/biz/ - Business & Finance

>>55042923
>Gosh danggit it's still cheaper than renting!!!
>I mean sure me and the wife need to pull 16 hours of OT each a week to pay it and the auto loan, but we only need to do that for the next 2 decades. And my boss said that they had a big announcement coming up about my position, with how much I do it'll certainly be a raise!

>>55042923
No idea. I'm trapped in my house even though I'm supposedly up like 50% with a 3% interest rate

>>55042923
Last week I got a house with a 6.6% rate and a 10% price cut from its peak price

rate buy-downs

>>55042923
Rates need to go much much higher

>>55042923
7% mortage is still less than the true rate of inflation

>>55043301
Elaborate

I'm seeing a shit ton of for sale signs.

>>55042923
I know everyone likes the meme that Black Rock and Chinese investors are buying up all the houses (and it's true) but after some researching of closed homes the majority of my findings are literally Boomers. They're the ones who still control most of the wealth and are mass buying homes to rent them out so they can live off comfortably off the passive rent income

https://fortune.com/2023/05/20/starter-home-becoming-retirement-baby-boomers-millennials-housing-market/

>>55042923
Chinese and Indians.

>>55043029
>6.6% rate

retail house buyers are dumb as fuck and think they're missing the ship don't worry anon.
there are tons of peopel paying giant mortgages despite having 2-3% intrest on them due to the price of the house. there is also tons of people doing the same thing but at 7% now. if we get an actual economic downturn with more layoffs they're all fucked. doesn't matter how low their mortgage rate is when the actual payments are so high

>>55042923
Because people don't know what bitcoin is and houses are the closest thing they have to real money.

>>55043368
Housing will NEVER go down

>>55043386
The faster you all hang yourselves the better.

rates need to be hiked much higher

>>55042923
>How are people affording this?
cash

mostly cash from selling a house they paid $100k for and can now get a million from.

>>55043402
Why are you so jealous of homeowners. Are you poor or something?

>>55043386
Already did. And will only go down more.

>>55043386
This

Housing market is tied in with inflation. For whatever reason /biz/ cannot compre this.

>>55043386
>Housing will NEVER go down
it actually might

>>55043415
It's pretty closely tied with that and M2 (money supply)
Both are sharply contracting now

>>55043433
So another week?

Check house prices over the last 40 years

/thread

>>55043410
No, because hoomers are annoying and dont realize selling deep otm puts 2 years out on value stocks is much better than real estare in everyway

>>55043444
you know what's funny I know you're le being memey, but no shit with how the treasury spends billions in a day, and it has less than 60 there is a very strong chance that a week is accurate for a determination of defaulting, or hiking up interest rates. we're basically escalating the clown timeline, and normie boomer, and gen x will get to experience the wrath of their decision making over the last 30 years.

>>55042923
low IQ. mortgages are the new credit cards -- nooses by which financially illiterate normalniggers hang themselves dead.
>T-THE MORTGAGE PAYMENT IS FIXED!!!!!
yeah but it's a huge chunk of your pay
>IT'S ONLY 67% OF MY TAKE HOME PAY
>AND AFTER 10 YEARS OF 2.7% COST OF LIVING RAISES I'LL BE SAVING A LOT MORE MONEY!!!!!

>>55043386
it's down 10% from ATH

https://fred.stlouisfed.org/series/MSPNHSUS

>>55043450
interesting, what APY can you generate on this?

>>55043522
Yes houses are down in shitholes no one actually lives in. Here in california they are still going up

>>55043368
>retail house buyers

>>55042923
>Why? How are people affording this?
i really wonder why apartments are so expensive that people would rather buy houses at these prices

>>55043552
>muttifornia

>People leave high cost of living areas, get paid cash for their home
>Move to areas with lower cost of living, paying cash so in interest rates don't matter
>Prices climbing because they are are tired of waiting/living in a hotel for a house.
Simple as

>>55042923
The previous rich refinanced all their over-leveraged-on-the-brink-of-bankruptcy properties to those tasty 2 percent rates, sold a couple properties at the top for liquidity, and are back in their accumulation phase. When you have stacks of cash, properties are generally financed through portfolios versus traditional mortgages. As long as wagies keep paying rent, they can hold the bankruptcy line out just a few feet in front of them. They will always liquidate their most shit properties first. This is why you need a really good deep recession, not this pansy shit we are having. It takes years and years for those guys to be forced to let go of their gold mine properties. That's when you really have to be paying attention with cash in hand, sometimes it only happens once in a lifetime. That lifetime may have been back in 2008-2013. The Feds will bail them out this go around.

>>55043566
Cope

>>55043577
copé with what, emilio estaban garcia-lopez?

>>55043552
maybe that's there are so many homeless people and human feces on the streets?

>>55043641
*that's why

>>55043449
>retard still thinks it's the 80's

>>55043343
>market crashes
>government has to force rent down
>boomer landlords can't afford mortgage
>default
>gen z can finally buy a house
Only thing that needs to happen is total boomer death and a government collapse.

>>55043685
We're not gonna default if this is what you're hoping for. By the grace of Powell they will continue to incrementally raise rates ala frog is boiling water until the next 20-30 years when all the Boomers finally die

>>55043685
the futile shutdown of the economy and society to try to prevent covid from killing bedridden 88 year olds was proof that one boomer life is worth more than all of gen z combined. It's just not going to happen.

>>55043782
>>55043796
then when in fucks sakes name can I buy a house and not have to pay 6% interest on a 300k mortgage every fucking year which is literally 18k extra every fucking year for absolutely no fucking reason.
>house prices dropped 10% omg very important you can now buy a house goy
no I fucking can't because with a 6% mortgage I literally have to pay 100 or 200k extra.
>inb4 thanks for playing
the terrorists who did 9/11 where unironically right and I'm so happy that Afghanistan is free now. You have no idea how much anger there is inside of me.

>>55043842
You're supposed to buy a home with cash. Don't ask me how you plan to gather the $400k for that tho

>>55043450
I have 3 kids. Do you propose I rent an apartment for us all? It annoys you that I bought a home to house my family? I didn’t buy a house to make money. I got it for stability. I did make 450k off my first home though.

>>55043842
Good question - I'm leaning towards NEVER

The wealthy are unaffected by interest rates, they will simply buy houses in cash or with HELOC loans and refinance later. Entire significant sized cities put their own real estate into an index fund for government employee pensions. It doesn't stop until we make it stop.

>>55043842
>when will I not have to do what everyone else did?!
I feel for you, but this is a do or don’t scenario. You can’t hate those that did just because you didn’t. It’s even worse in other developed countries by the way.

>>55043458
you'll have your crash but rates will be >12% after default

>>55042983
>trapped
Sell the house, buy a van, wait out the bubble pop. The only risk is if inflation skyrockets and house prices don't drop in one year and you have to pay taxes on the proceeds from your house sale. I'm sure that won't happen though...

>>55043386
COOOOOOPE

HAVE FUN IN FORECLOSURE

KEEEEEEEEEEEEK

>>55044017
That's a good thing actually if you're longing investments, and they happen to be shorted anywhere that's 20%, or above. Incredibly based for anyone who is a lending chad. Interest rates going up means borrowing rates follow.

>>55044010
boomers paid infinitely less on their everything.

>>55043372
This

>>55043444
no, two

>>55042923
It's mostly Blackrock and other kikes buying them. I still see houses that sold a year ago sitting empty.

there was people buying the Bitcoin dip at 50K

>>55043962
>I have 3 kids. Do you propose I rent an apartment for us all?
Yes?
Rent a studio and all 5 of you can sleep on the floor of the kitchen next to the oven for warmth.
Let me guess, you're "too good" for that?
Well then pay your luxury tax and continue to get outcompeted.

>>55043522
>ITS DOWN 10% FROM ATH

Go check how high its up from 2 years ago.

>>55043962
Anon, you're responding to a childless man on 4chan; think about it for a second.

>>55043410
you are trapped in a 30 year loan

>>55043361
Haha, rates in my country are 9.3%, probably gonna be more than 10% after the next rate hike.

They can't, they just keep overleveraging like the US govt is

I got a rate at under 4% maybe it's because I bought a cheaper flat

>>55043517
whatever zoom zoom! my tenants are paying for my 2 story stucco shack at 4% interest. I will do it again at 6% too as long as theres a tenant willing to cover the monthly and i cashflow positive.

>>55042923
>Why? How are people affording this?
If by people you mean the American definition of corporate entities, then that's how they're affording it.

>>55044522
>I still see houses that sold a year ago sitting empty.

No you don't.

>>55043962
>. I did make 450k off my first home though.
what if you had to enter the mkt now, without that 450k float?
could you afford the place you have now?

>>55042923
Sounds like they should keep raising rates then.

>>55044042
Not everyone here is single

>>55043412
what website is this?

>>55042923
>7% mortgage rates

I posted a thread yesterday but I sold a house for $1,000,000 last year. It was only because prices had gone insane that I was able to sell it like a week after listing it. It had a huge carpenter ant problem that the guy probably had to pay a lot to fix. He listed it for rent for $2k a month and hasn’t found a tenant. I put the cash in JEPI and I’m getting 11.4% yield on it, renting a much nicer place for $2k right now. Housing is already crashing it’s just a slow motion process.

>>55045545
talk more about your home selling process and the market and not your shitcoin.

>>55042923
>Why? How are people affording this?
By owning a house. It's pretty sweet let me tell ya

>>55042923
crash is looking less and less likely every day
but I'm not paying 450K for the garbage that's out there. never.

>>55043412
>This reflects the housing market crashing not the huge increase in the dollar price per BTC
/Biz/ is truly the lowest IQ board (no matter how much /sci/ and /lit/ give it a run for the money)

>>55047175
Bitcoin went up more than the house.
>I wasn't slow, it's just that the guy in first place was super fast
That's what your high IQ take sounds like.

>house and land has finite amount but infinite demand
>coping zoomers somehow think the pyramid will collapse and they can buy for cheap
HAHAHAHAHAH you are so dumb and poor. you WILL pay rent for the rest of your life

>>55042923
I will NEVER sell the house I bought in 2021 at 2.75% mortgage rate
There are millions of American homeowners with the same mindset as me lol

>>55045515
https://inflationchart.com