woodguru

I wrote something awhile back that I thought indicated changing attitudes about real estate that I think spells out a turn in the real estate market and economy.

A year and a half ago there were far more buyers than houses for them to buy, when a house was put on the market multiple offers would come in and it would sell in a week or two. I noticed a couple of months ago that I had seen several people looking at our rental apartment that were well qualified home buyers, but they were going to rent and wait for the housing market to drop, that prices are too high for what can be had.

Now there are areas that have real estate signs showing up on as many as every fifth or sixth house. Two years ago three houses sold in our road of 11 houses for more than asking price, the one that sold last year across from me went for almost a hundred grand less than the person was asking for it.

We can expect interest rates to go up, which decreases the amount people can borrow, that slows the growth of prices. Options are to make loans easier to get by loosening qualifications, which creates a hard loan interest rate increase. That creates the same dynamics that led to the crash of 2007/2008.

The stock market has not displayed the solid stability and growth it had before Trump took office, it is a touchy market. Gas prices are heading up due to oil prices, that starts making everything else go up. Trump's deficit is going to be over a Trillion dollars next year, and the tax liabilities go up every year to add to that.

We've been through this just 10 years ago, I think the stock market is so nervous and unstable that it will be dangerous before the election, and now Trump is talking shutdown like it's no big deal.

Super Dave Loc: Realville, USA

Never take economic advice from a Socialist.

woodguru

You take economic advice from whoever gives good advice. I was not giving advice here, only pointing out indicators. It was a better real estate market a year and a half ago than is now. Look and it's easy to see, you cannot argue that a year or so ago houses were not as available to buyers, they were selling for over asking price in a week or two. That is what you call facts, they can't be changed.

The real estate market is slow for sellers right now, the same dynamics that has sellers trying to cash in on high prices are the same dynamics that smart buyers see who feel asking prices are too high. Anyone who buys in this market is going to have a house that they have too much money in when the economy takes a downturn.

I bought a bank owned house with a rental apartment on it six years ago, the guy who lost it had an $860 loan on it, I got it at auction for $210k. It is worth close to $800k in today's market. My advice isn't so bad, I told people to buy foreclosed homes seven years ago, everybody who did has doubled or tripled their money. I would not advise buying a home in this market unless you want to be stuck with it for long term, the economy is very shaky right now.

Super Dave Loc: Realville, USA

Taking economics advice from a Socialist is like taking healthcare advice from a crackhead.

woodguru

Try hiring a greedy republican financial adviser to manage your investments and that is a mistake, the only one that will have made money when the market adjusts will be him.

Super Dave Loc: Realville, USA

You should go to the IRS and find your Socialist financial advisor.

ghostgotcha Loc: The Florida swamps

Woodguru; You are living in la-la land. (or stupid as hell)
The reason there are more "House for sale" signs in your area is the market has improved to the point where existing owners can make money again on the selling price and or their income is allowing them to move up. Until Trump got elected real estate was in free fall and new housing had collapsed.
The reason the job market is at zero employment is due to the fact that there are more jobs available than available employees to fill those jobs.
Hell man. In our area most every business has "help wanted" signs in the windows and in their yards and even McDonalds is offering $15.00 an hour.
You must quit listening to MSNBC and CNN and just think for a change.

woodguru

Prior to Trump being elected homes that were being listed were selling for more than was being asked for them in a week or two, there were too few homes for sale

Super Dave Loc: Realville, USA

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