AmySurvived2016
120624
1354
18
May be a little early posting. But the bubble has definitely popped in Phoenix! #realestate
Jun 28, 2022 4:26 AM
AmySurvived2016
120624
1354
18
May be a little early posting. But the bubble has definitely popped in Phoenix! #realestate
EndocrineResearcher
A housing crash will lead to a spike in unemployment so you still won't be able to afford the houses.
OddSoull
If the kids stop buying houses with 5 roommates + then maybe it will die down
JustSomePersonThere
The past tense of nut is Nate.
ObliqueRay
I don't see why he doesn't go with the alternative of inheriting a house. It's easier.
TORGUEFROMPANDORA
Shmiggles
houses still pretty high there on zillow ?
Sahrelli
I just want building materials to be manageable so I can afford to have my dream home built
DrantonMason
If the housing market crashes we'll be in a full-blown recession so either way you're never getting a house!
limbodog
I think they're working on it
4everwild
Can someone make cars affordable again
ImNotStalkingYouBTWYoureOutOfMilk
Cars are affordable if you opt for a old small-engined car. someting like an old fiat cinquecento or seicento
ProppaGanda
Please don't. Make cities not dependent on cars instead.
PraiseThePook
How about just make living comfortably affordable for everyone?
astrangehop
Even the used market is up because modern cars require an ENOURMOUS amount of chips.
JCBalance
Me too, so why am I so down?
jskskj8888
This! I'm in the market for a different car but can't find a decent priced one within the decade and under 100k miles.
WeAllLiveInAUserSubmarine
Happy to summarily explain the current automotive chip crisis to anybody interested. I don't know if this has made the mainstream news cycle
raknor88
I imagine when the housing bubble bursts, cars will go down in price as well.
Flowerlady0
The shortage is being caused by a lack of chip availability resulting from the pandemic. The cars have been made, they can't be sold.
YangKoete
Or you know, proper public transport and walkable areas.
RunicRasol
Too many Americans don't like that. That want their big yards, with fewer people walking on sidewalks in front of their homes. /1
RunicRasol
Basically suburban lifestyle stuff. And there are a lot of HOA Karens who would flip their lids about any changes like that. /2
YangKoete
Well they can go fuck themselves.
RunicRasol
No disagreement there.
Anonawesome
Don't worry, in about a year when I'm gonna need to sell my car, I'm sure they'll all be completely worthless. That's how it goes for me.
silversean
Sell your car now then?
Anonawesome
But I need it now.
silversean
True. But if what you say is correct then when you attempt to sell it then the price of cars will plummet. So you’d be a hero.
WaterUnderTheRocketAppliances
You'll have plenty of money for housing and transportation, when you're living in a van, down by the river
L4dead2
Eating a steady diet of government cheese
mistermiggs
Is that Will Shakespeare over there, dad? "Actually we've been encouraging him." Dad I'm gonna need you to shut yer YAPPER
qtRaven
Who can afford a van?
TheS4ndm4n
Life goals
Zreen
River is drying up
somethingsomethingwittyhere
Drove my Chevy to the levee, But the levee was dry
StigsMilwaukeeCousin
#vanlife we've taken homelessness and gentrified it!
ElbowDeepInAJedi
And vans are expensive as hell.
acornbuttlicker69
True, true, many are trying to act good cause they cant afford hell.
AccountCreatedToUpvoteDogs
You'll see competition dropping but don't expect a crash like in 08. The Californians are there to stay. New builds still have lotteries.
AccountCreatedToUpvoteDogs
Good luck though, I sold in 2019 for $380k and zillow says my old house is $550k!
FlavorFinger
I bought in 2020 for 350k zillow now says 515k!
YesmynameisGreg
I bought in 2018 for $580 and sold in 2021 for $912. I made more owning a house than I did by working a job. Fucking nuts.
AccountCreatedToUpvoteDogs
That's why so many speculators and businesses like Zillow and Blackstone scooped up properties during covid when interest was so low.
AccountCreatedToUpvoteDogs
I wish we could penalize non-residents, secondary homeowners, etc. But no government has interest since they are benefitting from high rates
AccountCreatedToUpvoteDogs
since a higher appraisal means more tax income.
YesmynameisGreg
I wouldn't have sold to a company. I sold to two random engineers who just really wanted a house, i guess.
AccountCreatedToUpvoteDogs
That's awesome if you. I like to think I'd do the same thing but am not in the position. Even the actual homebuyers are coming up with cash.
Monkeyspearfish
People don't sell during a crash, and corporations will buy all the defaults ??♂️
TravelinSoulja
This. I tried to buy my first home during the last crash while prices were low. Houses were only selling to cash investors. Rich get richer.
YouCanCallMeCal
A price correction is more necessary than a crash. People who want a crash look to inflict pain upon people who they perceive doing "better"
MyNameIsBatty
Yeah…the future is no more middle class. The rich own everything and rent it to the less fortunate. This has always been the end goal.
chastidy
Uh yes they do... part of the reason they get cheaper
Monkeyspearfish
No, people don't sell in crashes if they stand to lose equity. You bought your house for 300k, but it's now worth 200k and you still have >
Monkeyspearfish
100k to pay off on the mortgage - you don't sell.
chastidy
Yeah you lose your job and can't afford your inflated house so you sell. The Big housing crisis was literally people who couldn't afford it
Monkeyspearfish
The big housing crisis was precipitated by speculators pulling out when they got nervy. Then buyers pulled out. Cheaper properties followed>
ThisIsAWasteOfMyTime
I get your logic and that applies to *some* people... But like @chastidy said, a market crash *literally is* people selling for cheaper, as>
ThisIsAWasteOfMyTime
people still want to get their houses sold, but buyers aren't willing to pay as much as they used to, so the sellers sell for cheaper and >
Flowerlady0
There is a fine balance right now between people lowering their prices and expectations and Banks still financing. The Sweet spot.
Monkeyspearfish
Where?! In the UK, banks are still providing cheap credit, but no one is lowering their prices.
Flowerlady0
I don't understand what you mean by where. The banks can finance all they want but the cars have no chips. They can't get sold
Monkeyspearfish
What? We're talking about property, not cars.
Flowerlady0
Someone said that car prices will go down when house prices experience the recession. They have two different causes.
Lulabel73
They do when they have to, people move, get divorced, die etc
Monkeyspearfish
Low prices attract cash buyers, who are more likely to secure a deal over credit buyers. A market crash won't solve the housing crisis.
Lulabel73
If you get a higher offer from a credit buyer you’d take it.
VivF
Yeah someone in an emergency sell position is going to take cash if they need cash, even if it's less. Closing takes -forever-.
Lulabel73
Not everyone is in an emergency. It’s a big world out there
Monkeyspearfish
Not necessarily. A deal done in a few days with a cash buyer vs months with a credit buyer. Credit is also scarce in a market crash. The >
Monkeyspearfish
fact is that a market crash is not a solution to the current housing crisis. It doesn't magically mean every one will be able to buy a house
WalksTheSky
Actually I don’t think there’s enough supply for that. Construction for houses crashed in ‘08 as well
SilverNicktail
You kidding? Around here where prices have been increasing astronomically, they can't desperately build fast enough for investors.
WalksTheSky
Doesn’t that prove my point though? Not enough supply to meet the demand?
RunicRasol
There are plenty of homes, But companies figured out they could buy them up & hold them as 'investments' without putting people in them.
conorosully27365
If you look at what's being built Vs what we need we are way way behind. There are a lot of factors causing this
seyne
The companies buying homes as investments rent them out, and list the number one risk to their investments as being that localities could
seyne
loosen zoning/approval restrictions leading to a boom in housing construction and driving down home values
RunicRasol
Not always. I remember reading in 2020 that in some markets, they wont even rent them, because it may lower demand. Not sure how common tho.
seyne
I've seen lots of people saying that, but never actual evidence of it happening or actually being an effective way to boost profits
TravelinSoulja
The '08 crash was due to the fundamental instability of sub-prime loans. We don't have that kind of catalyst this time to set things off.
TK421isAFK
Let's ignite some GOP senators and Reps and see if that kicks of the reaction.
pleaseconsiderthatImightbejoking
Yes we do. Homes are unaffordable. That means the only people buying them are investor. That's a classic tulip mania bubble
MeSoErnie
Yeah except that's not what's happening right now. Investors make up just 15% of home buyers (give or take 5% depending on your market)
leechdemon
This. I keep looking into the "it's corporate investors' fault!" argument, and it sounds great, but I cant find any proof of it.
MeSoErnie
Yeah it all simply comes down to supply and demand. After 2008 builders shut down and we didn't build anywhere near enough new homes