Housing market is too far gone.

[10dementianal]

and my house just went up in value, again.

 

[JacksonWhite]

Prices have dropped by widely varying degrees depending on how overheated the local market was. Maybe 3%-5% here tops. Closer to zero.

And now you can pay 7% interest instead of 3% lol.

 

[Menger]

much crash

wow

 

[saabguy]

It's the same here in AZ thanks to even more tech sector development, shipping, and warehousing going in practically every other week.

Also thanks to the shortage in affordable housing which is most definitely being artificially generated by builders who would rather create neighborhood after neighborhood of rental houses (not town homes, not duplexs, full size houses always meant to be rentals), than build more dense apartment structures.

Not to say we're not getting apartments, we are getting those, but they're all in downtown Phoenix, well away from where all of the big new job centers are going to be located.

How does a builder create a neighborhood of “rental houses”? They build them…how do they control if they’re bought by investors or homeowners?

And next you say “houses are still worth _____, it’s just hard to find a buyer at that price.”

Kind of sounds to me like the house ISN’T worth that

 

[americanwit]

How does a builder create a neighborhood of “rental houses”? They build them…how do they control if they’re bought by investors or homeowners?

And next you say “houses are still worth _____, it’s just hard to find a buyer at that price.”

Kind of sounds to me like the house ISN’T worth that

they are building entire subdivisions in some areas that are held by the builder or an investement group solely for the purpose of SFR

 

[stevezissou]

@stevezissou yesterday driving home from work I was behind an MBZ C300 with a big “R” realtor association decal on the rear window

those lease payments aren't going to pay themselves

 

[amalgamas]

How does a builder create a neighborhood of “rental houses”? They build them…how do they control if they’re bought by investors or homeowners?

And next you say “houses are still worth _____, it’s just hard to find a buyer at that price.”

Kind of sounds to me like the house ISN’T worth that

They build the houses and own the management company that lists them as rentals, there are entire neighborhoods of these here. They're called "single-family rental neighborhoods" and they're unfortunately gaining in popularity all over the fucking country. It's disgusting.

As for your next statement......that's not how that works.

 

[Bill The Butcher]

Chicago homes are always so interesting. I saw a nice little acreage for sale in Minooka if you want me to grab a phone number before I hop on a plane.

I'm good on that thanks.

Also to me that is not a Chicago home. It is a Chicago suburbs home. Would take over an hour with traffic to get into Chicago from Elgin.

 

[aloe]

They build the houses and own the management company that lists them as rentals, there are entire neighborhoods of these here. They're called "single-family rental neighborhoods" and they're unfortunately gaining in popularity all over the fucking country. It's disgusting.

As for your next statement......that's not how that works.

Would you rather have more traditional MFL units? Either way, more dwelling units will be built.

 

[aloe]

Texas’ affordability crisis has worsened over the past several years. Back in 2015, 84% of homes in DFW were considered affordable for individuals making the area’s median income. Today, that percentage has dropped to just 26%.

State of DFW Real estate

 

[stevezissou]

They build the houses and own the management company that lists them as rentals, there are entire neighborhoods of these here. They're called "single-family rental neighborhoods" and they're unfortunately gaining in popularity all over the fucking country. It's disgusting.

As for your next statement......that's not how that works.

Would you rather have more traditional MFL units? Either way, more dwelling units will be built.

In 10 years these will be 1 step above trailer parks IMO.

Not a fan of these "products" I think traditional apartment complex's serve this purpose better with more units versus single family rental neighborhoods.

 

[Joker]

State of DFW Real estate

The % of affordable homes around Atlanta is in the single digits now.

 

[amalgamas]

Would you rather have more traditional MFL units? Either way, more dwelling units will be built.

yes, 100x yes

If they're going to be building rentals then they should be MFL units, not these wasteful fucking SFR neighborhoods.

 

[amalgamas]

In 10 years these will be 1 step above trailer parks IMO.

Not a fan of these "products" I think traditional apartment complex's serve this purpose better with more units versus single family rental neighborhoods.

 

[saabguy]

They build the houses and own the management company that lists them as rentals, there are entire neighborhoods of these here. They're called "single-family rental neighborhoods" and they're unfortunately gaining in popularity all over the fucking country. It's disgusting.

As for your next statement......that's not how that works.

If I was a renter I’d rather live in a neighborhood like that vs an apartment complex. but don’t see why a developer wouldn’t prefer to build big complexes that cram more people into a smaller footprint.

As for the next statement, that’s exactly how it works. You can’t say “my house is worth $500k” if no one will buy it from you at that price. Value isn’t determined by the seller. It’s also not determined by the buyer who says “no way, that’s worth $200k MAX”. Buyer and seller have to agree.

 

[amalgamas]

As for the next statement, that’s exactly how it works. You can’t say “my house is worth $500k” if no one will buy it from you at that price. Value isn’t determined by the seller. It’s also not determined by the buyer who says “no way, that’s worth $200k MAX”. Buyer and seller have to agree.

It's appraised at that amount, that's an official number, that's reflected in taxes and bank evaluation. You can talk about a nebulous soft value and buyer availability and interest and what the seller is willing to take but the house at least according to the state and financial institution financing any potential loan is "worth" that much and if I was willing to wait I could get that much if not more.

The issue is not getting that much, the complaint was that I couldn't sell it in minutes to hours like I could in the previous two years.

 

[amalgamas]

If I was a renter I’d rather live in a neighborhood like that vs an apartment complex. but don’t see why a developer wouldn’t prefer to build big complexes that cram more people into a smaller footprint.

Because each of those houses is renting out for $3500/mo and they were all taken before they were even finished when a comparable mortgage, even now, for a house in that size range is less than half of that.

And because it's easier for them to monetize it.

Fuck, some of them are even building "tiny home SFR neighborhoods", all less than 900sqft houses, no yards, no shared walls, none of the downsides of an apartment, for 2x the cost of one for the renter.

 

[Boudreaux]

That’s actually not good at all if you’re buying there.

What!? No Way?!

 

[saabguy]

It's appraised at that amount, that's an official number, that's reflected in taxes and bank evaluation. You can talk about a nebulous soft value and buyer availability and interest and what the seller is willing to take but the house at least according to the state and financial institution financing any potential loan is "worth" that much and if I was willing to wait I could get that much if not more.

The issue is not getting that much, the complaint was that I couldn't sell it in minutes to hours like I could in the previous two years.

Appraisals are an opinion of value. It’s the best available tool lenders (i.e., me) can use. But it’s backwards looking. It’s using comps from 6-12 months prior. People have houses listed all the time demanding buyers pay what their independent appraiser came up with for a value, but can’t find a willing buyer. If you can’t actually sell at that price, then what good is that number except to make you feel good?

The same things happened 2 years ago but in the reverse. You’d see an appraisal for $700k and agents would bitch because “that value is based on comps from 4 months ago and the market is HOT. It should be $750k now…”

 

[amalgamas]

Appraisals are an opinion of value. It’s the best available tool lenders (i.e., me) can use. But it’s backwards looking. It’s using comps from 6-12 months prior. People have houses listed all the time demanding buyers pay what their independent appraiser came up with for a value, but can’t find a willing buyer. If you can’t actually sell at that price, then what good is that number except to make you feel good?

The same things happened 2 years ago but in the reverse. You’d see an appraisal for $700k and agents would bitch because “that value is based on comps from 4 months ago and the market is HOT. It should be $750k now…”

Except they are selling for that amount, it's just taking a few months now rather than a couple of hours. I don't get where you're getting this idea that we can't find a willing buyer, it's not that we can't it's just taking longer than it has in the past two years when shit was so insane that houses were being bought sight unseen the moment they appeared on MLS.

 

[Mejnoon]

and my house just went up in value, again.

I’ve been keeping an eye on Omaha. Market has picked up considerably over the last month, good listings are going pending in a few days.

 

[10dementianal]

I’ve been keeping an eye on Omaha. Market has picked up considerably over the last month, good listings are going pending in a few days.

yeah, Omaha never has seemed to have reacted the same way as the coasts. It just keeps steadily climbing upwards.

 

[Hisma]

Anyone else getting rekt by snow rn?


I cross through a large valley every day on my way to work. Basically a giant wind tunnel and any time it snows its like driving at the ice capades. @DasVWBabe good times in reno

 

[Sp33dealer]

newer plumbing tech is amazing.. even simple stuff

i had a couple (!) major clogs/roots in my main shitpipe, back in the day would have probably needed to dig up and replace

instead a dude came with a high pressure water blaster/cutter and cleared all the shit up including roots/etc.

(I was also lucky to have a friend with a similar experience who told me to find a plumber with that specific machine instead of wasting time with regular plumbers)

Hasn’t hydrojetting been around for awhile (decades)?

Camera tech for sure is better though

 

[DasVWBabe]

Anyone else getting rekt by snow rn?
View attachment 307060

I cross through a large valley every day on my way to work. Basically a giant wind tunnel and any time it snows its like driving at the ice capades. @DasVWBabe good times in reno

Be safe, friend!
Parents had to venture out to help with selecting our slabs for the kitchen yesterday. They're hunkering down today!
Sister has snow on the Oregon coast, too. Kids having a snow day today!