Brand new homes in South Florida are not immune to the outrageous demand in the housing market. Buyers are finding out it all comes down to what you are willing to sacrifice.
@@wesleygriffiths8496 Wesley I don't even trust a lot of newer construction and I would look for an older home with more space from a neighboring home .
It's crazy how many homes they are building here. They have even started building houses on marshland, which is absolutely crazy. All of those lakes that you see in central Florida are NOT lakes .. They are SINK HOLES. People are so silly smh
@@AA-hj8er ANYTHING built out west in Belle Glade, the Arden neighborhood and I'd also mention the Agricultural Reserve so pretty much most of Lyons road south of Hypoluxo. GL is about to build ANOTHER 55+ starting at $900,000 but they literally have to drain the swamp and get rid of farmland first.
Lol!! Yep. I've seen many houses sink into the ground. I don't get what's the "big deal" of living in Florida to be honest.. lol the U.S. is pretty big!! But you can still take a vacation time in Florida if you want to.
@@SuzyEH yep. The sea level rise will displace many people.. unfortunately. I mean, we progressed the situation.. but also climate change occurs naturally. Lol
Every day, I keep looking at these stories because they keep popping up in my feed. These stories have compelled me to bite the bullet and pay off my mortgage in full this year. At least then no matter what happens to me financially in the future, at least I’ll have a place to call my very own.
Better to save the money if you are planning on tossing more onto a fixed low interest mortgage. That is if you have one. Pay off other debts first and have money set back for home repairs or appliances etc if need cash quick. People will fall for that pay home off fast and they have a low low interest rate. When actually best just put that money into a money making saving acct or etc.
Where is everyone getting the money from? Thats the question I have. I've never seen such demand.... I really feel it's these investors buying them and spiking home prices. Now, hearing foreigners can buy property without being citizens of the United States. Thats a big u=issues as well because if the Pounds, euros are more than the US dollars.
Black Rock is gobbling up houses like there’s no tomorrow. 2022 might be the Great Reset in which the housing market completely collapses and we all become renters. “We will own nothing and we will be happy.”
You didn't get your money printing machine?? They sell them at Walmart. you need to get your one. Everyone is printing money this days, :).. They might as well be. LOL
It's going to be ugly when they pay all those high prices and then the market changes and they end up having to pay huge taxes and market flips upside down. Florida had a housing market value crisis years ago and people were stuck in a messy loan situation. Oh well guess past lessons were forgotten.
@@circesoul2218 I remember when interest rates were alot higher and my income was alot lower, so houses were expensive to me, I ate peanut butter or just sliced cheese sandwiches, to save for closing costs and etc. Also made sure no babies or kids were in picture till I was set in life better. Plus I worked 2 jobs and bought minimum. My family didn't help me, they taught us to plan, budget if we wanted anything in life, and think about possible unforeseeable hiccups that usually happen.
The difference is that people were getting loans they couldn’t afford. Many bought with the intention of flipping in a short time for a large profit because of the hot market. They were playing musical chairs and when the market dropped - the value of the houses went down and they were left holding the bag and walked away from the houses. Now the approval process is very stringent, and people are holding on to their homes because it’s so hard to find one that you like and can afford, and the prices are still climbing.
@@kimariokiji not really any different that what and how it has happened in the past. Just for years now the market was doing great, now it's back to the same thing market has been time and again. Lessons of past need to always be remembered that can happen again.
@@keysersoze1537 I would say its a better than good chance of happening now. All that stuff I stated can be found on the UN's websites and links. I didn't just make it up.
This is happening everywhere I live in Memphis Tennessee and the housing situation is terrible here we have people from up north coming down here buying these old homes kicking out people that’s been in there home for years patching these homes up so they can raise the rent mostly overpriced it’s sad..a lot of these ppl are elderly and on a fixed income’
I agree. I live in TX and here we have people from the north and people from the west coast coming here jacking up prices, clogging up traffic, they gut these beautiful old houses, take out everything that makes them unique and all the antique woodwork, they decorate them all like a Scandinavian psychiatric facility, and rent them out for 3x the price. it’s devastating.
Same thing here in Florida, our rents are now at NY/VA/CT levels but our wages are at Mississippi, Georgia, Louisiana levels. The only people who can afford to live here anymore are the wealthy who don't do the work necessary to keep stores, restaurants open and services like trash, electric, phone reliable.
Thankful I bought my fixed up 1950s Bungalow for under $80k in May 2020. These people are nuts & they will be stuck when the market resets itself. Hoping that builder is building those new homes right.
It'll be a dumbster fire of great proportion, and those homes will be problematic off of the principal its built by greedy chicken sandwiches in America.
Yea I dont see how these increases for home prices can last forever. The big concerns are..... Central Florida especially where they are building on farm land homes 10ft apart the higher weight density in regards to future sinkhole issues (& settlement issues also creeps in). Lack of home inspections prior to closing (how many unknown issues come up later). Equity- once the leveling off starts (will it be small/gradual or a sharp drop off?) Inflation- how long it lasts = affecting the overall building costs of a new home. Recession- the elephant that can mess up everything. Interest Rates- when will they raise it & by how much? Or how many times?
I replaced some molded sheet rock from one of my bedroom walls and low and behold found an empty sardine can between the studs. Must have been from the carpenter's lunch break in 1976 when the house was built.
i wish the best to you daniel but one of the worst times to buy a home unless you bought a cheap home in like ohio or oklahoma. some markets where average home is 600k+ your lookin at 150k loss at the absolute best outcome to 350k the worst. My outlook is that 2008 crash isnt that big what if anymore its the 1929 depression and im only 29 and i know my generation doesnt think like that. But to sit here and be someone that say that could never happen the shortages the booming economy etc. maybe your young and u can sit in that home for 15 years to get back out. we have been in trouble in the u.s since 2006 before 08 and printing all this money and the borrowing , inflation ect the government is losing the ability to hold it and the government has never held something like this imagine they just drop there arms one random day, yeah...
I would not purchase a home now with the issue of bidding wars. How will you afford a home whose price has been inflated through the bidding process????
The problem I'm having is my rent's gone up so much, the higher mortgages are cheaper than my rent by such a margin that it's just.... insane. My rent's gone up 700 dollars. What am I supposed to do?
@Rich Casino All the apartments are litterally the same... within a 20 mile radius. It's fine to say "move", when you have a choice. If I moved further than that, the gas prices would wipe out the savings in rental prices. saying "move" to a systemic problem being pointed out, is sociopathic. Don't have kids.
I feel sorry for these people. One thing you have to consider - driven by demand and skyrocketing building costs, how do you know the builder isn't cutting corners on construction? Also, with so many building delays, getting in to the new home by New Years appears optimistic. Everything moves in cycles. If the Diaz couple was more patient, they'd likely get a home of similar quality, already built at a better price. But I guess people like this are fueling the overinflation of the new home building market
“We’re limiting the amount of houses we release on the market “ … Well that’s a problem. If every builder is doing the same they should be called out! It’s criminal what’s being charged for rent and homes because of home shortages. And we all know that the answer to this whole debacle is more supply. If the supply of homes are purposely manufactured to drive up demand that should be looked into. That’s THE story…
they are partially correct. It has to be controlled somehow. The supply problem is bad and they cant have a 100 homes waiting on windows and roof tiles.
That’s capitalism at work. The last housing crash builders were caught with too much inventory at the wrong time. The cost of the parts/supplies need to be included in evaluation of the inventory demand process. They are holding back the release of the product to ensure their margins are above or covers the cost of the supplies to build the product. Think of OPEC but on a small level. They are essentially control the rate of oil production globally. That’s why gas prices fluctuate as well as the demand from the market.
Yeah, not for me. I listen to friends say oh , I got approved for say 150 so I'm looking at houses for 150. I'm like you are crazy , you need to look under 100 ! You will be piss poor all the time. Just cause the bank approved you don't mean you have to go that high! I spent 95k 7 years (over paid in a rush to leave my ex) but no way I was paying my max approved. My mortgage with pmi was 611. Just had it removed and now I'm under 500. ( it was like 40 bucks ) I'm stacking extra to pay off in 15 years instead of 30. Still cheaper then rent! (860.00)
So when people buy during this overinflated period, they are locked into those homes. They would have to pay money just to let it go if they want to move. I remember a couple who had to do just that when they wanted to move after the mid 2000s housing bust.
Exactly what I been saying it has happened before and the area taxes of people that have lived in those communities will have their yearly taxes jacked up so high just because a bunch of properties sold for such crazy high ridiculous prices. The tax accessor office is going to have a field day with this and people irate.
@@MiroBG359 true in a place like Florida, but it's happening everywhere. There are places not as warm and desirable that are going for 100,000 over what they sold for less than 5 years ago. No way, other than at this time would anyone have paid that much for it.
@@marykeys10 it is everywhere. Back home in Eastern Europe apartments are presold before the builder has even prepped the land, and there's glut of inventory built during communism that almost nobody wants. Which is pushing prices higher
You just rent it out. This happened to my friend the last bubble. He bought right at the peak, lost his job and had to move to a completely different state. He rented out his house, waited for the market to come back, and just sold it for a nice six figure profit. In the mean time, he moved to that other state, bought another house, except this time the prices were at rock bottom, and now that house is worth double what he paid. So 100k+ in profit from the first house (thank you very much renters) and current house worth double. Housing always wins in the long term. So many people just don't understand the power of real estate.
Who cares about new jobs when the payroll can’t cover your hypothetical mortgage without participating in the Ponzi scheme that is the assist bubble market of single family homes of which they slowly release to cause artificial reality. Remember the price of a house or a stock is not what it sold for but how much the last sucker paid .
Alot of foreign investors are buying these homes, also rigging system having individuals buy homes and then selling them to investors, companies, or persons outside of country later.
I did that in 2005. I do not want to go through that again, I remember a lady crying one Saturday morning went her number did not come up. She said, she had came by the home buying center 5 weekends in a row and her number never came up. I was a relief when my number came up, it was easy street after that.
@confused algorithmThis was the same in the neighborhood I purchased in. 2011 unfinished roads, 43 lots had overgrown trees with utility lines in place. 11 years later, all are filled, the area in Eastern Shore Alabama is a developer's heaven, farm ground, any ground turning into low and high end neighborhoods. Seems out of control. Not sure how long the infracture can maintain all the in coming businesses and families. If someone needs work, well there is plenty around here, from accounts to zoo keepers, no kidding
This will go on until the Socialists bring the hammer down by using the banks to recreate the way we think of credit. Then the Great Reset happens and their will be no jobs or food. Property is the safest asset until they confiscate it. Soon they will get rid of currency and only have a federal crypto.
@@lqsi12 I don't know. There is already anarchy in Portland, Chicago, Minneapolis, New York city and a few other places. My guess is a more controlled decent into chaos. Maybe I'm wrong but i don't think they can get the military fully behind them yet to pull the trigger on an overnight takeover. Also too many Sheriffs to go thru atm.
So the American dream is literally go into debt, just bought a townhouse out here and every month you are worried about how to make mortgage, on the other hand where I come from, you buy your own land and build your own house or buy the house which is made of cement bricks completely before you have the keys
The builder is trying to squeeze as many houses into the subdivision. If they put the garage in front, then they can put the houses closer together and make a bigger profit.
This is an example of why schools should teach economics in high school. If the schools did teach economics there would be less real estate bubbles. These people are going to be crushed when the real estate market crashes again.
I m moving to FL. I put my house in NY for sale and have 2 offers firs week I m glad I bought an investment property literally March 31st as the pandemic started in 2020. I will be staying there temporarily until this market cools down. Rates are about to go way up because the Feds have to control inflation and usually that leads to lower price homes. If that happens I ll start looking for a home to live in I have zero interest in new construction. So expensive and so cookie cutter AND NO PRIVACY. You also, no longer even get a pool as an option, because builders are so busy AND lots have gotten a lot more expensive
Wishing you all the best. Most important…final inspection before move in. Hire the very best home inspector. Do not skimp here. I was purchasing my home cash. Inspector said everything fine. My brother-in-law who was in construction noticed musty smell in kitchen. They said oh that’s rain puddle under house. Brother in law noted water was on higher ground. Water doesn’t run up hill. Broken main line to the street water main. Owner had to fix before sale. House was two years old.
"if you keep waiting its only going to go up" worst advice ive ever heard. its 2008 everything is so overpriced right now its not even funny. the market will go down. it always does and all these people will be underwater on their homes. in another year when the market tanks, and banks can act on the foreclosures as well as adding new ones you will be able to buy houses for pennies on the dollaar
There’s nothing wrong with the housing Market who ever wasn’t prepared when Interest rates were historically low now they have to settle for 4% just last year they were 1.9 to 2.8 lowest in history people with 720+ Fico scores got approved for these rates and now people with 800+ Fico have to settle for that 4% unless u pay points up front What is raising home prices is the Demand in seekers and The US is becoming more popular and one of the safest country in the World The Problem here is Building Materials Shortage Canada ain’t producing much like before Lumber Due to Climate Change. Also China is slowing down on electronics etc. The Government can’t really control the Home prices in this Covid-19 era and they will not crash the housing market due to rising home values and the trillions of dollars they will make from property taxes. I hope you guys understand the main factors. The worst is we have to live with Covid-19 and other viruses 🦠 throughout who knows how long more maybe a few more years if they cut back on producing Energy, Oil , Plastic materials , fiberglass etc. Covid-19, Climate Change are the 2 big Factors here but the government don’t want you to know a lot of things.
Its Deja vu again in 2005 only this time its worst. I remember the tradition in Port St. Lucie had a lottery drawing for buyers who will get to reserve new construction or not. Builder didn't complete construction before market crash while they took 25% deposit up front and homes lost value by 50% or more.
My wife and I bought in a nice area just west of Portland,OR eleven years ago . Homes are selling for nearly 80% more than they sold for at that time. Properties are listed , a sign goes up and often a sale is pending within a couple days ( almost always above the listed price) . It gets harder to become a homeowner every year .
@@francismarion6400 Soviet apartment blocs were given only to the most worthy, and then you had to figure out how to keep the lights on & heater running with the absurdly low wage
There’s a school just around the street where 100’s of people camp out in line for 1.5 days just to sign up their kids. Doing this for a house doesn’t seem too bad.
I work in three construction industry and the new house were crap before and are way worst now with a new high price. No skilled labor. New house will look old in 3 years.
Put 10% Down on a pre-construction house. Then Builder folds. House never built. Civil suit to get refunded. Legal fees. Hahahaha Yeah we build while keeping control of everything.
I live in Austin, TX and new construction here is cheaper than buying an existing home. New construction is around $300-$450k versus $450-900k+ for existing homes. It’s insane that new construction is like the last “affordable” option.
Good but developers in Georgia took people’s money 💰 THEN when home 🏡 was about to close the week before builders upped the price by 150K! It’s easy for builders to back out of contracts for new developments. I would be cautious if I were them and have a backup plan just in case
I think it’s happening everywhere, even in the midwest, as long as its near a major city, the builders are building, north of Detroit in Macomb county, you cant blink your eyes before a couple new communities spring up, and I didn’t know it was happening at such a stealthy speed until I started doing local delivery around metro Detroit. The western suburbs of Cleveland, same thing is happening, just eating up all the available land. So there’s definitely no lack of building as far as what i can see, but I imagine down south its crazy
We will have a market reset with lots of foreclosures , and than to blame price gauging on the builders will be just lame. Don't feed the hype, there will be a reset soon.
They look happy to over pay and humiliate themselves wtf 😳. It’s like seen hoards of people in Black Friday videos. Then the crash comes… rinse and repeat 🥂
Way to go Terrance. Huge respect for anyone like yourself that is willing to grind it out and make it happen. Never give up, always push forward, and you and your family will live a good life. Enjoy your new home.
Florida property taxes and insurance are ridiculously high already now the houses are expensive. Umm I'd rather live in California with beautiful weather than muggy hurricane drug infested Florida. You can't say California is soooo expensive anymore ijs.
People that don't have the ability to wait out this economic housing climate and cannot exercise delayed gratification will have paid too much for their home and/or will be cursed with in inflated mortgage for the next 15 to 30 years.
OK so we have waited 12 years....through hubs grad school and career establishment. Rented all that time. In 2020 we decided to buy and couldn't. Saved but had to spend it on an illness and death of a "family". Now we are saving and paying off debt. Building income for a higher mortgage since homes and interest is higher. Our kids are not babies and waiting 5 years for a market change when we want a home to raise them in now. Sometimes you have to make a decision to live life rather than beat the finances. We plan to stay in our home for many years and hubs income is solid.
The American Dream can become a nightmare. I had 3 houses- lost thousands on each one. And twice we had neighbors from hell. At least with Apartments you can leave in a year if your neighbors ruin your life.
That is what caused the 2008 housing crisis. People buying homes that they cannot afford. No one wants to live within their means anymore. Reaching for the stars, OK, as long as your last name is Buffet, Gates, Jobs, Rockefeller, Vanderbilt, Bezos, and Zuckerberg. Ms. L. Churchill (No I don't have any money - don't let my last name fool you).