Well that's it. Price of housing is in decline in Colorado. I bought my property back in 2008. It declined in the 08-09 crash by about 20%. Then doubled in value from my original purpose. Now its pulled back 5% as we now have properties in my neighborhood with actual for sale signs. Before that was a formality post COVID.
Meanwhile other smaller markets are still growing. Why? They are still affordable. My hometown, Rochester NY is currently No 1.
But the other main factor is supply and demand. No one has been building those entry level homes. Why? because the cost to build doesn't provide enough value to the builder as opposed to larger properties. Throw in tariffs on building materials, like lumber from Canada, and deportation of cheap labor, and the builders are going to punt.
Interest rates aren't coming down until inflation is shown to be under control. And the tariffs are driving it, despite what the administration says. The other cost you failed to mention is insurance rates are going through the roof in many places. You can't get a mortgage without it.
Hail shouldn’t be insurable. Those fake roof claims are so ridic. I’m saying … if you can’t self insure .. you shouldn’t live there. That fixes house prices AND insurance rates in areas where disasters happpen.
That’s not a practical answer. Middle class workers have to live somewhere. The entire service industry to serve this self insured utopia has to live somewhere.
I would agree that insurance ought to imply the inherent risk.
In Texas, frivolous hail claims have been greatly reduced by insurers raising deductibles for “wind and hail” claims from $500/1000 common 20 years ago to current 2 or even 3% of insured value. If the owner of a median priced $714,000 home is staring down a $7,000 deductible instead of $500, they’re properly incentivized to ensure their roof ACTUALLY needs replacement instead of trusting the shady roofer who knocked on their door and said “I can get you a new roof and it won’t cost you anything out of pocket but will make your home more valuable when you sell it.”
The real story is what will the ruling Psychopaths do next. We already seen what devastation they caused with their plandemic & Covid bioweapon. Another repeat with a more deadly virus? Vigano is warning of a planned internet/cyberattack event. And some sort of Banking/Financial meltdown might well be engineered. And of course the specter of their dangerous wars, Taiwan and Ukraine being the most significant. Playing with fire, nuclear fire.
A Comprehensive Breakdown Of Nuclear War Threats - Annie Jacobsen
One of the keys to affordable housing is the expansion of economic opportunities out into larger areas so everyone doesn't have to funnel into a few concentrated economic areas like Silicon Valley, causing massive traffic jams every day. Maybe Trump's policies will have that effect eventually. More remote work for those it is appropriate for will also help, but of course that has its downside as we all know.
Blah blah blah DRW…. Did you win your match? THATS where the action is. And yes I think Trump sees energy abundance driving costs and interest rates down. Lowers taxes will also bump housing and quell inflation. Hoping
You are spot on on this point!
Well that's it. Price of housing is in decline in Colorado. I bought my property back in 2008. It declined in the 08-09 crash by about 20%. Then doubled in value from my original purpose. Now its pulled back 5% as we now have properties in my neighborhood with actual for sale signs. Before that was a formality post COVID.
Meanwhile other smaller markets are still growing. Why? They are still affordable. My hometown, Rochester NY is currently No 1.
https://finance.yahoo.com/news/a-midsize-city-in-upstate-new-york-is-the-countrys-toughest-housing-market-this-spring-143308210.html
But the other main factor is supply and demand. No one has been building those entry level homes. Why? because the cost to build doesn't provide enough value to the builder as opposed to larger properties. Throw in tariffs on building materials, like lumber from Canada, and deportation of cheap labor, and the builders are going to punt.
Interest rates aren't coming down until inflation is shown to be under control. And the tariffs are driving it, despite what the administration says. The other cost you failed to mention is insurance rates are going through the roof in many places. You can't get a mortgage without it.
To me … I stop insuring Florida and California. Honestly … we have to stop building houses in these areas.
You can't get a mortgage without it.
But if you are paying cash you can self insure. There are ways around it. but not for the person borrowing to buy.
We are dealing with it in Colorado too. Hail damage has driven up our insurance rates.
Hail shouldn’t be insurable. Those fake roof claims are so ridic. I’m saying … if you can’t self insure .. you shouldn’t live there. That fixes house prices AND insurance rates in areas where disasters happpen.
That’s not a practical answer. Middle class workers have to live somewhere. The entire service industry to serve this self insured utopia has to live somewhere.
I would agree that insurance ought to imply the inherent risk.
In Texas, frivolous hail claims have been greatly reduced by insurers raising deductibles for “wind and hail” claims from $500/1000 common 20 years ago to current 2 or even 3% of insured value. If the owner of a median priced $714,000 home is staring down a $7,000 deductible instead of $500, they’re properly incentivized to ensure their roof ACTUALLY needs replacement instead of trusting the shady roofer who knocked on their door and said “I can get you a new roof and it won’t cost you anything out of pocket but will make your home more valuable when you sell it.”
The real story is what will the ruling Psychopaths do next. We already seen what devastation they caused with their plandemic & Covid bioweapon. Another repeat with a more deadly virus? Vigano is warning of a planned internet/cyberattack event. And some sort of Banking/Financial meltdown might well be engineered. And of course the specter of their dangerous wars, Taiwan and Ukraine being the most significant. Playing with fire, nuclear fire.
A Comprehensive Breakdown Of Nuclear War Threats - Annie Jacobsen
Chris Williamson:
https://www.youtube.com/watch?v=8R0PRhc7qvI
One of the keys to affordable housing is the expansion of economic opportunities out into larger areas so everyone doesn't have to funnel into a few concentrated economic areas like Silicon Valley, causing massive traffic jams every day. Maybe Trump's policies will have that effect eventually. More remote work for those it is appropriate for will also help, but of course that has its downside as we all know.
Blah blah blah DRW…. Did you win your match? THATS where the action is. And yes I think Trump sees energy abundance driving costs and interest rates down. Lowers taxes will also bump housing and quell inflation. Hoping
Lost 3-2… 3rd. Now … final!!