A Grim Warning to Home Buyers (It's Getting Worse)

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Ken and Danille McElroy discuss the current economic landscape related to the skyrocketing US home prices and the worsening supply and demand crisis. Learn why the housing market is becoming increasingly challenging for buyers.
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Опубликовано:

23 июн 2024

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Комментарии : 309

@okaydamian 3 дня назад

People will have to accept reality that we won't ever return to 3%. If sellers must sell, home prices will have to decline, and lower evaluations will follow. I now look towards the stock market to fuel my millionaire goal. Sure I'm not alone in my chain of thoughts.

@Charlesman_T 3 дня назад

U.S. stocks have historically been the best investment. Treat it like real estate, don't panic sell and impulse buy.

@LupeBaptista 3 дня назад

I like both. But in my experience, most of the millionaires that I know have gained their wealth through diversified investments and they all had a sort of advisor helping out with informed decisions.

@fromthebirchwood 3 дня назад

Agreed, advisors are the ideal reps for investing jobs, and straight up! that's how I’ve stayed afloat for 5 years now, accruing nearly $1m in ROI, after 100s of thousands invested. IMO, home prices will need to fall at least 40% before the market normalizes.

@MAanderson153 3 дня назад

@@fromthebirchwood real estate prices exploded, interest rates exploded, but my wage the same, i'm screwed! who is your advisor please, if you dont mind me asking? in dire need of proper asset allocation

@fromthebirchwood 3 дня назад

She goes by ‘’KAREN LYNNE CHESS’’ I suggest you look her up. To be honest, I almost didn't buy the idea of letting someone handle growing my finance, but so glad I did.

@apple1231230 4 дня назад

Crashing in Nashville. Inventory is skyrocketing at record rates, price cuts are skyrocketing, sales volume has plummeted, and delisting are skyrocketing. Finally, according to the MLS in Davidson count (I’m a realtor) price per square foot sold has dropped about 10% from 2022 highs. Looks like we’re maybe 1/3 to 1/4 into this 2-3 season crash before we trough at I’m guessing 20-30% lower than we are now. It will be a great opportunity for buyers as I’m sure interest rates will have lowered to 4.5-5.5% by then. Not sure if we’ll have a full blown recession, but I imagine at least one weak year after the election either way it goes. I’ve got a lot of money saved and actually could’ve bought a house for over a year now but I wouldn’t touch the market with a 6 foot pole. The bubbles just beginning to pop and I’d rather not economically ruin my life by buying such an inflated asset right now.

@nickvolz4442 4 дня назад

Sounds like another form of 2008.

@waltersobchak7759 3 дня назад

Crashing in Texas too. Don’t listen to these false numbers. When the only homes selling are 1+ million dollars the average is going to rise. I’m seeing price drops every single day and Fort Worth is back to highest inventory in 10 years.

@5harkbyte460 3 дня назад

@@KennyCronin-wq8xq The economy will trend in the direction of its favor, regardless of who is elected. Moreover, this genie is already out of the bottle.

@02nupe 3 дня назад

It’s correcting at most , it’s definitely not crashing. This is not 2008 by any means.

@ajchafetz1460 3 дня назад

No guarantee that rates come down that low. We could be entering a new era of higher inflation expectations. 10 yr could easily climb from here and keep us in the 7-8 range for next couple of years. Not the base case, but could happen.

@TaggeGust 2 дня назад

I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Charlotte Miller.

@jadewashington7 2 дня назад

I'm surprised that you just mentioned and recommended Charlotte Miller, I met her at a conference in 2018 and we have been working together ever since.

@mikesnoek 2 дня назад

She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states

@vietjhon 2 дня назад

The very first time we tried, we invested $1000 and after a week, we received $5500. That really helped us a lot to pay up our bills.

@zaza0230 2 дня назад

I'm new at this, please how can I reach her?

@KenistonKist 2 дня назад

I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills

@jasonfuller1001 4 дня назад

Home prices are not hitting record highs. The average home selling price is showing increases because of the $1M+ home sales. Only rich people are buying houses right now. Here's how an average gets screwed up. 100 guys drinking in a bar. Warren Buffet walks in. On average, the bar is now filled with millionaires. The truth, there is one billionaire and 100 regular dudes.

@michaelm1573 4 дня назад

Say what you want but you can't get three bedroom two bath dump in Broward county for less than $400,000... And if you don't want it to have to have anything done to it you're looking at $550k

@noname-mm9of 4 дня назад

Thanks for explaining to the world how greed and money works

@passiveaction 4 дня назад

Yeah warren buffet comes in with an entourage buys 70% of the drinks, the bar is out of drinks so sells drinks 30% higher

@michaelm1573 4 дня назад

@@AshkanAbedian-qg2ni you grossly misunderstood me.

@jasonfuller1001 3 дня назад

@@passiveaction But, on average, everyone is still a millionaire. 😆

@MA-id1hr 4 дня назад

This is all by design. And I won't participate even in speculating. This is all intentional.

@frankmarsh1159 4 дня назад

Careful, your tin foil hat is slipping.

@hp7639 4 дня назад

you are right. Black rock buying up is the clear indicator.

@Bankerguy 3 дня назад

Which market? Which housing sector? There’s like 500+ markets and there not all the same.

@xpicklepie 4 дня назад

Back in 2011, I saw the low rates and bought some rent houses just to get the mortgages. I didn't even graduate H.S. and even a dummy like me could see it. The banks were barely in business in the wake of the mortgage debacle, but if you could meet the air-tight standards to qualify for a purchase, it was shooting fish in a barrel. To say that it's worked out well is more than an understatement. So many people were asleep!

@jdmjdm2094 4 дня назад

Same, I bought a place for $100,000 in 2012 and sold it in 2016 for $215,000. Wish I could have bought more.

@edwardsanchez3708 3 дня назад

Stop acting like your Dustin Hoffman In the rain man and your playing realestate like he plays/counts cards 😂

@besnkinic 3 дня назад

2021-2022 are the polar opposite of 2011-2012. neither of those eras will repeat again, and whatever strategy or mindset paid off then would not apply moving forward

@xpicklepie 3 дня назад

@@besnkinic Yup. I haven't bought a cash-flowing deal since 2015. The window closed then and it's now bolted shut for at least a generation.

@joshfgfg 3 дня назад

@@xpicklepieopposite for me. It was difficult to make yields (Cap rates) work in the uk in the 2010s as rents had barely risen. Then they jumped up and now, property works even with higher rates. Plus the future looks brighter now for capital growth than it did in 2016 (rates were already rock bottom then).

@artisanguild8997 4 дня назад

In our area, it’s really high interest rates, home prices, and consumer concerns on the economy. , not supply of housing. There are so many homes that are in the market for months and have to reduce their price now to at least garner attention

@ericmartin70287 4 дня назад

With inventory rising, this has got to be the peak of pricing, unless rates drop suddenly. Seems like this bubble will never end.

@firstjohn26 3 дня назад

So many areas are at or below replacement cost - it's not a housing bubble, it's a fiat money bubble. Values measured in terms of fiat money are likely pretty solid.

@besnkinic 3 дня назад

@firstjohn26 that's a good point, but doesn't it look like the powers that be will prevent USD from being devalued further? IE not printing trillions more and zirp any time soon. the fiat devaluation was basically done in 21-22

@firstjohn26 3 дня назад

@@besnkinic I mean devaluation in real terms. Against other fiat currencies, I believe the USD will remain strong. We are living through a great devaluation of all fiat currencies. So much bloat, inefficiency, and red tape are becoming entrenched in all developed economies, and globally we are just printing money to obscure that. The amount of labor and effort connected to actual production of anything useful is falling, and the total global amount of labor and effort available per capita is falling.

@CherylScottino99 4 дня назад

Thanks for the update and keep doing what you do. My journey in the current market has taught me a lot of lessons, at the top of that list is that it never pays to live above one's means. I have managed to grow a nest egg of around $600k to a decent 7 figures in the space of a few months. Sad to say but a lot of us have poor money management skills. My 2 cents -get an advisor to keep you accountable and aid you make better decisions, Linda Wilburn has been helping me a lot, all through my journey. I find it better to pay a little bit more for peace of mind than worry about money or market trends and still get >burned.

@CherylScottino99 4 дня назад

She's often interacts on Telegrams, using the user-name.

@CherylScottino99 4 дня назад

@Lindawilburn

@Mikeygrady 4 дня назад

Trading with an expert is the best strategy for beginners and busy investor s who have little or no time to monitor their trades.

@georgigeorgiev6521 4 дня назад

The key to financial stability is having the right investment suggestions for a diverse portfolio. Many investment failures and losses happen when you invest without proper guidance.

@79AdventureBaby 4 дня назад

It was quite challenging to understand the different trends on my own until i found out about Wilburn. Trading made easy.

@KemmerlingKrebsbach 4 дня назад

I plan to retire at 62 in another country outside the US that is free, safe and very cheap with a high quality of life. I could fully just rely on only my SS if I wanted to when that times arrives but I'll also have at least one pension, a 403 (b) and a very prolific lnvestment account with my Abby Joseph Cohen my FA. Retiring comfortably in the US these days is almost impossible. I honestly don't understand why people don't move to another country when they get older in retirement. It seems everybody has excuses for almost anything to not take action to better their situation.

@LesterAdriana 4 дня назад

I'm headed to Thailand or the Philippines in 4 years.

@LesterAdriana 4 дня назад

What country you moving too?

@KemmerlingKrebsbach 4 дня назад

I have a sister in Sri Lanka, should be easy for me to settle in

@MeckesGladden 4 дня назад

I know this lady you just mentioned. Abby Joseph Cohen Services is a portfolio manager and investment advisor. She gained recognition as a former employee at Goldman Sachs; a renowned investor she is. Abby Joseph Cohen has demonstrated expertise in investment strategies and has been involved in managing portfolios and providing guidance to clients.

@MeckesGladden 4 дня назад

how exactly can she help? and how can I reach her?

@agrxdrowflow958 4 дня назад

Swiss Franc left the gold standard in 2000.

@Ace-qy5vz 4 дня назад

Ken, Fed is not going to lower rates in September. They are not going to give up on correcting inflation. If they do, the country will go under sooner rather than later. Inflation cannot be allowed to run wild. They will keep rates high until enough companies go bankrupt, enough people loose jobs, so that enough mortgages foreclose to bring residential real estate down. It will just take another 6-12 months.

@erickillian313 4 дня назад

We'll see! I would say you're making a bold claim considering 1) the fed flipping in the past 2) considering how good even one 25 bp drop looks with an election coming up 3) how inflation helps inflate the debt away. I think one small and barely consequential rate drop in Sept, then one more in first half of 2025 unless something breaks. But agreed probably 12 months until it would be considered a softening cycle, but that doesn't mean they won't ease rates a little for appearances. Only time will tell. Happy prognosticating.

@Gio-ue8ps 4 дня назад

I disagree with both of you, the people at the fed are liars. They also hate Trump. I think they might start cutting in July. Initially the market will sell off when they start cutting rates, that will make the fed cut rates even more. They’re not going to let Trump win.

@SupremeMotorsUSA 3 дня назад

They will lower rates before the election. Guaranteed.

@SupremeMotorsUSA 3 дня назад

And it will be a quarter point. That will only be for optics.

@irishman3375 3 дня назад

They know Trump will win, so they want to collapse the housing market, and let their friends on WallSt buy them all up, remember, "you will own nothing" and be happy.

@jasonschneider5293 4 дня назад

Wait, you guys are married? I had no idea

@buildingsfunnels5867 3 дня назад

I thought she is the guys daughter..... money talks.

@dustinmarquand5301 4 дня назад

You all do realize there is still inflation right?! Materials are still ridiculous and the tax point is very valid. My real estate taxes went $800 last year alone. Building is VERY expensive now.

@joegibson6041 3 дня назад

A pvc pipe that was 1.98 three years ago is now near 7 bucks at Home Depot. Prices will never come down.

@ladycactus110 2 дня назад

We need to know the previous tax amount for your statement to be meaningful.

@dustinmarquand5301 2 дня назад

@@ladycactus110 not really. But from just over $4k to now $5 k a year for no changes on our 3 bedroom house.. that's a lot of money a month..plus ins is going up. I literally couldn't afford our house now if we hadn't built 5 yrs ago.. taxes were mid $3k 4 years ago after we built.

@jdmjdm2094 4 дня назад

Prices in the Midwest have been coming down for the past few months. Lot's of houses sitting on the market and I see the prices coming down.

@mike125520002000 4 дня назад

Hey Ken, I have a lot of respect for you and will thank you in every opportunity. You opened my eyes to building assets so I pulled an equity loan (during what I call the home equity interest loan crash)to build an adu. Rented the front house for 2500. (Peak of rents) and my mortgage payment is at 586, home insurance at 1034 yr, property taxes at about 3000yr. So I build on what I had worked so hard for which was paying off my house (bought it in 2011 crash). After being debt free 10.5 years after, which it felt like a blessing but I no income, found myself as a stay home dad and no assets). Now I have an asset (renting the front house) to keep putting a roof over my family and a warm meal. We made it religious to save 25 percent of my wife’s income to save for the next opportunity to invest on(the next crash) stocks, building another ADU since we have the space and city allows it because buying another house is not creating cash flow opportunity in my area.

@slickrick2704 3 дня назад

In Arizona Maricopa county there were 900+ forclosures. I checked today and there is only 198 somthing funky is going on 🤔

@karenjackson358 4 дня назад

What do advise for first time real estate investors given the current market for flips and rental properties?

@chrollifanboy28 День назад

Not in Texas. We have an oversupply issue here. No one is buying. Lots of homes are sitting on the market for 6 months.

@julietpotrykus9075 3 дня назад

Danille you should run for office. You would be an excellent candidate and you have a good broad grasp of things.

@kennethrobinson7647 4 дня назад

WOW! Could you IMAGINE, free floating interest rates in a capitalist society based on price discovery and NOT the FED setting Rates! OH MY!!!

@leeroach3381 4 дня назад

Very helpful Thank you for sharing

@ChazLuce 4 дня назад

Herndon and Reston VA is great for wealth preservation in a downturn. And amazing places to live. Northern Virginia didn’t shoot up in price much after COVID like other areas in the US. Homes here are still a discount relative to high incomes in NoVa

@Seanpfree 2 часа назад

First-time home ownership is OVER. "Starter home" are over 400k average income is 58k. We've put in 77 bids in middle TN on first home and were outbid by cash investors EVERY TIME. Now, we're priced out due to price and mortgage rates. Wonder why Millenials and Gen Z are doom spending? Not getting married? Not starting families? Why is civil unrest growing while the wealth gap is larger than it ever has been in history? It's because this economy is not for us, it never has been since we've been around. It priced us out and left us behind before we got here. This doesn't end well for society at every socioeconomic level..

@brady_morgan 4 дня назад

I do not believe the Fed is concerned with home prices. They look at inflation from a macro level, not focused on one specific sector such as housing. Honestly, the Fed cant do anything to help housing inflation and they know it, so they choose not to focus on it. If they raise rates, homes are more unaffordable due to mortgage interest, but if they lower rates, that will raise home prices because you will see increased demand with no real change in supply. Even if builders were to increase activity based on a small decrease in rates, it takes time to get product to market once you have made the decision to build more.

@rathelmmc3194 4 дня назад

If tiny homes are the solution you can just kiss the species goodbye. We know that when living space falls below a certain level the birthrate outright collapses. It would behoove the government to figure out how to get young families to have SFH.

@michaelward9201 4 дня назад

Looking to government is the issue that led us here. The more efficient we make the market and remove regulation, the faster we allow price to fall to the marginal cost of production and removing the investor monetary premium.

@rathelmmc3194 4 дня назад

@@michaelward9201 in other words to look to the government? Because who else is going to remove the regulations?

@__Man_In_Black__ 3 дня назад

@@michaelward9201 Which regulations do you suppose are causing this increased demand?

@monkeyfinger7949 3 дня назад

@@michaelward9201 B.S. The markets are price fixing at every opportunity. It's a play of maximum extraction from the middle class. And they are getting away with it because of an impotent government.

@tsuipingho8946 4 дня назад

Home prices may skyrocket as much as they want, but the low rate of sold units shows market has softened.

@TheTrailmeister 4 дня назад

People are NOT struggling to purchase homes! This is why the price of homes keeps going up because buyers are bidding up the prices. If they were struggling they wouldn’t be buying homes and the prices would fall, NOT increase.

@__Man_In_Black__ 3 дня назад

Prices are set by the highest bidder. These prices are driven by INVESTORS, not families.

@GusAlarconVlogs 4 дня назад

Great video, could you please explain what you mean by "Fannie Mae is coming for your equity"? How so and what does it mean for investors/home owners?

@timber-rider 4 дня назад

Unemployment is the missing element. But, it's coming. People are listing their homes at prices they themselves could not afford. Who do they expect will buy it?

@ashdav9980 3 дня назад

In my area, all the northerners and Californians fleeing their high cost of living areas to displace natives in the areas they are moving too, all while incessantly complaining the new places aren’t just like NY or California.

@besnkinic 3 дня назад

They're just measuring it differently. 2x crappy part time jobs makes stats look better than 1 career level job that pays a mortgage

@anutkaschannel2478 21 час назад

Big corporations will buy these houses and rent them out

@timber-rider 12 часов назад

@@anutkaschannel2478 Nope, it would be a bad investment. By the way, by 2035 15k boomers/day will be dying. And no, immigration won't backfill. Look to Japan to see what will happen to real estate outside of big cities.

@anutkaschannel2478 12 часов назад

Japan doesn’t have nearly as much immigrants as USA, I would rather look at Germany or other EU countries with massive immigration increase

@Theextremepessimist 2 дня назад

We had a buyers market from 2008 up until pretty much now. Wait till the next buying market arrives.

@mervcharles8365 4 дня назад

Increasing interest rates wasn’t designed to slow down one market. And to say it isn’t working is somewhat misleading. The growth in housing sales has slowed down like crazy. Are houses still expensive? Yes! But lower rates wouldn’t make these homes any less expensive.

@texlad04 3 дня назад

In my moderately upscale urban Houston neighborhood that's still gentrifying, there are 64 residences of any type with a 3/2 configuration and at least 2000 sq ft listed and not under contract. 47 of those 64 are under 1M. 31 are under 750K. 18 are under 600K. I'm under contract for a house in fair condition (but needing some repairs and appliances) around 500K and getting a decent for market interest rate. But I had 3 viable for me options under 600K. 3. You're right - the problem is supply but specifically at a more affordable price point.

@Bilbo383 4 дня назад

Median home prices are only up because more new homes are sold vs existing. With so many builder incentives, builders can close at top dollar

@Bankerguy 3 дня назад

Nobody is leaving their existing low rate

@landunlocked2423 4 дня назад

You’re the single most helpful voice on RU-vid about investing and real estate and the economy

@moviehipster 4 дня назад

Always a pleasure to sit in this audience! I listened twice! Recommended to 10 others

@TheJoshheart90 3 дня назад

This is a stupid question but what do be mean when you say get involved with underwriting these deals? I thought this was something that insurance companies and think banks do in order to understand the risk factors? I guess I’m just not understanding what underwriting means when it comes to investing in cash flow deals, I thought it was a job lol.

@WholeFoodPlantPeople 3 дня назад

Love your show, but I end up wishing I had more plain English, slower explanation of what's happening in the market. I got most of it, but sometimes I feel as if you're speaking to industry professionals. I'm just a guy trying to make a few good money moves. Thanks for your insight 👍

@KaayJaay 4 дня назад

The goat. Greatest of all time. Thanks Kenny. AZ!!!! Phx!!!

@jamiehead3879 4 дня назад

I remember a recent stream you talked about how rent should be coming down. What changed your forecast?

@DanilleAZRealEstate 4 дня назад

It still will bc so much supply hit the market, but after this supply nothing is being built so we will have a sharp increase in 2-3 years

@ronie6773 4 дня назад

Love you guys!! great content

@ahanv.8035 4 дня назад

Sales have slowed Ken. Median price maybe going up, number of sales have dropped off a cliff.

@DanilleAZRealEstate 4 дня назад

Sales are still pretty strong in Phoenix. Seeing some seller concessions, but not many

@wattasay2370 4 дня назад

Great content guys!!! You are amazing!!! Ken I hear WA states now allows for multiple ADU’s why not invest into it???

@roncedad7032 4 дня назад

Because the libs of seattle and wa state want to over regulate landlords. Tough to invest in homes tenants can stay in without paying rent.

@eliam.caputo6634 2 дня назад

Thank you for all you do. I lear a lot feom you guys. Question for you. I want to sell my house in tucson. By A mountain. 3500sf overlooking the city but some people are telling me it will be hard and it may go fir very low price. What do you think? Is been a rental for the past 8 years or so

@timsmith8391 4 дня назад

Inventory is up in Orlando and Tampa

@onedropontv8863 4 дня назад

This problem actually has an easy solution. Increase unemployment. Keep interest rates unchanged for another year. Europe cannot afford a recession the US can

@arboradvising6291 2 дня назад

Thank you Ken, Danille, and team for another great video on the housing market. Agree we need more inventory of properties for sale to slow the rate of price growth but interest rates and regulation will slow that progress and people with low interest rate mortgages who don't want to sell. Affordability will remain a challenge and owning real estate of any kind, especially cash flowing real estate, will benefit from the low inventory and high inflation.

@Jen_Tam 3 дня назад

Thank you both! Great information. Hopefully you all can talk with Zuber soon! He believes in smaller homes as well to help with the housing issue.

@grilledxcheeze 4 дня назад

everything you discuss indicates a large wave of unemployment is on the horizon. how are homes going to increase, or even maintain value when so much buyer income will be lost? i understand your incentive for wanting high prices but i don't think you should just be skimming over unemployment. what will you do when your tenants cant afford to pay you anymore because they lost their jobs?

@therealmarcindrozdz 3 дня назад

Great perspective!

@Jdjdjfhehehd День назад

In my area, rentals are $2500 to $4000 for 2 and 3 bedroom apartments, not including monthly fees for pets, parking storage or utilities, homes are additional $500-1000 above rental units. I will probably will have to live out of my car starting august…average home for sale in the county is $950,000.

@billscott6819 4 дня назад

Rent is going down in areas where houses sat on market 500 days. I'm talking brand new construction that can't sell, going for 1700/mo for a 3 BR house brand new. These people are trying to scare you into buying high.

@kata7742 3 дня назад

What about becoming a lender? Would you recommend needing a real estate agent over being a lender?

@joeywharton5662 4 дня назад

I have a strong feeling they will drop rates in Sept to spur a housing and economic boom in time for the election. If they lower the rates too soon, then inflation will also skyrocket. If rheg time it right, inflation will skyrocket after the election.

@inflationsux 2 дня назад

Think about what is different now vs. then. Is there still pent up demand, revenge spending, supply chain issues, free money from the government, record low unemployment. Most of that is gone or has moderated. I don't see a major driver of inflation other than too much government spending. The Fed could cut rates now but they don't want to or have to. A small customary rate decrease going into the election is possible but could be viewed as Powell weakening his stance in the fight against inflation. I think it will depend on the monthly data. Soft retail spending by the consumer this Christmas season would be the most likely cause of a rate cut and a cut before the election could give consumers confidence more cuts are coming and spend more this winter. I think the safe approach is wait to see what winter spending indicates and do nothing to alter the current course election or no election but the Fed chair being an appointed position may factor into the decision not only for the Fed chair but other fed members with ambitious goals. Politics whaddya gonna do?

@chrisspear3551 День назад

When I bought my frist house in 1999 it was 8 1/4 percent but the difference here is that it was on $130.000 mortgage not 400.000 plus mortgage.

@mike2959 4 дня назад

Crashing in many markets. Most of Florida. Half of Texas. The new high is driven off of 1+m homes getting sold. But I do agree that higher and higher interest do nothing to inflation. We have seen this before. There’s many charts showing interest rates in comparison to inflation.

@nathanielkam8019 4 дня назад

If you get 10% in one year and then go back to 2% immediately after.... you are still 8% off forever. You need to get below target to catch up. But it is way out of proportion, ex going down to 1% (never gonna happen), would mean you get back to long term target in 8 years as you get 1 year back every year. So chances of pricing going anywhere near back to normal with a "soft" landing arr basically nil in any appreciable timeline

@PaceMorby 4 дня назад

Thank you the shout out guys!!!

@Gadfly2025 4 дня назад

Study WM Levittown and look for cheap farmland to build on . My Dad ran some of the development builds

@tomcat8662 4 дня назад

So what’s going on with home production? Are builders still expanding?

@DanilleAZRealEstate 4 дня назад

no bc interest rates are too high and uncertain to build

@Urgurl514 3 дня назад

No one is addressing the implications of that. Every expert is totally ignoring this. The cost of living is unattainable for everyone.

@tjsokkerplayer 3 дня назад

I think home prices are a bit more complex than just increasing inventory. There has to be an environment where homeowners are willing to take a steep loss to sell their home. Once prices go up and are sustained, you have essentially accumulated a higher amount of homeowners at a new higher price level. These buyers aren't going to sell at a loss unlessed they are forced to as a last resort. You have to squeeze out some of these investors who bought at an overleveraged price. Increase occupance tax. Force commercial zoning for Airbnb. Design and implement a threshold for the amount of affordable housing each county must meet per capita.

@yonmoore 2 дня назад

Yea, everybody talks about ADUs but they have so many other legal stipulations that it gets pretty discouraging

@danw7864 4 дня назад

Is it actually tho? Or are we just saying it for fun?

@kentr.1391 День назад

My mom and dad bought a house in 1967 for 25,000 and I took over mortgage in 1993 and I sold it in 2005 for 197,000 ,I built a new house in 2006 and started the new mortgage, the principal at the time was 417,000 it's now almost 18 years old and it's value is appraised at 378,000 ,so what I'm saying is look at how much the value of homes increased in40 years, versus now, by that that same increase my home should technically be valued at 2,000,000 so the actual housing bubble literally did pop in 2009

@stephenmayo9573 3 дня назад

You can’t add 10 million people to those looking for housing and expect demand to fall. Having said that - on the other side - more houses are available here but expensive.

@jakobausterlitz8102 2 дня назад

Psst: the federal reserve has been lowering rates by buying debt and driving yields down. Esteemed colleagues should know this and communicate it to their listeners.

@ayumu583 4 дня назад

In my opinion the FED/Finance System needs to shake the speculators out of the market for a while. My guess this will create the needed supply.

@MelissaHobbs-qm8wi 2 дня назад

I'm hoping there will be a housing crisis so I can buy cheaply when I sell a few houses in 2025. As a backup plan, I've been thinking about purchasing stocks. What advice do you have for choosing the best buying time? On the one hand, I continue to read and see trading earnings of over $500k each week. On the other side, I keep hearing that the market is out of control and experiencing a dead cat bounce. Why does this happen?

@alfonsoundiano4898 2 дня назад

The real problem is Wall Street investment firms buying hundreds or thousands of homes . Increasing the price and increasing rents all across the country .

@jasonrod77 4 дня назад

If they lower interest rates will that make the price of the houses go up in value?

@Bankerguy 3 дня назад

Depends on the specific market and inventory. If a market is already short on inventory it will only push the price up. It’s really location drive.

@underconstruction6624 4 дня назад

And more inventory isn't dropping anything. Places with a lot of new inventory still aren't at pre pandemic prices - not even close. And that's rent too.

@craigslist8011 4 дня назад

What did he mean when he said the government was coming after the equity in real estate?

@xpicklepie 4 дня назад

Possibly the proposed "wealth tax" that will tax anyone with big real estate or stock market assets.

@wealthintruth6227 4 дня назад

Unrealized gains in real estate property values, will be taxed

@davidb2142 2 дня назад

Real estate is local. There are many parts of the country where prices are coming down. One of those is Phoenix. Am I incorrect?

@TT-ei8es 2 дня назад

Ken the Fed’s mandate is to keep Inflation at 2% or lower. They don’t have to do anything regarding rates. They could care less about housing and the impact raising rates has on mortgages. If they did they would have lowered rates already. Fed decisions revolve around the inflation number and little else

@duncanwallace7241 2 дня назад

The huge flaw is that QE is permanent because those U.S. debt interest payments are injected into the U.S. economy at $250 billion a month. Lowering rates does the same. Fiscal dominance has put the Fed in a no win situation.

@Wolverine8091 3 дня назад

I'm hearing corporation are buying houses and that is part of the problem

@timharbert7145 4 дня назад

Rates werent hiked enough and taxes on folks owning more than one home, whether for pleasure or business, is too low. Rates are going back to normal. Not higher. No more eb5 programs!

@boosthit811 День назад

Shelter is the slowest to respond to intrest rates. Lagging indicator

@elizabethcostello8299 4 дня назад

Have you watched vdo of Reventure consulting. He always lists homes with price crash

@j5555785 3 дня назад

Black Rock handles things like retirement funds. Real estate profits feed black rocks retirement fund capacity. The market crashing puts retirements in jeopardy. They can not let it crash

@masoncnc 3 дня назад

Headphones for the speakers would be amazing on the ear shock

@f1at111 День назад

That's not true. Increased supply does not always bring prices down. Because of out of control inflation. If everyone struck it rich with a gold mine in a small isolated town, they'd all remain poor.

@jamiesweeney6286 4 дня назад

I don’t trust the data, im in south florida , home appraised 550k 9 months ago, today 522k

@Bankerguy 3 дня назад

All markets are diff

@anthonygood1335 2 дня назад

I don't think we need more building to see price declines. I've seen significant building in the past 10 years, and a few foreclosures should be enough to tip the market into a decline. My conclusion is that the higher rates will at least not lead to higher prices.

@user-ye2br6os7b 2 дня назад

Everywhere

@QuonWill 4 дня назад

Love your show but prices are going to come down. It’s only a matter of time, even with fed keeping rates constant prime and mortgage rates continue to climb as expenses for financing institutions increase with inflation and book losses. What you see with increased listings , decreased sales yet constant prices, is equity money being stubborn which begins to tumble once banks come knocking on the door for liquidation. Once this happens listings blow up more (some in the form of foreclosure) and prices drop with desperate attempts to mitigate guaranteed losses. Just my take, it’s playing exactly how it’s suppose to.

@DanilleAZRealEstate 4 дня назад

We believe housing prices will cool slightly, but not anything like 2008. However we do expect an decrease in rates in septemeber so that actually could spike buying. It is hard to tell

@pdales2257 11 часов назад

Restricting supply is exactly what they want. If you don't understand that this is being done on purpose then you haven't been paying attention.

@bluestarcesium 2 дня назад

Tariffs will eventually cause inflation, because businesses will raise prices to match tariffs. This is why the Fed has to keep interest rates higher for longer to prevent wage inflation from the tariffs.

@mattyb1624 4 дня назад

Raising rates, raises rent, which raises values.

@sallyannmilavec990 День назад

We have more and more for lease and many new multi family finally finished-so where are all the leasors? Oh, I mean, the illegal leasors

@AllinOne-fw9yx 4 дня назад

I I heard the government is thinking about paying some portion someone's mortgage. Thoughts?

@triforcelink 4 дня назад

That still wouldn’t solve the supply issue.

@AllinOne-fw9yx 4 дня назад

Fed wouldn't need to lower rates. Affordable housing is a problem for alot of reasons.

@kathleens7131 4 дня назад

They need to refine their measure. Home prices are increasing because the wealthy and investors are not deterred by interest rates or the price. They need to look at the price points that are selling and use their education to tell them this is pulling the average price upward. Regular everyday people are not buying 350K and up homes. The FED needs some help here with Fiscal Policy. There needs to be regulation of investors in this market. Nothing else will fix it.

@DanilleAZRealEstate 4 дня назад

We need investors in order to build supply. There isnt enough housing.

@kathleens7131 2 дня назад

@@DanilleAZRealEstate We do not need investors to build house to only to rent them out at outrageous prices. No not what the American public needs.