In the USA, individuals living in cars due to partial homelessness result from a complex interplay of factors. High housing costs relative to income, stagnant wages, and income inequality drive this issue. Job loss, weak social support, medical expenses, evictions, and lack of affordable housing also contribute, while systemic problems and inadequate policies further perpetuate the phenomenon.
Considering the present situation, diversifying by shifting investments from real estate to financial markets or gold is recommended, despite potential future home price drops. Given prevailing mortgage rates and economic uncertainty, this move is prudent, particularly due to stricter mortgage regulations. Seeking advice from a knowledgeable independent financial advisor is advisable for those seeking guidance.
I've remained in touch with a financial analyst since the start of my business. Amid today's dynamic market, the key difficulty is pinpointing the right time to buy or sell when dealing with trending stocks - a seemingly simple task but challenging in reality. My portfolio has grown by more than $600k within just a year, and I've entrusted my advisor with the task of determining entry and exit points.
@@hunter-bourke21 Could you guide me on how to get in touch with your advisor? My funds are being eroded by inflation, and I'm seeking a more lucrative investment strategy to effectively utilize them.
Camille Alicia Garcia, is my portfolio-coach, I found her on Bloomberg where she was featured, I googled her name on the internet. Fortunately I came across her website and reached out. You can go verify yourself
After conducting an online search of her name, her website quickly surfaced, piquing my curiosity. The initial impression is positive and I intend to arrange a call with her. I'll make sure to provide you with updates on how it goes. Thank you.
To the point - Don't go into debt, be content, save and plan for the future. If you're feeling the "pinch", probably not a good time to go spending or borrow money.
Housing prices are not just supply and demand, it’s also heavily influenced by the monetary policy at the time. (I.e. interest rates, MBS purchases/holds, etc.)
Ive done Real Estate for 40 years, it is cyclical. Depending on when you sell, you could go down in value. Over time, historically Real Estate has gone up in value, however it may take another cycle before it will be worth more. Dont be too polyannish, it could go down.
yeah, i agree. it could go down. we just don't know when. but i will agree that there is a very low chance that it will drop significantly. i think the stars will have to align for that to happen. we never know what the future holds.
Housing prices dont appreciate 45% in 24 months. Thats normally a 20 year process. This is an anomally that has been created by manipulated interest rates and free money by the Federal Reserve. When realty prices for rent and ownership cost between 40-60% of wages, there's a storm coming as in many sunbelt states.
I never felt bad for not owning a home and living with my parents. I lived there as a software developer, and dealt with unemployment, freelancing when I needed time to move into mobile technologies, even had a few years ago thanksgiving in mcdonalds.. yet I always live below my means, and now saved 25% of down payment and with a job paying more than twice what I made in the job I was laid off. Be consistent with your goals, and never let those who brag about their homes bring you down.
I just did this as well. Lived at home till 30 and saved for a 25% down payment plus emergency fund. I understand not everyone can do this. Its just absolutely ridiculous what it takes to own a home in these times. My parents were married and by age 30, had a big house, 2 cars, and 3 kids. My mom didn't even work that much early on.
California has been that way for 20 years, I have yet to see a crash there, and prices still continue to go up. Some people just need to accept the reality that maybe home prices will simply cost more now. Maybe this is the new reality.
@@diegolara4202 But even in many desirable cities in CA in 2008, prices fell 30%; some not-so-desirable places lost 60% in CA. So there is hope for us wanting to buy another place.
Dave is right that now is not the same as 2007. What he fails to mention is that the current circumstances have never happened before so comparing to anything else is foolish. He can sound like 100% sure of his opinions, but that doesn't change the fact that they are opinions. They are not facts.
Thank you Dave, you have so much wisdom and gift from God. I just backed out of buying a house, as I discovered things that wouldn’t work. I list escrow, however, it’s better then making a $350k Mistake. Due to listening to Dave, didn’t let my emotions take over and make a mistake. I kept some words from Dave, to keep looking, don’t buy out of desperation or panic, God will bring right house, be anxious for nothing. Thank you Rachel and George!
That was true, not true now. In Phoenix (where I live), investors are dumping as fast as possible and inventory has exploded. Check it out for yourself.
@@BPoweredLove That's because GDP is dropping which is the signal for a recession, though I believe we've been in a recession since 2020 but people don't want to believe that because the news didn't say so, lol.
The “state of the housing union” is changing already. Builders are giving big buyer incentives without lowering the sale price…. That’s a net effective drop in prices. It’s happening. I think Dave made his prognostication a couple months too early.
Californian (Southern) here. Prices are dropping everywhere especially for San Bernardino County and slowly have trickled into LA County. You're right, it's more on the pace of correcting its pricing rather than significantly crashing...atleast for now.
Thank you Dave and team! As a single/divorced person, I was still able to relocate, sell my old home, buy a brand new home and get out of debt, you were definitely God sent. You taught me how to budget, not live beyond my means, what you bring in and what you pay out will affect you, I don't make 100K a year I am doing ok with what I am blessed with. I agree you can only control you and not paying attention to all these financial news media people are just freaking everyone out. Your teachings have taught me a lot and my investments are doing ok and I am not wealthy, I am learning to invest in my property, still save by budgeting.
@@pt192 Timing was everything and some of my friends did the same thing. I told my son not to worry about buying a home right now, he's in college studying business management and to wait on buying a home and should anything happen to me he is take care of.
@@lizard928 with all due respect it's not called timing it's called a once in a lifetime opportunity. Sounds like you have a good responsible kid but what college kid other than the rich can afford a home while in college.
Facts were correct. I don't know, but I didn't get a sense that they really understand the frustration of young people trying to buy their first home. But again, their facts were correct and they kept to their long-term proven method to buy/sell.
I made the mistake of buying a house too early, and that was back in 2005! I was still paying off my student loans, didn't have enough saved up for a deposit, and didn't have a solid emergency fund. But it's what all my friends were doing! I understand how frustrating it must be right now, but you need to be realistic about your financial situation before making such a big money move.
@@Rashaadthegr8 Maybe, but that does NOT mean young people shouldn't buy. If they have the down payment, can make their monthly payments and understand the cost of home ownership, I'd say go for it.
Dave is wrong. Home prices can’t stay the same or appreciate with interest rates doubling. 90% of people that qualify for a 400k house at 2.75% would NOT qualify at 6.75%.
But investment funds are buying the majority of residential property in many areas. They have much deeper pockets than the people trying to buy themselves a home.
@@residentevilfreakk55 The point is, if he was knowledgeable and able to predict the price, why did he miss it then? He didn’t know the different variables that would impact the price then. What’s he missing this time?
Very thankful we got a secured a 15 year fixed rate loan with a mortgage lender. We bought our house in February, we put 25,900 in cash and had closing money. We are also making double mortgage payments. Now mortgage rates are higher. We want to sell in few years and buy another home out in the country. We are grateful that we're 23 and 25 we are homeowners. We also have zero debt and live off one income.
The issue is this-the things most of us can afford are a 30 year old trailer on a quarter acre lot! My son has $170k limit, and that’s what is available in our area for that amount…OR run down, foundation cracked, roof leaking old houses. It’s wrong on every level.
Amen. I am an RN but I'm single and my biggest issue is student loan debt. In Phoenix, rent is insanity for a single person. I feel like I will never be able to own a house. I'm 46, kid out of the house and a nurse for God's sakes and this seems like an impossible dream.
So far in July, the median price is down 10k from June in Vegas. Prices are going down. Interest rates have doubled and that’s a real affordability challenge.
Exactly is he mad??? These firms have artificially inflated home prices and people are buying too high. One economical disaster and it's going to be a foreclosure landslide
yeah we are seeing price drops already and its just the beginning but all the financial people still preach there are going to be no price drops because of supply and demand lol? makes no sense to me
@@everydaybodybuilding2282 seems to me, if you listen closely, there's a distinction being made between values and prices. Dave made that distinction multiple times in this video. Prices can drop significantly, and still just end up around fair VALUE.
What about the graph that shows income and home prices thru the years? Until, I believe, 1980s income was keeping up with home price increases. Now income has flatlined, or gone down considering inflation, while housing has skyrocketed. The disparity is real and something's got to give.
Sounds like real-estate gurus back in 2006. Home prices never go down. There is no issues like previous cycles. Well, there are always different issues.
I'm going to be honest, I'm 20 minutes in and I haven't heard the word Federal reserve raising interest rates yet. Maybe I missed it, but it's certainly not his focus if I did. If interest rates go where they need to go to combat inflation, there's no way we don't see home prices go down significantly. Demand will be murdered
He also did not show the current trends in housing inventory. At the end of June, housing inventory was up 19% year over year as well as being up 54% since February. I'm sorry, but that doesn't happen when there is a housing "shortage" (i.e. demand exceeds supply). In fact the opposite is happening. What has changed isn't supply, it is demand, which is basically non-existent at today's prices.
Show us a chart of mortgage demand, housing affordability, wage-price ratio, foreclosure backlog, contract cancellation rates, and a different picture might emerge.
add to that the trillion dollar college debt that the millennial generation owes (which repayment has been on pause)- it will portray a different scenario
We are seeing high Inflation partly because salaries have gone up. They certainly have not stayed the same, but I do have the same concerns that too many people bought houses that they cant afford.
@@BH-hm5ss doesn't seem like the majority of people's salary has gone up. I could be wrong. I know mine sure hasn't. But I definitely agree with you that people bought houses they cannot afford to live in.
@@Rdfelic i agree with this. I think a lot of the pay raise has to do with tech industries. For average people working in factory it will not help them purchase a home. Back them people can. But not now.
Data shows demand has fallen off, Home builders are stressing, lots of people are walking away for contracts. This is already causing supply to go up. It's not how many house are available compared to 2008, it's the percentage of home to actual buyers and that is growing fast. Price drops are at the highest rate recorded. People over paid for homes and were upside down at closing. Forecloses will only add to the supply and move prices lower
Look at your own charts. Foreclosures are rising quickly, that’s more supply. Lumber is back to normal prices and new building starts are rising quickly, that’s more supply too. On the demand side, just because millennials want houses doesn’t mean they have the ability to afford them.
I disagree. I'm a real estate agent and even if you raise home prices 300% tomorrow, everyone will keep buying at a rapid pace....even though nobody can afford them. Money grows on trees, so people will pick more money off the trees. - Delusional Agent
I’ve been in mortgage originations for 18 years, everything Dave Ramsey said In this video is 100% correct and spot on, his analysis for not being a direct originations worker is very impressive. Anyone that disagrees with what he said, is a hopeless uniformed individual hoping at Hail Marys chance of hoping prices come down and will realize it never happened years from now, And still sitting on the sidelines.
@@cg5648 he's probably born in 86 and too young to understand. My cousin's are mortgage brokers and I remember trying to convince them of an upcoming crash back in 2005 . No one wanted to hear it . Just wait and see
I'm from California. After watching this video I want to move out of California now. Thanks for the insights. My wife and I are selling our home and in the process of buying a better home to raise our children.
Regardless of a price crash, buyer demand HAS crashed, homebuilder stocks HAVE crashed, buyer competition is GONE. This opens the door for an entry for a buyer, but I see it as more of a buyer pause or a buyer strike than a sure thing crash.
Buyer demand has not crashed below demand though so that’s the point. Also I’m still seeing houses going over asking within a couple days in my area so it’s not gone yet.
@@Camie2030 no, they need to buy somewhere else. Some areas have developed enough to bring prices out of entry level price ranges and just like I can’t afford to live in LA or NYC, some people can’t afford to live where you are and they’re not entitled to.
the reason I believe in what Dave Ramsey is that he has conscience. He helps people to make right decision based on their own means. If you're not ready, be contented on what you have. It really make sense regarding real estate. What goes up must come down is not an economic principle.
I’m a native Californian living in California, laughing and loving this town hall! Love you all and I appreciate the way you have changed my life for the better. ☀️🙏🏻💛
@@youtuber6185 I don't think that's true Because what they are not showing you is that the people that move out major corporations buy the house tear it down and build an apartment. My neighborhood has gone from 10% apartment buildings to 30%
I’m a thankful, contented renter! I’m so thankful that my landlords are renting me a place to live at a reasonable rate. Inflation is uncomfortable but I’m thankful that my job pays for my life
You are lucky because rents are going up everywhere. Rent prices rose by 0.8% in June from a month earlier, according to the Labor Department it is the largest monthly gain since 1986.
Maybe look at Petrobras PRB.A Preffered shares - currently over 42% yield… Yeah that’s right OVER FORTY TWO PERCENT! I’m buying shares as if it were a bank account. At least my money is in oil and not the dollar.
Dave it “normally” is supply and demand that regulated housing prices. That was true when the money supply wasn’t diluted over 5-7 Trillion dollars. The dollars being g offered to purchase the house are practically worthless…
@@dougg4633 Those worthless dollars buy a lot less real estate than they did a couple of years ago when they were less worthless. Its a valid point. Home prices are now barely keeping up with inflation of the money supply.
A 250k house two years ago selling for 400k now is just not real. The value of that home is artificial pushed to those levels by an economic times that we have never seen before. Nobody knows how this is going to fall. But you will have less demand as inflation continues. When interest rates double or triple, the amount of people that can afford to buy that 400k house drops dramatically.
Everyone stretching their money to able to afford regular needs, houses over priced, interest rate going higher by the month, normal people not seeing increases on their paycheck. I just wonder who would be able to afford a home like this. Back to the supply and demand thing, the supply will increase but not the demand for the fact that they can’t afford a home. Price of homes has no option but to come down! This is just my opinion. I own rental properties and I’m debt free. I hope and pray that people will make the right financial decision.
Californian here! We keep getting blamed for everything BUT Are the people moving out of CA actual CA natives? Bc we’ve had a huge migration here for years and they have been buying us natives out and gentrifying our neighborhoods. It’s these transplants that are moving back out. So it’s not really our fault, they did it to us first.
There used to be a bumper sticker: WELCOME TO CALIFORNIA. NOW GO HOME. Our state is full of phonies and dream chasers - the kind of people who would leave their families and come here. I’d be happy if there were a mass exodus.
I was just thinking the same thing also the price these people sold their house for in California, I highly doubt they will ever get that price again in another state.
@@OE7V7 Don't see why anyone would worry about getting that price in another state after selling and moving when they can buy the same type home for half to one third the cost elsewhere. It's why many I know that moved from there are retired so early,travel,etc..doing what they want without debt. Life is too short.
The one variable that Dave smoothly washed over is the number of foreclosures in the next year will determine a lot. It will change the supply factor drastically.
And I'm betting he isn't going to touch the impacts of interest rates. He's claiming there is still a shortage of homes. Sorry no. The population isn't increasing fast enough. Boomers are dying off faster, and illegals don't buy homes. The "shortage" was caused by artificially low interest rates. Those rates are skyrocketing. Thus, home values are going to crater. Bond Investing 101.
It’s funny because what he is leaving out of back are buying homes driving up prices, not family’s but bank. Number one buyer of homes is banks. Get ready for the crash people.
Thanks for the show and information within. I’m from the Dallas, TX area. 34 years old and my wife and I have been looking for what will be our first home for a month now. It’s still very competitive out there. Sellers getting multiple offers over asking price. Buyers swarming houses for sale like flies. We made an offer over asking and still lost the home. We have probably seen twenty different homes now and it feels a little bit like we are dogs fighting over scraps. Prices are all over the place. Houses that are affordable are almost falling apart, old, or small or all of the above. I think I am going to check out y’all’s recommended agents because I don’t think we have a very good one. We find most of the houses ourselves instead of the agent. I’m pretty sure I’m losing hair off my head from the stress. I know y’all probably won’t see this message, but any advice or words of encouragement would be welcome. Thanks.
Hang in there Kyle. Wait for the right house. Remember, that a fixer upper is sometimes the way to go. Remodeling doesn't have to cost a fortune if you do some of the work yourselves.
I like the show but don’t think you can make such high level generalizations of Supply and Demand across every city in the USA. Each city has its own Supply and Demand curve, they are all different. For example, inventory in Phoenix is exploding and home price cuts are now the norm. This is just one example of an area where Supply is outpacing Demand and I expect that trend to continue putting downward pressure on prices.
Wow these people are soooooo disconnected. People are moving back in with their parents because they can’t afford to buy a condo and the investors have increased rent 20 to 30 percent annually the past two years.
I really like you Dave, but there's one point your missing here. That is that even on your own chart there's only been one time that the price went up too aggressively and then it leveled back down.
I was thinking that as well. We had 10 years worth of appreciation in two years. Unless wages see 10 years worth of growth, we should expect ultra low appreciation in the next eight years or a drop in value to semi-affordable prices. Either way, buy when it dips to normal levels or save up and buy in ten years. Homes si.ply aren't affordable at current prices as a percentage of income.
@@SovereignMoney My daughter and s-i-l are saving for a house but the house prices are outpacing their savings by a wide margin...and they are saving very aggressively.
Prices, value, and equity have fallen from April-May 2022 to July 2022. Will you admit that you were wrong and your predictions are affected by the fact that you "own hundreds of million of dollars in real estate?" The number of sales has dropped from 6.5M in early 2022 to 5.1M in June 2022 = 20% drop (National Assoc of Realtors, June 2022 Report). If the demand has not dropped, the # of units would not drop by 20%.
my testimony for first time buyers is buy the best with what you can afford that won't suffocate your wallet. Our first house was a 1200 sq ft house in a less desirable city, but the neighborhood was fair. We had a good old couple as neighbors. It was time to sell, because i wanted my children to go to a better school. Now we live in a 1900 sq ft house, good community, and great school. Now, it wasn't all easy, it was a lot of work and learning experience. What i'm trying to say is start now if you are ready and there is always a way to climb up and reduce mortgage as long as you are responsible and have a steady salary/income. Equity is your friend.
I can’t understand why y’all are comparing what’s happening “now” to 2008. We all know this is a completely different situation. I need “now” compared to the future and why.
They are comparing now to 2008 because that's the only time in history when house prices went down. There were several recessions in the past, none of them drove the house prices down. Conclusion: we may be heading to a recession but house prices are not going down because there is a shortage.
No Dave, prices go up when money is cheap. Prices fall when money is expensive! We had cheap money, now transitioning to expensive money. Everyone please watch some other channels for comparison.
Omg he is repeating they myth that broke people caused 2008 was caused by broke people. The majority of defaults did not come from subprime. It came from prime borrowers that where investing
A huge business is rental properties. Landlords are getting to the point to where they can increase rent on a regular basis. With housing less affordable more people have to rent so you can keep increasing rates. Even trailer parks are getting bought up like crazy by investors
Dave is going to have egg on his face if his bold predictions don't pan out... my take is that we're in a bubble greater than 2008. The first flaw in his argument is the realization that demand and supply are not static.. they can change radically.
The most ironic part of this, if everyone followed Dave's guidelines for getting a mortgage, house prices would drop by half or better. Either that or wages would double overnight.
@@briancarpenter3923 You do know that's whats driving up the cost. Look at the dental bill with insurance and ask what it would be out of pocket next time you go get a teeth cleaning.
Even though Dave now and then alludes to the fact he works a lot and will never retire, I have a feeling he is at the office after hours a lot more than any of us even realize, as you can see in this video. Keep charging old man!
Why the insistence of buying a house? Even a professional who make say 100K with no kids end up in a stranglehold not being able to pay their condo, new car, student loan, bills, life style? Juan Carlos on the comments says that the U.S. is not what it was! I agree when you look at the geopolitical and economics of the U.S. it's crumbling away as we speak.
Oh my!! October 12, 2022, Dannie Mae downgraded Q2, Q3, and Q4 to NEGATIVE growth for house prices. Fannie was one of the "experts" that Dave quoted saying housing FOR SURE was going to continue to go up. Nope!
@@JakeStz Nope. In Phoenix housing has fallen since May (2022) when Dave said this. It went lower y-o-y in Nov 2022, and is still under last year. Very soon we will have one whole year of negative y-o-y. That was an huge erro of his to say that housing will go up for the next 5 years.
Rachel is stating, I believe, the number one issue is that people have an unrealistic perception of reality of what a normal home looks like and having contentment in what you do have.
@@ds3602 So you're saying it's as much of an economic principle as "what goes down must come up" when it falls below the mean. You, D s, are trying to have it both ways and you can't.
@@jrwntctv8091 where am I trying to have it both ways? We already know what you said is true, look at 2008 compared to 2014. What went below the mean, went back to it, then over
I am wondering how this all looks regionally. I have lived in Florida since 1991 and been a Florida Realtor since 1995. I have never seen as many houses being built and new communities being approved as now. I know people are moving to Florida but this, at some point will calm down. I am also more than familiar with the “half back” phenomenon. After a couple of years of Florida storms and summers, people exit and go half way back to where ever they came from. I just don’t see how this can continue.
American dreams dead, Dave. Average income for a 4-year degree is still 50-60k. Average home now is 400-500k. Its just not possible anymore. Your generation had it so easy. Same 50k income and 90k homes. We’re so F’d.
@@costamarques3900 I mean I do disagree with them when they say that rising interest rates and increasing forclosures wont affect housing prices. Higher interest rates lowers demand, and increasing forclosures increases supply, so by the laws of supply and demand they have to. They of course wont cause prices to crash but they will cause them to come down a bit.
Why is it that people that will be heirs of a large amount of money feel the need to preach to people that cannot relate at all financiall...what is it about human nature when peoples circumstances just can;t relate to others and they feel this need to counsel others?
@@completetruth9177 Don't see why that would matter with a multimillionaire especially if this OP is broke and caught up in current events and the next 12 months.
He's well aware of it - he just doesn't talk about it because there's nothing the layman can do about it. His message boils down to this: Control the controllables in your own life.
@@jrwntctv8091 I agree but heading into the period in which we face, huge risks are likely to present themselves. It would probably be a better idea to have more than $1k cash on hand than putting every penny towards debt. Dave instructs to take every from savings to pay off debt, this will crush people if we have a big downturn and unemployment. He will never deviate from his documented baby-steps, because that is the golden goose, even though people will be laid off and get hurt (with only $1k in their pocket).
@@schuey999 I may be wrong but I believe that Dave recommends 3-6 months of expenses in the emergency fund. The $1K Emergency fund is just the first step when starting from zero.
In this perilous time of hyper inflation and recession, protecting your capital is much more important than making money. Basically because if you lose your capital, making money is much harder. ''Missing the train'' vs. ''losing your money''. There are a lot of trains, but if your money is gone, it's over. This is for stock holders.
No Mayne level out I'm in phx and only going to see a reduction but nothing like the 2008..we just don't have enough started homes here for everyone moving here..
@@pt192 ok so they come down a bit is that a crash or just normalizing? Your not going to see a huge crash they are just not building homes right now ..low supply on house will keep them expensive
Once Wall St. got a taste of SFHs as a lucrative investment vehicle, it changed home ownership in the US forever. In some cities, their share of SFH purchases is 25%.
I always have to chuckle when I hear 'Mericans say "250k or 350k for a home." Have a look at prices up here in Canada, specifically Vancouver or Toronto, average price is over a million. What's that in US dollar about 750k!! That's average. We haven't had detached homes in the 300's since 2007.
This is true. OPEC is not pumping out the dirt cheap oil with workers making $12 a day. We are relying on Western oil where workers are making six figures.
Yep.. I’m a mobile notary doing loan doc signings and tons of people are getting laid off in the mortgage industry.. title reps, escrow officers loan processors etc.. with rates continuing to go up.. it’s not looking good
@@Jennifer-jf7nx Thanks for sharing your experience. What does that mean with mortgage industry getting laid off in relation to housing prices and availability? Or why does it not look good as you mentioned? I'm kindly asking to learn not fight 🌹
Canadian home prices are expected to rise by 10.5 per cent in 2022, with Toronto, Vancouver and Halifax projected to see the largest increases. According to the new survey from real estate firm Royal LePage, next year’s forecast follows a record-breaking year in 2021, when housing prices jumped by 21.4 per cent.
My home is valued more now, much more, than just this past January. No crash, Dave is right. Northwest Washington State. It will always depend on where you live
It's so hard to help people this days. Comments here are so unreal..so do I rather listen from a rich nice guy..or from a bunch of poor negative with no sense at all people..Thank you Dave for all your help. I own two pay full property's no debt.
seems like we are seeing a lot more price drops start. if lumber goes down, shouldn't new construction cost go down, and shouldn't that take pressure off used homes...dropping price?
My new home build actually never charged me the changes in lumber prices since I locked in my price ahead of the explosion. From what I have seen, since before the lumber inflation the new home prices have steadily increased over 30% up to now. But the new build costs have slowed the rising cost. Houston area here.
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In the USA, individuals living in cars due to partial homelessness result from a complex interplay of factors. High housing costs relative to income, stagnant wages, and income inequality drive this issue. Job loss, weak social support, medical expenses, evictions, and lack of affordable housing also contribute, while systemic problems and inadequate policies further perpetuate the phenomenon.
Considering the present situation, diversifying by shifting investments from real estate to financial markets or gold is recommended, despite potential future home price drops. Given prevailing mortgage rates and economic uncertainty, this move is prudent, particularly due to stricter mortgage regulations. Seeking advice from a knowledgeable independent financial advisor is advisable for those seeking guidance.
I've remained in touch with a financial analyst since the start of my business. Amid today's dynamic market, the key difficulty is pinpointing the right time to buy or sell when dealing with trending stocks - a seemingly simple task but challenging in reality. My portfolio has grown by more than $600k within just a year, and I've entrusted my advisor with the task of determining entry and exit points.
@@hunter-bourke21 Could you guide me on how to get in touch with your advisor? My funds are being eroded by inflation, and I'm seeking a more lucrative investment strategy to effectively utilize them.
Camille Alicia Garcia, is my portfolio-coach, I found her on Bloomberg where she was featured, I googled her name on the internet. Fortunately I came across her website and reached out. You can go verify yourself
After conducting an online search of her name, her website quickly surfaced, piquing my curiosity. The initial impression is positive and I intend to arrange a call with her. I'll make sure to provide you with updates on how it goes. Thank you.
To the point - Don't go into debt, be content, save and plan for the future. If you're feeling the "pinch", probably not a good time to go spending or borrow money.
so wait to buy a house
Thanks, saved me an hour😉
@@bobsacamano7653 no, buy when you're ready to buy
@@bobsacamano7653
Buy a home you can afford.
@@bobsacamano7653 Q
Housing prices are not just supply and demand, it’s also heavily influenced by the monetary policy at the time. (I.e. interest rates, MBS purchases/holds, etc.)
It still is just supply and demand those are just factors that affect demand
@@owenrossi6032 the monetary policy (either quantitative easing or quantitative tightening) influences both supply and demand.
@@owenrossi6032 I guess you could say that but even saying "supply and demand" isn't very comforting when no one knows where that is headed.
One could argue that simply augments demand, but yeah, to your point the idea of "other stuff doesn't matter" is talking out of both sides of mouth
@badinstinctsTH-cam yes absolutely it affects demand. The meteoric rise in price can easily take away the desire to own a home for the time being
Ive done Real Estate for 40 years, it is cyclical. Depending on when you sell, you could go down in value. Over time, historically Real Estate has gone up in value, however it may take another cycle before it will be worth more. Dont be too polyannish, it could go down.
This guy is a clown.
yeah, i agree. it could go down. we just don't know when. but i will agree that there is a very low chance that it will drop significantly. i think the stars will have to align for that to happen. we never know what the future holds.
Housing prices dont appreciate 45% in 24 months. Thats normally a 20 year process. This is an anomally that has been created by manipulated interest rates and free money by the Federal Reserve. When realty prices for rent and ownership cost between 40-60% of wages, there's a storm coming as in many sunbelt states.
I agree
Agreed, but this is no anomaly. This is how the debt based system is supposed to work.
Because they printed 40% more money.
I dougbt feds can shrink that like they are saying.
Well, if they do, I see price going down.
Yes, I agree with that. Here in Florida, I'm seeing family's coming here and fleeing from the political issues in other states.
Can i borrow your crystal 🔮 ball?
I never felt bad for not owning a home and living with my parents. I lived there as a software developer, and dealt with unemployment, freelancing when I needed time to move into mobile technologies, even had a few years ago thanksgiving in mcdonalds.. yet I always live below my means, and now saved 25% of down payment and with a job paying more than twice what I made in the job I was laid off. Be consistent with your goals, and never let those who brag about their homes bring you down.
Most adults have homes..it’s a way of life..not a bragging thing lol
yikes
So talking about having a home is bragging, I think you felt guilty and projecting on other people
@@WeBeatMedicare6969 Adults are not always right. FACTS!!
I just did this as well. Lived at home till 30 and saved for a 25% down payment plus emergency fund. I understand not everyone can do this. Its just absolutely ridiculous what it takes to own a home in these times. My parents were married and by age 30, had a big house, 2 cars, and 3 kids. My mom didn't even work that much early on.
As usual, focus on what you can control (behaviors) and seek being content 🥰
In some areas, housing is 10X or even 15X wages. This has never happened and is unsustainable.
So is rent, wages have also gone up substantially
California has been that way for 20 years, I have yet to see a crash there, and prices still continue to go up. Some people just need to accept the reality that maybe home prices will simply cost more now. Maybe this is the new reality.
@@diegolara4202 But even in many desirable cities in CA in 2008, prices fell 30%; some not-so-desirable places lost 60% in CA. So there is hope for us wanting to buy another place.
@@diegolara4202 Just for your information, they already dropping the fastest IS California
@@Matt-ix6ne factoring in inflation, wages are down.
Dave is right that now is not the same as 2007. What he fails to mention is that the current circumstances have never happened before so comparing to anything else is foolish. He can sound like 100% sure of his opinions, but that doesn't change the fact that they are opinions. They are not facts.
Hate to break it to you but opinions disguised as facts are all that exist. There are no actual facts anywhere in America in 2022.
Yeah but if anybody knows what they’re talking about is him I’m willing to bet on Dave compared to other investors especially the average individual
🙋♂️Except he did mention it, twice. 9:00
Exactly this bozo knows no more than your corner store cashier and he knows it. He makes money on talking and creating content. He knows nothing.
He also says repeatedly, here are the facts, make up your own opinion.
Thank you Dave, you have so much wisdom and gift from God. I just backed out of buying a house, as I discovered things that wouldn’t work. I list escrow, however, it’s better then making a $350k Mistake. Due to listening to Dave, didn’t let my emotions take over and make a mistake. I kept some words from Dave, to keep looking, don’t buy out of desperation or panic, God will bring right house, be anxious for nothing.
Thank you Rachel and George!
Which god are you referring to...?
Don't ever get your opinion from a real estate agent or a property investor. They will ALWAYS tell you it's a good time to buy. hmmmm... I wonder why?
boy are you right! its never a bad time to buy when you work 100% commission! no sales....leads to NO income!
The problem is the institutional investors buying up houses and causing inventory shortages.
That was true, not true now. In Phoenix (where I live), investors are dumping as fast as possible and inventory has exploded. Check it out for yourself.
@@BPoweredLove That's because GDP is dropping which is the signal for a recession, though I believe we've been in a recession since 2020 but people don't want to believe that because the news didn't say so, lol.
The “state of the housing union” is changing already. Builders are giving big buyer incentives without lowering the sale price…. That’s a net effective drop in prices. It’s happening. I think Dave made his prognostication a couple months too early.
A teeny bit but not a significant amount. Its making a turn though.
Californian (Southern) here. Prices are dropping everywhere especially for San Bernardino County and slowly have trickled into LA County. You're right, it's more on the pace of correcting its pricing rather than significantly crashing...atleast for now.
Thank you Dave and team! As a single/divorced person, I was still able to relocate, sell my old home, buy a brand new home and get out of debt, you were definitely God sent. You taught me how to budget, not live beyond my means, what you bring in and what you pay out will affect you, I don't make 100K a year I am doing ok with what I am blessed with. I agree you can only control you and not paying attention to all these financial news media people are just freaking everyone out. Your teachings have taught me a lot and my investments are doing ok and I am not wealthy, I am learning to invest in my property, still save by budgeting.
Are you okay? Should I call a hostage negotiator?
Lucky you got into a home while they were still affordable. No young people can afford them anymore.
@@pt192 Timing was everything and some of my friends did the same thing. I told my son not to worry about buying a home right now, he's in college studying business management and to wait on buying a home and should anything happen to me he is take care of.
@@lizard928 with all due respect it's not called timing it's called a once in a lifetime opportunity. Sounds like you have a good responsible kid but what college kid other than the rich can afford a home while in college.
Much love to you❤️❤️❤️
Facts were correct. I don't know, but I didn't get a sense that they really understand the frustration of young people trying to buy their first home. But again, their facts were correct and they kept to their long-term proven method to buy/sell.
Young peple most likely can't afford a house to begin with. Just because you can breathe and have a job doesn't mean you need or should buy a house.
I made the mistake of buying a house too early, and that was back in 2005! I was still paying off my student loans, didn't have enough saved up for a deposit, and didn't have a solid emergency fund. But it's what all my friends were doing! I understand how frustrating it must be right now, but you need to be realistic about your financial situation before making such a big money move.
@@Rashaadthegr8 Maybe, but that does NOT mean young people shouldn't buy. If they have the down payment, can make their monthly payments and understand the cost of home ownership, I'd say go for it.
@@mark.daniel Very true. Both my daughter and s-i-l are 100% debt free.
@@bobwadsworth4799 you literally didn't read the comment. I literally said young people shouldn't buy houses if thry can't afford it.
Dave is wrong. Home prices can’t stay the same or appreciate with interest rates doubling. 90% of people that qualify for a 400k house at 2.75% would NOT qualify at 6.75%.
This guy is a clown.
Exactly
But investment funds are buying the majority of residential property in many areas. They have much deeper pockets than the people trying to buy themselves a home.
I’m
So you buy a 300k house if you can’t afford a 400k house anymore.
In 2007 Dave Ramsey said home prices will not come down. In 2008 prices dropped 50%
He explained how 2008 was a once in a lifetime event and that prices eventually returned
@@residentevilfreakk55 They didn't fix anything in 08 now its gonna be twice as bad this time.
@@zrzr4 Actually they did, it's way harder to buy a home now than it was leading up to 2008.
@@residentevilfreakk55 The point is, if he was knowledgeable and able to predict the price, why did he miss it then?
He didn’t know the different variables that would impact the price then. What’s he missing this time?
Look into the Ramsey cruise February 2020 also, oh how we laughed
Very thankful we got a secured a 15 year fixed rate loan with a mortgage lender. We bought our house in February, we put 25,900 in cash and had closing money. We are also making double mortgage payments. Now mortgage rates are higher. We want to sell in few years and buy another home out in the country. We are grateful that we're 23 and 25 we are homeowners. We also have zero debt and live off one income.
Bravo. You are set up for success, keep up that great work.
If you have a mortgage, then you aren't a homeowner just yet, but keep the plan rolling.
If you’re ready to buy within your means, it’s always a good time to become a homeowner.
Yup. Like the “best time to plant a tree is 25 years ago”
😊😊😊😊
The issue is this-the things most of us can afford are a 30 year old trailer on a quarter acre lot! My son has $170k limit, and that’s what is available in our area for that amount…OR run down, foundation cracked, roof leaking old houses. It’s wrong on every level.
Amen. I am an RN but I'm single and my biggest issue is student loan debt. In Phoenix, rent is insanity for a single person. I feel like I will never be able to own a house. I'm 46, kid out of the house and a nurse for God's sakes and this seems like an impossible dream.
@@jenniferguthrie6534 , i am 46 yrs old and nurse , I feel the same way as you . That’s I will never own a home with everything going on .
So far in July, the median price is down 10k from June in Vegas. Prices are going down. Interest rates have doubled and that’s a real affordability challenge.
Exactly is he mad??? These firms have artificially inflated home prices and people are buying too high. One economical disaster and it's going to be a foreclosure landslide
yeah we are seeing price drops already and its just the beginning but all the financial people still preach there are going to be no price drops because of supply and demand lol? makes no sense to me
@@everydaybodybuilding2282 seems to me, if you listen closely, there's a distinction being made between values and prices. Dave made that distinction multiple times in this video. Prices can drop significantly, and still just end up around fair VALUE.
Prices are definitely dropping. And it’s best to wait if you can
I don't always agree with Dave but I have to admit he's a fantastic public speaker.
I hope so he's been doing it for 40 years.
I don't always agree with Dave , but when I do I drink 🍺
Dave is 100% wrong on this one.100%
He makes a good con artist, trying to get people to believe housing prices are not going to drop.
@@dzim8822 Yup. Some places are currently seeing a drop already.
What about the graph that shows income and home prices thru the years? Until, I believe, 1980s income was keeping up with home price increases. Now income has flatlined, or gone down considering inflation, while housing has skyrocketed. The disparity is real and something's got to give.
Dave knows this there is a reason
@@bitario723 And yet it still hasn't happened. Hard to believe some people when they say 'its coming' yet it doesn't.
@@bitario723 a broken clock is right twice a day.
You don’t think with the lack of workers, they wouldn’t pay more to get workers??
Big business is killing homes. They’re rigging the system against people building family wealth
Sounds like real-estate gurus back in 2006. Home prices never go down. There is no issues like previous cycles. Well, there are always different issues.
I'm going to be honest, I'm 20 minutes in and I haven't heard the word Federal reserve raising interest rates yet. Maybe I missed it, but it's certainly not his focus if I did. If interest rates go where they need to go to combat inflation, there's no way we don't see home prices go down significantly. Demand will be murdered
Bingo
Exactly, and all it takes is one thing to shift then many other variables will shift.
The chart you did not show is home affordability index. When house prices exceed household income, they come down
He also did not show the current trends in housing inventory. At the end of June, housing inventory was up 19% year over year as well as being up 54% since February. I'm sorry, but that doesn't happen when there is a housing "shortage" (i.e. demand exceeds supply). In fact the opposite is happening. What has changed isn't supply, it is demand, which is basically non-existent at today's prices.
Show us a chart of mortgage demand, housing affordability, wage-price ratio, foreclosure backlog, contract cancellation rates, and a different picture might emerge.
add to that the trillion dollar college debt that the millennial generation owes (which repayment has been on pause)- it will portray a different scenario
@@kfamoso Yeah. Millennials bought degrees in dance theory for the price of a house.
Housing prices going up and people's salary is staying the same. Something will eventually happen
We are seeing high Inflation partly because salaries have gone up. They certainly have not stayed the same, but I do have the same concerns that too many people bought houses that they cant afford.
Many people are doing fine.
With others of course something will happen and always does especially with financially stupid people.
@@BH-hm5ss doesn't seem like the majority of people's salary has gone up. I could be wrong. I know mine sure hasn't. But I definitely agree with you that people bought houses they cannot afford to live in.
Many articles note that salaries are going up BUT not keeping up with inflation. I've had two pay raises in one year for my part time job.
@@Rdfelic i agree with this. I think a lot of the pay raise has to do with tech industries. For average people working in factory it will not help them purchase a home. Back them people can. But not now.
Dave still hasn't addressed stagflation and the fact that incomes are not rising enough for people to absorb the interest rate increases. Waiting.
Data shows demand has fallen off, Home builders are stressing, lots of people are walking away for contracts. This is already causing supply to go up. It's not how many house are available compared to 2008, it's the percentage of home to actual buyers and that is growing fast. Price drops are at the highest rate recorded. People over paid for homes and were upside down at closing. Forecloses will only add to the supply and move prices lower
True. Dave will ignore all of that.
Homes I was keeping an eye on are cheaper by $20-$60k cheaper now.
Same here.
A lot of people we listing their houses above their true value. But the true value of the house hasn’t gone down.
Hey I think condo prices haven’t gone down a bit
Nothing goes down near me. Houses sell to quickly for that. In fact very few are for sale.
@@sum7866.. I haven’t checked for condos only for family homes. I hope you find something at a great price.
Look at your own charts. Foreclosures are rising quickly, that’s more supply. Lumber is back to normal prices and new building starts are rising quickly, that’s more supply too. On the demand side, just because millennials want houses doesn’t mean they have the ability to afford them.
Exactly 💯 there are Generation X who are just now purchasing homes. But a lot more of us are able to afford our dream home.
I disagree. I'm a real estate agent and even if you raise home prices 300% tomorrow, everyone will keep buying at a rapid pace....even though nobody can afford them. Money grows on trees, so people will pick more money off the trees. - Delusional Agent
Dave Ramsey might be the new Jim Cramer when it comes to investing. Good luck everybody!
Also, I'm saving this video when they are vastly wrong.
I’ve been in mortgage originations for 18 years, everything Dave Ramsey said In this video is 100% correct and spot on, his analysis for not being a direct originations worker is very impressive. Anyone that disagrees with what he said, is a hopeless uniformed individual hoping at Hail Marys chance of hoping prices come down and will realize it never happened years from now,
And still sitting on the sidelines.
@@jpdrummer86 You are delusional. Prices already changing most places.
@@jpdrummer86 , prices are falling in many places in America.
@@cg5648 he's probably born in 86 and too young to understand. My cousin's are mortgage brokers and I remember trying to convince them of an upcoming crash back in 2005 . No one wanted to hear it . Just wait and see
I'm from California. After watching this video I want to move out of California now. Thanks for the insights. My wife and I are selling our home and in the process of buying a better home to raise our children.
Will our incomes go up ? Will people get their jobs back ? Lots of factors Dave didnt consider .
Yeah Dave is in lala land
Dave has never been more wrong.
@@brandonknighten7595 easy to be in lala land when you are shielded from the real world by a several hundred million dollar empire
Layoffs are also happening.
conveniently ignored by someone who wants you to get into real estate.
Regardless of a price crash, buyer demand HAS crashed, homebuilder stocks HAVE crashed, buyer competition is GONE. This opens the door for an entry for a buyer, but I see it as more of a buyer pause or a buyer strike than a sure thing crash.
Buyer demand has not crashed below demand though so that’s the point. Also I’m still seeing houses going over asking within a couple days in my area so it’s not gone yet.
Not in FL
Entry buyer still can’t afford where I live due to interest rate increase. The price needs to come down at least 10% for that to happen.
@@Camie2030 no, they need to buy somewhere else. Some areas have developed enough to bring prices out of entry level price ranges and just like I can’t afford to live in LA or NYC, some people can’t afford to live where you are and they’re not entitled to.
Always going to be that one buyers living above their means. Someone will eventually buy even if we aren’t having crazy bidding wars.
the reason I believe in what Dave Ramsey is that he has conscience. He helps people to make right decision based on their own means. If you're not ready, be contented on what you have. It really make sense regarding real estate. What goes up must come down is not an economic principle.
Watch and see…
What about if millions lose their jobs and homes. Won't the supply exceed the qualified buyers?
I’m a native Californian living in California, laughing and loving this town hall! Love you all and I appreciate the way you have changed my life for the better. ☀️🙏🏻💛
Great attitude!
California real estate may go down due to the mass exodus of people leaving California political environment. People are voting with their feet
@@youtuber6185 I did in 1995! ...Productive tax payers are fleeing California; parasites are migrating into California.
@@youtuber6185 I don't think that's true Because what they are not showing you is that the people that move out major corporations buy the house tear it down and build an apartment. My neighborhood has gone from 10% apartment buildings to 30%
@@paulbrungardt9823 it’s due to leftist policies. They are killing California
I’m a thankful, contented renter! I’m so thankful that my landlords are renting me a place to live at a reasonable rate. Inflation is uncomfortable but I’m thankful that my job pays for my life
You are putting yourselfs at risk of your landlords changing their minds. If you learned anything from Dave, it should be striving for home ownership.
If you have money flowing in with savings,debt free,etc, there should be no problem.
@@millsfinancialgroup I've been striving for 17 years.
Striving - "make great efforts to achieve or obtain something".
You are lucky because rents are going up everywhere. Rent prices rose by 0.8% in June from a month earlier, according to the Labor Department it is the largest monthly gain since 1986.
I would love to see a "reality check" for Investing during these panicky times. Great video!
Maybe look at Petrobras PRB.A Preffered shares - currently over 42% yield… Yeah that’s right OVER FORTY TWO PERCENT!
I’m buying shares as if it were a bank account. At least my money is in oil and not the dollar.
Yes!! Would love that!
Dollar Cost Average.
@@workphone8425 yep, just keep buying through the good buying times for all good long term investments.
@David Henry I know a lot of people who aren't losers at all that use it lol.
Dave it “normally” is supply and demand that regulated housing prices. That was true when the money supply wasn’t diluted over 5-7 Trillion dollars. The dollars being g offered to purchase the house are practically worthless…
So use those worthless dollars to buy real estate
@@dougg4633 Those worthless dollars buy a lot less real estate than they did a couple of years ago when they were less worthless.
Its a valid point. Home prices are now barely keeping up with inflation of the money supply.
A 250k house two years ago selling for 400k now is just not real. The value of that home is artificial pushed to those levels by an economic times that we have never seen before. Nobody knows how this is going to fall. But you will have less demand as inflation continues. When interest rates double or triple, the amount of people that can afford to buy that 400k house drops dramatically.
Must not have listened, VALUE is different than the Zillow prices you see
What about commission based jobs? My wages have decreased by half? People are not buying stuff, and you do expect them to buy expensive houses?
Everyone stretching their money to able to afford regular needs, houses over priced, interest rate going higher by the month, normal people not seeing increases on their paycheck. I just wonder who would be able to afford a home like this. Back to the supply and demand thing, the supply will increase but not the demand for the fact that they can’t afford a home. Price of homes has no option but to come down! This is just my opinion. I own rental properties and I’m debt free. I hope and pray that people will make the right financial decision.
Californian here! We keep getting blamed for everything BUT Are the people moving out of CA actual CA natives? Bc we’ve had a huge migration here for years and they have been buying us natives out and gentrifying our neighborhoods. It’s these transplants that are moving back out. So it’s not really our fault, they did it to us first.
That is so right!
There used to be a bumper sticker:
WELCOME TO CALIFORNIA. NOW GO HOME.
Our state is full of phonies and dream chasers - the kind of people who would leave their families and come here. I’d be happy if there were a mass exodus.
I was just thinking the same thing also the price these people sold their house for in California, I highly doubt they will ever get that price again in another state.
@@OE7V7
Don't see why anyone would worry about getting that price in another state after selling and moving when they can buy the same type home for half to one third the cost elsewhere.
It's why many I know that moved from there are retired so early,travel,etc..doing what they want without debt.
Life is too short.
I see no lies in this post. Also fellow Californian here.
The one variable that Dave smoothly washed over is the number of foreclosures in the next year will determine a lot. It will change the supply factor drastically.
And I'm betting he isn't going to touch the impacts of interest rates. He's claiming there is still a shortage of homes. Sorry no. The population isn't increasing fast enough. Boomers are dying off faster, and illegals don't buy homes. The "shortage" was caused by artificially low interest rates. Those rates are skyrocketing. Thus, home values are going to crater. Bond Investing 101.
It’s funny because what he is leaving out of back are buying homes driving up prices, not family’s but bank. Number one buyer of homes is banks. Get ready for the crash people.
Get ready people
@@theodenednew8874 their is no cash on the sideline, were in a recession dude.
Foreclosures should be less because unlike 2008, lenders have made borrowers prove they had income. Fingers crossed.
It's already crashing. My home has gone down in value over $100k since April. Sorry Dave your wrong.
Hey whwre is this?
Dropping, not crashing.
Maybe you had a unrealistic expectations. Who said It was worth so much?
Yep. Same here. Big-time. He's way off on this one. Don't know why.
@Gregory I believe it depends on where you live. Home values in my area increased.
Thanks for the show and information within. I’m from the Dallas, TX area. 34 years old and my wife and I have been looking for what will be our first home for a month now. It’s still very competitive out there. Sellers getting multiple offers over asking price. Buyers swarming houses for sale like flies. We made an offer over asking and still lost the home. We have probably seen twenty different homes now and it feels a little bit like we are dogs fighting over scraps. Prices are all over the place. Houses that are affordable are almost falling apart, old, or small or all of the above. I think I am going to check out y’all’s recommended agents because I don’t think we have a very good one. We find most of the houses ourselves instead of the agent. I’m pretty sure I’m losing hair off my head from the stress. I know y’all probably won’t see this message, but any advice or words of encouragement would be welcome. Thanks.
Hang in there Kyle. Wait for the right house. Remember, that a fixer upper is sometimes the way to go. Remodeling doesn't have to cost a fortune if you do some of the work yourselves.
I like the show but don’t think you can make such high level generalizations of Supply and Demand across every city in the USA. Each city has its own Supply and Demand curve, they are all different. For example, inventory in Phoenix is exploding and home price cuts are now the norm. This is just one example of an area where Supply is outpacing Demand and I expect that trend to continue putting downward pressure on prices.
I also live in phx and the problem is starter homes are not available and that's where you have a issue of supply and demand..
Wow these people are soooooo disconnected. People are moving back in with their parents because they can’t afford to buy a condo and the investors have increased rent 20 to 30 percent annually the past two years.
Not like that where I live.
I can go out and buy a nice condo for $70k and the rent hasn't changed much talking to people here.
I really like you Dave, but there's one point your missing here. That is that even on your own chart there's only been one time that the price went up too aggressively and then it leveled back down.
I was thinking that as well. We had 10 years worth of appreciation in two years. Unless wages see 10 years worth of growth, we should expect ultra low appreciation in the next eight years or a drop in value to semi-affordable prices. Either way, buy when it dips to normal levels or save up and buy in ten years. Homes si.ply aren't affordable at current prices as a percentage of income.
@@SovereignMoney My daughter and s-i-l are saving for a house but the house prices are outpacing their savings by a wide margin...and they are saving very aggressively.
@@bobwadsworth4799 omg don't buy a house with your daughter.
@@bobwadsworth4799 don't yall learn that it's not smart to do business with family
@@musicpro7278 maybe your family
Prices, value, and equity have fallen from April-May 2022 to July 2022. Will you admit that you were wrong and your predictions are affected by the fact that you "own hundreds of million of dollars in real estate?" The number of sales has dropped from 6.5M in early 2022 to 5.1M in June 2022 = 20% drop (National Assoc of Realtors, June 2022 Report). If the demand has not dropped, the # of units would not drop by 20%.
It’s becoming better to rent. Average price to buy home is way higher than paying rent. My rent used to equal a mortgage payment. Not anymore.
my testimony for first time buyers is buy the best with what you can afford that won't suffocate your wallet.
Our first house was a 1200 sq ft house in a less desirable city, but the neighborhood was fair. We had a good old couple as neighbors. It was time to sell, because i wanted my children to go to a better school. Now we live in a 1900 sq ft house, good community, and great school. Now, it wasn't all easy, it was a lot of work and learning experience. What i'm trying to say is start now if you are ready and there is always a way to climb up and reduce mortgage as long as you are responsible and have a steady salary/income. Equity is your friend.
Houses in gang ridden neighborhoods now make you house poor
When you have enough financial peace that you can throw your running shoes on instead of the uncomfortable dress shoes.
I can’t understand why y’all are comparing what’s happening “now” to 2008. We all know this is a completely different situation. I need “now” compared to the future and why.
Predicting future is very different and frankly no one can.. you could always compare to the past
They are comparing now to 2008 because that's the only time in history when house prices went down. There were several recessions in the past, none of them drove the house prices down. Conclusion: we may be heading to a recession but house prices are not going down because there is a shortage.
Because no one has a crystal ball.
“No doesn’t mean no. No means not now.” - Dave Ramsey
Any married man knows that
I caught that too
No Dave, prices go up when money is cheap. Prices fall when money is expensive! We had cheap money, now transitioning to expensive money. Everyone please watch some other channels for comparison.
So anyone that disagrees with your viewpoint is wrong lol
I think you are wrong and Dave is right! It's simple supply and demand!
@@dirkdiggler9379 Its not my view, its the current monetary policy.
@@dirkdiggler9379 Boogie on
I like Dave… but he kinda seems like one of those bosses that be like “You disagree with my opinion, find another job” 😂🤦♂️🤣💯
Omg he is repeating they myth that broke people caused 2008 was caused by broke people. The majority of defaults did not come from subprime. It came from prime borrowers that where investing
Interesting. Do you have a source for that?
Going to prove it or run away?
A huge business is rental properties. Landlords are getting to the point to where they can increase rent on a regular basis. With housing less affordable more people have to rent so you can keep increasing rates. Even trailer parks are getting bought up like crazy by investors
Dave is going to have egg on his face if his bold predictions don't pan out... my take is that we're in a bubble greater than 2008. The first flaw in his argument is the realization that demand and supply are not static.. they can change radically.
While you are right, we are millions of units short of the housing we need right now. Nothing is going to change that much in the near future.
By believing in a crash, you will not buy correct? 1929, 2008, 2079...Good Luck!
I totally agree
It's just a prediction.
If it don't pan out he's still a multimillionaire and just an opinion that didn't pan out.
Then life goes on.
Dave is so so cocky on this one. It won’t play out well for him
“Like a Baptist chasing a casserole”
The most ironic part of this, if everyone followed Dave's guidelines for getting a mortgage, house prices would drop by half or better. Either that or wages would double overnight.
Exactly, for columbus it'd be close to 60% lower.
thats a really interesting comment and your 100% right.
Debt always causes bubbles and inflation. Imagine if we couldn't use a mortgage to buy houses. Prices would be incredibly low.
@@droptozro imagine what medical costs would be if we didn't have insurance to subsidize such high costs
@@briancarpenter3923 You do know that's whats driving up the cost. Look at the dental bill with insurance and ask what it would be out of pocket next time you go get a teeth cleaning.
Even though Dave now and then alludes to the fact he works a lot and will never retire, I have a feeling he is at the office after hours a lot more than any of us even realize, as you can see in this video. Keep charging old man!
Why the insistence of buying a house? Even a professional who make say 100K with no kids end up in a stranglehold not being able to pay their condo, new car, student loan, bills, life style? Juan Carlos on the comments says that the U.S. is not what it was! I agree when you look at the geopolitical and economics of the U.S. it's crumbling away as we speak.
It's always a good time to buy. Just ask anyone in real estate.
Waiting to buy is like waiting for the stockmarket crashing let me know how that works out for ya
Oh my!! October 12, 2022, Dannie Mae downgraded Q2, Q3, and Q4 to NEGATIVE growth for house prices. Fannie was one of the "experts" that Dave quoted saying housing FOR SURE was going to continue to go up. Nope!
It's up now.
@@JakeStz Nope. In Phoenix housing has fallen since May (2022) when Dave said this. It went lower y-o-y in Nov 2022, and is still under last year. Very soon we will have one whole year of negative y-o-y. That was an huge erro of his to say that housing will go up for the next 5 years.
This is gonna age very badly!
And then it will age well after that.
It already has.
Rachel is stating, I believe, the number one issue is that people have an unrealistic perception of reality of what a normal home looks like and having contentment in what you do have.
This video didn't age well... Nashville prices are dropping like a rock. Florida is looking good for now, but prices are dropping.
You didn't listen to the whole thing, they explain the difference between price and value
in NC prices are 100% increased from 2020 to 2022, but the salaries are not increased . and inflation & Interest rate are in raise.
“What goes up must come down” is not an economic principle. 🙌🏾 Yes Dave!
Actually, it is. Historically, real estate has always reverted to the mean, considering average wages
@@ds3602 So you're saying it's as much of an economic principle as "what goes down must come up" when it falls below the mean. You, D s, are trying to have it both ways and you can't.
@@jrwntctv8091 where am I trying to have it both ways?
We already know what you said is true, look at 2008 compared to 2014. What went below the mean, went back to it, then over
@@ds3602 this is a lie, don't talk if you can't respect facts bigot
Housing does revert to the mean: up and down. It always has.
16 million empty houses right now shows your supply data to be false.
More then that, if you look at older homes and not just new builds.
Where?
I am wondering how this all looks regionally. I have lived in Florida since 1991 and been a Florida Realtor since 1995.
I have never seen as many houses being built and new communities being approved as now. I know people are moving to Florida but this, at some point will calm down.
I am also more than familiar with the “half back” phenomenon. After a couple of years of Florida storms and summers, people exit and go half way back to where ever they came from.
I just don’t see how this can continue.
Those of us who have lived in Florida for our whole lives have seen this cycle before
@@huntereakin4288 agreed. Oh and just wait until they struggle with buying and keeping insurance coverage…
American dreams dead, Dave. Average income for a 4-year degree is still 50-60k. Average home now is 400-500k. Its just not possible anymore. Your generation had it so easy. Same 50k income and 90k homes. We’re so F’d.
Your not your just reading the news too much you may have to figure it out but you still can get ahead your not a victim.
@@dkay4304 I don’t watch news. Those are just the facts. Numbers.
As a Californian I find this video very informative and hilarious.
More hilarious than informative...lol
@@costamarques3900 I mean I do disagree with them when they say that rising interest rates and increasing forclosures wont affect housing prices. Higher interest rates lowers demand, and increasing forclosures increases supply, so by the laws of supply and demand they have to. They of course wont cause prices to crash but they will cause them to come down a bit.
Why is it that people that will be heirs of a large amount of money feel the need to preach to people that cannot relate at all financiall...what is it about human nature when peoples circumstances just can;t relate to others and they feel this need to counsel others?
I’m saving this to re-watch it in a year.
Why?....will someone pay you?
@@blackworldtraveler3711 No, I assume he just is looking for entertainment to laugh when Dave is wrong.
@@completetruth9177
Don't see why that would matter with a multimillionaire especially if this OP is broke and caught up in current events and the next 12 months.
Strange that Dave thinks debt is a sin for the individual, but doesn't realize the danger of the US being $30T in debt. As if that can go on forever.
He's well aware of it - he just doesn't talk about it because there's nothing the layman can do about it. His message boils down to this: Control the controllables in your own life.
@@jrwntctv8091 I agree but heading into the period in which we face, huge risks are likely to present themselves. It would probably be a better idea to have more than $1k cash on hand than putting every penny towards debt. Dave instructs to take every from savings to pay off debt, this will crush people if we have a big downturn and unemployment. He will never deviate from his documented baby-steps, because that is the golden goose, even though people will be laid off and get hurt (with only $1k in their pocket).
@@schuey999 I may be wrong but I believe that Dave recommends 3-6 months of expenses in the emergency fund. The $1K Emergency fund is just the first step when starting from zero.
Yeah this is a sheeple channel 🐑 😴
Is Dave going to admit he was wrong on his prediction? Lol, LO here :)
Of course not...invisible sky daddy told him so it can't be wrong...don't believe your own eyes
My home and *most all homes in my city are still rising… at a much slower pace, but still rising
What city /state are you in?
In this perilous time of hyper inflation and recession, protecting your capital is much more important than making money. Basically because if you lose your capital, making money is much harder. ''Missing the train'' vs. ''losing your money''. There are a lot of trains, but if your money is gone, it's over. This is for stock holders.
Houses around here have drop by 10k and they see it going down more.
Houses prices where I live just goes up gradually and stable. Never went crazy.
Where is here?
Dave is underestimating the lack of demand
What goes up must come down. Especially after a historic surge like this, expect a historic correction.
No Mayne level out I'm in phx and only going to see a reduction but nothing like the 2008..we just don't have enough started homes here for everyone moving here..
@@dkay4304 so far I’ve seen homes in my area drop 75k since June. Very promising. Hope they keep falling to their true valuations.
@@pt192 ok so they come down a bit is that a crash or just normalizing? Your not going to see a huge crash they are just not building homes right now ..low supply on house will keep them expensive
The answer…NO ONE KNOWS
Thank you
In this video, he pointed to Texas and said it is a low tax state. It has the 6th or 7th highest property tax in the nation.
Texan here. I pay 4k a year in taxes on a house worth 200k
Once Wall St. got a taste of SFHs as a lucrative investment vehicle, it changed home ownership in the US forever. In some cities, their share of SFH purchases is 25%.
If you invested in those REIT s, then your share of SFH purchases would be 25%
I always have to chuckle when I hear 'Mericans say "250k or 350k for a home." Have a look at prices up here in Canada, specifically Vancouver or Toronto, average price is over a million. What's that in US dollar about 750k!! That's average. We haven't had detached homes in the 300's since 2007.
There is a shortage of cheap oil but there is plenty of expensive oil. lol 😂 😂 😂
This is true. OPEC is not pumping out the dirt cheap oil with workers making $12 a day. We are relying on Western oil where workers are making six figures.
I can’t believe he’s saying this. None of this is gonna age well. It’s the largest bubble in history.
Thinking the same thing. I’m betting he is wrong. I too study data, I say he is dead wrong. I will apologize if I’m wrong.. will Dave?
I'll co-sign this with you as well.
Right. There is soooo much data to the contrary.
Yep.. I’m a mobile notary doing loan doc signings and tons of people are getting laid off in the mortgage industry.. title reps, escrow officers loan processors etc.. with rates continuing to go up.. it’s not looking good
@@Jennifer-jf7nx Thanks for sharing your experience. What does that mean with mortgage industry getting laid off in relation to housing prices and availability? Or why does it not look good as you mentioned? I'm kindly asking to learn not fight 🌹
Canadian home prices are expected to rise by 10.5 per cent in 2022, with Toronto, Vancouver and Halifax projected to see the largest increases. According to the new survey from real estate firm Royal LePage, next year’s forecast follows a record-breaking year in 2021, when housing prices jumped by 21.4 per cent.
My home is valued more now, much more, than just this past January. No crash, Dave is right. Northwest Washington State. It will always depend on where you live
Washington state is an outlier, beautiful state
Abraham Lincoln once tweeted 🤣🤣🤣
“It’s ok to say I can’t afford it.” - Dave Ramsey
Oh snap a Louisianaian!!!! Im from Lake Charles, Louisiana
It’s funny to hear Dave talking about facts. His advice against math 100% of the time. All of the sudden, he wants to talk facts
Nice job Ramsey team!
It's so hard to help people this days. Comments here are so unreal..so do I rather listen from a rich nice guy..or from a bunch of poor negative with no sense at all people..Thank you Dave for all your help. I own two pay full property's no debt.
seems like we are seeing a lot more price drops start. if lumber goes down, shouldn't new construction cost go down, and shouldn't that take pressure off used homes...dropping price?
Exactly
Labor costs are way up (if you can find it). The price of wood can't overcome this.
Lumber is only part of the equation.
My new home build actually never charged me the changes in lumber prices since I locked in my price ahead of the explosion. From what I have seen, since before the lumber inflation the new home prices have steadily increased over 30% up to now. But the new build costs have slowed the rising cost. Houston area here.
@@theamericansgarage9087 lumber over doubled at its peak