom house in East Orange, N.J., was listed for sale for $285,000, had 97 showings, received 24 offers and went under contract for 21 percent over that price.

On Long Island, six people made offers on a $499,000 house in Valley Stream without seeing it in person after it was shown on a Facebook Live video. In the Hudson Valley, a nearly three-acre property with a pool listed for $985,000 received four all-cash bids within a day of having 14 showings.

Since the pandemic began, the suburbs around New York City, from New Jersey to Westchester County to Connecticut to Long Island, have been experiencing enormous demand for homes of all prices, a surge that is unlike any in recent memory, according to officials, real estate agents and residents.





https://www.nytimes.com/2020/08/30/nyregion/nyc-suburbs-housing-demand.html
More...
I have a rentals in Pismo Beach, California which I get thirty realtors a month asking me to sell every month. The realtors in Boise and Bend Oregon do the same. These Markets are nuts, Chinese investors want my Pismo home which I will not sell. There is a massive shortage, don’t count real estate out yet.
 
I have couple properties and thankfully got rid of all of nearly 4 years ago. Going to wait few years and see how low is low when inflation hits high levels. Someone has to pay for all the free money.
 
At some point in time you’ll create a hyperbolic thread about the price of isopropyl alcohol.

S2007S said:
Because rents weren't high enough already first time house buyers must be paying lots of money to outbid their rivals and those who own already and selling for top dollar i hope they are buying in areas where housing prices aren't getting bids 15%, 20 %%25%% 30% higher. Sell high buy high.



Over three days in late July, a three-bedroom house in East Orange, N.J., was listed for sale for $285,000, had 97 showings, received 24 offers and went under contract for 21 percent over that price.

On Long Island, six people made offers on a $499,000 house in Valley Stream without seeing it in person after it was shown on a Facebook Live video. In the Hudson Valley, a nearly three-acre property with a pool listed for $985,000 received four all-cash bids within a day of having 14 showings.

Since the pandemic began, the suburbs around New York City, from New Jersey to Westchester County to Connecticut to Long Island, have been experiencing enormous demand for homes of all prices, a surge that is unlike any in recent memory, according to officials, real estate agents and residents.





https://www.nytimes.com/2020/08/30/nyregion/nyc-suburbs-housing-demand.html
More...
 
You must log in or register to reply here.
Back
Top