Posted on 06/22/2021 8:52:57 AM PDT by millenial4freedom
Yet another overpriced 'starter-home' in the city I grew up in that recently sold at nearly 20% over the asking price... 830k for 1.8k sf. The house last sold for 300k in 2008.
What's particularly sad is that Melrose was once a blue-collar middle class city in which the children of residents eagerly wished to remain. Prices have been on a tear since 2012, but they, like those everywhere else, have been accelerating rapidly since the plandemic.
I would like to especially thank our clueless, arrogant, obnoxious elites at the Federal Reserve (yes, you JPow), the arrogant, entrenched executives at Blackrock, Blackstone, etc who have turned the real-estate market into a giant casino! Because of you *sshats, young people don't stand a chance of ever owning a home, let alone a small condo!
A crash is always coming. And the boom follows the crash. And so on.
It’s all about the timing. I’ve bought right before a crash and come out fine. I wasn’t going to sell right away anyway, and 7 years when I wanted a better neighborhood, the prices had recovered and it all worked out.
“Just pick yourself up by your bootstraps. If you can’t compete against a $15 trillion private equity firm, then you’re just not economically viable.”
rofl! Nice!
Some people may have cash because they recently inherited their parents’ old home, and sold it. You never know. They intend to preserve the equity in their inheritance, and move up to something better.
West Roxbury’s values are probably falling while Waltham’s are probably rising.
“yes, exactly right! Whenever I hear that someone paid cash for a $500k house, I know that this was not a normal middle-class family”
That’s not necessarily true; Many folks have homes they have owned for 25 years and are looking to move. Their old mortgage was likely near paid off and they have enjoyed huge appreciation on their now home, so with the sale, they got a huge slug of cash. Or, they inherited their parents’ home and can sell it tax free for giant gain. It is ALSO possible that they financed the purchase with alternative (eg; private) means than a bank loan and it *looks* like a cash buy, but it is not. In other words, they could not qualify for 2-3% financing and bought using much harder money, hoping to refi in a couple of years after their loan will be “seasoned” = good payment history. Other than that I appreciate your sentiment. I agree, a working person or couple is not likely to have that big a slug of cash.
I started with $5k. It all worked out. People are woefully uneducated about finance.
The number assigned to the money is meaningless. We still think $100 bucks should be a hundred bucks. It’s $5 bucks now. But it’s just a number, a medium of exchange. Value comes from real useable things, like a house to live in and work from, etc.
By the way, you don’t have a housing crash during a housing shortage and we have a big housing shortage.
Everybody talks about the meaningless FED, central bankers, etc. What matters is Supply and Demand, not the FED, etc.
Only $830K? That’s a bargain.
My house on 4 acres goes on the market outside ATL tomorrow. Agent said to lost it at 469,900. I paid 347k almost 3 years ago. Thankfully I have a house we are moving back into that was a rental. We were going to build on the property but the noise levels from the main road and the fact that we have a 1/4 mile drag strip straight away in front of the house after the turn from the main road was the decision maker.
I’ll be elated if we get that much but we’re never that lucky.
Most people have equity because they been homeowners for a long time through multiple houses.
People have told me for 50 years that the little guy can’t get ahead.
They were wrong and they are still wrong. The little guy just needs to start little and keep going, but few do. They are convinced it’s not possible and they haven’t been properly educated as to how to go about it.
Zillow doesn't invent the price; it just reports the price as listed, or, as closed upon.
You'd be surprised at what the foreign investor market is willing to pay, since the USA is economy remains fairly stable,
and has a history of not subject to political and economic turmoil.
Under the current regime, that may change however..
The billionaires appear in most cases to have made their money in (offshore) heavy industry or to have won the software Gorilla Game in the 90's.
But I live in an area with many, many multi-millionaires - and almost every one I talk to made their money in commercial real estate. It's the most straightforward way for someone without an Ivy League education or DC insider connections to become successful - especially since the Forbes 400 billionaire caste has been careful to buy enough government regulations to lock the barriers to entry behind them. :)
Yeah, I was thinking of people who buy their new home before selling the old one. I went from 0 to about 650k equity in 40 years. I am an overnight success. Now Liz Warren wants me to share what I won in the lotter of life with people who snort cocaine and vote for a living.
Before I was married I used to rent in Melrose. A really nice town in those days.
I’m sure Biden will change that.
Totally agree with your comments. I never compete with anyone but myself against the market. Month after next I am launching into a new venture against the advice of “market watchers” (as thought my years of experience do not matter against underachieving market journalists) claims that it is suicide. Big numbers mean nothing when it is our numbers that matter to us.
Apparently it was not overpriced if it sold...
20% over the asking price - that is what BlackRock does.
Cute house but not 800K nice.
I wish one of those brown-nosing reporters from the Washington Post or New York Times - the kind that fawn over Romney - would ask him how he feels about private equity firms destroying the American dream for the young...
I’m just curious what that Never-Trumper jerk-off would say...
They would feel good, because the world is overpopulated, and if young white people don’t form families and have children, then White Supremacy will be dismantled.
???
>>>it just reports the price as listed, or, as closed upon.
My house closed at 145K four years ago when I bought it and I am not selling it , so the $206K value is not the selling price either. I live near the armpit of Ohio, Youngstown—not exactly high real estate value area.
Did a google search and Zillow admits their numbers are off. Guess they use a simple formula that doesnt look at comps for starters.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.