Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

Exactly the same for us. Even before the interest rate surge, I never understand crazy buyers bidding in the war.

With low interest rates the bidding wars made perfect sense. The monthly payment was manageable.

Except so many cash buyers. I think cash buyers were selling inflated stock or crypto which is also gone

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

Exactly the same for us. Even before the interest rate surge, I never understand crazy buyers bidding in the war.

With low interest rates the bidding wars made perfect sense. The monthly payment was manageable.

Anonymous wrote:When the rates were very low, it was actually cheaper to buy than to rent, with the tax benefits of ownership. But if the house price is high, interest rates are high, cost to repair/replace things are high, it is much cheaper to rent. If I pay $20-$30k/yr to rent, I have no repair costs or upkeep costs, more free time and I am able to travel easily- lock the door & leave.

Like other pp, I am waiting to find the right house at a fair price. ( If you paid $500k less than 2 years ago & did nothing, then put it on the market now, I will not buy it & neither should anyone else)

It is the opposite. When rates are very high best time to buy. I bought my first house in Feb 2000 when rates were 8 percent for 280k and put down 120k. Leaving a 160k mortgage.

If I waited till 2004 my house was worth $550k with 120k down would have a 430k mortgage.

Instead I refinanced in 2002 and paid off house in 2010.

The house price is key not rate. A high rate is lower mortgage balance.

When the rates were very low, it was actually cheaper to buy than to rent, with the tax benefits of ownership. But if the house price is high, interest rates are high, cost to repair/replace things are high, it is much cheaper to rent. If I pay $20-$30k/yr to rent, I have no repair costs or upkeep costs, more free time and I am able to travel easily- lock the door & leave.

Like other pp, I am waiting to find the right house at a fair price. ( If you paid $500k less than 2 years ago & did nothing, then put it on the market now, I will not buy it & neither should anyone else)

Homeownership is expensive, mortgage, property tax, home insurance, home repairs, etc keep adding up and since you already gave away most of your savings for downpayment, you have to really pinch pennies for first few years.

If you do the math, renting is equal or cheaper then homeownership in short term but in long term, you build equity, unless you cant hold on to it and have to sell early, all equity goes towards paying realtor commission and closing cost. At worst, you'll have to foreclose and ruin your credit history.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

1mn sfh in close in VA? You will never find it so sure you can afford to wait.

What an odd, and completely false, thing to claim. There are currently 162 matches in my MLS portal that meet my search parameters for a SFH inside the Beltway. Back in February that number hovered around 40-60 most weeks. Inventory is jumping - so thanks, I will hang tight!

But you are renting in North Arlington. When was the last time we saw a livable sfh under 1mn in north Arlington? Maybe 2017? Price is never going back that far. Take your time keep dreaming.

I am relatively new to this board and am shocked how petty and personal people get here. I thought educated DC moms were above that kind of behavior. These RE threads are eye opening and embarrassing.

Being petty has absolutely nothing to do with education level. Bring a nice person had nothing to do with education or class.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

1mn sfh in close in VA? You will never find it so sure you can afford to wait.

What an odd, and completely false, thing to claim. There are currently 162 matches in my MLS portal that meet my search parameters for a SFH inside the Beltway. Back in February that number hovered around 40-60 most weeks. Inventory is jumping - so thanks, I will hang tight!

But you are renting in North Arlington. When was the last time we saw a livable sfh under 1mn in north Arlington? Maybe 2017? Price is never going back that far. Take your time keep dreaming.

Never say never. I don’t think prices will go down to 2017 levels but I also wouldn’t bet a whole lot against it.

Exactly. So much of the market is influenced by groupthink. On the way up, everyone buys for fear of being priced out and because they feel like they needed more space during covid. On the way down, I could well see everyone feeling like they no longer need more space (prioritizing a better commute instead) and that they want to wait for better economic conditions. The same sort of hysteria that led to increasing prices can, on the flip side, make a lot of people wait on the sidelines and put downward pressure on prices.

Who cares about commute anymore? What sort of story are u using to convince your self that renting for 2-3 years while being picky was smart

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

This is exactly us. Renting for another 6-12 months and only buying for the absolute perfect house. Hysteria and a juiced economy brought prices up, and fear and monetary tightening is bringing them down. Why buy now when we can almost certainly pay less later?

Unless you are paying cash, you will almost certainly not be paying less even if prices tumble a bit.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

1mn sfh in close in VA? You will never find it so sure you can afford to wait.

What an odd, and completely false, thing to claim. There are currently 162 matches in my MLS portal that meet my search parameters for a SFH inside the Beltway. Back in February that number hovered around 40-60 most weeks. Inventory is jumping - so thanks, I will hang tight!

But you are renting in North Arlington. When was the last time we saw a livable sfh under 1mn in north Arlington? Maybe 2017? Price is never going back that far. Take your time keep dreaming.

Never say never. I don’t think prices will go down to 2017 levels but I also wouldn’t bet a whole lot against it.

Exactly. So much of the market is influenced by groupthink. On the way up, everyone buys for fear of being priced out and because they feel like they needed more space during covid. On the way down, I could well see everyone feeling like they no longer need more space (prioritizing a better commute instead) and that they want to wait for better economic conditions. The same sort of hysteria that led to increasing prices can, on the flip side, make a lot of people wait on the sidelines and put downward pressure on prices.

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

This is exactly us. Renting for another 6-12 months and only buying for the absolute perfect house. Hysteria and a juiced economy brought prices up, and fear and monetary tightening is bringing them down. Why buy now when we can almost certainly pay less later?

I don't think they are. I know I wouldn't if I were in their shoes. I am very grateful for my sub3% rate.

Anonymous wrote:

Anonymous wrote:We liv in falls church, the market is still hot, hot, hot with bidding wars.

OK agent. Nice one. I also live in FCC and homes that would have been snatched in a day are sitting on the market for weeks in several cases.

Yes. FFC and the agent above. Always full of BS

I guess depends on location, there is only one Manhattan and only one Capitol Hill, both built out and continuously attracting new residents. Prices are never going to tank here, they may go up and down a notch but demand and supply is a fact.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We are putting off our purchase for at least six months (could wait up to 2ish years) unless the perfect house comes up at a fair price. We rent now - great home, excellent N Arlington neighborhood, our landlord is not raising our (very below marker) rent and is giving us lots of flexibility in our lease so we can still casually look. But our thinking is “why buy now with both high prices and significantly higher rates?” People I know either found something in the last 18 months or are stepping back, like us. We are looking in close-in VA around $1M.

Has there been much interest in your home? It seems like the market has cooled tremendously in just the last month.

We are in the same boat.

Same here too. I’m using 2020 prices as guidance. We’ll pay that. No higher. No longer bidding where we were earlier this year. Feels like time now on our side and we shouldn’t pull the trigger unless we are getting a truly good deal.

Good luck with that. Yes, it's slowing and yes prices are stablizing and appreciation is normalizing. Prices going back to what they were 2 years ago?? Not going to happen, but keep waiting and spending $30K, $40K, or $50K a year in rent..... that makes so much more sense

I really hope the PP was joking. But my fear like you pointed out is continuing to pay rent ($3k a month).

If you have a mortgage at current rates you’ll be paying the bulk of your monthly mortgage payment toward interest and also have home maintenance costs plus real estate taxes.

Obviously interest will go down over time as your amortize and it’s nice to plant roots in a community. But it’s also not like you’re straight up “throwing away” 3k/month on rent since you have to pay to live somewhere no matter what.

I’m a homeowner who bought in 2019 and not planning to sell in the near future, so I have no dog in the fight as to whether home prices will fall/stagnate/go up. But just wanted to point out the financial calculation should really consider cost of rent vs. interest/taxes/maintenance. Of course potential home appreciation or alternatively declining home values is an issue, but that is harder to predict.