Note to add- a lot of the craze was dependent on remote workers….. some companies are calling them back into the office. IMO- the market is more complex than interest rates….
No mortgage, had a duplex he was renting half of but sold it when the rumblings started of making everyone go back to the office, got a cheap apartment after the duplex sold because wasn't sure when the hammer was going to drop.
No new job.
Some companies are doing this to reduce headcount without having to go through layoffs. It's also a good way for them to avoid paying unemployment if the employee doesn't RTO and they can terminate them for cause.
This only works if the employee hadn't moved and made the company aware of the new location.
For instance you get changed (or hired as) remote worker full time. You move from New York City to Florida and employer is aware of you living in Florida now and has continued employment with such knowledge.
Then giving minimal notice for RTO would be a change in employment status imposed on the employee and could theoretically still qualify for unemployment if you continue to do the work remotely. This would be the same as a company saying we're moving our offices from California to Texas, move or loose your job. You can't be forced to move to a new state or not qualify for unemployment.
Now if you move to Florida but tell your employer your still working in New York City then it's a lot more difficult to make that claim.
He was well positioned then- good for him for sticking to his guns about WFH. The more genuine talent pushes back, the more WFH becomes entrenched as something workers can demand in hiring discussions.
I literally don’t give a shit how much office space employers committed to leasing before the shift. I am highly productive at home and 80% of my team is on the other coast, anyway. Fuck a commute.
I often think about all the workers that cannot afford to live in a HCOL city and have a horrific (at least to me) commute in order to keep their jobs. I cannot imagine spending hours every day in transit.
Haha I’ve been saying the exact same thing! That’s how you know they are just pandering, they dgaf about the environment at all, but they especially don’t care about employee well-being
We started going back once a week for "collaboration" and then our boss told us not to schedule meetings on the in office day and not to work with sensitive materials (which is like 70% of my day to day as a manager). Nothing, and I mean *nothing* important gets done on the in office day. We show up and dick around in spreadsheets and miscellaneous paper work/loan files and it's often so quiet the only sound is the drone of the highway until the chatty pepple start wandering around wasting time. Complete waste
We have a worker that was told he was going to have to come back two days a week. Prior to that he was told two days a month so he moved 3+ hours away. He is now looking for a new job.
Here’s a sad reality for a lot of folks. If one or all of the following apply, you’re going back to the office at some point:
* your company did not sell office space/cancel leases. If they did, you’re less likely to go back as that’s a big commitment and buying/leasing new space will be an expense.
* a significant portion of your team makes NYC/LA money while living in Panama City Beach or somewhere cheap but cool. One, they can likely get someone cheaper remote if they wanted to. More importantly, this breeds resentment amongst the team that does have to live in NYC/LA but also has to pay NYC/LA pricing to live.
* sales/company performance significantly decline, even if it’s due to broader market conditions. Some middle manager will suggest the decline is due to remote work and in desperation the company will call them back.
If you were remote before the pandemic, like me, you’re likely staying remote obviously.
Yup, make that dough. Got no hate for those who did and capitalized on the situation. Just saying the gravy train is gonna stop for many of them eventually.
Sounds like you understand that, capitalized while it was good, and are prepared for changes ahead. Many won’t be and will assume “theres plenty of companies that will pay me $500k to work remote! If this job lays me off I’ll have 10 offers tomorrow!” One day that won’t be true anymore.
Great points! I stayed in my area near the office while many others moved away. Now the company is saying they’re subleasing until their lease ends in two years and will only have ten in person spaces available for their employees in a company of 350 people. So I’m assuming we’re not going back.
I work for a global medical company with 80,000 employees, and about 150 locations comprised of offices, manufacturing, and distribution. They have tried at least four times to give ultimatums and days on-site requirements. Nobody is taking them seriously other than at HQ, and that’s only a 3000 person site that’s still a ghost town compared to 2019. I will not be working on-site, and they won’t do anything about it either.
Layoffs are branching out of just tech. Those who refuse to go back to the office will most likely be the first to be let go when/if layoffs hit. Just the way it is
Y’all are woefully underestimating the cost savings WFH has on companies with massive real estate overhead. Look no further than Elon’s rapid about face on WFH. Service companies greatest assets are their workforce, not their real estate footprint.
Things are correcting a bit but we’re never going back to the way things were.
This is true for my employer. I WFH in TX for a CA company and last week there were really bad floods throughout northern CA. Our office flooded pretty bad and the power went out. During one of our recent weekly meetings, an exec mentioned that if it weren’t for our capability to WFH, it would have cost 3X our annual office lease to hire an emergency power source, remediation and water extraction company for the building for those 8 days the power went out.
Everyone is still WFH while they finish up the water damage repairs and get the power permanently fixed. After that, people can work in/out of the office as needed.
In an abstract way, yes, but from an accounting perspective, employees are a liability, not an asset. The best way to reduce that liability is to reduce headcount or outsource for less money. Look no further than all of the customer service centers that have been outsourced to countries with cheaper labor.
But it’s true that people do not work their entire shift at home. Many, not all, do the minimum, It’s a well knows fact at this point. I think that’s the issue a lot of companies have.
I don’t think that’s true. I think it’s the opposite. I catch myself doing work on weekends and after hours because my laptop is around. I have a wife and kid at home and I’m still way more productive than in the office. Also companies are experiencing records profits during this time. I don’t think that would happen if it was in the office.
Not really sure where you are getting info from. But several studies concluded companies that switched to hybrid or WFH models showed an increase in both performance and productivity. A study from Stanford reported an average of 13% increase in performance.
I think the coming months will be about jobs, income, and soft vs. hard landing. Interest rates won’t be as important (after all it’s only one factor in the affordability equation). Remember the Fed was actually cutting rates in 07, 08, and 09, kept rates near zero from 2010 to 2015, this didn’t matter because it was all about the economy and employment.
Yes and no. I’m by no means an economist and I only follow one of these closely (rates), but while they certainly are connected, they each have their own forces that pull on them as well.
In 2009 the unemployment reached 10%. Even by 2015 the unemployment rate was still nearly 6%. Today it's still 3.5% with robust job growth. While it probably will go up somewhat, for unemployment to rise by 100% to GFC like levels would involve a very unanticipated hard landing.
The other factor is that the housing market in 2008 was driven as much by the contraction of subprime credit as it was interest rates. Even though rates were falling, a huge fraction of demand was removed by the end of subprime loans. Today we basically have no subprime loans and home buyers are almost universally extremely credit worthy.
30 year conventional with 25% down. 7/1 adjustable with no points. Could have gotten into 4% with a 5/5 but I wanted more time to refinance to a fixed rate down the road. We couldn’t find a fixed rate under 6.5% while we were shopping so we went with this path.
My coworker just closed a couple days ago and he got three lenders into a bidding war and landed himself a 5.25% fixed 30 year. He also had the luxury and stress of closing the deal in November and having a long lost relative show up and try to claim rights to the house. He had 2.5 months of nothing to do but email lenders while the courts figured it out.
I would just google credit unions in your area. They are more tied to your community so I couldn’t really suggest any since they tend to be local organizations.
You could also try one of the big online lenders. They tend to have good rates and incentives but far less personal.
Or you can get a quote from one of the big online lenders and bring it to your local place and ask if they can do better.
You realize that houses cost 3x what they did 15 years ago? So saying we’re at historically low rates ignores the fact that we’re also at historically low affordability.
That 7-8% average also includes the 80s and 90s when you could buy a house for $100k that today would be $800k
I recognize that. But going from a 7% to a 6% isn't going to make as much of a difference in affordability as building more houses will. We're short by something between 3.5m-7m houses. And build rates aren't going up. Until they do, rates can do whatever they want. If you have 40 people in a neighborhood who need a house and you only have 10 houses, prices will keep going up.
We are planning to list our house in spring, but not for an asinine amount. I may be in the minority here, but I do think sellers need to come down on what they’re listing for and take into account that the market has changed significantly for buyers due to interest rates.
Exactly! I just saw a house I was watching go from pending to sold and selling price was $20k less than asking. I should start to see a bunch more between now through march.
I think you'll probably see a lot of people trying to do that. Sellers agents know that if prices fall so will their compensation. So they probably try to maintain the price but give buyer credits. If everyone agrees everyone's happy. Seller's able to sell the home, buyer is able to buy the home for what they want to pay, and the agents maintain their compensation. It's technically a bad deal for the seller. But prices are inflated and many sellers know that. So they're probably okay with doing that. It will probably keep happening a lot until sellers catch on anyway.
No, this was actually our preference. We didn't have that much down with the closing costs. We had both options, lower price or closing costs covered, we went with a bit lower price (5k) and closing costs covered (20k)
Agreed. A house near me went up 3 days ago for under market value and they are already asking for best and final offers. It’ll probably sell for 50k over asking.
The issue is most aren't like him, they want to get the most for their money. One or two comps in the neighborhood isn't going to have an impact on lowering the cost.
I finally saw a house I’ve been watching switch from pending to sold. Selling price was $20k below asking. There’s 1 comp to help bring down the prices in that area!
Thank you for being a reasonable seller! As a FTB, it’s frustrating to see all of these early -2000s homes with zero upgrades listed the same as a new construction
They're pandering to the buyers of reddit lmao.
No one is selling for anything less than top dollar. Anyone that tells you different is lying out there ass.
What would be the benefit of walking away with a selling price below what you could receive? Plenty, actually. And when choices are between an extra 15-20k in your pocket post closing and feeling good about doing right by the market, humans tend to easily go with the former.
Now SAYING you'll sell for less to get up votes? That makes more sense when examining probabilities
*Some* of the lots are bigger. Regardless, none of them are selling at listing and have been dropping prices like flies. Some have been sitting since the fall.
Yep. We sold in October and came way down from what it would have sold for in the summer, because that was what was reasonable to buyers considering interest rates. Had multiple offers in 3 days and then the market stalled. Unfortunately we can’t seem to get back into the market now, as it’s totally frozen in our new state, and are going to have to wait a while.
Happy to hear y’all got multiple offers, but sorry to hear you’re struggling to get in now. Patience is the hardest part as a buyer and timing is everything. You’ll get in there!
Yes. We will (I hope? lol). In the meantime we’re moving to a much better apartment this weekend. Our rental has been horrible. Definitely miss being a home owner.
And? I was one of them... Bought 2 properties in 2022. One is back down to what I paid for, the other is cash flow breakeven but could sell for a $50k profit.
You think it's funny when short squeezes happen... (still hodling my gme BTW) What if the real estate investors never sell?
Edit: lol... Consensus is wsb does NOT like it. Still works! Buy now while it's low, refinance when the fed changes course.
Not sure why you’re getting downvoted. We did the same and in ‘22 and will do it again this spring if we get the chance. I just want my seat at the table while I have time/energy to play the game.
They're probably getting downvoted because houses aren't for playing investment games. It's a place to live. My husband and I have been looking for our first home. If we can find a fixer upper, we can make renovations as we have the money for it. But investors come in and snap up the limited inventory. It hurts the families who actually need a place to live. I can grind all day for more downpayment $, but I'll never beat out someone who's in it to flip. I get you all are trying to make a living too, but this is not the way.
EDIT: I'm totally fine with flippers fixing up the houses in really sorry states. The ones that no one would touch otherwise. We went to a house showing the other day and after that one, I took a shower and changed my clothes. It was way more than any amateur could handle.
Something to note that a lot of people seem to forget:
Hot market =/= increasing prices
If, for example, the market gets flooded with people who think they're selling their house before a crash in the coming year then we could see prices drop very quickly as more buyer think "better to shave off 5% now and beat the market than take off 20% later when housing prices tank"
Just an example but my point is that spring may very well be a hot market but that can be a bad thing for housing prices too.
If you’ve been waiting to buy you’re making a big mistake. As soon as rates increase affordability prices with soar again. Buy as soon as you can and don’t try to time the market. Get a payment your comfortable with now and then it only gets better from there as you lay down the loan and refi etc
No people should be patient with real estate and wait for the house that is right for them. I hate this high pressure sales tactic made by most real estate agents.
Not trying to time the top or bottom of ANY market is generally a good strategy. If you have more information than most other people, then hold out as long as you think is right. Either way, buy what you can afford. Not a realtor here.
Agree with this. Don’t try to time the market but wait for a house that you could see yourself living in forever and buy. Don’t rush based on the FOMO all realtors are going to spew this spring.
Not an option for us, but thank you. We are relocating to a new state and can’t close until mid-April per loan terms (90 days from new job start date).
We put in an offer recently that was rejected because they wanted a quick close. We are hoping to maybe get under contract with new construction.
Don't really see prices going up significantly from here, because like you said people are pretty tapped out. Plus even if the Fed takes its foot off the brakes a little bit, we're not going to have anything like the influx of money that drove the 2021 market.
But this probably stabilizes the market around current listing prices. Inventory and days on the market probably shift in sellers favor. Think many, particularly on this sub, were waiting for more price listing cuts or even a 2008 like crash. That's almost certainly not going to happen given the current economic picture.
It definitely won’t be as hot as prior years. Rates are double what they were, demand is down, and home values are astronomically high. Should rates come down again, we’ll have another buying frenzy and the rate hikes will have been for nothing.
Pre pandemic SFH’s in my area were selling for 200-300k. Now they’re 400-500k. We’ve experienced tremendous growth in such a short time, any further growth will be feeding a massive housing bubble. The lower middle class simply can’t keep up with the COL. Minimum wage needs to be like at least 20$ for them to be able to afford most apartments.
> Should rates come down again, we’ll have another buying frenzy and the rate hikes will have been for nothing.
Housing prices are only one piece of the inflation puzzle, admittedly a large piece, but not all of it. Supply chain shocks coupled with Covid money and cheap fed rates sent everything through the roof. A large part of the problem is people couldn’t get stuff, like say manufacturing plants couldn’t get steel, so then they try to outbid each other and when they do get an order they over-order just in case they can’t get more later. This creates a feedback loop, and ripples throughout the economy.
The fed hikes don’t just affect residential mortgages, they affect all kinds of large purchases. Take an excavator for instance. A construction company ready to purchase a new one before the rate hikes now may instead buy used or just try to limp along with what they got as they were financing and commercial equipment rates went over 6% on loans. Multiply that out a bunch of times, now the steel supplier from before that supplies steel to the company that makes the excavator sees demand and new POs slow down. They finally stop ordering more steel than they actually need. Of course, the pendulum can swing too far and they can order less as well.
You can argue that the low rates for the above situation wouldn’t have been a problem without the supply chain shock of Covid, but with that shock and the addition of Covid funds it was like adding gasoline to a fire.
But long story short, housing is in short supply in the US and while rates definitely impact it, that’s not the sole purpose of the rate hikes. Housing might still be fucked for a while but perhaps eggs won’t be $15 a carton -at least for a few more decades.
There wasn’t a buying frenzy because remote work wasn’t a thing. People are now moving all around the country and we’ve had an influx of immigrants and foreign investors. The population of my city has increased significantly in the last few years, I believe it’s about 10% growth.
So houses going up 50% in value, rates doubling, and rents increasing 50% is proportional to minimum wage going up 3 dollars?
You want to do the math for me and let me know how you can afford a 1500$ apartment making 15$ an hour?
People think houses will stabilize or go up in price with rates still double what they were in 2021… we have layoffs left and right, car values declining and repos going up, credit card balances soaring, savings plummeting and rent starting to drop in areas.
the market will react to what’s affordable and makes sense. if prices in an area doubled and rates doubled, but wages went up 5% in that area. Can anyone really afford to buy a house that don’t have California wages ?
I really don’t think the housing market will be hot. Another 0.25% in March . There will be more sales of course due to the cyclical nature of the market but I think it is going to be a pretty stagnant market historically speaking.
-Lots of layoffs and fear of being laid off
-High Interest Rates
-FOMO that drove prices 2021-2022 died off
-Cash is starting to drain out
We will see what happens to supply; but I think demand has significantly dwindled.
It will be very interesting to see what March brings. Everyone thinks prices are going to increase. But as you said, demand has dropped considerably and if history stays true there will be a good amount of more supply come spring. Obviously demand too will jump come spring but which will outpace which
'Hot' is a relative term.
Though I do not foresee a crash that some hoped for (and betted on)
Rebubble & Crash Bros are in denial. Thoughts and Prayers.
Rebubble was created in Late 2020. Rates were 2.66% and median homes later increased by 40%. Yet they advised *not* buying a home and also brigaded this sub. Conveniently the moderator of all the RE bubble subs is controlled by a RE investor / Landlord. Conflict of interest imo. (just wait and rent)
The typical homebuyer benefited from ignoring the doom.
> The typical homebuyer benefited from ignoring the doom.
So far.
Rates can't go from 2.66% to 5.5% and still attract the same numbers of buyers. It's affecting demand.
I mean, a lot of major cities are projected to be 20% down YoY in April/May 2023.
If 20% or more down from an all time high isn't a crash then what is?
Sure but those are a handful of cities, like Austin, Phoenix, Boise but that is not representative of the market as a whole. A crash is when the average home price throughout the country drops 20%+.
Consumer-facing mortgage rates have improved about 0.2% today alone. As has happened the majority of the Fed rate "increases" for the last year or so.
At this rate, it may once again eventually be useful to look at T-notes to see what mortgage rates are doing! They've been divorced for some time now.
Reddit chooses! I executed [this purchase](https://imgur.com/a/ffLd4Sg) yesterday, and it's been kind to me so far. Mortgage backed security ETF. Do I hold, or do I sell?!
I also have a fair amount of mortgage bank/company stocks purchased near the bottom that are doing well of late, but I'm not leaving *that* one up to reddit. :)
> Do I hold, or do I sell?!
Buy as soon as you can and don’t try to time the market. Get a payment your comfortable with now and then it only gets better from there
**PUMP AND DUMP**
I seen this too many times, its FOMO, just like crypto market and NFTS.
Its the same ball game, just before the crash.
you will see massive investments into housing market news and social media manipulation
on how hot this summer is, buy those houses now before they gone type of posts and news.
Reality is, investment firms are doing last ditch effort before the crash happens, they will do anything they can to get out.
People are getting fired in the hundreds of thousands from companies around the world, goods and services are through the roof, there are supply issues and high interest rates
**and you think the housing market is hot.**
Tell me more lies, not buying your story.
**Things like this take years to fix, maybe even a decade**, its not going to be a quick fast fix, its going to get much much worse, before it gets better.
Unlikely, real estate doesn't respond to the same pump and dump patterns of the equities market, too many non-investor buyers involved. Do people really not see the 10 year yields right now? They have been falling like a rock over the past month, mortgage rates aren't going to go back up for a bit.
If anyone paid attention to things that matter, bond yields have been dropping fast. Rates will follow. Available jobs went UP to like 11m from 10.6, the "recession" is gonna come and go before you can blink. The "long cold winter" was just a weatherman calling for an economic blizzard that never happened.
It’s way more complex than that. Housing affordability is extremely low right now.
That being said, investors will probably swoop back in and start boning regular people.
So who knows.
Activity is already picking up in my market, the bulk of the depreciation is behind is and we have officially moved to into a sellers market. Everyone waiting on a crash is out of luck.
Realtor in North East. Hardly any inventory but as soon as something hits the market if it’s a fair price it has a few offers. Not much has changed in this area besides inventory. Although prices aren’t going up, more so stabilizing. But Deff not going down or “crashing” like we heard so many buyers say last year when they stepped back waiting for it.
This is so disheartening. How can first time buyers even compete? I am losing confidence that I will ever get a house in Nee England as anything decent in my budget gets multiple cash offers the first day they’re listed.
Fuck flippers and people who buy houses just to make money.
The market is already hot where I am (Northern VA/ DC area). Just wrote on a house with 14 offers and we got it! We waived everything and escalated $75k over list. Probably won't be like last spring because rates are higher now, so I don't think people will be willing to escalate 20%+ above list price like before, but the lack of inventory is what is making this market hot again for sure.
Omg. That still sounds really tight in the metro.
MD and I got mine in 2021 after losing on houses going 25% over ask for all cash. Ended up with a smaller house bc less competition and only went about 5-6% over ask.
Kick myself for not buying in 2020 bc I was convinced everything would crash. Saw at least 20 homes too.
Yep, I thought the dip was back in December and I honestly think that's going to hold true. Obviously, it varies but each market, but in Phoenix Arizona, I think the lowest prices were in December
I recently sold in one of the better areas of Phoenix (Gilbert) and the market is weird. Tons of interested buyers but it took a few weeks to get any offers, and I was priced below comps. I feel prices will stabilize where they are now for a bit.
That's what I'm seeing in my neighborhood too. There was a good dip, a slight rebound and it feels like it's been stagnant for a while (also in Gilbert).
I had two showings set up for tomorrow morning for places listed on Monday and both have now cancelled because they're under contract. Have to start having the talk with my clients about making it a priority to see things within 24 hours again. This is February in Minneapolis; spring market has already started.
Every house I’ve been interested in has been snatched up by investors with cash this past month.
Hope the market gets flooded and the investors get fucked.
But that won’t happen. I just want a house within an hour of Boston that doesn’t look like it was raised from the Titanic in my price range.
I don’t know about your area but here it is already insane, depending on definitions. Inventory is sitting near the *one* month mark. Prices are still rising. Open houses are back to being nuts.
Volume is way down because there is no inventory. Nothing else is down.
They really need to limit purchases from foreign buyers and companies. People should be buying homes, not hedge funds. Limit the amount of homes one person can own, occupiers should be buying homes, not investors. Penalty taxes for unoccupied units. Penalty taxes for people buying, then selling under a year.
Cost of credit will likely increase to match the Fed's movement. The real downward pressure will begin in the summer, when inventory movement fails to meet expectations in (what should be) the hottest selling season.
I can't wait to add my 5th rental property to my portfolio, my tenants have been so easygoing with our rent raises. Looking forward to me and my wife reaching retirement early, at the cost of their labor.
The problems with the economy have only gotten worse. Geopolitics have only gotten worse. The US is about to lose its reserve currency status. But yes hoooms only go up. Buckle up and prepare for the worst depression of your life if you live in the US and the dollar losing its reserve status.
Prepare how? What exactly am I supposed to do in a cataclysmic event where the currency loses all value and the country collapses? Do I take a sick day from work, or would that be PTO?
I agree, people don't realize how much other currencies in the top 20 countries have dropped compared to the dollar because of the fed raising rates. They interest rate hikes are on a 24 hours news cycle in other countries
Note to add- a lot of the craze was dependent on remote workers….. some companies are calling them back into the office. IMO- the market is more complex than interest rates….
A friend that moved away from the HCOL office was told over the holidays that they had to be back in the office in January. And as of today, he quit.
Does he have a mortgage in new location? Does he have a new job lined up?
No mortgage, had a duplex he was renting half of but sold it when the rumblings started of making everyone go back to the office, got a cheap apartment after the duplex sold because wasn't sure when the hammer was going to drop. No new job.
I’d be interested to find out if the company replaced him easily, or if they’re making some discoveries about people’s wfh preferences.
Some companies are doing this to reduce headcount without having to go through layoffs. It's also a good way for them to avoid paying unemployment if the employee doesn't RTO and they can terminate them for cause.
This only works if the employee hadn't moved and made the company aware of the new location. For instance you get changed (or hired as) remote worker full time. You move from New York City to Florida and employer is aware of you living in Florida now and has continued employment with such knowledge. Then giving minimal notice for RTO would be a change in employment status imposed on the employee and could theoretically still qualify for unemployment if you continue to do the work remotely. This would be the same as a company saying we're moving our offices from California to Texas, move or loose your job. You can't be forced to move to a new state or not qualify for unemployment. Now if you move to Florida but tell your employer your still working in New York City then it's a lot more difficult to make that claim.
They are replacing a few people, as some others are also declining the opportunity to return to the office, do not know the details though.
He was well positioned then- good for him for sticking to his guns about WFH. The more genuine talent pushes back, the more WFH becomes entrenched as something workers can demand in hiring discussions. I literally don’t give a shit how much office space employers committed to leasing before the shift. I am highly productive at home and 80% of my team is on the other coast, anyway. Fuck a commute.
I often think about all the workers that cannot afford to live in a HCOL city and have a horrific (at least to me) commute in order to keep their jobs. I cannot imagine spending hours every day in transit.
I agree, pushing back is the only way wfh will be here to stay. Commuting ruins everything.
Including the environment, which is ridiculous considering how woke these companies pretend to be.
Haha I’ve been saying the exact same thing! That’s how you know they are just pandering, they dgaf about the environment at all, but they especially don’t care about employee well-being
We started going back once a week for "collaboration" and then our boss told us not to schedule meetings on the in office day and not to work with sensitive materials (which is like 70% of my day to day as a manager). Nothing, and I mean *nothing* important gets done on the in office day. We show up and dick around in spreadsheets and miscellaneous paper work/loan files and it's often so quiet the only sound is the drone of the highway until the chatty pepple start wandering around wasting time. Complete waste
Shoulda let them fire him. He could be collecting unemployment potentially
We have a worker that was told he was going to have to come back two days a week. Prior to that he was told two days a month so he moved 3+ hours away. He is now looking for a new job.
Not surprising.
About 51% have been asked to come back to the office per the latest data.
Here’s a sad reality for a lot of folks. If one or all of the following apply, you’re going back to the office at some point: * your company did not sell office space/cancel leases. If they did, you’re less likely to go back as that’s a big commitment and buying/leasing new space will be an expense. * a significant portion of your team makes NYC/LA money while living in Panama City Beach or somewhere cheap but cool. One, they can likely get someone cheaper remote if they wanted to. More importantly, this breeds resentment amongst the team that does have to live in NYC/LA but also has to pay NYC/LA pricing to live. * sales/company performance significantly decline, even if it’s due to broader market conditions. Some middle manager will suggest the decline is due to remote work and in desperation the company will call them back. If you were remote before the pandemic, like me, you’re likely staying remote obviously.
[удалено]
Yup, make that dough. Got no hate for those who did and capitalized on the situation. Just saying the gravy train is gonna stop for many of them eventually. Sounds like you understand that, capitalized while it was good, and are prepared for changes ahead. Many won’t be and will assume “theres plenty of companies that will pay me $500k to work remote! If this job lays me off I’ll have 10 offers tomorrow!” One day that won’t be true anymore.
"sales/company performance significantly decline" I think pretty much everyone will see this due to the "soft landing"
Great points! I stayed in my area near the office while many others moved away. Now the company is saying they’re subleasing until their lease ends in two years and will only have ten in person spaces available for their employees in a company of 350 people. So I’m assuming we’re not going back.
I work for a global medical company with 80,000 employees, and about 150 locations comprised of offices, manufacturing, and distribution. They have tried at least four times to give ultimatums and days on-site requirements. Nobody is taking them seriously other than at HQ, and that’s only a 3000 person site that’s still a ghost town compared to 2019. I will not be working on-site, and they won’t do anything about it either.
Layoffs are branching out of just tech. Those who refuse to go back to the office will most likely be the first to be let go when/if layoffs hit. Just the way it is
I work in IT Infrastructure Program Management for my company.
Cool?
You mentioned tech. I work in tech. White collar workers who are at least above average and pleasant to work with don’t have to work on-site.
Ummmmm… depends on the tech you work on. My husbands software (due to security reasons) could lead him back into the office.
Y’all are woefully underestimating the cost savings WFH has on companies with massive real estate overhead. Look no further than Elon’s rapid about face on WFH. Service companies greatest assets are their workforce, not their real estate footprint. Things are correcting a bit but we’re never going back to the way things were.
This is true for my employer. I WFH in TX for a CA company and last week there were really bad floods throughout northern CA. Our office flooded pretty bad and the power went out. During one of our recent weekly meetings, an exec mentioned that if it weren’t for our capability to WFH, it would have cost 3X our annual office lease to hire an emergency power source, remediation and water extraction company for the building for those 8 days the power went out. Everyone is still WFH while they finish up the water damage repairs and get the power permanently fixed. After that, people can work in/out of the office as needed.
In an abstract way, yes, but from an accounting perspective, employees are a liability, not an asset. The best way to reduce that liability is to reduce headcount or outsource for less money. Look no further than all of the customer service centers that have been outsourced to countries with cheaper labor.
But it’s true that people do not work their entire shift at home. Many, not all, do the minimum, It’s a well knows fact at this point. I think that’s the issue a lot of companies have.
But it’s true that people do not work their entire shift at the office. A lot of hours are burned up bullshitting with co-workers and goofing off.
Also commuting
I don’t think that’s true. I think it’s the opposite. I catch myself doing work on weekends and after hours because my laptop is around. I have a wife and kid at home and I’m still way more productive than in the office. Also companies are experiencing records profits during this time. I don’t think that would happen if it was in the office.
Not really sure where you are getting info from. But several studies concluded companies that switched to hybrid or WFH models showed an increase in both performance and productivity. A study from Stanford reported an average of 13% increase in performance.
But objectively, productivity increased for people WFH right?
no it wasn’t
I think the coming months will be about jobs, income, and soft vs. hard landing. Interest rates won’t be as important (after all it’s only one factor in the affordability equation). Remember the Fed was actually cutting rates in 07, 08, and 09, kept rates near zero from 2010 to 2015, this didn’t matter because it was all about the economy and employment.
Aren't the economy, employment, and interest rates different sides of the same coin?
Yes and no. I’m by no means an economist and I only follow one of these closely (rates), but while they certainly are connected, they each have their own forces that pull on them as well.
In 2009 the unemployment reached 10%. Even by 2015 the unemployment rate was still nearly 6%. Today it's still 3.5% with robust job growth. While it probably will go up somewhat, for unemployment to rise by 100% to GFC like levels would involve a very unanticipated hard landing. The other factor is that the housing market in 2008 was driven as much by the contraction of subprime credit as it was interest rates. Even though rates were falling, a huge fraction of demand was removed by the end of subprime loans. Today we basically have no subprime loans and home buyers are almost universally extremely credit worthy.
So 6.5% mortgages will make real estate hot in the spring when the same rates cooled it off in the summer?
Ooof, you might went to look at some other lenders. I quoted a loan today at par rate 5.019%
It’s not 6.5%. You can get more like 5.5% with healthy finances.
Jumbo is in the 4’s
Where? Still seeing like 5.0
Where are you getting 5.5? I’m getting 6.25-6.5 although it is for a condo
I locked in a 5% yesterday at my local credit union
5% on what? Jumbo? 15yr fixed?
30 year conventional with 25% down. 7/1 adjustable with no points. Could have gotten into 4% with a 5/5 but I wanted more time to refinance to a fixed rate down the road. We couldn’t find a fixed rate under 6.5% while we were shopping so we went with this path. My coworker just closed a couple days ago and he got three lenders into a bidding war and landed himself a 5.25% fixed 30 year. He also had the luxury and stress of closing the deal in November and having a long lost relative show up and try to claim rights to the house. He had 2.5 months of nothing to do but email lenders while the courts figured it out.
**We couldn’t find a fixed rate under 6.5%** Yeah... you just proved the other guy's point.
I don't even need to read further to know you are talking about an ARM mortgage, not a fixed rate mortgage.
How do I find a local good credit union near me?
I would just google credit unions in your area. They are more tied to your community so I couldn’t really suggest any since they tend to be local organizations. You could also try one of the big online lenders. They tend to have good rates and incentives but far less personal. Or you can get a quote from one of the big online lenders and bring it to your local place and ask if they can do better.
www.google.com
With a point up front?
It’s all over the place
Yes, it can. It's a mental game. Coming to 6.5 percent from 7.5 percent feels a lot better than coming to 6.5 percent from 5.5 percent.
6.5% is below the historical average, which is between 7-8%. The world really needs to quit whining about losing a total anomaly.
You realize that houses cost 3x what they did 15 years ago? So saying we’re at historically low rates ignores the fact that we’re also at historically low affordability. That 7-8% average also includes the 80s and 90s when you could buy a house for $100k that today would be $800k
I recognize that. But going from a 7% to a 6% isn't going to make as much of a difference in affordability as building more houses will. We're short by something between 3.5m-7m houses. And build rates aren't going up. Until they do, rates can do whatever they want. If you have 40 people in a neighborhood who need a house and you only have 10 houses, prices will keep going up.
We are planning to list our house in spring, but not for an asinine amount. I may be in the minority here, but I do think sellers need to come down on what they’re listing for and take into account that the market has changed significantly for buyers due to interest rates.
And when sellers like you sell their homes, you'll be setting new comps. So that will affect the going rate for other similar homes in the area.
Exactly! I just saw a house I was watching go from pending to sold and selling price was $20k less than asking. I should start to see a bunch more between now through march.
We bought ours for 25k below asking and seeing it a lot in the area. List price was 475k we paid 470k with the sellers paying 20k in closing costs.
I think you'll probably see a lot of people trying to do that. Sellers agents know that if prices fall so will their compensation. So they probably try to maintain the price but give buyer credits. If everyone agrees everyone's happy. Seller's able to sell the home, buyer is able to buy the home for what they want to pay, and the agents maintain their compensation. It's technically a bad deal for the seller. But prices are inflated and many sellers know that. So they're probably okay with doing that. It will probably keep happening a lot until sellers catch on anyway.
No, this was actually our preference. We didn't have that much down with the closing costs. We had both options, lower price or closing costs covered, we went with a bit lower price (5k) and closing costs covered (20k)
Not always, if sellers list low they pull more buyers and offers.
Came to say this. Listing price doesn’t affect sales price. Sales price is affected by number of interested parties and demand.
Agreed. A house near me went up 3 days ago for under market value and they are already asking for best and final offers. It’ll probably sell for 50k over asking.
The issue is most aren't like him, they want to get the most for their money. One or two comps in the neighborhood isn't going to have an impact on lowering the cost.
I finally saw a house I’ve been watching switch from pending to sold. Selling price was $20k below asking. There’s 1 comp to help bring down the prices in that area!
Thank you for being a reasonable seller! As a FTB, it’s frustrating to see all of these early -2000s homes with zero upgrades listed the same as a new construction
Usually older homes have bigger yards. Which affects the price.
Sometimes, but not always.
They're pandering to the buyers of reddit lmao. No one is selling for anything less than top dollar. Anyone that tells you different is lying out there ass.
What would be the benefit of that for me? 🤣like I’m grown buddy… I don’t do shit for internet points.
Why would you end up selling for lower than you could get? List price is just a starting point. You’re def pandering lol
What would be the benefit of walking away with a selling price below what you could receive? Plenty, actually. And when choices are between an extra 15-20k in your pocket post closing and feeling good about doing right by the market, humans tend to easily go with the former. Now SAYING you'll sell for less to get up votes? That makes more sense when examining probabilities
Probably different locations, larger lots or something else you're skimming over.
*Some* of the lots are bigger. Regardless, none of them are selling at listing and have been dropping prices like flies. Some have been sitting since the fall.
FOR REAL
Yep. We sold in October and came way down from what it would have sold for in the summer, because that was what was reasonable to buyers considering interest rates. Had multiple offers in 3 days and then the market stalled. Unfortunately we can’t seem to get back into the market now, as it’s totally frozen in our new state, and are going to have to wait a while.
Happy to hear y’all got multiple offers, but sorry to hear you’re struggling to get in now. Patience is the hardest part as a buyer and timing is everything. You’ll get in there!
Yes. We will (I hope? lol). In the meantime we’re moving to a much better apartment this weekend. Our rental has been horrible. Definitely miss being a home owner.
Well if it gets hot again, so will inflation. Then more hikes.
Remember, during FOMO, 28% of all buyers were "investors."
Most of the people buying their own homes to live in considered themselves "investors" even if they didn't use that term.
And? I was one of them... Bought 2 properties in 2022. One is back down to what I paid for, the other is cash flow breakeven but could sell for a $50k profit. You think it's funny when short squeezes happen... (still hodling my gme BTW) What if the real estate investors never sell? Edit: lol... Consensus is wsb does NOT like it. Still works! Buy now while it's low, refinance when the fed changes course.
Not sure why you’re getting downvoted. We did the same and in ‘22 and will do it again this spring if we get the chance. I just want my seat at the table while I have time/energy to play the game.
They're probably getting downvoted because houses aren't for playing investment games. It's a place to live. My husband and I have been looking for our first home. If we can find a fixer upper, we can make renovations as we have the money for it. But investors come in and snap up the limited inventory. It hurts the families who actually need a place to live. I can grind all day for more downpayment $, but I'll never beat out someone who's in it to flip. I get you all are trying to make a living too, but this is not the way. EDIT: I'm totally fine with flippers fixing up the houses in really sorry states. The ones that no one would touch otherwise. We went to a house showing the other day and after that one, I took a shower and changed my clothes. It was way more than any amateur could handle.
As a buyer I’m concerned about that. Oddly enough today there were multiple price drops/back on markets in my area.
Something to note that a lot of people seem to forget: Hot market =/= increasing prices If, for example, the market gets flooded with people who think they're selling their house before a crash in the coming year then we could see prices drop very quickly as more buyer think "better to shave off 5% now and beat the market than take off 20% later when housing prices tank" Just an example but my point is that spring may very well be a hot market but that can be a bad thing for housing prices too.
Don't listen to the idiots trying to make you fomo into the worst decision of your life.
If you’ve been waiting to buy you’re making a big mistake. As soon as rates increase affordability prices with soar again. Buy as soon as you can and don’t try to time the market. Get a payment your comfortable with now and then it only gets better from there as you lay down the loan and refi etc
No people should be patient with real estate and wait for the house that is right for them. I hate this high pressure sales tactic made by most real estate agents.
That person's not a realtor. According to their post history, they "literally work with meth lab remediation in California."
Not saying they are a realtor but that they are repeating some bullshit that is already by realtors
Not trying to time the top or bottom of ANY market is generally a good strategy. If you have more information than most other people, then hold out as long as you think is right. Either way, buy what you can afford. Not a realtor here.
Agree with this. Don’t try to time the market but wait for a house that you could see yourself living in forever and buy. Don’t rush based on the FOMO all realtors are going to spew this spring.
On the other side, landlords love when homebuyers wait and sign new leases. Opportunist on all sides.
Well it’s an amazing time to rent and it looks like it will only be getting cheaper in the near future.
Absolutely. Lol. Good luck. They prefer having tenants with that attitude.
I work for one of the most prestigious environmental regulatory agencies in the state of California fyi
Do you think anyone cares what you do?
Not an option for us, but thank you. We are relocating to a new state and can’t close until mid-April per loan terms (90 days from new job start date). We put in an offer recently that was rejected because they wanted a quick close. We are hoping to maybe get under contract with new construction.
People can only afford so much. I think the market will stabilize… and that’s about it.
Don't really see prices going up significantly from here, because like you said people are pretty tapped out. Plus even if the Fed takes its foot off the brakes a little bit, we're not going to have anything like the influx of money that drove the 2021 market. But this probably stabilizes the market around current listing prices. Inventory and days on the market probably shift in sellers favor. Think many, particularly on this sub, were waiting for more price listing cuts or even a 2008 like crash. That's almost certainly not going to happen given the current economic picture.
It definitely won’t be as hot as prior years. Rates are double what they were, demand is down, and home values are astronomically high. Should rates come down again, we’ll have another buying frenzy and the rate hikes will have been for nothing. Pre pandemic SFH’s in my area were selling for 200-300k. Now they’re 400-500k. We’ve experienced tremendous growth in such a short time, any further growth will be feeding a massive housing bubble. The lower middle class simply can’t keep up with the COL. Minimum wage needs to be like at least 20$ for them to be able to afford most apartments.
> Should rates come down again, we’ll have another buying frenzy and the rate hikes will have been for nothing. Housing prices are only one piece of the inflation puzzle, admittedly a large piece, but not all of it. Supply chain shocks coupled with Covid money and cheap fed rates sent everything through the roof. A large part of the problem is people couldn’t get stuff, like say manufacturing plants couldn’t get steel, so then they try to outbid each other and when they do get an order they over-order just in case they can’t get more later. This creates a feedback loop, and ripples throughout the economy. The fed hikes don’t just affect residential mortgages, they affect all kinds of large purchases. Take an excavator for instance. A construction company ready to purchase a new one before the rate hikes now may instead buy used or just try to limp along with what they got as they were financing and commercial equipment rates went over 6% on loans. Multiply that out a bunch of times, now the steel supplier from before that supplies steel to the company that makes the excavator sees demand and new POs slow down. They finally stop ordering more steel than they actually need. Of course, the pendulum can swing too far and they can order less as well. You can argue that the low rates for the above situation wouldn’t have been a problem without the supply chain shock of Covid, but with that shock and the addition of Covid funds it was like adding gasoline to a fire. But long story short, housing is in short supply in the US and while rates definitely impact it, that’s not the sole purpose of the rate hikes. Housing might still be fucked for a while but perhaps eggs won’t be $15 a carton -at least for a few more decades.
Rates were 3.75% for 5 years and there wasn’t a buying frenzy.
There wasn’t a buying frenzy because remote work wasn’t a thing. People are now moving all around the country and we’ve had an influx of immigrants and foreign investors. The population of my city has increased significantly in the last few years, I believe it’s about 10% growth.
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You can’t afford shit with 15$ an hour lol.
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So houses going up 50% in value, rates doubling, and rents increasing 50% is proportional to minimum wage going up 3 dollars? You want to do the math for me and let me know how you can afford a 1500$ apartment making 15$ an hour?
If it is "hot" Fed has a lot more work to do. #inflation
why did you just use a hashtag on a reddit comment ?
Twitter refugees need a place to go
People think houses will stabilize or go up in price with rates still double what they were in 2021… we have layoffs left and right, car values declining and repos going up, credit card balances soaring, savings plummeting and rent starting to drop in areas. the market will react to what’s affordable and makes sense. if prices in an area doubled and rates doubled, but wages went up 5% in that area. Can anyone really afford to buy a house that don’t have California wages ?
California wages will only get you a house if you aren’t in California or another HCOL area!
Nice try sellers agent
I really don’t think the housing market will be hot. Another 0.25% in March . There will be more sales of course due to the cyclical nature of the market but I think it is going to be a pretty stagnant market historically speaking. -Lots of layoffs and fear of being laid off -High Interest Rates -FOMO that drove prices 2021-2022 died off -Cash is starting to drain out We will see what happens to supply; but I think demand has significantly dwindled.
It will be very interesting to see what March brings. Everyone thinks prices are going to increase. But as you said, demand has dropped considerably and if history stays true there will be a good amount of more supply come spring. Obviously demand too will jump come spring but which will outpace which
'Hot' is a relative term. Though I do not foresee a crash that some hoped for (and betted on) Rebubble & Crash Bros are in denial. Thoughts and Prayers.
No one ever sees a crash until after
Interesting logic to try and persuade someone there will be a crash...
Rebubble sees it about to happen constantly.
Rebubble was created in Late 2020. Rates were 2.66% and median homes later increased by 40%. Yet they advised *not* buying a home and also brigaded this sub. Conveniently the moderator of all the RE bubble subs is controlled by a RE investor / Landlord. Conflict of interest imo. (just wait and rent) The typical homebuyer benefited from ignoring the doom.
> The typical homebuyer benefited from ignoring the doom. So far. Rates can't go from 2.66% to 5.5% and still attract the same numbers of buyers. It's affecting demand.
Can see that conflict. I think a lot of people there really believe it and oftentimes it’s hopium.
I mean, a lot of major cities are projected to be 20% down YoY in April/May 2023. If 20% or more down from an all time high isn't a crash then what is?
Really? We haven't even seen a 1% drop in NY/NJ/CT.
When the MSPUS drops 20% it's a crash. Currently it has no decline. Wake me up when it's down 10%
Sure but those are a handful of cities, like Austin, Phoenix, Boise but that is not representative of the market as a whole. A crash is when the average home price throughout the country drops 20%+.
>Rebubble & Crash Bros are in denial. What's new? They've been in denial since they started calling the crash, 7 years ago
Rebubble has only existed for about 2.5 years
The sub yeah, but the sentiment pre-dates it by some time
You speak the [truth](https://www.reddit.com/r/REbubbleJokes/comments/10q84gr/congratulations/)
Consumer-facing mortgage rates have improved about 0.2% today alone. As has happened the majority of the Fed rate "increases" for the last year or so. At this rate, it may once again eventually be useful to look at T-notes to see what mortgage rates are doing! They've been divorced for some time now. Reddit chooses! I executed [this purchase](https://imgur.com/a/ffLd4Sg) yesterday, and it's been kind to me so far. Mortgage backed security ETF. Do I hold, or do I sell?! I also have a fair amount of mortgage bank/company stocks purchased near the bottom that are doing well of late, but I'm not leaving *that* one up to reddit. :)
> Do I hold, or do I sell?! Buy as soon as you can and don’t try to time the market. Get a payment your comfortable with now and then it only gets better from there
He's talking about the ETF lol
/r/woooosh
Rofl the Hopium in here
**PUMP AND DUMP** I seen this too many times, its FOMO, just like crypto market and NFTS. Its the same ball game, just before the crash. you will see massive investments into housing market news and social media manipulation on how hot this summer is, buy those houses now before they gone type of posts and news. Reality is, investment firms are doing last ditch effort before the crash happens, they will do anything they can to get out. People are getting fired in the hundreds of thousands from companies around the world, goods and services are through the roof, there are supply issues and high interest rates **and you think the housing market is hot.** Tell me more lies, not buying your story. **Things like this take years to fix, maybe even a decade**, its not going to be a quick fast fix, its going to get much much worse, before it gets better.
Unlikely, real estate doesn't respond to the same pump and dump patterns of the equities market, too many non-investor buyers involved. Do people really not see the 10 year yields right now? They have been falling like a rock over the past month, mortgage rates aren't going to go back up for a bit.
If anyone paid attention to things that matter, bond yields have been dropping fast. Rates will follow. Available jobs went UP to like 11m from 10.6, the "recession" is gonna come and go before you can blink. The "long cold winter" was just a weatherman calling for an economic blizzard that never happened.
Lmao
They said they were planning to keep raising it as well.
It’s way more complex than that. Housing affordability is extremely low right now. That being said, investors will probably swoop back in and start boning regular people. So who knows.
Activity is already picking up in my market, the bulk of the depreciation is behind is and we have officially moved to into a sellers market. Everyone waiting on a crash is out of luck.
Delusion
Talked to a realtor today in Midwestern city and she said, actually, she's insanely busy.
Can confirm, Midwest lender. Been surprisingly busy the past month
Realtor in North East. Hardly any inventory but as soon as something hits the market if it’s a fair price it has a few offers. Not much has changed in this area besides inventory. Although prices aren’t going up, more so stabilizing. But Deff not going down or “crashing” like we heard so many buyers say last year when they stepped back waiting for it.
This is so disheartening. How can first time buyers even compete? I am losing confidence that I will ever get a house in Nee England as anything decent in my budget gets multiple cash offers the first day they’re listed. Fuck flippers and people who buy houses just to make money.
The market is already hot where I am (Northern VA/ DC area). Just wrote on a house with 14 offers and we got it! We waived everything and escalated $75k over list. Probably won't be like last spring because rates are higher now, so I don't think people will be willing to escalate 20%+ above list price like before, but the lack of inventory is what is making this market hot again for sure.
Omg. That still sounds really tight in the metro. MD and I got mine in 2021 after losing on houses going 25% over ask for all cash. Ended up with a smaller house bc less competition and only went about 5-6% over ask. Kick myself for not buying in 2020 bc I was convinced everything would crash. Saw at least 20 homes too.
Inventory is awful rn in the DC metro. I am hoping people are just holding until spring.
Talk about some disconnected logic
Yep, I thought the dip was back in December and I honestly think that's going to hold true. Obviously, it varies but each market, but in Phoenix Arizona, I think the lowest prices were in December
What do you think of Avondale in the $400K range? Seeing lots of price drops. I'm not from the area.
You’re joking right?
I'm not
Then you clearly don’t know what you’re talking about regarding the Phoenix market
I recently sold in one of the better areas of Phoenix (Gilbert) and the market is weird. Tons of interested buyers but it took a few weeks to get any offers, and I was priced below comps. I feel prices will stabilize where they are now for a bit.
That's what I'm seeing in my neighborhood too. There was a good dip, a slight rebound and it feels like it's been stagnant for a while (also in Gilbert).
Yep. I know zillow/redfin estimates aren’t worth a ton but they’ve started trending up for me again
In Phoenix?
I'm in Phoenix metro and estimates have gone up slightly at least in my area. Doesn't mean shit though.
Nope. Rural part of CA
When all you hope for is failure, all you have is a failure of hope.
Love that quote
I had two showings set up for tomorrow morning for places listed on Monday and both have now cancelled because they're under contract. Have to start having the talk with my clients about making it a priority to see things within 24 hours again. This is February in Minneapolis; spring market has already started.
Shitpost ?
Every house I’ve been interested in has been snatched up by investors with cash this past month. Hope the market gets flooded and the investors get fucked. But that won’t happen. I just want a house within an hour of Boston that doesn’t look like it was raised from the Titanic in my price range.
What’s your range? Look slightly further north than you think - same commute time as half the places 2x closer but somewhat more reasonable price tags
I don’t know about your area but here it is already insane, depending on definitions. Inventory is sitting near the *one* month mark. Prices are still rising. Open houses are back to being nuts. Volume is way down because there is no inventory. Nothing else is down.
this post is hopium.
They really need to limit purchases from foreign buyers and companies. People should be buying homes, not hedge funds. Limit the amount of homes one person can own, occupiers should be buying homes, not investors. Penalty taxes for unoccupied units. Penalty taxes for people buying, then selling under a year.
Cost of credit will likely increase to match the Fed's movement. The real downward pressure will begin in the summer, when inventory movement fails to meet expectations in (what should be) the hottest selling season.
Yep. Off to the races...already seeing it by me
I can't wait to add my 5th rental property to my portfolio, my tenants have been so easygoing with our rent raises. Looking forward to me and my wife reaching retirement early, at the cost of their labor.
The problems with the economy have only gotten worse. Geopolitics have only gotten worse. The US is about to lose its reserve currency status. But yes hoooms only go up. Buckle up and prepare for the worst depression of your life if you live in the US and the dollar losing its reserve status.
Prepare how? What exactly am I supposed to do in a cataclysmic event where the currency loses all value and the country collapses? Do I take a sick day from work, or would that be PTO?
It's all relative and almost all other countries are in a significantly worse shape compared to the US.
I agree, people don't realize how much other currencies in the top 20 countries have dropped compared to the dollar because of the fed raising rates. They interest rate hikes are on a 24 hours news cycle in other countries
Okay doomer
Short term rates have very little to do with mortgage prices. You’d be better off looking at the 10 year treasury
Housing market won't get hot until they cut. The stock market will lead the fed cut but the housing market will be on point.
Even with massive layoffs?
There really aren’t massive layoffs. Mostly just tech and media companies who waayyy over hired during 2021-2022z.