Posted on 08/30/2023 7:31:14 AM PDT by Red Badger
Thanks Poopy Pants!
The Great Reset is working as planned.0
Good article—correct metrics for analyzing the issue.
In higher cost areas these numbers just get silly.
If you’re selling, and if you can find a buyer, you are in good shape.
Just helped a friend sell after 15 years in a home. He more than tripled the price he paid.
And where did he go from there? Did he buy another house?
I’ve heard talk, just anecdotal evidence among people I talk to, that they don’t believe how much their houses are worth, but they also don’t want to sell, because they would then be faced with buying a replacement house at today’s high prices.
So some people don’t feel wealthy “on paper”, that their houses are worth so much, because they wonder what it would cost to buy another house.
That’s BIDENOMICS! Spit.
That is right where I am. House is paid off. Market value is now 2.5X what we paid. We could make a lot off of a sale, but we would have to pay crazy high prices somewhere else. Makes sense for us to stay put. The only win would be a serious downsizing but I am not ready for that.
Can’t be! Bidenomics is awesome!
That is where I am as well.
The only “downsizing” I have planned is when they drag my dead body out of the house—hopefully far in the future...
;-)
He moved into an independent living center, which, surprisingly, are having trouble finding renters in our area. He got a very good deal, and shucked the maintenance costs and insurance required in owning a home.
All utilities and maintenance included, and 3 meals a day.
When you compare incomes to housing prices, this helps explain why there are so many working mothers nowadays. In recent decades, it has taken both parents working, to have enough to make the mortgage payment on a house, in many parts of the country.
And that explains why so many youths are delinquents..............
So how does this square up with the article cited just below this one on FR that mortgage applications are down 27%?
I mortgage apps are down, demand should be down and they raise prices with falling demand?
Bidenomics...................
Are the prices the asking prices or actual sales prices?
People often set an asking price, but then actually sell for somewhat less.
Maybe off topic, but in my experience, realtors ask that you set a slightly higher asking price, and the realtors tell you that your house is so much nicer than other similar homes, so you may just get that higher asking price.
Then, when buying, the realtors will tell you, that you should offer somewhat less than asking price, because the seller is motivated, and/or there are some flaws in the house which means you can get it for less than asking price.
Anyway, the most accurate amounts would be what the actual sales prices are, when properties are actually sold.
Muslim finance prohibits interest.
Houses could be bought in steps, say 20% upfront and 4% each year thereafter.
The 4% shares would be priced as per contract on factors such as the tax assessment of the property, selling prices of other comparable houses in the area by square foot, incomes of the buyers, etc.
The buyers would pay 80% of the market rent the first year, 76% the second year, etc.
For needed repairs the cost burdens of which are not specified by contract, the buyer(s)/seller(s) might pay 20%/80% the first year, 24%/76% the second year, etc.
“they raise prices with falling demand”
The mystery is solved because there are two types of buyers that don’t care about mortgage interest rates.
(1) Buyers who can sell their existing home and then pay all cash for the next home.
(2) Corporations who “invest” in single family homes and pay all cash.
The percentage of these cash buyers vary widely by market—and it is very difficult to get accurate figures.
My best guess (and that is all it is) is that the percentage of cash buyers is much higher in high cost of living markets than in low cost of living markets.
>Muslim finance prohibits interest.<
Just to other Muslims or infidels too?..........
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