Posted on 02/23/2021 7:32:41 AM PST by SeekAndFind
According to the latest data from S&P CoreLogic Case-Shiller, US home prices in the top 20 cities rose at a stunning 10.10% year-over-year - its fastest acceleration since 2014...
Source: Bloomberg
That is a price rise that is five times The Fed's 'mandated' level of inflation.
Phoenix, San Diego and Seattle posted the biggest gains in prices. Nationally, the Case-Shiller index jumped 10.4% in December, also the biggest surge since 2014.
Historically low mortgage rates have fueled a pandemic housing rally, with scant inventory of homes to buy helping to boost prices.
As in the housing boom of the mid-2000s, home prices are rising faster than personal incomes. Changes in the Home Price Index and the Income Index from 1991 to 2020:
Will The Fed never learn? This pump-a-thon didn't end well before... and with exponentially more debt and leverage now, it will end in even more wealth transfer and socialism for the rich...and this time, the paeons pitchforks are already sharpened.
We also note that the moratoriums on evictions and foreclosures are also distorting the market. There's no question these policies are needed to keep people from being displaced in the midst of a pandemic, but they will eventually have to be lifted and it is not clear what will happen when they do.
I live in a 40 year old suburb of DC in northern Virginia. There are a lot of flippers here who buy houses needing some work and flipping them for big bucks. I’ve done regular maintenance, but no big upgrades, and our house is up 25% in 13 years, and we bought near the peak.
I’m waiting for the libs here to revamp zoning for “affordable housing” units, which around here means turning homes into dorms for illegals.
It’s not my fault that your wife sick of you, but still, why take it out on others?
Try building a new home today.
We’re trying to build a retirement home and were quoted an outrageous price. Sure, our current home is worth quite a bit on today’s market, but what we would net in its sale would cover less than half the construction costs for a new home that is 25% smaller than our current one.
LOL.
Sure it would. They sit on their asses because the pay is so low. Cut immigration then pay goes up and who want gov handouts?
“The average family is no longer able to buy a house.”
I have been seeing that for years. 45% of the nation is doing really well. The other 50-55% not so well.
I see it in the co’s I work with. The owners/manager/key people are doing great. The regular rank and file wages have been stagnant.
It’s going to blow one day
“Stopping ALL immigration would be the BEST thing that ever happened to the middle class”
That only works with a high birth rate.
Oh, I understand that for the developers. But even those people who are buying a chunk of dirt and building just one for themselves are building Mcmansions that they can barely afford to furnish. No one is building a "starter home." It's Big or nothing.
How many **CHINESE** speculators from around the world are buying properties to flip or rent?
“No one is building a “starter home.” It’s Big or nothing.”
See my post #46 and it will explain why.
LOL you don't get do you. The birth rate is lower because of high immigration....
I can only imagine. We had a customer who ex'ed to Costa Rica a few years ago. We have retired from the business since then, but I always figured he'd show up one day, having changed his mind. Good luck whatever you decide to do; as I said, it's a momentous move.
My relative in Minnesota was telling me how home prices have gone way up. I checked and see homes like one of my other relatives at nearly $350,000 for a small house with separate garage in a bad neighborhood (Brooklyn Park, MN). The house was at $100k 10 years ago.
“I can only imagine. We had a customer who ex’ed to Costa Rica a few years ago. We have retired from the business since then, but I always figured he’d show up one day, having changed his mind. Good luck whatever you decide to do; as I said, it’s a momentous move.”
Thanks! Not sure what the problem is with Alberta, he’s usually a good guy. Anyway, it is a dream of mine (and my adult kids, who are also leaving) to return to the US if it manages to pull itself out of this (maybe by splitting up), but it just doesn’t seem to be in the cards - a bloodbath here is far more likely, given the bunch that just seized power - and the fact that very few on our side have ever attempted to understand just who these people are and what they want for us.
Home prices in Florida are going through the roof as folks empty out New York City and Chicago...
Moving out of the country before commies take over and start murdering people is a good idea...
It’s how commies have done it everywhere they’ve brought their evil... and they’ll do the same here. It’s just a question of time.
yep, looking to get rid of state taxes.
“Home prices in Florida are going through the roof”
RE agents in Florida are giving cuomo and deblassio RE agents of the year award.
No income tax in Florida - weather’s great and we have a sane Governor... Lots of good reasons for conservatives to move here.
If a liberal’s thinking about it we talk alligators and 12 foot snakes...
My parents had a 6,000sq/ft custom home built in 1962 for $43,000 in Minnesota. Solidly built. My 2 uncles for the same amount around the same time had half the size home built in California near Los Angeles and in Mountain Lakes, NJ.
My uncle in NJ showed me a home being built in 2003 a few doors away that he said was costing $1 million. It looked average size to me. He also said he was paying $9,000 a year in property tax!!
My parents moved to Scottsdale near Phoenix, AZ and the 2 homes they had were cheaply built. Floors not level, wallboard too thin, poor workmanship. This in a nice area. They said they looked around and all the homes were like this. Cheaply made.
#43 Last year, the average cost to build a house was over $485,000. Meanwhile, the average cost to buy an existing home was nearly $309,000
https://www.daveramsey.com/blog/building-a-house
Why Building a House Is so Expensive
https://www.investopedia.com/articles/personal-finance/050716/why-building-house-so-expensive.asp
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