Is the housing market overheated?

[Concrete Pete]

I’m a millennial. I’ve been saving for a house for years. I had planned to buy this past year but prices keep going up. So, I’ve given up on buying a house. I’m confused as to how so many people can have so much money. I guess I’m either pore as dirt or there’s a lot of fake money out there. Kind of feels like my life’s been on hold because everything is so unaffordable.

Hey have you tried cutting back on ‘luxuries’ like Starbucks or Chipotle? How about reducing your bills for streamers services like Netflix???


Sorry, I am sympathetic to your situation. I’m not being serious. Just giving you boomer advice as a joke.

 

[Concrete Pete]

Housing isn’t going down in GA. It’s important to be specific about location with regard to real estate.

You may see the rate at which housing prices are rising soften some, but we won’t see ‘08. For one, they didn’t over build this time. For two, institutional money is in the single family home market for the first time ever. Blackrock can pay inflated prices all day. They’ll hold the real estate and make their money on rent (and appreciation) over the long term.

 

[mguthrie]

Housing isn’t going down in GA. It’s important to be specific about location with regard to real estate.

You may see the rate at which housing prices are rising soften some, but we won’t see ‘08. For one, they didn’t over build this time. For two, institutional money is in the single family home market for the first time ever. Blackrock can pay inflated prices all day. They’ll hold the real estate and make their money on rent (and appreciation) over the long term.

This post doesn’t fit the negative nancies narrative. They’ve been saying everything is going to crash at any moment. I frame houses for a living. The tract builders have slowed a good bit but most of what we do are pre sold custom homes. My builders are telling me they’ve got work through the end of the year right now. They don’t build very many spec homes but the ones they have built have gone under contract as soon as they get listed. The demand is still there and like you said, they haven’t over built and inventory is still low.

 

[Concrete Pete]

This post doesn’t fit the negative nancies narrative. They’ve been saying everything is going to crash at any moment. I frame houses for a living. The tract builders have slowed a good bit but most of what we do are pre sold custom homes. My builders are telling me they’ve got work through the end of the year right now. They don’t build very many spec homes but the ones they have built have gone under contract as soon as they get listed. The demand is still there and like you said, they haven’t over built and inventory is still low.

You will stay busy. The major builders are gobbling up lots (like DR Horton) in GA.

Yes, things are slowing down to a normal pace in other states (PA, IN, NM), but we aren’t looking at a 2008 crash in GA.

Even in places where things are slowing down to normal like IN there a specific markets that are full steam ahead compared to a decade ago (Indianapolis is an example).

 

[Kev]

Hey have you tried cutting back on ‘luxuries’ like Starbucks or Chipotle? How about reducing your bills for streamers services like Netflix???


Sorry, I am sympathetic to your situation. I’m not being serious. Just giving you boomer advice as a joke.

Seems you like to stereotype. I live in a $500 camper for 3 years on a family timber tract. I did that so I could save every dime I made. There’s not a Starbucks or chipotle within 50 miles of where I live. I don’t have TV because it’s not worth the money to me. Since I posted what you quoted, I already bought a house and actually got a good deal on it. It was a golden nugget though.

 

[Concrete Pete]

Seems you like to stereotype. I live in a $500 camper for 3 years on a family timber tract. I did that so I could save every dime I made. There’s not a Starbucks or chipotle within 50 miles of where I live. I don’t have TV because it’s not worth the money to me. Since I posted what you quoted, I already bought a house and actually got a good deal on it. It was a golden nugget though.

I think you missed the ‘I’m not being serious’ part of my post, but good for you glad things are lookin up bud.

 

[earlthegoat2]

Seems you like to stereotype. I live in a $500 camper for 3 years on a family timber tract. I did that so I could save every dime I made. There’s not a Starbucks or chipotle within 50 miles of where I live. I don’t have TV because it’s not worth the money to me. Since I posted what you quoted, I already bought a house and actually got a good deal on it. It was a golden nugget though.

A lot of millennial based financial advice eschews that Starbucks narrative too.

It’s just what folks who lived in times of strong unions, high returns on savings accounts and all other investments, lower marginal cost of housing, vehicles, and healthcare, and higher marginal wealth through their prime earnings years like to say to tell us we are all lazy and entitled.

I have taken to telling them to kindly pound sand. They are quite out of touch living on pensions that hardly exist today and way higher marginal retirement wealth then we are predicted to have working twice as long.

 

[westcobbdog]

Market is slowing some but still decent.

 

[livinoutdoors]

Im tellin ya boys there's no end to the gold in these hills! Skys the limit see? Dont let those fools over there hidin behind their economic lessons scare ya away from makin your fortune!