Current Events > What the fuck is going on with real estate

(+) Yeah! (+)

Skyrocketing fucking everywhere

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It's why I haven't purchased a house yet. Not going to get in a bidding war with people that are putting in offers over the initial asking price.

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Lumber prices are skyrocketing due to Trump not even trying to deal with Covid and Biden raising tariffs.

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TwoBit_Samurai posted...

It's why I haven't purchased a house yet. Not going to get in a bidding war with people that are putting in offers over the initial asking price.

and waiving inspections

dumb as fuck lol


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I'm looking at houses now because my rent will be jacked up significantly in February. Yeah, materials and labor are in high demand so building a house is no longer competing with buying one right now. It's a straight up sellers market.

We've put in two bids so far at asking price and lost them both by a significant amount. Like im not paying 260k when the asking price is 200k and the fair market value is like 190k. We've got another bid in that we'll learn about tonight, but I'm not expecting to win it either. On the plus side, closing prices are lower than they were a few months back. So they are falling slowly.

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Yeah, it's insane. I'm trying to move my family, but now is obviously not the time.

Luckily I just got my house last year, shortly before this boom. It's fun to see my values go up, but I also have no intent to sell anytime soon.
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TwoBit_Samurai posted...

Not going to get in a bidding war with people that are putting in offers over the initial asking price.

One of my friends just gave up and bought property to build a house on after failing to get at least 6 houses they had bid 15-20% above the asking price on.

I bid 262k on a 235k listing. Got outbid by someone who bid 275k plus agreed to pay seller's closing costs. Like WTF. Gave up after that. That was the 6th house I bid on I think.

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Jiek_Fafn posted...

I'm looking at houses now because my rent will be jacked up significantly in February. Yeah, materials and labor are in high demand so building a house is no longer competing with buying one right now. It's a straight up sellers market.

We've put in two bids so far at asking price and lost them both by a significant amount. Like im not paying 260k when the asking price is 200k and the fair market value is like 190k. We've got another bid in that we'll learn about tonight, but I'm not expecting to win it either. On the plus side, closing prices are lower than they were a few months back. So they are falling slowly.

Where I live there's nothing good listed under $400,000 new homes are listed at $790,000 (advertised as in the $700s) but bought at $850,000

My question is who are these people buying houses? And where did they suddenly get a ton of money from?

Because even the higher end markets are effected, like the 1 to 2 mil range.

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Blame Trump for the high prices.

MaddenDude-- posted...

My question is who are these people buying houses? And where did they suddenly get a ton of money from?

Because even the higher end markets are effected, like the 1 to 2 mil range.

People moving out of heavily populated areas.

Blackrock bought a ton of real estate
https://www.foxnews.com/media/blackrock-investment-firms-killing-dream-home-ownership

Yup my friend and my sister have both been trying to buy a house for several months but the bidding war is ridiculous. I tried warning them both a year ago to buy a house before it got too difficult but they both dragged their feet on it. We struggled to buy a house four years ago and the market is much worse than then due to lower inventory as less people have moved.

Fam_Fam posted...

Blackrock bought a ton of real estate
https://www.foxnews.com/media/blackrock-investment-firms-killing-dream-home-ownership

This is where the government needs to do something and try to prevent these hedge funds and large firms from buying up real estate. We are absolutely fucked as a country if they take over all real estate.

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It's time for a bubble that will collapse our economy again. Like what happens every ten to fifteen years in our economy.

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Yeah, I check Zillow from time to time because I guess that's what you do when you get older, but everything I see now days popping up around what I paid for mine just sucks in comparison, and even that gets snapped up real fast.
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Heineken14 posted...

Yeah, I check Zillow from time to time because I guess that's what you do when you get older, but everything I see now days popping up around what I paid for mine just sucks in comparison, and even that gets snapped up real fast.

Im looking to buy a house in exactly 1 year. So I've been tracking zillow and realtor for the last several years....everything has been stable up until the last year. Its absolutely insane right now. It's super discouraging cuz I'm just looking to buy a house to be a permanent living space for my family for the next 20+ years.

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I got super lucky. My husband and I started building a house in November/December, and locked our price in before construction costs exploded. Our same house would be 50-60k more if we were starting now.

Meanwhile, my current house is going on the market in less than two weeks. This house was 125k when I bought it almost ten years ago. It's slowly and steadily gained in value, but the last year it went from 155 to 210. It's been going up a thousand or two every month for six months on Zillow, and neighborhood sale prices are definitely reflecting the 200k+ estimate. These homes are on the market a couple days at most. Shit's crazy, I'm going to carry so much fucking equity to the new home.

Combination of zero percent interest rates making it favorable to borrow money for mortgages plus asset price inflation (e.g. the rich slowly progressing to own everything worth owning)

I bought my townhouse for 190k 3 years ago and its worth 300k now and I couldnt afford to buy it today since my wages definitely havent doubled since then.

Really sucks for the people trying to save for a down payment when prices go up faster than you can save.

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Oh good, another bubble. Gee i wonder how this one will end

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googs19 posted...

One of my friends just gave up and bought property to build a house on after failing to get at least 6 houses they had bid 15-20% above the asking price on.

Hope they don't wanna build anything substantial.

Lumber prices being what they are theyd have been better off upping their offers considerably tbh.

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Pitlord_Special posted...

Combination of zero percent interest rates making it favorable to borrow money for mortgages plus asset price inflation (e.g. the rich slowly progressing to own everything worth owning)

I bought my townhouse for 190k 3 years ago and its worth 300k now and I couldnt afford to buy it today since my wages definitely havent doubled since then.

Really sucks for the people trying to save for a down payment when prices go up faster than you can save.

Tell me about it.

You could get a house here for 80-90k when I was 18. 20 years later the same houses are 350k minimum and the average price is just shy of 500k.

Hell even a mediocre 1 bedroom apartment here costs 240k plus now.

Also on the topic of pay.... its literally the same as it ever was. I started as a laborer in construction at 17 an hour. Starting pay now is 16 to 17 an hour for the same position and experience level.


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yeah, got my house and only went 15k above. avoided bidding war cause my agent played them hard. gonna move in a couple weeks.

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My neighborhood block is slowly closing in with community type homes. Our block is still rural so I'm guessing it's gonna skyrocket some more?

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Heineken14 posted...

Yeah, I check Zillow from time to time because I guess that's what you do when you get older, but everything I see now days popping up around what I paid for mine just sucks in comparison, and even that gets snapped up real fast.

Haha, I do the same thing when I am bored at work (or even when I'm not bored sometimes).

Pitlord_Special posted...

Really sucks for the people trying to save for a down payment when prices go up faster than you can save.

This is the position I am currently in. I don't have a specific timeline of when I want to become a homeowner, but I am trying to save. Prices are shooting up much faster than I can save.

I am a millennial, so before anyone says it I have already cut out avocado toast and coffee.

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I have a shitty starter home for sale in rural minnesota, anyone interested? I will part with it for a competitive offer of a quarter of a million dollars

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My place on zillow has gone from 385 to 460 since the pandemic started.

My parents place has gone from 575 to 740. It's completely crazy. This is in Aurora colorado which used to be the cheapest part of the Denver metro area.

Holmes are going for a million in my area and over sold at 70k over the asking price in southern Ontario.

Everyone I know who didn't buy a house here 10 years ago has moved way out of the city and has to drive a hour to get to work here or lives with their parents still and are married.

It's been a growing problem here for years but people are still taking out bigger loans and getting family to help buy expensive Holmes here it's just impossible to do it yourself as a first time home buyer.

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Our house just hit a million on Zillow and we bought it for $740k 4 years ago. It was a little over $800k before the pandemic. Houses have been selling for 50-100k over listing price as well. Its absolutely insane. The one way it would be beneficial for us would be to sell our home and move somewhere cheaper but we dont really want to live anywhere else.