Reply to Why do expert say: Buckle in for a brutal free-fall in home prices

Forum Index » Real Estate

Reply to "Why do expert say: Buckle in for a brutal free-fall in home prices - Housing Bubble"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]Let’s is my house as an example in Dec  2019 worth around $1,350,000 by Dec 2021 worth $1,650,000

If it fell back to $1,325,000 in Dec 2024 that is meaningless.

The few folks who bought at peak got record low interest rates and put down a big downpayment to win a bidding war. They ain’t moving. And only sale on my block in Pandemic was couple in early 40s with two little kids. By time they downsize in 2040 who cares about the 2021 price. [/quote]

Why do you think you know what your house was worth at these various times? Unless you listed and sold it for those prices you have no idea. Are you going by a Redfin estimate? [/quote]

Come on. PP knows what her home was worth if she was paying any attention to the sales in her neighborhood.

I also believe that homes will decrease back to at least 2020 levels (if not 2019 levels) in most areas. That will still be a good profit for most sellers as home values substantially increased 2014-2019. [/quote]

Eh, I’ve been chuckling about the chicken littles as well but I just joined the club today. Sales are going down hard. My folks want to move and I’m inclined to tell them to be the first to aggressively price low in their neighborhood just to get the sale so they can rent a bit. They’re cash buyers at that point and can just chill for the next year renting. [/quote]

PP here. Good strategy. We're doing a similar thing. Sold our home and moved out of the DMV. Renting now. Prices here went up a lot during the pandemic. Prices have already started to fall and will likely fall a bit more. It won't be catastrophic if values go back down to 2019 levels. The people who bought 2021-early 2022 got really good interest rates, so they're still in good shape as long as they don't need to sell. Everyone who bought in 2019-2020 will break even and walk away with cash since they made a down payment and paid down some of the loan. Everyone else who bought 2018 or prior (just 3 years ago) will make a profit. [/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics