Homeowner equity is being erased. As higher interest rates continue to put pressure on borrowers, the ability of the average person to afford a mortgage diminishes. Higher mortgage rates lead to downward pressure on residential home values as fewer borrowers can afford higher payments. Simultaneously, commercial real estate is dropping in value as vacancies continue increasing.
Put both of these issues together and already tenuous banks holding mortgage bonds as assets can become more unstable.
This dynamic creates the continual tremors in the background of an economy already suffering from high inflation and low consumer purchasing of durable goods.
A perfect storm starts to realize.
(Wall Street Journal) – Sales of previously owned homes fell in April from the prior month and prices declined from a year earlier by the most in more than 11 years.
U.S. existing home sales, which make up most of the housing market, fell 3.4% in April from the prior month to a seasonally adjusted annual rate of 4.28 million, the National Association of Realtors said Thursday. April sales fell 23.2% from a year earlier.
The national median existing-home price fell 1.7% in April from a year earlier to $388,800, the biggest year-over-year price decline since January 2012, NAR said. Median prices, which aren’t seasonally adjusted, were down 6% from a record $413,800 in June. Home prices have fallen the most in the western half of the U.S., while prices continue to rise from a year earlier in many eastern markets. (read more)
Before looking at today’s graph showing median existing home values, remember me saying this in 2021?:
“I said in June, at a macro level home prices had reached their peak (last two weeks of May, first two weeks of June was apex). Obviously, there are some geographic home value increases still happening as COVID related regional issues and work opportunities are shifting populations. There is also a lag and ripple effect that takes time to work through the economy. The macro-apex will not be visible until next year.”
When I said that in 2021, people said I was wrong. Well, with hindsight now visible within the data as it is reflected, look at the result:
May and June 2021 was the peak of year-over-year percent of change in median home value increases.
So, what was going on?
As CTH outlined in 2022: If you look closely at the timing (keep in mind the data reporting lag) what you will notice is that financial institutions began a big surge in purchasing hard assets, specifically real estate, as soon as Joe Biden took office (Jan ’21), and the economic policy became evident. Intangible financial instruments became an immediate risk as the professional financial control groups recognized energy policy would drive inflation (supply side) and devalued money would fuel it (demand side).
As an offset to predictable inflationary policy (the insiders’ game), institutional money (Blackrock, Vanguard, etc) was moved into hard assets with tangible value.
This shift in asset allocation, institutional sales, helped fuel a false surge in home prices and their valuations. CTH was writing about this in 2021, and sounding alarms as it took place. 25% of all real estate purchases were being made by institutional investors.
We The People got screwed.
The dynamic was predictable. The Biden administration economic policy, energy policy and monetary policy, was going to cause massive inflation. CTH was shouting about it in early 2021 and warning everyone to prepare for waves of price increases that would naturally surface first on high-turn consumable goods, and then embed into longer-term durable goods.
Despite claims to the contrary, this 2021 inflationary explosion had nothing to do with the pandemic or supply chain shortages. It was entirely self-created by western governmental policy – the collective ‘Build Back Better’ agenda. You can see now from the background moves within the financial sectors, they too knew the reality and their money shifts reflected that despite their ‘transitory’ pretending they were mitigating their own exposure.
We the People were yet again going to be victims of specifically intended monetary, regulatory, energy and economic policy.
The investment class rulers of the WEF assembly shifted assets to avoid the pain that we would feel. We “would own nothing and be happy,” and their shifts would position them to own everything and be in control.
Overall govt spending and regulatory controls drove inflation for these past two years. The ‘demand side’ was blamed, despite the lack of demand. I will be proven right when history is concluded with this. Interest rates were raised by central banks in an effort to support the policies that are driving ‘supply side’ inflation – not demand side.
Energy policy was/is crushing the consumer by driving up the cost of all goods and services. To support the overall goal of changing global energy resource and development (a false and controlled global operation), central banks raised interest rates. Various western economies, including our own, have been pushed deeper into a state of contraction by central banks crushing consumer demand, and eliminating investment via increased borrowing costs.
In short, the goal was/is to lower energy consumption by shrinking the economic activity. This, according to the BBB plan, was needed at the same time as energy development was reduced. These economic outcomes are not organic, they are all being controlled by collective western government agreement.
Within this control dynamic, there was always going to be a point where the reaction of the people to their economic reality means the financial control elements need to shift direction. They will always maximize profit and minimized risk, while knowing what the larger objective remains.
Just like every other durable good, housing demand contracts as prices and costs become unaffordable. The loss of equity within your home is damaging to your own value or ability to borrow against it.
From the perspective of an institutional asset, that same equity drop is an investment loss. However, the investment loss is not materialized until the sale of the lower valued asset is completed. Retaining declining real estate on investment books creates an artificially high appearance of the investment result; unless and until the real estate is sold at a diminished value.
As mortgage rates rise, just as a consumer would pull back from the housing market, so too will institutional investment groups now control the slow dumping of the asset to remove the equity they pumped into it. Much of the investment housing will be retained as rental housing, with the monthly rents being part of the returns on the investments. However, as this dynamic unfolds, further investment purchases of houses stop, because the asset overall is declining in value. This halt of investment activity also worsens a steeper drop in home values.
How will this impact the home renovation market ?
I’ll venture a guess: Declining home values mean less equity in your house. Rising interest rates mean loans are more expensive. Since folks renovating often rely upon equity loans to finance the improvements, these two factors suggest home renovation will decline.
Home Depot (see earlier article by SD here) quarterly results may also be a harbinger of this.
I have seen plenty of activity in both HD/Lowes, but all for gardening. People are planting fruit and vegetables.
Feel terrible for the people getting started this year. Plants are $3-5 more each at Lowes here versus last year. The sticker shock made me so grateful to have stocked up on seeds during lockdown.
South Central Pennsylvania 6” geraniums are $6-8.00 each.
EACH.
Our home needs a new roof. A home equity loan interest rate is now 11.25% for 24 months at our local bank. We are in our retirement years and are attempting to preserve what savings we have. Yikes.
We are having a new roof put on our 20 yr old home. Very high quality, all American made materials with a 30 year guarantee by the roofing company. $96,000. I kid you not. A metal roof of the same quality was $200K.
Where do you live? How big is your home? Those prices are high unless you have a very large house. In the Midwest an average (not large home) you can get it for $10,000 – $15,000. Give or take.
When I roofed the shop office in 2018, I got a quote to do the main house, about 2500 sq/ft under roof, and it was just under ten grand for a typical western comp roof after tearoff of an original cedar shake roof.
Now, looking at material prices for what I put on the shop office (I did the labor myself, roofing isn’t rocket science), they’re only up slightly since 2018, under 10%. However, labor is a wild card. If the same roof costs 20 grand to put on now, OK.
There’s a lot of greed and avarice out there these days. That’s why I figured on this deal get an attorney involved. That way we all stay vertical and breathing. My patience is very short these days.
I paid $25,000 for a 2350 sq ft ranch in Kansas about 8 years ago. We did go with the more expensive architectural style shingles. Sad thing is our old shake roof never leaked but we wanted to replace it before retirement since we had better cash flow while working. That $25,000 roof has a leak that multiple companies can’t seem to fix.
We bought the metal from a metal company here in town and did the labor ourselves. For 2500 square feet it was just under $4000 dollars. I have no idea where you live but 200K is outrageous!
Maybe he was using copper? I dunno.
I’ve worked with general contractors for decades. You have metal and you have metal. There is a large difference between 5V galvanized 28 gauge and a 24 gauge standing seam roof made of a very durable metal.
I re-roofed at the absolute PEAK of inflated materials prices in 2021 … radiant barrier OSB cost me $65.00/sheet. Roofing materials cost $12,000.00 … Fortunately, I hired a moonlighting roofer (who’s been roofing perfectly for 25 years) for cheap … $6,500.00. The roof has been perfect.
Where are you doing this work?
We had a new roof put on about 4 years ago, just before Covid hit.
35 year structured shingles etc.
It was way less than $10k in Alabama.
Mexican pesos I hope!!?
Here in Kentucky it is a different roof problem. Still finishing up tornado repairs and another storm hits with straight line winds of up to 70 mph over most of the state. There are areas like mine where 50% of buildings had damage, mostly roof, much minor but some homes totaled. Roofers are making appointments for a year out. Lots of houses have semi permanent tarp roofs. No roof damage to my home, but every farm building has roof damage. No one is doing roofs on barns and sheds until houses done. I had over 30 down trees, most over 80 feet tall. It has become my summer project to clean them up. Insurance does not cover tree removal, just damage from falling trees.
Well you will have plenty of fire wood!
In the same boat Vibe. I had about 3o trees down. A lot of them are cherry. Thinking about getting a portable sawmill, I can only use so much firewood.
Wow! I put a new metal roof on a house I own 4 years ago for $6000, a 1530 sq ft house.
Those numbers are from B.C. (before covid), or B.B. (before Biden) if you prefer. Both epic catastrophes had serious negative impacts.
Prices have probably tripled since then.
Unless you have a single level 10000 sq/ft home you got taken. Even accounting for the higher priced shingles 96k is outrageous for any normal size home. All the roofing supply companies are making shingles here in the USA.
We’re replacing ours in stages, over years—otherwise it would be impossible to pay the roofers.
How large is the house? Unless you live in a 15,000 foot+ house, that sounds absurd for a 30 yearshingle roof. I replaced mine, admittedly in 2018, it took 54 square of shingles and cost $17,000 in Florida.
That seems high. More bids?
Unless you have a gigantic mansion, $96k sounds like a ridiculous price. We just had the roof replaced on our largish suburban (Boston metrowest) home: $17k. Better get more quotes.
Got my roof done 10 years ago, and it was $10,000 cash. White Firestone rubber. Deflects the heat and saves money on energy bill. Welded seams, silent when rain hits, and 30 year guarantee. I hose it every two years to keep it pristine.
Roofs aren’t nearly as cheap as they were even just 3 years ago. I could’ve done a quality impact resistant laminate shingle (hail resistant) roof for about $330/sq (100SF). That includes the synthetic felt, nails, starter strip, high profile impact resistant ridge cap, attic vents, ice/water shield lined valleys, shingles, and labor. Today that same roof is closer to $500/sq. I can usually squeak out a profit at $450, but with prices still going up on material I am not sure if that’ll be the case much longer.
That’s a long, long way from the reported 96K above.
My oldest son does many apartment complex remodels, big jobs, that include roofing. He reports figures near what you are reporting for the top of the line replacement.
Just looking, in the Kitty Hawk, NC Home depot, GAF Timberline are around $110 per square (100 sq ft), add in all the other materials and labor and a ratio of 4:1 would be about right.
Inland NC. I am having all my copper roof nails/screws replaced(they are 12 years old). I am replacing with stainless with washers. Copper be damned. 3k. Ugh
I’m sure your labor has gone up too.
The cost of roofing went through the roof, pun intended, during the Gulf War of Bush II. When gas first saw $4-$5 a gallon it went up as oil is a big component of asphalt shingles, plus they are heavy and were more expensive to ship. Of course, the price never went down. Before the war, i could get a 25-year dimensional shingle for $25-$35 per 100 square feet. It shot up to $100 and never went back after gas prices returned to normal. Everything is through the roof, so much for the cheap goods from China. The government has become the mob boss that takes a piece of everything, or else.
I believe that you nailed it. Shingles use petroleum and there is a greenie war on that.
But really, all materials are through the roof, no pun intended.
I couldn’t believe how much a sheet of plywood was going for in Home Depot last time I looked!
I do know a sheet of roof OSB sheathing goes for 4.30 more than I paid in 2018 when I roofed the shop office, purchased from the same location in CA. Interestingly, if I were to purchase it from the closest store in OR to where I bought to die, it’s only 1.40 more, and no sales tax. But yeah, up 40+% in only five years, that’s a lot.
When Carter was president it was in the high 18s up to mid 20s I believe
Do you have a Mennonite community around you? My mom had a new roof(metal) installed a few years ago by Mennonites. It was about 10K.
Kingpin is a good documentary about raising a barn
I think that you need to shop around a little bit more.
Our homeowners insurance covered our roof being replaced.
In total, renovations will decline.
However, maintenance & minor improvements is likely to increase as people will be holding on to their houses longer and not upgrading to a new house.
The net impact of both is still a decrease in total units being sold.
Therefore, expect further recession in durable goods, home improvement, etc. as Sundance has warned us.
We just spent $20K on renovations for two bathrooms. Great work, but now we can’t afford TP. We finally figured out a better use for the Honolulu Star-Advertiser. 😒
Kitchen? —off the list for now.
You should have gotten Bidet seats while doing the renovation, then you don’t need TP.
;-D
Seriously, I did look at the big ol’ women rolling on the floor at Walmart fighting over the last 12 pack of TP back in 2021 and I went on-line and found bidet seats for our toilets. Three cost about $300, I installed them, and we are very happy with the results. My wife is only 5′ tall and doesn’t weigh anything and I didn’t want her to have to go through that mess.
Sam’s delivers the best tp w/out the wrestling match
I read that first as “Biden seats” and imagine a picture of Joe on the cover, with “flush twice, its a long way to D.C.” on the seat.
Never mind,…carry on!
Language changes during times like these. Maybe we should start calling bidets, bidens.
If I were an independent hardware store owner, I think I would advertise them as such.
If you had just inherited $40k and not spent a nickel on renovations, you would still be putting that leftist rag to its highest value-added use.
Easy I thought the parrot liked that paper in the bird cage…
Sure but if you are on Oahu the mayor wants to give you $300 so there’s that.
Also if on Oahu, how long to get a building permit for that?
The cocooning effect. When can’t buy up, they refurb and improve where they are.
As the stock market goes down interest rates go up
Which means, get out of Home Depot and Lowes.
Declining home values and no renovations turn nice neighborhoods into slums.
Carter years redux. Even as a little kid I noticed the downhill slide—which is why my first vote, as an older kid, was for Ronald Reagan’s second term.
so if I am wanting to my kitchen redone paying cash, cabinets and new flooring, should I just wait awhile, then I’ll get a better price when contractor is more desperate for work?
I have a small contracting business and I would say yes. Prices will come down if we have a serious slowdown. I’m just guessing here though. All I know for sure is Resident Biden’s administration “has screwed we the people.”
I am really worried about the economy. It feels like we are on the verge of a serious recession or maybe more and more inflation. Either way….
Not meaning to be a pessimist but:
Banks are in trouble
Inflation is still here
Dollar is in trouble
Stock market (where many of us have our retirement savings) is shaky
Gold and silver prices are being manipulated by the Fed and big banks.
Biden apparently wants thermonuclear war
We saw the housing market crash coming, so before the interest rates went up we pulled a HELOC for renovations.
Now we’re waiting for the new construction projects to finish what they started last year.
When the construction industry slows we hope to get our work done at a much lower rate, to off set the materials cost.
We’ll see if the bet pays off.
We are doing the same for a kitchen renovation. Thankfully we aren’t looking for a gas stove and we will be buying American made appliances because of all the sob stories about how the new foreign stuff breaks and there’s no parts available.
I purchased a new Wolff gas cooktop and under counter Subzero refr. in January … for $8,500.00. I’m still waiting for them. Still waiting … with no delivery date in sight.
We are taking delivery tomorrow on a Wolf range we ordered last August! According to salesman, palettes and cardboard are in short supply, so shipping delays occur. And yes, it’s gas! Before Newsime shuts that down.
Newslime, as we call him
Slimeball greaseball
Damien von Hairgel.
You just caused my ballsac to tighten up and for a knot to develop in my stomach. I guess we will be taking the the whole family out for Chinese this Christmas … Fa Ra Ra Ra Ra … Ra Ra Ra Ra
you’ll put your eye out
LOLOLOLOLOLOLOL
I really can’t understand the palette “shortage”! There are adds all over Craigslist near me offering them for FREE!
We did the same, establishing a HELOC just-in-case. We are reluctant to use it as we are debt-free, but we’d rather let our owned house be our lender if the need arises.
FWIW, the property tax and insurance appraisal on onr 20 y/o single story 1600SF home went from $220K in 2019 to $360K now. And with the demand for properties here in the N E GA / W NC mountain towns, driven by Atlanta escapees, that new value is realistic.
Last time that many people left Atlanta Sherman was coming to town…
ole Uncle Billy. yessir! Sherman’s dashing Yankee boys making bow ties out of railroad tracks and as one Johnny Reb remarked Sherman brought his own tunnels with him to go under Kennesaw mountain.
Um did you see Home Depot’s results? Not good.
Take a look at the latest financials from Home Depot.
That’s the business I’m exclusively in. Building seemed too risky given the exposure from purchasing land, having it zoned and subdivided, etc. Home renovation has all but completely stopped. I have averaged about 60 jobs per year for at least the prior 5 years. That was usually plenty of work. 5.5 months into this year – 3 completed jobs with 4 more lined up. I don’t advertise at all. I prefer business to come in through recommendation. It is also one of the smaller companies that do this sort of business where I live. However, I doubt those that advertise or are bigger are doing any better.
Home renovation hasn’t stopped here in Central Virginia. It’s going gangbusters. Nobody friggin’ wants to work. Years of training kids up on video and devices has us looking at a generation that expects top wages for little to no effort.
Less equity means smaller HELOCs.
Higher rates mean smaller HELOCs.
Less disposable income (inflation) means less cash to pay for home improvements.
Declining home prices mean smaller margins for house flippers. They are buying high and selling low at this point.
Renovations that are done will increasingly be low budget low quality DIY.
I would expect a big pull back.
We just sold our old house (of 21 years) in April. We hired pros to do about 95% of the work that needed doing. But we paid about a 25-30% premium for that. We got a good price and avoided “institutional” offers. If I was buying a house right now, I would scrutinize any homeowner repairs and DIY fixes. I try hard to do a good job, but I know there are 1,000 ways to paper over serious problems.
My son has 150k equity. Was going to do kitchen last year. He didn’t. HELO is 7 %. His main mortgage is 2.8%. He said forget it They got all their appliances last year. He said they’ll make do. No way paying more in interest than the loan itself.
As a Dave Ramsey disciple, I’ve always been a big proponent of delayed spending to save up and pay cash.
Renters, especially illegals or low rent, are notorious for trashing the places they rent. If Blackrock, Vanguard et Al wish to retain much of any value, they will be continually repairing their assets.
I wouldn’t expect a robust new house market tho.
If there is a reduction in speculators/flippers that should reduce demand for renovation. But if there is downward pressure on rents that may encourage some renovation to get “top dollar”.
Some states like NJ, have an added problem of a property tax tsunami where many sellers and buyers cannot afford to live in homes there. These are Democrat Cloward-Piven destroyed counties and towns in North Jersey who have been looting and pillaging the public coffers and piling on debt for their liberal “projects” for decades. Pardon the term but the SIGTHTF there soon
Attempt to collapse the system seem to be in overdrive right now… the best defense is increasingly looking like a strong defense.
Very true. I know of one county in NJ that is over $600 million in debt. That is a Democrat COUNTY government. NJ has at least 3 -4 counties that have to be in the top ten of the most criminal/corrupt counties crime cartel, I mean county governments in all of America. You can look up property taxes by looking up real estate listings. Look at NJ and be prepared to not fall from your seat. Cheers
I live in a red city with easily half that debt. In the midwest. And they keep borrowing more every year. “Serviceable debt”, they call it. I call it “House of Cards”.
And strangely, the banking agent, beloved by liberals, Alexander Hamilton came up with the strange term of “recycling the debt” when debt was incurred from Shay’s Rebellion. Most state delegates wanted to pay of the debt asap and get the banks out of government, but Hamilton dissuaded them. He also, according to the book I read about Shay’s rebellion, bribed and coerced state delegates to ditch our first constitution, and adopt our second, which we currently have, and is not followed
Link to book if you please, Colkitto. Thanks.
Shays’s Rebellion: The American Revolution’s Final Battle
LEONARD L. RICHARDS
https://www.jstor.org/stable/j.ctt13x1n3r
Hamilton was jewish so the banking cartel is in his blood. They were salivating over a young wealthy America with their thoughts of usury. Thank God for Andrew Jackson who gave America some time of freedom until the FED. A true hero. Hamilton was scum. These bankers still control everything.
Well, Jackson gave us the Panic of 1837, so there’s that.
Anyone know why Broadway was so keen to put on a “Hamilton” musical chock full of Af-Ams and received with ecstatic praise by Leftists ?
Was he a slave-holder?
Were there other woke-ist undercurrents embedded?
Were there gay or trans themes?
Anybody?
Not particularly woke in my opinion, rewrote history a little for a better dramatic narrative, and very few white people in the cast which brought in more people of all colors to see it. I was never going to listen or watch because I thought the way the cast treated the VP was wrong, and I hated the idea of them making race an issue.
However, my eldest daughter convinced her sister to listen. They convinced me to listen to it, and then we all convinced my husband to listen. We all know all the lyrics. I’ve not listened to any of Lin Manuel-Miranda’s other musicals, but this one is genius.
It’s an amazing musical, and my all-time favorite. We even bought a one month subscription to Disney Plus to watch the original cast perform it.
thx Joy
I’ll go look for an online synopsis to get a bit more idea of the general theme
It has been in overdrive since September of last year when UN Secretary Guterres signed a pact with the satanic psychopath Schwab to “speed up” their Agenda 2030. Little to no reporting, and certainly none by the corrupt, complicit, and bought propaganda media jackboots in their employ.
I was watching closely. Pedal to the metal immediately their signatures were affixed.
All through our neighborhood people are getting work done. New front/back yards, people redoing their pools, new roofs and lots of new solar panels are getting installed after.
Most of the rest of the country won’t look like this but it has definitely dropped from the 2022 mad rush to get out of the big cities. Those that left prime locations are likely taking the biggest hits and left with high interest rates to boot. It’ll be another couple years before rates come back down to what they were. But things will mostly likely bubble again when rates do eventually come down. Demand is still high in some areas while supply is still very low which has buoyed some localities.
Looks like the Florida Real Estate market graph🤨
N E GA / W NC mountains fits your situational description to the proverbial tee.
We just bid $10k over listing in N Georgia. The property had been on the market 4 hrs and we viewed it before the open house. There were a number of other offers some also over asking. Demand is high and inventory is low here.
We just bought a house 45 minutes SW of Savannah, GA. 5 beds, 2&1/2 baths 2800 SF on 1.5 acres… brand new for 347K. Lots of new stuff being built.
same situation here in Central Virginia: little to no inventory, buyer bidding wars sounding like that.
We were looking in that part of the country too. Back when things were peaking. Could have sold for a very nice profit and bought acers back east however every time we talked to neighbors they were the ones fleeing to that region and they all were super liberal. After talking to enough of them over the months we changed our minds and decided to stay and see how things go. Now they have been replaced with more conservative leaning replants. Time will tell if we made a good choice but so far so good.
Most of coastal New England is being bought up by folks fleeing NY and they have the money to overbid and pay cash. This raises the purchase price and leaves local home buyers in the dust. Maine is no exception. Many from MA already had vacation homes in my area and, since the plandemic, have been making a permanent move to Maine. Lots of buyers from CA, buying after only seeing home on the internet. Homes requiring a total gut job still sell. Homes for a million plus still find buyers. Inventory for sale was really low until the spring market began. Now there are more listings at the still same high prices. 60,000 Mainers were just sent disconnect notices from our largest electricity provider. Our Democommie governor raided the fund set up to help these folks who couldn’t pay their electric bill…she used it to provide food, shelter, etc, etc to the thousand or more illegal invaders who came to Maine for all the free stuff. Same Democommie Governor is pushing the most full term abortion bill in the country. Brave parents are speaking up at school board meetings about sex ed in public schools…the state wants to take control of them. Old time Maine is going down the tubes thanks to the wealthy libtards moving in. We are becoming another Vermont.
God help you!
What impact does 10,000,000 newly minted illegal immigrants have on the surpluses in the residential market? To what lengths will the govt go to provide this overpriced housing for these folks? Will this be another artificial prop to the market, at all of our expense?
Expect to see new Section 8 Low Income housing communities for these new minorities being built in your Republican suburb/district, just as Obama intended.
You beat me to it as I was writing mine. Hate tip DinTX.
Why build when you can buy at twice the price? /snarc
Yeah, if I get one more postcard asking me to “sell your property/no closing costs” I may puke
expect to see the government requesting (requiring) that single occupancy houses be offered to house illegals. They did it in Romania — the knock at the dooor, “Ma’m we need your house to put these other people in.” “Where am I supposed to live?” We dont care, we need your house for these people. “
Yep – I expectg we’ll see this in Canada first, as Chrystia Freeland (what a misnomer) has already launched the idea of confiscating the “excess wealth” owned by some Canadian citizens.
“Freeland” to all illegals.
and free lunch too
and free phones
and free schooling
and free healthcare
and free walking-around money
and free lifts to the polling place come election time
etc
Back in 2019, she was appointed to the WEF Board of Trustees. the highest governing body of the World Economic Forum. Move along, nothing to see here…….
If they try that here I suggest they start with Barack Obama and his multiple mansions and Bill Gates and his.
That’s fine…Mr. Smith and Mr. Wesson will gladly greet them
Reminds me of the old movie Dr. Zhivago.
Andrew Wilkow recently said he can see the federales platting out, say, a few hundred thousand acres of government-owned land in a sparsely-populated red state such as SD or MN, building a Chinese-style fifteen minute city there, and stuffing it full of migrants. BOOM: Instant new congressional district, and a purple > blue former red state.
Here in CA … the supermajority leftist Legislature ELIMINATED all single family zoning, and made ADU regulations much less restrictive. Hence, it is now possible that my next door neighbor … in my upper-upper middle class neighborhood can build 4-units on his 1/4 acre lot.
If that happens … my property value will crater … and force me to build a 4-plex as well.
Sounds familiar, I live in CA too. Lots of Asian money around here. Quite a few renos and tear downs resulting in new huge mansions. Some ADUs but nothing bigger. Not yet anyway.
“being built in your Republican suburb/district”
Yes
article quotes 71% of new illegals are being settled in Republican districts
by design
Biden’s Open Borders Invasion: Illegal Alien Tracking Map Shows Movement of the Masses of Illegals Across the US – 71% End Up in Republican Districts
AAFH has reappeared.
The patriot Matthew Bracken has a scenario where these invaders are placed into your home under a “Vacant Room Tax” perhaps using the last census? Perhaps its fiction, perhaps its not. Your point is well noted. In Phillipsburg NJ Section 8 Democrats, mostly non-whites, were imported in to fill in the vacant housing and in driving up crime, taxes, lowering quality of life etc etc.
Perhaps a new Section 8 type of cultural marxist legislation using these invaders? I’m starting to feel like I am living in South Africa or Rhodesia
Exactly — this will happen, has happened elsewhere. Also, just like Rhodesia, S. Africa and others — you cant run squatters off your land. And recall what the end game was/is? They come around and Massacre you. Literally.
TY Susan & Lulu. Democracy was installed via terrorism, sanctions, and vote fraud and Democracy installed. The Build Back Better Chinese puppet dictator Robert Mugabe was installed and his wife wanted Terry Ford’s farm so she had him murdered and took it. Keep in mind, this is under “democracy” which the communist revolutionaries who just fully took over our government say we have here.
I have been telling anyone who will listen that this is our future and our children’s future if whites do not change course and stop being defeated by words. Our cowardice amazes me.
Always the plan why do you think they vilify whites.
Just like Dr. Zhivago
I love that line of sarc from Zhivago. “…yes, this is a much more equitable arrangement!”
“A better arrangement … more just”
Yes, we will all be speaking the language of our comrades … or ELSE. The State watchdogs of Twitter, Facebook, Google, Apple, et al … will see to it that no counter revolutionary’s are allowed to speak.
He didn’t intend it as sarcasm, though. He lamented to his wife that it sounded disingenuous, when he actually believed it to be true. That was one of the most biting points made in the whole movie and comes to my mind often when dealing with some of my own family.
And the character portrayal could not have been more spot on … the man and woman questioning “his papers” … sneering and mean-faced, while the good (handsome) Doctor is playing their comrade game.
Without saying it out loud … the people now in-charge of the Doctor’s home and life … are so far below his station in life and character as to be repulsive. But the Doctor has no choice but to play their game … or get his whole family … canceled.
That is EXACTLY how I feel living in the SF Bay Area … and some fascist leftist starts mocking Trump in a social setting … and I just nod along … saying nothing … knowing that the penalty for arguing would be severe and swift. I’d get CANCELED in my community.
Do you really care about being “in” with such people?
Our own personal dignity and integrity is far more important.
I want to keep the business that I spent my career building … I don’t need to “fit in” with any of em. But any one of them could DESTROY my business.
Would
I find it better sometimes better to play my double game with them, especially on the environmental angles to be against the immigration invasion. If I come out as MAGA their liberal cognitive dissonance kicks in. If I point out the environmental problems caused by mass immigration and they think I am a fellow democrat comrade, I sometimes can get them to listen and think about the environmental truth I am speaking.
And is partly why I HIGHLY admire the brave Rhodesians who fought virtually the entire world for 14+ some odd years. Most missed it, but Rhodesia was more or less the last White Christian nation to stand against the totalitarian globalists. ( I have some issues with South Africa which backstabbed them. But it was not SA’s military, or people, but the government who did)
Excellent catch & video. Very pertinent to our convo. Ty
… institutional investment groups now control the slow dumping of the asset to remove the equity they pumped into it. Much of the investment housing will be retained as rental housing,…
Subsidized rentals.
Tons of new “housing developments and apartments” in rural N Georgia. Three guesses on who the occupants will be.
The Biden Regime will go with the “nice roads ya got there; be a shame if you can’t repave them or fill potholes. If you’ll just sign on the dotted line, letting cheap housing and apartment complexes be built right next to this little quiet suburban community, then we’ll give you some money for roads.”
And the good little RINO governors will clap like seals and open their mouths for the herring
When we lived in Las Vegas, our nice little suburb had many foreclosures in 08 which were bought up by investment companies.
Over time, many of those 3 and 4 bedroom homes became section 8 housing. It went from families taking walks in the evenings with their kids to drug deals in the driveways and cops called weekly for fights, etc. (They’re not sending their best.)
We sold it and got out from under that mortgage at the peak in July 2021 as Sundance had warned. Out in the rural now almost a two hour drive to a Costco but away from ‘condensed crazy’.
Liqueda,
Yes, rural rather than metro, is far more what to focus on, rather than “red STATE” vs “blue STATE” which is a fiction people keep pretending is real.
We opted to go with the “RV lifestyle”; paid cash, we LIVE in our bug out vehicle, being mobile we can avoid all sorts of things, and being rural have already avoided a lot.
Its not for everybody, but it suits us to a t.
Finding your “Happy Place” in life is a wonderful thing when so many people feel trapped by the choices they have made. Congrats to you for being brave enough to embrace such a change. It must be quite an adventure.
We also sold our homes and live in our RV. We are currently traveling as much as we can, but as things get worse, we will have to pick a place to stay. Seriously considering Florida, but land prices have been insane there.
We love the lifestyle and will probably never go back to a stick and bricks!
My family moved, a lot. I THINK 10 schopls, from 1st grade, to finishing high school.
Plus, my Dad used to loan out me and my brothers, to help anybody in our extended family that was moving.
First time after occupying our trailer, (a 1972 Silver streak, 32′) and after some prep in the days before, I sat in my recliner, drinking my morning coffee before the big move.
And, that afternoon, after moving 450 miles, I sat in my recliner, enjoying a cold one, and swore “As GOD is my witness, I will NEVER live in a house, again!
Its not for everybody, and you need to do some “homework” first, but it IS a viable alternative that some “struggling” might consider.
I am incredibly appreciative that I am able to work full time while enjoying this lifestyle. In my adult life I’ve had close to 15 addresses (I’m under 50); I’ve never been content to be in one place. RVing allows me to scratch that travel itch without needing to pack everything into boxes and move. It’s all already packed!
Another wonderful aspect of traveling full time is the perspective I’ve gained. If I were still in PA, I’d be convinced that most of the country is truly in favor of all of the nonsense the MSM and current administration are shoving down our throats. In the almost 4 years we’ve been doing this, we’ve met countless individuals whose eyes are wide open, and they are seeing things for what they truly are.
There are more patriots out there than you think!
When things get worse I hope people in RVs remember that there are other sane individuals who would gladly share their land with like minded souls.
I’d dare to bet every few driveways out in the country you’ll find a patriot willing to share — with another patriot — with anyone other than a leech wanting to suck the life out of you.
When the time comes, if we are forced to share resources, I hope our resources are enjoyed by like minded Americans.
We are looking for a solid, patriotic community to purchase land, and hope to find something before things come crashing down. What you suggest is our fallback plan. We are relatively young, healthy, and able to contribute to any community we join in a meaningful way, even if we are moochdocking in somebody’s driveway.
Thanks for the comment… it’s nice to know that we might actually be welcomed by some should we need to go to plan B!
This is Las Vegas, NV. The article also addresses the State of Nevada. I think that being so close to SoCal keeps the demand high. Nevada also has very low property tax rates and no state income tax.
“Slowing activity and falling prices year-over-year from 2022 to 2023, but prices still hovering around historical highs. For example, the median sale price for the Las Vegas metro area as whole never surpassed $300,000 for every month from March 2017 until November 2020, when it hit $302,000. It then peaked at $450,000 in May and June 2022, before declining to $400,000 in March 2023 — a median sale price that is well above the typical prices of the pre-pandemic era.”
https://www.forbes.com/sites/andrewdepietro/2023/05/16/the-las-vegas-housing-market-has-cooled-a-bit-but-prices-are-still-way-above-pre-pandemic-days/?sh=5bba4efa1f1a
Thanks for your post Dantes.
Home prices are now a major barrier for new home buyers (and of course the interest rates don’t help.) A relative of mine bought a home in 2014/2015 for about 290K. Now it’s worth $600K. Just a ranch w a basement and nice yard.
How can the lower and middle classs worker afford to buy a home today? The recent small declines in price do nothing to return home prices to where they used to be.
People are getting squeezed between the spike in rent and the spike in home values in recent years. Rent used to rise about 2 to 3%/year. Last few years all over the country rent is rising much faster, even 20% rises/yr have been reported around the country. Frankly anyone wanting to retire on a fixed income, cannot afford to be a renter with such fast, large increases. Yet who can afford to be a first time home buyer?
While shopping earlier this spring, I chatted with a p/t retail worker who was in the aisle changing prices on items. She shares a rental home with 11 family members. Even so, she was interviewing for other work as living costs were getting too high.
The news talks a lot about gas prices, but little coverage of the elephant in the room. Housing costs are squeezing both renters and first time home buyers.
Actually, if you look at the situation using another lens, the increasing prices of homes and stocks was also a form inflation. You would not notice it if you owned real estate or stocks as it was labeled “asset appreciation“. So, as long as the Fed printed money that increased the value of real estate and stocks (the Fed Put) it was considered a good thing (not if you were trying to buy a home or stocks the first time) by the “laptop class”. That is how the money printing has increased the wealth of the top 1%-10% verses the rest. However, now the money printing is showing up in the price of consumer goods, which finally gets attention. Unfortunately, the “have nots” in society are facing high home prices, high stock values and high consumer goods prices. I suggest no way to remedy this, but just provide another perspective: that inflation has been around a lot longer than the Covid19 pandemic, but just appeared in different forms. FYI
As you bring up rent prices, RV park prices have not risen nearly as much, in part because of an inherent limitation.
Raise the rent higher than their competitors, and the renters will just “gas up and go”.
The prices throughout the area, rent and utilities run around $350-$400/ month.
Haven’t checked prices lately, but used RV’s are not in short supply, hence can be purchased, for well under $10,000 cash.
In answer to your question as to how retirees or thosed on a fixed income can survive.
Its called “think outside the box”, and move INTO a box, on wheels.
After living in Las Vegas for 25 years, I could not afford to purchase a home in this city. I want to leave and live in rural NE Nevada but since Team Biden is wrecking everything I know that I have to stay put for now. I could not afford to move back if things didn’t work out. My home and my 10 year old car are paid for. I and my family have been food prepping for over 2 years.
Las Vegas is going to continue to attract Californians. All of us who left California 40 years ago lament how much profit we could have had if we had stayed and bought something. We’d be millionaires! So I figure that LV real estate will become massively overprice just like California. If I can just hang on for a few more years then I hope to make one more move to a town that is too far from any urban sprawl but is off of Interstate 80 and has mining as its main industry.
I’m 64 years old. I’m getting tired of leaving a town because illegal immigration forces everyone to move to higher ground, so to speak. I left CA for NV in 1981 and here we go again.
Already started in my neck of the woods. Homes taking longer, way longer to sell.
Sale price dropping. More ‘expensive’ homes bought by those with leverage going up for sale.
Yup. In my area several homes up for sale in the last 6-8 months now say “for rent”
Probably bought up by Black Rock or others. Between investment bankers, Bill Gates and China our country is on the block.
This is strange as the economy is doing so well.
Just curious. In seriousness, what are your metrics for measuring the economy?
My friend Lulu is being sarcastic.
That helps. I have been reading here for a while but don’t always match up the names with the cutting wit.
<I have been reading here for a while but don’t always match up the names with the cutting wit.>
Uh-Oh 🙂
There are a lot of us sarcastic Treepers here. I am one of them. Good luck figuring it out.
The recommended “universal” code to indicate a sarcastic comment is putting ” /s ” at the end of the comment after the final punctuation mark.
This greatly benefits everyone, especially those new to CTH, those unfamiliar with the person who posted the comment, or when the comment could well be inferred either way (seriously or as sarcasm).
🤣🤣🤣🤣
During the Trump town hall a question was asked of Trump what he would do to curb inflation.
He answered, “Drill baby! Drill!”
It seems that he either reads CTH or understands from his own logical mind what is causing it.
Well done Sundance. You have articulated for many months what economic shadows are looming.
DD
He needed a Part 2, reduce government spending and regulatory over reach.
Here, let me help you: (I added the BOLD)
“Republicans for decades have embraced deregulation as a way to boost the economy and reduce government’s role in the affairs of business. But the Trump administration has broken new ground. In January 2017, the president signed executive order 13771, which required that for every new regulation added, two regulations had to be cut, marking the first time such a numerical goal has been attempted.”
President Trump did that already in 2016. I’m sure he will do it again.
It’s just that simple.
I dont believe Zillow
There was a drop between May-2022 and Jan-2023. A drop that it hasnt fully recovered from yet. But since Jan 2023 its been going up according to zillow. Has gone up close to $100k during that time period.
True in a 25-mile radius of where I am. (just outside San Antonio) Low inventory is driving it, imo.
I think in CA its the Chicoms getting rich from their manufacturing and import/export operations overseas who are driving it over here. They love wearing masks too.
e.g.:
Biden vetoes bipartisan bill protecting US solar panel makers from Chinese competition
https://www.disclose.tv/id/ls407jjlyz/
Doing what he’s told to do by his owners!
China, since Africa was handed over to it by the traitors in the US/UK/UN, will control the Watermelon energy markets through their capture of Africa. It was a long range plan as the Fabian Socialists wrote about it in the 1800’s.
I was listening to a program last nite about Chinese saboteurs pouring in across the Build Back Better Replacement for future/current sabotage/terrorist operations here
Well, of course he did, because he’s a worthless POS
Congress could easily override Biden’s anti-American veto by voting FOR the bill with a 67% or higher majority. But how many Congress members are also in China’s pocket….
My property value is up $175,000 over 12 months. Its all lies, or may be not.
I live in the countryside on acreage with woods, and just 2 neighbors of like mind. Some are paying anything to get away from the cities.
I don’t care if my property value achieves 10 x value. My way of life and food security is not for sale. Took 12 years just to build my orchard for example. My own food, water, peace, is priceless.
good for you. Sounds like a great place to live. Chicoms would love to get their hands on your property. And if you ever sell they will make you an all cash offer to ensure that they do.
I really would have moved to AZ if the 2022 election was real.
And you would be a welcome neighbor, M.S.
As most know, one time, back in my wayward youth, my exceptional jailhouse lawyer skills were NOT sufficient, and I did some “hard time”.
The meals were cooked by inmates, overseen by paid employees, but on Sunday the employees got the day off.
Breakfast was pop tarts and a small carton of milk, lunch was a cold tuna fish sandwich, warm can of soda, small bag of potato chips and,……
SEVEN candy bars!
Obviously, an inmate COULD restrict themselves to one/day, and have a candy bar every day, but we’re talking convicts, if they had self-control they wouldn’t BE convicts.
Me and a buddy started offering 2:1 ,..we give you 1 today, you owe us 2 next Sunday.
IIRC, it was about 6 weeks we had a Sunday where our bunks were COVERED in candy bars, as everyone in the cell block gave us all 7 of their candy bars.
Onr of several valuable lessons I learned while in, and never been a fan of credit, ever since.
Sounds beautiful. I will always be country at heart, but grew up city/suburbs. My family was ethnically cleansed by democrats from 2 cities. My father leaving his business was on a lesser but similar scenario as white farmers/people attempting to travel during the Rhodesian Bush War/South African Border Wars.
Be vigilant, they went after the kulaks first.
Yes they did. Starvation and poisoning wells are their favorite tactics.
Along with plenty of land, I have plenty of lead. Is my way of life worth dying for? Damn right it is!
I own some rural acreage, and just this week I received a cash offer from an undisclosed buyer. I have received similar offers in the past, but this one names the price and promises a ten day close.
I have no intention of selling this property. It is rich in lumber and other natural resources. My neighbor used to forage for ginseng and we have apple trees that, along with wild berry bushes, attract big game.
In fact, I’m considering purchasing an adjacent parcel that is set up for maple syrup collection. I figure that’s better than losing my savings in a bank run.
It sounds beautiful … can I make you an offer? Just kidding. Although I’d buy some homemade maple syrup
Sounds perfect!
I’m planting plenty of perennial bee attraction this year. Going to start keeping bees. Been looking at the flow hives, but not made my mind up yet. Every single time I plant something I dip the roots in mycorrhiza. I keep good soil practice because you never know when they will take fertilizers away. They are already going after backyard farmers by forcing them to the vets, when we could just buy treatments at the feed store!
You and I are in similar boats. You can’t put a price on some peace of mind. I bought acreage in rural OK. 2 ponds, and wet weather creek. I have planted well over 1000 trees with about 300 being fruit and nut trees. The rest are for bees (black locust), and deer (black locust, hedge apple). Add in livestock, 2 very large gardens, and hives – I am not sure there is a price I’d put on my 8 years of earnest work for a future of less dependence.
Learning from failures, and the joy of successes have been the greatest reward.
Humira gave me hives and in about 8 days, not 8 years 🤠
/s
Absolutely! There are many who just don’t understand the peace and reward of the land. My favorite time of day is just before the sun goes down, and you see everything its true, and vivid colors. Its my favorite time for picking, and nothing quite like a big beefsteak tomato running down my chin as I check over the leaves for bugs and such. You truly do get back what you put in.
You and Judith,Vibeman, and others sound like you have it the way I wish i did. God bless you all for getting where I wished I was. Now make sure you have good neighbors around you for support self protection network. Kinda like Rhodesia/South Africa did and does
Zillow has my home valued at $500,000. BS.
20 years ago we paid $130,ooo. Our property taxes only went up $50.
This is absurd!
Lots of people I’ve spoken with lately say the same thing…”Well, I could sell mine, but I wouldn’t be able to pay to replace it. Think I’ll just stay put.”
Last 30-day change
+ $49,655 (+2.3 %)
Zestimate per sqft
$689
Nor do I believe Zillow. BTW … a comparable home to mine sold for nearly $1,200/sq.ft. In early 2022. I suspect the actual value is between $700 – $1,200/sq.ft. … and I won’t sell for anything NEAR Zillows $700 est. Part of the problem is that only really shitty homes have been selling (everyone else is holding on and not listing their quality homes) … so the comparable sales that Zillow is using for valuation is total garbage.
Nobody is selling quality properties in my unaffordable N.CA community. Sadly, neither will I. The wife and I had planned to retire this year … sell … and get OUT of CA. But I refuse to sell my home into this high interest rate/depressed price environment. The only possible saving grace is that the surrounding urban hellscapes of San Francisco and Oakland are still driving people into the suburbs … and the $1,200.00/sq.ft. home sale on my street was an all-cash purchase by some high tech Entepreuner … so … under the right conditions … high interest rates may not drive the sales price. But lack of a competitive marketplace will.
The agent who helped us buy our house 2 years ago told us never to believe Zillow and that people in her industry here (FLA Gulf Coast) don’r believe it either.
We moved from Long Island in May 2021; luckily for us (mid-60s couple with a grown son also here), house had been on market for 9 weeks (overpriced) so the seller took our offer quickly. New roof, recently red0ne hurricane windows, pool, hot tub — and 2.5% mortgage. Lovely area. God led us to the right place and what we hope is our forever home.
Every aspect of Zillow is filtered through a Seattle lens. Nothing is real.
There was also a recent statistic that nearly half of recent home purchases found their owners regretting their purchase. Either home ownership was turning out more expensive than they anticipated, or they missed the freedom of being able to move around if they wanted. I thought it pretty striking that so many had these regrets. Now add being “underwater” to that as home prices decline… and we might see a lot of cutting-and-running if things continue to go south.
And perhaps that is where the invaders om into the picture? Think “Voting” and think “Breaking up the Suburbs” which Obama the mouthpiece puppet for the Saul Alinsky crime cartel has talked about. They have steamrolled some old manufacturing plants that left the country thanks to the treasonous “Free Trade” dirty deals,and replaced them with low cost housing and turned a former solid republican white town into a Babylonian Purple town. After the housing went in, they even had Democrat terrorist BLM demonstrations to introduce the Republican residents to the joys and wonders of Liberal Orwellian “Diversity”
Interesting that when BLM tried to expand into Corvallis and Springfield, both in blue areas of Oregon. Both towns ran them off.
You get it. We live in the same area and probably had a similar upbringing and experiences. I always find myself in agreement with you.
Ty for the compliment. Stop by more often friend. I am honored.
The globalists are trying to break the middle class and make them entirely dependent upon the government.
The educated western middle class is the primary obstacle to a global government.
Their goal is to impoverish them, de-educate them, and create an ignorant subservient underclass controlled through government handouts and endless propaganda.
The are re-educating the children to be their slaves.
And that’s because the middle class still insists on putting their kids into public schools. Why?? Why does any MAGA person give over their kids to the enemy?
It costs almost nothing to homeschool, the peace of mind is great, and you control the curriculum and ensure your kids get a great education. What’s not to love?
I’ve been curious about home schooling (not for me, but just to understand) Found out there are a few logistical hurdles (not necessarily insurmountable) to home schooling. Each state has different laws, some relaxed and some highly regulated on the rules governing home schooling —-worth checking when planning to homeschool.
Color-coded map by state and phone # for questions at HSLDA –national org to help parents with homeschooling: https://hslda.org/legal/
For families with one parent at home, homeschooling can be very doable. Most families rely on both parents’ incomes. Which leads to two issues to solve for potential homeschoolers. One is daycare while both parents are at work. Some solve this by each parent working a different shift –one works days, the other nights (possibly an unhappy approach for a couple’s relationship long-term).
There are discussions by homeschoolers about the sheer time constraints and exhaustion. Coming home from a full day of work to prep dinner and then start home school classes. Some states have rules that require following a detailed, prescribed curriculum with documentation to the state.
Was exciting to hear about some parents in Colorado that came together, organized and started their own school.
If I had kids in public school I’d make it a priority to find some way to pull them out asap. And I do have sympathy for parents feeling overwhelmed at the prospect.
Circlin, sounds like your homeschool? If so, would love to hear your experience with homeschooling and the issue of daycare while working and dealing with state rules/regs.
Homeschooled two through high school, on one income. Was worth every sacrifice made.
Honestly, I couldn’t agree more. Even if it requires rearranging your entire life, homeschooling is the way forward for anyone who doesn’t want their children brainwashed by public schools! I don’t have kids, but I’ve been lucky enough to have contact with a large number of home schooling families, and I can tell you that most of these kids are intelligent critical thinkers with a solid world view. And if you network with other homeschooling families, your kids still have the opportunity to develop the social skills and friendships that might be missed by not attending a public school.
It does require sacrifice, but as an outsider looking in, it appears the sacrifice is well worth the gains!
Turning “the American dream” into a nightmare is what globalists do.
Victims or prisoners.
Individuals will not be bailed out. People are just throw away satistics, look how people were treated when they didnt get the shot or wear a mask.
The bigger bubble is the Commercial Real Estate collapse. Expect a bail out for these building owners and banks. Watch our new illegal guests be housed in these empty office towers.
Its not enough to win an election, there has to be a purge of existing Republicans that are in office who worked with the dRATS to allow all this.
The uniparty has got to go.
I had ONE store employee give me grief for not wearing a mask and tell me I had to put one on or leave. I took my nearly full cart, shoved it in his direction, told him to have fun putting it all back, and walked out. I then went to a neighboring store, maskless, and bought everything I had just NOT purchased in the other store (Costco). I wouldn’t bow to mask enforcement and would have badly injured anyone who was so rash as to lay a hand on me about it.
THAT is what it will take to put these people back in their place. Don’t comply, and tell them to go to straight to Hell if they say you have to do so.
Nice one, agreed!
It will take a full on national workers and delivery strike of the working class to change things. When Nadler, Feinstien, FJB, Federman, China Mitch, Schuemer cant get their adult diapers, they will be begging for mercy.
Whenever I think of masks, I invariably have this mental image, a mini movie, actually.
The main charachter is some schlub that was incarcerated 20 years earlier, for an attempted bank robbery; the guard got him when he walked in wearing a mask.
He is released, cause COVID, and is now stopped, BY A GUARD, and told he can NOT enter the bank, without a mask, but if he doesn’t have one they will be happy to provide one.
Just can’t stop the film from playing, whenever I hear about masks,…
I remember standing in line at the bank during the covid craziness. They had a sign that said, “Please remove sunglasses and hats” (bank robbery). Next to that sign was another that said, “Must wear a mask and stand 6 feet apart” (not worried about bank robbery).
I am shocked that more banks and casino cashiers did not get robbed.
Love it!
And BlackRock makes up its losses by purchasing the ensuing foreclosures. THEY MAKE ME SICK!
They didn’t choose the color Black randomly.
They are not purveyors of what is good and healthy let’s just say that.
Joe Biden’s disastrous plans for America’s suburbs
https://nypost.com/2020/07/21/joe-bidens-disastrous-plans-for-americas-suburbs/
Obama’s Plans for the Suburbs: And How to Stop Them
https://www.nationalreview.com/corner/obamas-plans-suburbs-and-how-stop-them-stanley-kurtz/
MUST READ: Joe Biden to Ramp Up Barack Obama’s Plan to Abolish and Transform America’s Suburbs
https://www.thegatewaypundit.com/2020/07/must-read-joe-biden-ramp-barack-obamas-plan-abolish-transform-americas-suburbs/
And now Biden/FannieMae are providing low cost mortgages with low credit scores to the underserved minorities. The high credit score whites will now have a higher interest rate to create equity justice. Mortgage market is expecting 44% of home sales to be hispanic by 2034.
If there are jobs that support the inflated prices of homes…
What is the average age of homes in US?
In cars it’s up significantly … not buying new cars so much anymore.
My nextdoor neighbor here in CT put his home up for sale it was
under contract in 7 days..and he is not asking ridiculous prices
it is more than he paid for it but still in the low$400,000.
I didn;t ask what he got for it.. But he had lots of traffic and
3 offers in the same day.
Two of our neighbors in our community have put in solar
CT passed a law that HOA’s cannot deny you putting in solar..
So far two have done it.. Will see how many more follow suit.
Just interesing note one of our neighbors has a Electric car he had
a special plug install in the garage to charge it. He said with charging
the car his electric bill was like $500 a month. that one of the reasons he
solar.
He’s going to love the bill when he needs new batteries!
Or when the temperature drops and the battery loses charge quicker than expected.
Or when the solar panels system starts his house on fire
And they will be courtesy of slave labor in Africa under Communist Chinese Overlordship courtesy of the US/UK/UN helping China take over Africa by backstabbing the good Christian governments there
Sundance, minor correction needed. Seems like sales dropped 23% year over year, not prices…they dropped 6% if I’m reading the data correctly. Still, there is definite softening going on.
On day 1 Joseph R. Biden launched his war on energy.
The inflation started the next day and has never stopped.
Biden is a racketeer, he had all his friends and cohorts going long energy stocks before he attacked the energy infrastructure. Dan Goldman was one beneficiary he colluded with, whom netted millions of dollars in stock gains on both Energy and Weapons manufacturing stocks.
Sundance,
What does this mean to the costs to build?
Thoughts, anyone
The prices will not ever go down below the plateau
A gallon of water, just 6 months ago, was 88 cents; it’s now $1.34. I don’t expect that gallon of water to ever go back to 88 cents..perhaps $1.05
Hah, price for potable well water in my rural area, 300 gallons for $1.00.
Read it again if neccesary, and compare to Jeanines comment prices.
We DO have choices, we just have to MAKE them.
Most people have NO IDEA how much they are spending for the ILLUSIONS OF;
Convenience
Security
Prosperity/status.
The mark up is easily in the 1000-3000 percent range.
There is no drilling for a well where I’m at..you will hit too much rock. I will not drink the chlorine water we have coming out of the tap. I wear the same clothes from 10 years ago as long as they’re not dry rotted. 🤣. Spring water. I even buy ice in the bag
I’ve always considered self-destruction an impulse driven by the demons who hate us. This is national/global suicide in service of the new climate god—or, the gods of self, wealth, and control. The BBBers worship themselves; they love money; they serve the controlling darkness; we are the unholy sacrifices.
I’m done with trying to map the current global madness onto more rational explanations. It’s a spiritual terminal illness.
The parallels are unmistakable. 🤔
Escape From LA!
The inventory of homes for sale in Orange County and San Diego is at a historic low. South OC has 224 single family homes for sale encompassing San Clemente, Laguna Beach, Irvine, Rancho Mission Viejo, Newport Beach and surrounding cities. Prices have actually increased!
I would imagine that Republican run suburban towns outside of New York City and Chicago are doing well too!
Same issue in north OC. Very low inventory. Standard track home 4/2 1400 SF near us listed at 825k. Sold same day listed for 905k!!
We sold our house on May 15, 2021 because Sundance’s prediction (sending another donation now…)
When we decide to list the house for sale and sign realtor listing, mortgage rate was 3.0%
Actual house on market 3 weeks later, rates were 3.5%
Received offer 3 days later. House inspected and final agreement took 2 weeks, rates were 4%
6 more weeks to the final closing sale, rates were 5%
Seller tried to back out of the contact because rate increases… Thankfully, we had a good lawyer.
Today, rates are hovering around 7%. I wonder if he realizes he got a great deal?
Yikes, buyers should try to lock in their rates with the lender during the closing process.
Watch BlackRock jump in.
You know, it makes a lot more sense to me now than it did two years ago. Thanks for taking me (and others I’m sure) through the process.
Anyone with half a brain could see this. And if you weren’t sure, just look at what Obama did in his eight years, then what happened under Trump. Correlate that with when Biden took office and continued Obama’s policies. That should have been the biggest “Duh” moment for everyone. Sundance was and is right. A lot of us knew it when he was writing it. If you didn’t … might want to consider getting better sources and rethinking your entire thought processes. They’re obviously wonky.
Thank you for this one. We were going to wait until next year to sell, but decided to put our home up by June 1st. This just confirms that we are making the right decision. I’ll miss my plouts that are thriving right now.
Bye bye CA!
The fall in the sales of durable goods may also represent people’s clear perception that the quality of manufactured goods has declined.
My friends tell me that microwave ovens have collapsed in quality.
I recently bought two cheaper electric razors from Amazon (about $80), and both stopped working within a few weeks. I then a higher end Braun razor (about $200) but I’m pessimistic.
I suspect everyone here has similar sad stories.
I have an extra washer, that I got for free, in my laundry room right now, hardly used by my brother…it’s sitting there waiting for mine to go caput, which if I have to keep going in there and resetting it to wash my clothes, will be soon 🤣
I had a Samsung front load washer that sprung a leak in the door seal after 7 years. The repairman said it was $178 for a replacement part (which I confirmed a close price to another supplier online) and $400-500 for labor, which meant for another $100 I could have a brand new machine.
I watched a video on how to replace the seal and damned if you didn’t have to take half the machine apart, and then rebalance the drum when you put it back together and hope it balanced. Very poorly engineered from a maintenance perspective.
Insane. A perfectly good washer to the landfill because the repair costs far exceeded the value.
Don’t buy anything from Amazon you can find elsewhere. More than half of their stuff is cheap Chinese knockoffs. Sometimes they sell that crap and claim it is OEM material. You have to take ANY Amazon claim with a grain of salt the size of a bowling ball.
I’m betting that new housing construction starts are going to plummet. Building materials have not gone down in price and the final cost of a new house is rising with rising interest rates, insurance, more regulation, and energy costs.
Oddly, the house I’m battling the lender to sell right now, thank goodness for real estate lawyers, has gone up in algorithm value by over 5% since January,the market is extremely thin and comps are selling for way more than I or the algorithms would reasonably conclude to be the market value.
Forex, only two comparable properties have sold in the general area (the zip code is nearly 160 square miles) in the last year and currently there’s only one for sale.
One historical factor I’ve noted about agricultural regions is they lag urban markets on both sides of the movement scale. Current imputed value is still about 5% below the historical high but went down about 10% and now has recovered about half of that. I’m being conservative. The sold comps have kinda blown my mind with their outrageously high prices. Totally cooked the algorithms.
That’s one story. YMMV.
The WEF is not new. It is neofeudalism. Today, they don’t need a “Sheriff of Nottingham”. They have Chase, City, and other creditors to keep you in debt. You will Owe everything and be glad you have where to sleep. What we are seeing is economic colonialism and should be considered an act of war against the American People.
“I will gladly give you TWO candybars Sunday, if you give me one today!”
The other side is we can, if we coordinate, destroy them. We hold the assets, whether physical, like real estate, or monetary, like savings, retirement, investments, etc. We can use that like weapons of war. PDJT did for decades and as POTUS. If it works for a billionaire and POTUS, it can work for us.
Economic warfare. We’ve seen a tiny example with the Bud Light operation. It works. Stop fearing the legal system and the scumbags who enforce that corruption. 1776. The Crown is the enemy. No rules.
Watch for bank sales percentage of market to climb. When it gets high enough for investors to have more choices, they will lowball forcing prices down further. As these sales increase, regular sellers will have to compete by dropping their prices too. It will snowball quickly because lots of sales over the last few years were at market highs and will be underwater fast.
Many of these buyers will walk away and let the bank have it rather than keep paying on something losing value. This is what caused some markets to see 20-40 percent of sales as distressed, or foreclosure in 2008.
I remember during the last crash banks and investors idled a lot of REO’s, trickling them onto the market to prevent a drastic price slide. After that, CA changed its foreclosure laws making it harder to quickly oust delinquent owners and providing more avenues of assistance.
I saw it locally where some well healed farmers bought up whole subdivisions of spec homes in the nearby towns and simply let them sit until the crash subsided, then trickled them out to market. At least one of my rentals was handled similarly by the bank I bought it from.
Of course situations varied markedly around the country but that’s what I noted in CA and OR during that period from 2008-2015.
I hope so. I have been hunting for a cheap house by the lake, and have been praying for a deal. Sadly, the problem with sheriff’s auctions in our area is that they jacked up the appraised values of homes a few years ago — right when property values spiked. The appraisals are based only on an exterior viewing, and bidders are not able to go inside the property to inspect it, or even know if the systems are working or not.
When appraisals were lower and normal, it was sometimes worth taking a chance to bid on a house. But now, opening bids (at 2/3) appraisal value are still often almost as high as houses on the market that are still pricey — but at least you can look inside and know what you are getting. And there are still bidding wars due to low inventory. Until they recalibrate property values here, the sheriff’s sales are no longer the bargain they once were.
Sheriff’s auctions may have redemption periods/rights for the owner being foreclosed. Be sure you are versed in what you’re buying as far as possession, redemption, etc.
Don’t forget that people are losing jobs as well. There are people out there who bought six months ago, thinking they had a steady job for decades, who got pink slipped in the past month. They will be desperate to get out from under.
I knew in the Summer of 2021 that higher rates were coming, so we refinanced our house for 30 years at just a tick under 3%. We pulled just enough equity out to do some major repairs / renovations, but still left ourselves very comfortable from an equity standpoint.
Home prices have held up this past year because nobody wanted to sell. But that can’t go on forever, especially when people start losing their jobs in a recession.
I did the same thing … but bought down my rate to 2.5%
Except where I live.. the prices continue to climb prices up over 100k in the past 2yrs.. which means my home insurance cost doubled because the companies use the current replacement value as the base rate. so i pay 2k a year more for home insurance… what a racket…
I sold out last July in soCal feeling I got top dollar. Zillow now shows the value at $40k less (-6%). I’m waiting for the craziness around Knoxville to taper off before buying the farm. Proceeds from the house are sitting in 8 week t-bills.
What are you getting for those T-bills? I will have similar proceeds to park
don’t know about t bills but Vanguard money market pays nearly 5%.
Now WAIT a dog-gone minute here. The DEI people should be very upset that there is a decrease in homeowner equity!
People with variable interest loans are screwed… never get variable interest loans.
I had no option but to get a 5:1 variable rate mortgage in 1980 for the low-low rate of 12.5% !! Thank you Jimmy Carter. And I’ve had several variables since then. I have always been able to get out at the right time … but that was when Congress wasn’t printing money in the TRILLIONS and intentionally crashing the economy. I’d be much more cautious today
Home prices in my area of CA are steady but that is very localized as supply is low and demand steady due to a growing industry nearby.
I cannot wait to see how this drop in home prices impacts our county’s revaluation program this year for tax purposes. How much you wanna bet home values go UP for tax purposes?
I’m paying nearly a grand a month with Prop 13. Got crappy schools and roads for that price too.
I’m locked into my 1983 purchase value + 2% increases per year … so I pay about $650.00/mo. My neighbors who just bought into the neighborhood pay > $2,500.00/mo.
😬
Admin, sorry, accidentally flagged the above post trying to scroll down and can’t figure out how to unflag it!
The home values may stay the same, but the property taxes will increase because governments are also dealing with inflation.
The headline is a bit misleading. The 23% drop reflects volume of sales, not pricing.
Black rock and Vanguard, etc. purchased real estate in the form of apartment buildings single-family homes etc. so they can get paid by the federal government to house refugees and illegals
Getting the institutional investors out will help normal people buy homes at reasonable prices. I would like to see communities ban the sale of single family homes to corporations. The practice creates massive market distortions.
Falling prices will help counteract high interest rates.
People who think they’re rich based off home equity are not living in the reality based world. It’s all pretend until you sell. I never, not once, in the past 2 years thought my house was really worth the value on Zillow/Realtor. We just sold for what I truly thought the house was worth. Could I have got $100K more this time last year? Probably. But timing the market almost never works outside of pure luck. I don’t kick myself for waiting a year because a year ago I wasn’t ready to sell and move.
The real issue is the bank and buyers holding mortgages that are underwater in an economy where it’ll be tougher to make the payments (like in 2008/9).
The people who got screwed are the people who bought on the peak. And TBH, people shouldn’t have been buying in the inflated market in 21-22 anyway. Bad investment decision.
Yes, I tend not to follow the algorithm values but rather real life comps from the local MLS. This is particularly true in agricultural areas. The last two, yes only two sales in the last year, sold for way more than the algorithm is valuing my place. So much more that I think something is up.
My lawyers will be taking mine to market shortly so I guess we’ll find out. I suggested a very conservative price but they are having the property appraised for another opinion.
Houses in subdivisions in cities and towns are a quite different animal from rural agricultural residential areas. As others have mentioned, real estate is very localized.
It doesn’t help that they want to punish the responsible buyer either. I flip about a dozen houses a year and many are sold in private sale. I had a Buyer recently want to rush me into contract signing before “they” had a chance to pass a new proposed law. He said if he signed by such and such date…then he’d be able to bypass the law. So…he was in quite the rush. Turned out that his credit was above 700 and he was putting 40K down, therefore he would be a candidate to penalize. Ridiculous!
I have a solution to most of the nation’s problems that is two sentences long and very straightforward. It is this:
DEADLY FORCE MAY BE USED LEGALLY AND WITHOUT WARNING TO PREVENT THEFT OF, OR DAMAGE TO, PROPERTY. NO CIVIL LITIGATION CAN BE BROUGHT PURSUANT TO SUCH A LEGAL USE OF DEADLY FORCE.
People can and will bring civil litigation against you. The St Louis couple who were merely had their weapons out to protect their property are being sued by the trespassers.
WSJ wants to hear from you. At the end of that article WSJ asks what have been your experiences, your city and state, your name and email.
Ha! F the WSJ. Have them call Rhonda Santis
Prices are holding steady here is Las Vegas after a decline of about 11% over all from the peak of last year. THere is a severe lack of inventory locally. Gavin Newsome should be nominated for Real Estate salesman of the year here.
I WANT my home value too go down. My property taxes are killing me.
Same
State and local governments need the revenue from property taxes; they can’t afford for revenue to go down because they are also experiencing inflation. Teachers, police, government bureaucrats demand salary increases because of inflation. Public buildings must pay for higher cost energy. It costs more to build waste treatment plants and roads, to keep park facilities, infrastructure, visitor centers repaired. Etc. Etc. Etc.
So, even if the value of your home goes down, property taxes will not decline.
I received very good news. My daughter just completed the sale of her house today and simultaneously she received 25% ownership of the property next door to me which was recorded today. I give God all the Glory! Please keep her in your prayers as she goes forward in hopefully obtaining 50% more of that same property from one of the other owners. The last 25% is owned by 2 other owners who have been very nasty, calling her vulgar names and making threats. But as things stand as of today, the only names on the deed are hers and 3 dead guys. It’s very complicated and I’ve been working on this for her for 3 yrs. In the ‘old days’ here in the woods, many properties were handed down thru inheritance laws but Heirs never bothered to go to probate to have deeds updated. Only 1 of the 4 owners ever had things updated so he was the only one who could legally transfer ownership. So, that owner’s lawyer told her to immediately change the locks. The place is uninhabitable and needs mucho work, but she has her foot in the door and will keep moving forward. Please pray. TY! all in advance. As I’m aging and health issues compound, I need my girl close by to me.
For clarity, the headline needs the word ‘Sales’ inserted before ‘Decline 23.2% From Prior Year.’
Otherwise it could be interpreted to assert that prices declined 23.2%, which isn’t the case.
The median price is down 6.0% from its June 2023 record high, according to the WSJ article.
These broad brush reports are hard to assess because while you have raw dollar numbers you lack the square footage.
Maybe the housing mix involved larger homes in the prior period.
This data may or may not be an accurate indicator.
When the pooled money is no longer in the market for real estate then we will see carnage. Pooled money is still in play in Sarasota.
Home of 20 years we sold on Anna Maria island for $800,000 30 months ago resold for 1,600,000 within a year. Here in Naples ,even with all the building ,rents very high and anything close to gulf start at 2,000,000. For wife and I ,we bought a villa for 400,000 and are content. Live your best life , pray and help others.And be grateful.
Our Rocket Mortgage is being sold to JP Morgan starting June 1st. Just got the letter on Monday. Oh, nothing will change they said but of course somethings up.
“We The People got screwed.”
I never said anything about this previously because I did not want to jinx it, and I wanted to wait on a post such as this.
My wife and I got incredibly lucky. We sold our ranch in CO closing on the deal 17 days ago. We have completed moving to be closer to our granddaughter, and the place we have now is paid for.
A few things to pay off and we will be debt free, with money in the bank.
It was very nerve-wracking watching what was going on with the economy, watching prices skyrocket, watching these buffoons do everything in their power to stomp on the economy, and waiting for each detail of this deal to be completed.
Well done, and STAY debt free!
Next to marrying my lovely bride of 25+ years, the best decision i ever made, was getting off the debt merry-go-round!
Debt is a terrible burden.