Housing Mkt Correction/Collapse
- Thread starter Chop
- Start date
that part always chaps my ***. it was the gov meddling that forced lenders to lend to unqualified mortgagees. Of course they are going to charge a higher premium for borrower pools that are going to have a much higher default rate. and it attempts to completely absolve those borrowers for their role in defaulting. "placed in mortgages"...friggin financial-illiterate author. To be sure, lenders sold investors a bill-of-goods about the "aggregated debt" quality of MBSs but the original impetus was largely a democratic push to make more people homeowners. (even the ones that hadn't done their part to get there). I firmly support making more people homeowners but the right way to do that is to make more people financially literate and responsible, not by imposing mandates on the lenders. In my opinion, this is THE class that is sorely missing from high school requirements.
Financial Ed 101. Required for graduation. Taken in your spring semester right before you leave school.
--Job hunting
--salary expectations
--stocks
--loans/mortgages
--insurance
--credit cards
Very right about a long overdue correction. Houses got so expensive, many buyers couldn’t afford them on their incomes. Housing prices exceeded the ability of many average folks to pay. It was out of whack—hence the “correction.”
Housing markets labeled ‘high’ risk of a home price drop just spiked 73%—find your local market using this interactive map
It's very regional...
There's a good chart in the article. They're predicting a regionalized drop, with Texas, the South, the Plains, and most of the Midwest largely likely to escape a big drop in housing prices. On the other hand, much of the West Coast, No. Arizona, Idaho, Detroit, Cleveland, the Northeast, and Fort Walton/Destin, Florida are at a moderate or high risk for a very significant price decline.
"While it's fair to call this shift a housing correction, it's far too early to call this a housing bust or housing crash. Right now, we're watching the U.S. housing market try to find an equilibrium amid spiking mortgage rates. If things do get messy, the Federal Reserve could always step in and once again put downward pressure on mortgage rates.
That said, the cooling housing market has seen the odds of a home price decline jump. At least on a regional level."
It's very regional...
There's a good chart in the article. They're predicting a regionalized drop, with Texas, the South, the Plains, and most of the Midwest largely likely to escape a big drop in housing prices. On the other hand, much of the West Coast, No. Arizona, Idaho, Detroit, Cleveland, the Northeast, and Fort Walton/Destin, Florida are at a moderate or high risk for a very significant price decline.
"While it's fair to call this shift a housing correction, it's far too early to call this a housing bust or housing crash. Right now, we're watching the U.S. housing market try to find an equilibrium amid spiking mortgage rates. If things do get messy, the Federal Reserve could always step in and once again put downward pressure on mortgage rates.
That said, the cooling housing market has seen the odds of a home price decline jump. At least on a regional level."
More indication housing prices are flattening out or headed South (at least on the National level):
Housing Market Finally Cooling Down | Bankrate
US home prices are finally starting to drop from record highs — here are the 2 key factors ‘taking a bite’ out of homebuyers right now
Housing market enters recession territory. Here’s what that means — especially for these states in the West
Housing Market Finally Cooling Down | Bankrate
US home prices are finally starting to drop from record highs — here are the 2 key factors ‘taking a bite’ out of homebuyers right now
Housing market enters recession territory. Here’s what that means — especially for these states in the West
Texas Housing Market: Prices, Trends & Forecast 2022
Texas is looking better than most of the rest of the West. I think a good outcome would be a prolonged plateau, where home prices remain relatively flat for a long time. That would give the average-range incomes time to catch up.
Texas is looking better than most of the rest of the West. I think a good outcome would be a prolonged plateau, where home prices remain relatively flat for a long time. That would give the average-range incomes time to catch up.
Housing market alarm as home sales plunge for fifth month in a row
Home sales plunge for 6 months in a row. A major price correction hasn't seemed to hit yet, but sales are tanking. (Nationwide)
Home sales plunge for 6 months in a row. A major price correction hasn't seemed to hit yet, but sales are tanking. (Nationwide)
Alert: US Pending Home Sales Decline by a Staggering 20%
"The drop in sales was nationwide, but the South and West saw the worst of it.
Sales declined 8.9 percent monthly and 19.2 percent from last year in the South. The West took a major hit as sales dropped 15.9 percent monthly and 30.9 percent from June 2021, according to CNBC."
"The drop in sales was nationwide, but the South and West saw the worst of it.
Sales declined 8.9 percent monthly and 19.2 percent from last year in the South. The West took a major hit as sales dropped 15.9 percent monthly and 30.9 percent from June 2021, according to CNBC."
Travis has always been squirrely on valuations...the house I had with an ex in the late 90's (north of 183) remained not too far north of what it was purchased for in '97. The spike in its valuation didn't start until a few years ago (maps.google suggests from the streetview that many improvements have been made). Meanwhile, the house I had in the Westlake area was surrounded by homes that STILL saw bidding wars even after the crash in the '07-'08 period...and the home I was in with a quarter-mil valuation has jumped close to seven figures.
OUBubba
5,000+ Posts
Try reinforcing it with some thin cast iron bands.That plywood around my above ground pool isn't aging like I thought it would.
Bubba,
I told you to hold the line on your personal injury attorney. Obviously, you didn't so there wasn't enough left to spring for redwood. My cousins said if the plywood becomes a problem, reenforcing it with beer cans (not bottles) helps a lot. Stacking them with the pour hole up allows them to fill with water and adds weight for additional stability.
I believe them because the rise in used car prices has hit their business really hard. Not as easy to take a $300 clunker and get hit by a Mercedes as it used to be. I guess the recession really has hit Oklahoma hard.
The U.S. housing market stares down an even bigger economic shock—mortgage rates near 7%
- Pandemic frenzy is hitting the skids as mortgage rates climb
- Index of 20 cities posts first monthly decline since 2012
Mortgage rates near 7% ???
You mean they are climbing back near the historical average? Oh, the horror!!!
And I want the sun to rise in the west tomorrow, and for my wife to suddenly realize my farts are humorous, melodious, and aromatically pleasing.
Is that too much to ask?
Is that too much to ask?
Yes and no. I'm just not sure which answer applies to which question.
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