That is FANTASTIC news for long-term homeowners who had deferred major (and even minor) repair/replacement projects until a decline in construction material prices.
It did not drop for my neigbors. They listed their house last Tuesday and accepted an offer the next evening. Closing is scheduled for July 1.
And I suspect foreigners and banksters are buying up all the real estate and farmland in California.
I had a quote for 4000 in Sept 1019 for a roof in May 2020 they came back and quoted me 20,000... got a text from the same guy saying they could do it for 10,000 this summer.
Buyers are in a panic to grab a house before rates go Jimmah Carter double-digits.
The decline is compared to a year with record sales, so it isn’t that awful, especially considering the increase in interest rates. Here in Phoenix, values are still climbing. I bought last year after prices moved way up, but interest rates didn’t. It turned out to be the right choice.
I know of a home sold about April of 2020.
Southern California…
It resold three times after that and is up
for sale again. The asking is just shy of
50% higher than the original sales price.
It will be interesting to see if he gets it
Each time we thought, “no way”, but way!
It's ridiculous to describe that curve as "leveling off."
It's like saying that a loaf of bread that cost $1 last year and cost $10 in January of this year now costs only $11, six months later.
Boy, does that make me feel good! /sarcasm
Regards,
Let's go Brandon!
They broke the world to steal an election. China released a bioweapon to help the Democrats steal an election to get rid of Trump, and they broke the world.
All they had to do was just let Trump have 4 more years and then they could have gone right back to their communist takeover unabated, without breaking the world.
I am now seeing price reductions on homes in the 5% range. That is significant.
New homes is a small piece of the pie and they purposefully cut the inventory chart off back to 2021 - if you look at the total inventory of homes, supply is still stupidly low. Builders will cut back on new builds - they need to anyway with labor and supply chain issues and this is a good excuse to pull back on marginal products.
Embrace the suck kiddies.
Back to the carter years and the early Regan years of trying to clear the mess out.
Can’t sell your pumped up price housing? Too bad. Bad decisions have bad consequences.
Where I live, real estate agents want you to strip your house of carpeting, old appliances, mirrors on walls, stairlifts, even rip up old tiles, then make certain repairs (outside painting, patio repair). Everything is as bare as can be so new owners can remake house like they want.
maybe it’s just me, but nearly half(!) of the homes for sale in my suburban community coming on the market today were flips bought on 2020/21. What happens when the only people holding the bag are flippers and ‘investors’?