How many realtors troll these boards? How you going to put lipstick on the housing pig?
NEW YORK (CNNMoney.com) -- The experts expected home sales to drop once the homebuyer tax credit lapsed at the end of April, but the depth of the decrease was shocking.
According to the National Association of Realtors (NAR), pending home sales fell a whopping 30% in May. Their index, which measures signed sales contracts but not closed sales, plunged to 77.6 from 110.9 in April. It's even off 15.9% from a year ago when the nation was barely emerging from the recession.
"The pending home sales report is a disaster," said Mike Larson, a real estate analyst for Weiss Research. "Sales fell off a cliff after the tax credit expired. It's the biggest monthly decline ever and the index is at its lowest level since NAR began tracking it in 2001."
So everyone agrees ( except for the realtors like iloveovervaluedstocks)
that housing is plain going down the tubes.
Y'all wait a year and everything will be 40% off.
The depression is here baaaaaby
Here is the thing that gets me.
People pay $30k extra for a house to get the $8500 housing credit.
Seems better to wait out the housing credit, and then when it expires buy the house you want for $20k to $30k less AND at lower interest rates.
It's the eBay effect - people get so consumed by the bidding race, they end up paying more than retail for a used item.
First time buyers around me are buying hand over fist. The first to buy did it because they thought it was the bottom + the tax credit. Then prices edges up a little, then those on the fence though "now or never" and the second wave went in, then rates fell to historic low and all the pent up demand got unleased. It's not about the tax credit anymore - realtors are pitching again the "buy now or be priced out forever" and scare first time buyers with hyperinflation and loss of savings into buying homes.
Well, since you insist on keeping this thread alive I am going to give it to you like you deserve. Real estate has bottomed. The next move is idiots like you are going to get rent increases like you wont believe. AND, if you as much as put a nail hole in the wrong place you are going to be paying for it big time. Yup, table has shifted and the loser do nothing crowd is about to meet the landlord.
you couldnt be more wrong. every dope that comes out and says housing has bottomed is probably a real estate agent. And even when it does bottom you have years of sideways action. There is MASSIVE strategic default along with 10% unemployment which has to lead to a repricing. It is idiotic to call a bottom when you have millions who cant afford to live in the house now still living there and not making payments.
If you didn’t see this coming, I suggest you get a better doctor…as you have no idea what is really going on in America right now. If you really want to know, the masses have figured out that what is good for the goose is good for the gander: they are walking away from their albatross underwater mortgages..
sister, and take off the rose colored glasses.
Tell your cute little story about how things won't get worse than 225% more downside to some grandpa's and grandma's who were alive in the 1930's. My mother was a child then, and she told us often about how her family was financially comfortable, owning a nice farm debt free with lot's of money saved up by my grandfather....He was VERY FORTUNATE,as he was able to grow food to feed his family and by the mid 1930's he was able to acquire 3 more farms FOR CASH, at about 25 cents on the dollar.....THAT WILL HAPPEN AGAIN.
take her on the great vacation for $10,000 for the two of you....in two years, if you work 50 hours per week, you will be able to recapture that $10,000 by saving a little of your paycheck.
Then, the house you are looking at how, will likely be on the market again, if now for $400k, then for $325K instead. Exccept for this fear you have about 'missing the deal of a lifetime on housing' you seem like a clear thinking person.
Most women don't care if you are owning or renting, only that they want a nice place to live....she will thank you in 2 years!
My take is this. If you are in California, I would be very careful entering the home market here.
But I also think RE is local and my advice is that each situation differs.
Someone posted that I was a fraud, and that since I changed my ID, my opinion is worthless.
I suggest you google pending home sales and see what the experts are saying.
Most see a 25-30% decline, and only a few see a frightening 50% decline.
So buy in 6-9 months and you will be happy.
If you need to give yourself all 5 stars with all your other aliases, you must be a selfless person. You're only fooling yourself and the meek here. Real estate agents make their money from commission, buying and selling, not encouraging others to NOT BUY. LOL
This is a joke. 5 star yourselves all you want. LOLLOLOLOLOLOLOLOl
Sellers are still insanely unrealistic. We've got sellers listing properties at 155% of local selling prices. People who bought at the top still think that they can recoup their purchase price plus appreciation over and above that peak price. Ridiculous! Not buying because the sellers are nuts!!!
I have to agree with that, in fact, one house we were kinda interested in just jumped from 440 to 500k, I don't know why but it did.
Here's another one we tried to get.
a guy baught it 4 weeks ago, did a few upgrades, and listed it for 475k, it's been on the market less than 3 weeks since then and someone already has an offer on it, there's another one on the street for sale by owner for 498k, there's people buying them up though.