Posted on 05/30/2021 3:36:50 AM PDT by Mr. Mojo
How wild is the U.S. housing market right now? So wild, half of the houses listed nationwide in April went pending in less than a week. So wild, one poll found that most buyers admitted to bidding on homes they’d never seen in person. So wild, a Bethesda, Maryland, resident recently included in her written offer “a pledge to name her first-born child after the seller,” according to the CEO of the realty site Redfin. So wild, she did not get the house.
Pick a housing statistic at random, and it’s probably setting an all-time record. Home prices: record high. Inventory: record low. Percentage of homes selling above asking price: record high. Average time on market: record low.
With prices headed to the moon and listings blinking in and out of existence like quantum particles, nobody seems to know exactly when this is going to stop. “In my time studying housing markets, I’ve seen bubbles and I’ve seen busts,” says Bill McBride, an economics writer who famously predicted the 2007 housing crash. “But I’ve never seen anything quite like this. It’s a perfect storm.
(Snip)
You’ve put in several offers, promised sellers everything short of a shrine to their descendants, but you keep losing out. Do you recommit yourself to the Zillow chase, throw in the offspring shrine, and raise your max price in the expectation that things will only get crazier with time? Or do you wait?
“It’s so hard to say without knowing the city, but generally, if you’re in a market where you consistently have to spend significantly above listing, I wouldn’t buy right now,” McBride said. “I think when you put everything together, the odds are that things get more normal in a year.”
(Excerpt) Read more at theatlantic.com ...
If I sell, where do I invest the proceeds?
Real Estate Investment Trusts (REITs).
We have received multiple offers to sell, from people we have never met.
We check them out and yes they are legit.
House has never been up for sale, and yet. . .
Shame my kids and grand kids who are just getting started will now be life long renters....
M.K. Borders wrote: “We have received multiple offers to sell, from people we have never met.”
We’ve received at least two cold calls from realtors asking if they could list our house.
We cancelled our plans for a modest renovation that would have expanded a bathroom and bedroom adding about 120 sq feet to our house. Housing prices in this area are running 150/sq. The two bids we received on the renovation were both over $1000 per square.
I have a long term friend who does home inspections and he told me business has dropped off a cliff the last couple of months. Sellers are telling buyers to go fly a kite if they insist on a home inspection and the sellers are getting multiple above asking price offers with no home inspection required.
In a large rural lot and a Kadafi size tent. Live their for 2-3 years and then rebuy your home for 40% cheaper... lol
I’m looking to leave NJ. Easy as pie go sell my house, The problem, using on the other end. I’m worried about not having a place to live.
the sellers are getting multiple above asking price offers with no home inspection required.”””
THAT is going to bite a lot of people in the ass in the fullness of time.
over $1000 per square.
Did that include Trump 5th Ave style gold guilding on all walls and flooring?
Yup. And sellers are often getting as much as 10-20% over asking, depending on location. Insane.
PERUSE LATER.
“ Shame my kids and grand kids who are just getting started will now be life long renters....”
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A bit early to make such a dire prediction 🙄
I’ll sell you my lawn tractor utility shed and the land it sits on for a modest $40,000. Would make a nice studio apt. Better jump on that. Some millennials from CA just offered $75k and offered to cut the lawn weekly. Lol
as someone just suggested, sell now, buy a yurt or a tent, and in 2-3 years you can buy your own house back at 40% less than value.
Like all bubbles, ..this one will burst, maybe a little bit longer due to inflation/ stagflation.
You may want to sell high while the selling’s hot and then rent in your new location (state) of choice until things get back to relative normal. That’s what I’m doing now — just waiting it out.
I can think of another reason to hold off in blue states: soaring property taxes.
This is the reset. A nation of renters like the EU. Soon only corporations will be able to buy houses and rent them back. We wonder WHY our youth don't want to have kids. I get it...
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