So when’s the housing bubble bursting?
- Thread starter Dr. Truth
- Start date
All those people who bought houses at 3% and lower, no way in hell they are selling now.
My Rate is 2.6% . My other crib is 4.2%. Never selling.
Huh!?
those who could afford a 550$ House in January can only afford 330 now
And most popular gyms, you'll see some bad Asian bitches in the gym out here in the H.
"Yesterday's price is not today's price"
The Fed just raised rates 0.75% so mortgages gonna be bucking 7% and more.
"Price of Pussy Just Went Up!"
Right
Ok but all this means is that now nobody can afford anything in California other than the well off. Houses here are not going to drop to the 400k range like other parts of the country. Not even 500k range for a 3 bedroom. So with these interest rates people will still be paying crazy mortgages on less house. Good luck
2008 got people shook.
I just need this one question answered. In 2007/2008, did the ARMs have a set time limit before they could be adjusted or were they variable and could be adjusted any time?
Well it hit the news cycle here this morning about dropping homes sells and the price drop and how the Feds rate hike are driving people away from the home buying market. Guessing they can't hide the truth much longer.
Good listen
Good listen
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What did I say earlier in the thread about companies like Amazon getting into the action….
Jeff Bezos-Backed Arrived Homes Acquires Another $23 Million Worth Of Single-Family Rental Homes As Number Of Active Investors Doubles
Kevin Vandenboss
June 30, 2022 8:53 AM
www.benzinga.com
finance.yahoo.com
Arrived Homes, the single-family real estate investment platform backed by Amazon.com Inc. (NASDAQ:AMZN) founder Jeff Bezos, is ramping up its acquisitions as demand from retail investors grows stronger for fractional real estate.
In the past 30 days, the platform has fully funded approximately $11 million worth of rental properties, compared to $5 million for the entire first quarter of 2022. The number of investors using Arrived Homes has doubled in the last two months, making it difficult for the company to purchase enough homes to meet demand.
The platform had to begin limiting access to new offerings, reserving shares to be available to different groups of investors during different investment windows, after a flood of new investors crashed the Arrived Homes website when a new batch of 12 properties launched. The following batch of new properties added later that month was fully funded in only eight minutes. However, there are currently four active offerings on the platform that are open to new investors.
Arrived Homes has since acquired 59 properties across 17 markets in the last 30 days, with a total value of about $23 million.
The rapid growth since its launch last year is largely due to Arrived being one of the few real estate investment platforms available to non-accredited investors. The company funded 51 homes on its platform during the last eight months of 2021, with approximately $18.5 million in property value. So far in 2022, Arrived Homes has already funded over $30 million worth of rental properties.
The company caught the attention of some high-profile investors early on. Jeff Bezos invested in the company’s $37 million seed round last June through Bezos Expeditions and recently made a second investment during the company’s $25 million Series A round.
The company acquires rental homes and allows individual investors to become owners of the properties by purchasing shares through the platform. Arrived Homes manages the assets, while investors collect passive income through quarterly dividends in addition to earning a return through appreciation.
The company quickly gained the attention of several high-profile investors during its seed round in 2021, getting investments from Jeff Bezos, through Bezos Expeditions, Salesforce.com Inc (NYSE: CRM) founder Marc Benioff through Time Ventures, former Zillow Group Inc (NASDAQ: Z) CEO Spencer Rascoff and Uber Technologies Inc (NYSE: UBER) CEO Dara Khosrowshahi.
Bezos later followed up on that investment during Arrived Homes’ $25 million series A round earlier this year, making a second investment in the real estate investing platform.
Single-Family Rental Market
Investors have a growing appetite for single-family homes, which is no surprise considering that the average rent in the U.S. has increased by an average of 16.4% in the past 12 months and as high as 32% in markets like Miami over the same period.
While the housing market is beginning to cool down in certain areas, homeownership is becoming even less affordable as higher interest rates are adding to the overall cost of buying a home. This is likely to continue adding strain to the supply of rental units, resulting in further rental rate increases.
Jeff Bezos-Backed Arrived Homes Acquires Another $23 Million Worth Of Single-Family Rental Homes As Number Of Active Investors Doubles
Kevin Vandenboss
June 30, 2022 8:53 AM
Jeff Bezos-Backed Arrived Homes Acquires Another $23 Million Worth Of Single-Family Rental Homes As Number Of Active Investors Doubles - Amazon.com (NASDAQ:AMZN)
Arrived Homes, the single-family real estate investment platform backed by Amazon.com Inc. (NASDAQ: AMZN) founder Jeff Bezos, is ramping up its acquisitions as demand from retail investors grows stronger for fractio
www.benzinga.com
The Jeff Bezos-Backed Real Estate Company Is On A Buying Spree For Single-Family Homes
The real estate investment platform backed by Amazon.com Inc founder Jeff Bezos has continued ramping up its acquisitions of single-family rental homes in several U.S. markets. Arrived Homes acquires single-family homes to use as rental properties, then sells shares of these properties to...
Arrived Homes, the single-family real estate investment platform backed by Amazon.com Inc. (NASDAQ:AMZN) founder Jeff Bezos, is ramping up its acquisitions as demand from retail investors grows stronger for fractional real estate.
In the past 30 days, the platform has fully funded approximately $11 million worth of rental properties, compared to $5 million for the entire first quarter of 2022. The number of investors using Arrived Homes has doubled in the last two months, making it difficult for the company to purchase enough homes to meet demand.
The platform had to begin limiting access to new offerings, reserving shares to be available to different groups of investors during different investment windows, after a flood of new investors crashed the Arrived Homes website when a new batch of 12 properties launched. The following batch of new properties added later that month was fully funded in only eight minutes. However, there are currently four active offerings on the platform that are open to new investors.
Arrived Homes has since acquired 59 properties across 17 markets in the last 30 days, with a total value of about $23 million.
The rapid growth since its launch last year is largely due to Arrived being one of the few real estate investment platforms available to non-accredited investors. The company funded 51 homes on its platform during the last eight months of 2021, with approximately $18.5 million in property value. So far in 2022, Arrived Homes has already funded over $30 million worth of rental properties.
The company caught the attention of some high-profile investors early on. Jeff Bezos invested in the company’s $37 million seed round last June through Bezos Expeditions and recently made a second investment during the company’s $25 million Series A round.
The company acquires rental homes and allows individual investors to become owners of the properties by purchasing shares through the platform. Arrived Homes manages the assets, while investors collect passive income through quarterly dividends in addition to earning a return through appreciation.
The company quickly gained the attention of several high-profile investors during its seed round in 2021, getting investments from Jeff Bezos, through Bezos Expeditions, Salesforce.com Inc (NYSE: CRM) founder Marc Benioff through Time Ventures, former Zillow Group Inc (NASDAQ: Z) CEO Spencer Rascoff and Uber Technologies Inc (NYSE: UBER) CEO Dara Khosrowshahi.
Bezos later followed up on that investment during Arrived Homes’ $25 million series A round earlier this year, making a second investment in the real estate investing platform.
Single-Family Rental Market
Investors have a growing appetite for single-family homes, which is no surprise considering that the average rent in the U.S. has increased by an average of 16.4% in the past 12 months and as high as 32% in markets like Miami over the same period.
While the housing market is beginning to cool down in certain areas, homeownership is becoming even less affordable as higher interest rates are adding to the overall cost of buying a home. This is likely to continue adding strain to the supply of rental units, resulting in further rental rate increases.
Would love to see the data for Charleston, SC...Went on zillow and seeing how much houses were close to downtown, I was shocked....I thought I was looking at DC....
One thing I can say about DC and Charlotte is that they have Industries that are not going anywhere and high paying jobs that are not going anywhere in those industries...
DC - government and everything else lol
Charlotte - Energy (duke), banking, and healthcare
Walmart getting into the game…..
They getting their feet wet now….won’t be long before they buy the houses and put their employees in them “Rent” free….and get subsidized by the Government…..which means you paying for it thru your taxes.
Walmart is now offering mortgages, but its typical shopper probably can't afford today's housing market
The typical Walmart shopper makes $80,000 a year and could be priced out of today's housing market.
Alcynna Lloyd
Mar 10, 2022, 10:42 AM
www.businessinsider.com
At Walmart, you can buy anything from a Golden Girls themed Chia Pet to ethically sourced dog nail polish – and now you can also get a mortgage.
Lenders One Cooperative, a national alliance of independent mortgage bankers, banks and credit unions, recently announced a partnership with Walmart. The coop will be leasing space at select stores in an attempt to bring more mortgage solutions to shoppers. Currently operating in three locations, Lenders One says "there are many more opportunities to come."
"I could not be happier with the direction the cooperative is headed," Justin Demola, Lenders One CMB and president said in a statement, adding that his team is already seeing "tremendous" value in the solutions created for its members.
Walmart's typical shopper in the US earns about $80,000 per year. With recent mortgage rate hikes and assuming a borrower should spend 30% of their income on a home purchase, there's a good chance they are priced out of today's market, where the average home price is $392,000. So, although Walmart's low deals might offer customers a shopping discount, the convenience of Lenders One's in-store offices can't guarantee they will be able to afford homeownership.
Record low mortgage rates propelled a home buying frenzy during the pandemic – but they are now reversing course. As rates return to pre-pandemic levels, and home prices continue to rise affordability has reached an all-time low. Mortgage applications have mostly been on a decline since December, so although Lenders One will offer borrowers a convenient lending experience by setting up shop inside Walmart, applying for a mortgage may not fit within the same budget as shoppers' milk and coffee.
"For consumers, rising interest rates, lack of supply, and strong home price appreciation have reduced refinance activity and further constrained home purchase affordability, which, of course, is dampening lenders' expectations of future business activity," Doug Duncan, Fannie Mae senior vice president and chief economist, said in a statement.
Fewer and fewer Americans are applying for a mortgage
Pandemic-era mortgage deals are over as interest rates climb due to inflation. Rising rates could prevent many cash-strapped Americans from pursuing homeownership.
In February, mortgage rates hit their highest mark since the start of the pandemic and have been fluctuating ever since. Although rates slightly declined last week, they're still notably higher than the same time period in 2021. According to Freddie Mac, the average US fixed rate for a 30-year mortgage fell to 3.76% for the week ending on March 3. A year ago at this time, the rate averaged 3.02%.
"Rate increases are expected to continue due to a strong labor market and high inflation, which likely will have an adverse impact on homebuyer demand," Sam Khater, Freddie Mac's Chief Economist, previously told Insider.
In February, the median home-sale price reached an all-time high of $392,000, according to Realtor.com. During the month, home prices grew at an "unusually-fast" pace, researchers said, signaling that homebuyer competition will heat up this spring. As buyers compete for a limited amount of inventory, prices are likely to continue climbing, especially if mortgage rates rise further.
"It can be easy to get swept up in competition, so buyers should take the time to assess how higher mortgage rates could impact the affordability of monthly payments and consider adding a cushion at the top of their budgets." George Ratiu, Realtor.com's Manager of economic research and senior economist, said.
They getting their feet wet now….won’t be long before they buy the houses and put their employees in them “Rent” free….and get subsidized by the Government…..which means you paying for it thru your taxes.
Walmart is now offering mortgages, but its typical shopper probably can't afford today's housing market
The typical Walmart shopper makes $80,000 a year and could be priced out of today's housing market.
Alcynna Lloyd
Mar 10, 2022, 10:42 AM
Walmart is now offering mortgages, but its typical shopper probably can't afford today's housing market
The typical Walmart shopper makes $80,000 a year, but even that's probably not enough to afford the average home for sale in the US right now.
www.businessinsider.com
At Walmart, you can buy anything from a Golden Girls themed Chia Pet to ethically sourced dog nail polish – and now you can also get a mortgage.
Lenders One Cooperative, a national alliance of independent mortgage bankers, banks and credit unions, recently announced a partnership with Walmart. The coop will be leasing space at select stores in an attempt to bring more mortgage solutions to shoppers. Currently operating in three locations, Lenders One says "there are many more opportunities to come."
"I could not be happier with the direction the cooperative is headed," Justin Demola, Lenders One CMB and president said in a statement, adding that his team is already seeing "tremendous" value in the solutions created for its members.
Walmart's typical shopper in the US earns about $80,000 per year. With recent mortgage rate hikes and assuming a borrower should spend 30% of their income on a home purchase, there's a good chance they are priced out of today's market, where the average home price is $392,000. So, although Walmart's low deals might offer customers a shopping discount, the convenience of Lenders One's in-store offices can't guarantee they will be able to afford homeownership.
Record low mortgage rates propelled a home buying frenzy during the pandemic – but they are now reversing course. As rates return to pre-pandemic levels, and home prices continue to rise affordability has reached an all-time low. Mortgage applications have mostly been on a decline since December, so although Lenders One will offer borrowers a convenient lending experience by setting up shop inside Walmart, applying for a mortgage may not fit within the same budget as shoppers' milk and coffee.
"For consumers, rising interest rates, lack of supply, and strong home price appreciation have reduced refinance activity and further constrained home purchase affordability, which, of course, is dampening lenders' expectations of future business activity," Doug Duncan, Fannie Mae senior vice president and chief economist, said in a statement.
Fewer and fewer Americans are applying for a mortgage
Pandemic-era mortgage deals are over as interest rates climb due to inflation. Rising rates could prevent many cash-strapped Americans from pursuing homeownership.
In February, mortgage rates hit their highest mark since the start of the pandemic and have been fluctuating ever since. Although rates slightly declined last week, they're still notably higher than the same time period in 2021. According to Freddie Mac, the average US fixed rate for a 30-year mortgage fell to 3.76% for the week ending on March 3. A year ago at this time, the rate averaged 3.02%.
"Rate increases are expected to continue due to a strong labor market and high inflation, which likely will have an adverse impact on homebuyer demand," Sam Khater, Freddie Mac's Chief Economist, previously told Insider.
In February, the median home-sale price reached an all-time high of $392,000, according to Realtor.com. During the month, home prices grew at an "unusually-fast" pace, researchers said, signaling that homebuyer competition will heat up this spring. As buyers compete for a limited amount of inventory, prices are likely to continue climbing, especially if mortgage rates rise further.
"It can be easy to get swept up in competition, so buyers should take the time to assess how higher mortgage rates could impact the affordability of monthly payments and consider adding a cushion at the top of their budgets." George Ratiu, Realtor.com's Manager of economic research and senior economist, said.
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Smart
How about stop having these stupid wasteful bullshit large weddings and use that money to buy a house instead. I’ll never understand the stupidity of a large expensive wedding
Agreed. Been moving some money around in recent months with the better GIC rates. Put a good amount aside into the 4.4% GICs as they weren't making much interest previously in my savings.
Got my TFSA earning much better interest now too.
I had a Court marriage and a small but classy reception at a nice restaurant which didn't cost a fortune.