I was so close and now I’m shut out

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

[Anonymous]

Anonymous wrote:
If you hesitated to buy before, it means you weren't quite wealthy enough. You would have been house-poor and of course, being who you are, we'd have read all about it in one of your whiny posts.

So... be happy with what you have, and consider that most people in this area cannot afford what you can afford. DCUM is a rarified sphere indeed.

OP was "wealthy enough" to have easily afforded a $950K house in 2020 when rates were rock bottom. But instead, OP wanted to wait to save for a "perfect" then-priced $1.2m house. Now OP's $1.2m dream house costs $1.6m and rates are 6%.

OP could've compromised and bought the $950K house, which is now probably worth $1.15m. That would be a nice $200K increase in OP's net worth in two years without doing any real work other than deploying a downpayment and moving houses.

Moral of the story: buy what you can when you can afford it, especially if interest rates are at historical lows.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

You're seeing "price stickiness" at work: https://www.investopedia.com/terms/p/price_stickiness.asp

This is especially true of real estate - "Often the price stickiness operates in just one direction—for instance, prices will rise far more easily than they will fall."

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

In this area, only all cash over ask offers were winning.

[Anonymous]

So much of this thread reeks of UMC people who could "only" afford $700k in 2020, were locked out of the White schools - oops, sorry I meant W schools - and are insecure and lashing out at someone who has a little more money than they do.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

“Preposterous?” Really? As a buyer, one of my main considerations was interest rates!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

You're seeing "price stickiness" at work: https://www.investopedia.com/terms/p/price_stickiness.asp

This is especially true of real estate - "Often the price stickiness operates in just one direction—for instance, prices will rise far more easily than they will fall."

Thanks for the unsolicited and irrelevant economics lesson

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

“Preposterous?” Really? As a buyer, one of my main considerations was interest rates!

Okay? If you can predict the exact timing and degree of rate increases and how specifically that will impact home prices in your target neighborhood, and when, then you are in a very, very small (nonexistent) group of buyers.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

“Preposterous?” Really? As a buyer, one of my main considerations was interest rates!

Okay? If you can predict the exact timing and degree of rate increases and how specifically that will impact home prices in your target neighborhood, and when, then you are in a very, very small (nonexistent) group of buyers.

Not saying I could predict it exactly, but when I started looking and paying attention to the fed, I knew I had to act quickly. All my friends and coworkers always talked about interest rates when we discussed buying real estate.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

“Preposterous?” Really? As a buyer, one of my main considerations was interest rates!

Okay? If you can predict the exact timing and degree of rate increases and how specifically that will impact home prices in your target neighborhood, and when, then you are in a very, very small (nonexistent) group of buyers.

A lot of people knew that increased rates, which were telegraphed by the Fed, would lead to costlier mortgages. Rates were around what they are now before 2008, when the Fed started keeping the economy afloat with record low rates. A lot of people on here need to pay more attention to financial news than the latest news about Trump or Biden. Too much of people’s bandwith is consumed obsessing over things that are out of there control.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

Same with me OP, bought in early 2022. This board was crowing that anyone buying at that time was an idiot and I felt almost sick about overpaying (which I did, but not compared to what I would have to pay now as a non-cash buyer) but we really had to move (and we had a house to sell, so we were hedged a bit).

We all knew interest rates were going up but no one knew what prices would do in response. So far it hasn't been a boon to buyers but it's still possible they will drop further or crash

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

“Preposterous?” Really? As a buyer, one of my main considerations was interest rates!

Okay? If you can predict the exact timing and degree of rate increases and how specifically that will impact home prices in your target neighborhood, and when, then you are in a very, very small (nonexistent) group of buyers.

Not saying I could predict it exactly, but when I started looking and paying attention to the fed, I knew I had to act quickly. All my friends and coworkers always talked about interest rates when we discussed buying real estate.

Everyone knew interest rates were going up by end-2021. The question was what prices would do in response. That still isn't totally clear

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Feel free to share any 2021 articles or clips of any news broadcast that suggested to buyers that they should buy ASAP before interest rates go up. What I saw in the news was more along the lines of: https://www.cnn.com/2021/06/16/homes/us-housing-market-offers/index.html

What do homebuyers have to do to get a house in this cutthroat real estate market? Offer sellers a Caribbean vacation? Bid $1 million over the asking price? Pay a competing bidder hundreds of thousands of dollars to walk away?

What about buying two homes just to live in one?

Here you go:
https://www.sfgate.com/realestate/article/Sound-Off-Why-are-interest-rates-so-low-and-how-15820006.php

The article literally ends with this sentence:
"If you haven’t taken advantage of these low rates I suggest you reach out to your lender and get the process started, you’ll be happy you did."

The one article from 2020 that you found includes the following:

Interest rates are likely to stay low for years as the economy fights its way back from the coronavirus pandemic, according to Federal Reserve Chairman Jerome Powell. He was quoted as saying “We think that the economy’s going to need low interest rates, which support economic activity for an extended period of time—it will be measured in years. However long it takes, we’re going to be there—we’re not going to prematurely withdraw the support that we think the economy needs.”

It looks like buyers will have access to low rates for years to come......perhaps not as low as they are now, but very low from a historical standpoint.

They did stay low and they are still low by historical standards.

You're really reaching here. None of the above (including the one article you found from 2020 - when I asked for 2021 - from a local publication across the country, in which it clearly conveys that interest rates will remain low for "years") suggests buyers should have reasonably been able to predict the largest and most rapid increase in interest rates since the early 1980s.

By the end of 2021, the writing was on the wall. In early 2022, the fed signalled it would likely raise rates at each of the remaining meetings last year. If you were on the sidelines, should’ve jumped in. Many others did.

We did jump in and buy in 2021, thanks for your concern. As someone who made the right choice in your mind, I can tell you it had nothing to do with what we predicted with respect to the market or interest rates. We really just needed a house. We went in believing we were buying at the worst possible time. News reports about the market were all over the place. Many people thought once interest rates went up, prices would go down. That hasn't happened yet.

A close friend who sat out the market in 2021 was thinking of sitting it out again in 2022. I as a non-expert who happened to be reading a lot of articles about real estate didn't say "get in now, the fed has signalled they will raise interest rates". I said, "Unless you think there is going to be a large increase in housing supply in your city, things are not going to get better for buyers". I had zero awareness of what was going on with interest rates. I'm obviously not saying that to brag. It's just preposterous to expect regular buyers to be able to predict how rises in interest rates will impact their ability to buy a home, and when.

“Preposterous?” Really? As a buyer, one of my main considerations was interest rates!

Okay? If you can predict the exact timing and degree of rate increases and how specifically that will impact home prices in your target neighborhood, and when, then you are in a very, very small (nonexistent) group of buyers.

Not saying I could predict it exactly, but when I started looking and paying attention to the fed, I knew I had to act quickly. All my friends and coworkers always talked about interest rates when we discussed buying real estate.

Everyone knew interest rates were going up by end-2021. The question was what prices would do in response. That still isn't totally clear

Yes, agree. But I did the math for myself looking at various price points and determined it was better to buy.

Not saying OP could have known exactly but even a minor raise in rates on a $1.2 million house would be substantial.

[Anonymous]

Anonymous wrote:So much of this thread reeks of UMC people who could "only" afford $700k in 2020, were locked out of the White schools - oops, sorry I meant W schools - and are insecure and lashing out at someone who has a little more money than they do.

Lol that’s OP you’re describing.