This video is filled with examples of people losing a huge amount of money from where they purchased properties near the peak in 2022. We were told that this would never happen. That home prices would never go down. But increasingly, there are many owners down 20, 30, and even 40% on their investment in just two years. To avoid making the mistakes of the owners in this video, and to forecast the direction of the market in your area, research the data on Reventure App: www.reventure.app Start with Inventory and Home Value data for free. And then upgrade to view Home Price Forecast figures for every ZIP code in America.
prices are still waaaaaaaaaay over valued .. these are only one or three cases out of thousands of homes, and even these cases are homes 8x their original value, still overpriced
If anything, it's likely to get worse. Affordable housing will soon become unaffordable. Therefore, I advise taking action now because today's prices will seem like bargains tomorrow. Until the Fed takes more decisive action, I expect we will see hysteria due to rampant inflation. You can't just halfway rip the band-aid off.
In the early 1990s, when I bought my first home in Miami, it was common for first mortgages to have rates between 8% and 10%. It's important to recognize that we may never see 3% rates again. If sellers are forced to sell, home prices might need to drop, resulting in lower valuations. I believe many people share this perspective.
Home prices will come down eventually, but for now; get your money (as much as you can) out of the housing market and get into the financial markets or gold. The new mortgage rates are crazy, add to that the recession and the fact that mortgage guidelines are getting more difficult. Home prices will need to fall by a minimum of 40% (more like 50%) before the market normalizes. If you are in cross roads or need sincere advice on the best moves to take now its best you seek an independent advisor who knows about the financial markets.
How can one find a verifiable financial planner? I would not mind looking up the professional that helped you. I will be retiring in two years and I might need some management on my much larger portfolio. Don't want to take any chances.
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Aileen Gertrude Tippy’’ for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
I hit $113k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started last month 2024. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject.
It's essential for you to have a mentor to keep you accountable. Myself, I'm guided by Evelyn Vera. for years and highly recommend her I focus on him. To be honest, I almost didn't buy the idea of letting someone handle growing my finance, but so glad I did.
What people fail to realize is that the income in Florida doesn’t align with these price increases. This will inevitably lead to a significant conflict, much larger than the one in 2008.
One key difference from the last housing crash is that we didn’t have inflation like this, nor were other costs rising so quickly. Lately, I’ve been considering consulting advisors for guidance. I’m at a point where seeking advice could be helpful, but I’m uncertain about the actual benefits their services could offer.
It’s going to crash, just wait and see. I live in Lakeville, where properties that went for 100k in the early ’90s dropped to 65k. It’s only a matter of time. You can verify with my CFA, Kate Elizabeth Cressotti-she has an excellent reputation in her profession. I suggest exploring her credentials. With her wealth of experience, she’s a crucial resource for anyone looking for financial market guidance.
It is difficult to make exact projections for the housing market as it is still unclear how quickly or to what degree the Federal Reserve will reduce inflation and borrowing costs without having a substantial negative impact on demand from consumers for anything from houses to cars.
It's likely going to grow worse. Housing that is affordable will soon become unaffordable. Consequently, I will encourage everyone who wants to take action to take it now, as today's prices will appear to be lower than they are tomorrow. I believe that we will witness hysteria as a result of unchecked inflation until the Fed takes additional action. The band-aid cannot be torn off halfway.
The new mortgage rates are crazy, add to that the recession and the fact that mortgage rules are getting more difficult, and home prices will need to fall by a minimum of 40% (more like 50%) before the market normalizes. For now, get your money (as much as you can) out of the housing market and get into the financial markets or gold. If you are at a cross roads or need honest advice on the best moves to take now, it is best to seek an independent advisor who knows about the financial markets.
'Stacy Lynn Staples' is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
I find this informative, curiously explored Stacy on the web, spotted her consulting page, and was able to schedule a call session with her, she shows quite a great deal of expertise from her resume.. very much appreciated
Unfortunately, financial education is not readily accessible to Brown communities. I appreciate your encouragement to seek out this vital knowledge and bridge the gap.
That's no excuse in this age of immediate access via internet etc. It's a cultural obsession due to poverty of value in things. Poor people spend the rich invest
Everyone needs a different stream of income, unfortunately having a job doesn't mean security due to the high rate of tax, one needs to move ahead of their expectations.
Houses in most sunbelt states jumped 80-100% in 2 years. Realtors claimed "its the market." When houses drop over the next few years, buyers can tell realtors "its the market."
The FED knows. They aren't committed to attacking inflation. They are going to continue to inflate, stocks and commodities will continue to go up with everything else. You can't just sit on cash waiting for a crash, get your money working for you, start buying in slowly and then gradually increase the pace of buying as the prices continue to drop.
It's a fact that recessions are a natural occurrence in the economic cycle, and the best approach is to ensure you're ready for them and have a proper plan in place. As someone who entered the workforce during a recession (2009), I experienced the direct effects of inflation and discovered the importance of generating increased passive income to counter it.
Experienced long-term investors are aware that the market and economy have a tendency to bounce back over time, and it's wise for investors to be prepared for such a recovery. Speaking from my own experience, I continue to invest heavily in this volatile market and have achieved significant gains - my portfolio is presently up by 60%. For now, I'll keep a watchful eye on the situation and gradually invest in more stocks as opportunities arise.
How did you achieve it? I been trying to stick with index funds. I feel this new interest rates hikes could crash this economy. I'm looking out for a better investing strategy, I have a lump sum that inflation is steady eating up.
My CFA ’Stacy Lynn Staples’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
I appreciate you sharing this. When I looked up the woman you named and read through her credentials, it was obvious that she was a complete professional. I just need her to respond to the message I wrote her.
You need to add hawaii to those states that crashed in 08. Hawaii gets its buyers mainly from the west coast and when those dried up it was mayhem. I saw builders abandoning partially built houses and my own home value went from 600k at the 06 peak down to the low 3's. The reason other states didn't crash is there was far less speculation in the market. I've seen quite a few of these big losses on zillow. the one that stands out in my memory is a house in kula maui. they bought in 2022 and sold march of 2024. They probably had trouble getting fire insurance. They paid 1.2 million and sold for 835k. Thats a 365k loss. Also what i find interesting is zillow has since erased the price history on this house.
The price cuts are huge because three years ago the price rise was huge. Most of what the public calls a crash is just prices coming back down to earth.
@@ryan011110 I agree on one part. But on the other hand if your tax obligation doubles, and insurance goes up, and/or insurance leaves the state, you might be forced to let go of your residence for a loss. That is also f..... up.
@borchelsijles8064 yeah the insurance issue is something that should not be happening. I feel for people in that position, especially when insurance is going up 200-300%. I'm from Tampa but moved out to Vegas 5 years ago and was hoping to maybe move back, but with the cost of insurance, I'd rather just consider somewhere else.
Thanks for the update. As an investor, Florida would still have to get cheaper before I’d take on the kind of baggage associated with ownership there. It’s a hot mess.
I'm not familiar with FL markets, but hurricane & flood risk is a big issue ..... North East FL (near GA border) and central FL where there is some elevation statistically speaking is much less risky. What areas in FL are you interested in? Thanks in advance.
@@nampmaljr9294 100% Nampmaljr, I am an agent in NE FL and we have survived many many hurricanes. When people think of FL, they always equate everything to S FL, when in "Reality" they are two totally different worlds. If you need advice on moving to FL, I am, "Your Trusted Real Estate Advisor" here to help people with the Truth about living in FL. Been here 20 plus years
No sir the bottom will be when u don't want to buy. The generation peak in FL home price is in. Maybe nick will see a higher price by the time he retires.
Predicting inflation starting to rise again this quarter while leading indicators showing economy slowing (not to mention governm*nt figures pumped up for the election). Global economy very weak which affects US. Fed dropping rates 0.50 shows they're VERY worried about financial downturn/crisis. interest rates coming down are also an indication banks are LESS willing to loan money into existence. The question here is where is the inflation going to come from in the near term? Consumers are mostly tapped out which is 70% of US economy (consumption). Yes inflation very likely to return but not before it continues to come down... Inflation can be a concern, but remember, certain assets like stocks and Crypto’s acts as a hedge. Long & short-term trading is generally safer, allowing investors to weather market volatility. I have managed to grow a nest egg of around 3.2 B'tc to a decent 27B'tc in the space of a few months... I'm especially grateful to Seren Wintersun, whose deep expertise and traditional trading acumen have been invaluable in this challenging, ever-evolving financial landscape.
What I appreciate about Seren Wintersun. is her ability to tailor strategies to individual needs. She recognizes that each investor has unique goals and risk tolerances, and she adapts her advice accordingly.
The key to financial stability is having the right investment suggestions for a diverse portfolio. Many investment failures and losses happen when you invest without proper guidance.
are you kidding? you want deflation? The last time they allowed deflation to occur was called the "Great depression". We just need to inflate slower than other countries, and increase our GDP (without the gov't spending), and repatriate taxable corporate revenues. If we can't do that, then its WW3....and whoever wins that will be the worlds next super power...just like USA did after WW2. History is literally repeating.
Southern Housing Market (NC,SC,GA,FL,AL,TX,LA) Is Frozen solid people are not seeing the thin layer of ice. As the inventory piles up the thin layer will become a solid block. If you want to sell before you see how really bad it can get summer of next year pull out the concessions, drop your price and be willing to deal or else you will be chasing the market down trying to sell. I watched 18 houses chase the market down for a buyer in the past 3 months. Its officially a buyers market nothing is moving.
We bought a condo in 2021 for $375,000, the exact same floor plan has just sold, in the same building for $250,000. That’s a 33.3% price drop in 3 years. It is in St. Pete. Neither condo was impacted by the hurricanes.
Gotta love these cycles, with skeptics (experienced) and 'experts' at every stage. As a professor said, these cycle about ever 5-9 years, but American memories only go back two.
I'd like to meet that professor, the claim is false. I was homeowner, two years ago, five years ago, and nine years ago. I have vivid memories of all three times. I had lost money at none of those times, on my house. I had bought my first house twenty years ago. Seems, the quality of my memory had beat the others out, by a mile...
My girlfriend is going thru this right now. Virginia is a special case. Literally half of the state has good jobs, only once you get 75miles out of a metro area then prices become only 20% cheaper from 500k shit is crazy. We need a home because we are renting a house for 2500 a month 😮💨
I first learned about the process during 8th grade, in 1971. And I began to realize after college what that process would do to sea level rise. The information was certainly out there for anyone to refer to so I feel little for those that got conned by the fossil fuel industry.
@@OldJackWolf Gore took it further and prommised Florida would be under water in the early 200s. He has revised upwards twice and we wont see Florida under water for millenia
You really are filling such an important niche in the real estate market. Reventure seems revolutionary. Your work rate is impressive. Looks like we're heading for a sustained period of house price DEFLATION which is long overdue. It's the only way buyers will ever be able to afford these properties. Since wages haven't kept pace with prices for what seems like forever, what you predicted and whats clearly materialising is sustained and significant price reductions. Keep up the fantastic work!!!
If immigration slows to a trickle, Boomer demographics could usher in ten years of slowly declining prices. Millennials got screwed royally by the money printer/wall street but younger Zoomers just might be fine.
The downward trajectory is way too localized to celebrare anything. If people started listening to this guy in 2020 they really missed out on good oppurtunities.
Mortgage rates are currently at an all time high since 2000(24 years) and based on statistics on inflation, we might see that number skyrocket further, a 30-year fixed rate was only 5% this time last year, so do I just keep waiting for a housing crash before buying or redirect my focus to the equity market.
If anything, it'll get worse. Very soon, affordable housing will no longer be affordable. So anything anyone want to do, I will advise they do it now because the prices today will look like dips tomorrow. Until the Fed clamps down even further, I think we're going to see hysteria due to rampant inflation. You can't halfway rip the band-aid off.
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.
This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.
Can you provide instructions on how to contact your advisor? I'm experiencing erosion of my funds due to inflation and looking for a more profitable investment strategy to make better use of them.
‘’Marisa Michelle Litwinsky’’ is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
With 60% of Americans with a net worth under $1000, it no surprise that there is going to be a shortage of folks with enough money for a down payment as well as the ability to cover the monthly payments, property taxes, home owners insurance, and maintenance. A lot of Americans are beginning to have concerns about their jobs under the new administration. This is a good time to sit tight and build some financial security. Its not a great time to lock yourself in to 30 years of payments. Just like in the great recession, its going to be all cash buyers that pick up the deals on foreclosures and short sales.
If the new administration will do what it is promising, I can't wait. Get all these state employed-welfare recipients off the taxpayers back. They are leaches on society. Government needs to be severely trimmed and all those people need to find out what the real job is. There needs to be competition for jobs, otherwise people get lazy. All the employment stats in the present administration are inflated because they, the so called Democrats, increased government sector. These are non- productive jobs. They do not create any value whatsoever and increase the tax burden on each of us who is productive.
I have a net worth of $420k. It was a great time to lock myself into 15 years of payments. Made $35k so far, despite having seen claims the whole time about how the real estate market's about to crash. What a joke. House prices have risen 33% since Nick had first made that claim. These videos, are about using fear, to bring traffic to the Reventure App, which is easy passive income for him. If enough people pay $5 a month, that's six figures a year.
I actually said this at the time ... People that bought here (2021-2023) just bought the Bubble TOP of the market. Everyone else is probably doing fine.
I fully agree with you. I do not see any meaningful price cuts in my area of Florida. Prices have skyrocketed 200-300% where I live in the past 4 years show no signs of easing. All new construction is off the charts expensive pricing out almost 100% of the local wage earners. Rentals are not even close to realistic & forcing some very hard choices on working families resulting in an exodus from the state. Something is very wrong with no sign of help arriving. PS Riviera beach is a hellhole dump.
@ honestly ive been here the same about live in the jax area… most of florida is a dump, everybody lives on top of each other in hoa homes that are made for single floor retirement paper thin construction, non hoas are close to trailer looking homes with 3rd generation drug addicts living in grandmas house or homes that are multimillion dollars with no yard.
@@manchannel6900 You've obviously not been to Broward County. The prices here aren't going to drop, if anything they're going to skyrocket over the next 10 years. Firstly, There's no land left, no direction left to build but up. Any small patches of unused land are becoming Luxury Condominium buildings. Secondly, Broward is a sweet spot in the Jet Stream, Hurricanes go either North or South, we don't really get hit here. Thirdly, Tons of Rich Suburban neighborhoods built in cities that were built up way above Sea Level. Lots of money from New Yorkers cash rich from selling their 500Sq Ft Brownstones for millions. They come down here in droves for the warm weather, low taxes and a SERIOUS lifestyle upgrade! That will NEVER end!
What I find most frustrating is how the computer programs like Redfin, Zillow etc allow realtors to wipe out previous pricing and list a home as NEW with a small price reduction. First, it skews days on market in general. We have some properties here in Atlanta that have been on the market for close to a year; but every couple of months the realtor wipes all the pricing away - does a small price reduction and lists as new. The property is not new. Second, it skews list price to sale price. e.g. most properties are selling at 97% of what the list price is - maybe after several price reductions. It is incredibly frustrating and you have to be a super slueth to figure out what is going on with a property.
Same here in Jacksonville. Houses sitting for 6 months to a year and etc....every. ow and then they get relisted and the time on market goes away. Im looking to buy a house and have noticed the same thing
We've never had mortgage rates go from sub 3% to over 7% so nobody really knows what will happen. But "higher for longer" is real and even 5% mortgages are probably still years away.
Feb 2022, I bought a condo on the east coast, less than 2 miles from beach and Zillow has my appreciation up over 60k and redfin has me at 90k appreciation..
Car Stealerships are using the same technique. That's not true at all. New Homes are not going down in prices. Builders are reluctant to decrease prices... Instead they are doing what all other companies like Cereal companies or Soap companies which is they are building "lower' price homes but they are a lot smaller than the ones they sold in 2022 and the people who are underwater trying to sell they are not giving up and asking the same or more of what they pay a couple of years ago during the peak. Also, all those "incentives" on new homes are just ridiculous... A $50k "discount" is nothing after they already increased the price of the home 2 or 3 times... Same scheme used by Stealerships and car manufacturers.
Harris county, (Houston )just raised property taxes 8%. It’s going to be brutal for homeowners who are already choking with the HUGE property taxes of Houston
That's not a huge difference, a couple of hundreds of dollars per homeowner. Don't most TX counties cap single-year assessments at +10%? So +8% is pretty much a normal high increase. What's going to really kill homeowners is when counties truly reach the ad valorem value of each of their homes.
@@tonystark19631True, but combine that 8% increase with home values that have rapidly increased and that significantly adds to the tax burden on Harris County citizens. Insurance has done the same thing. Fortunately Harris County is ~2%, so overall not as bad as the surrounding counties, but definitely could detract from more residents moving into Houston. They may opt more for the suburbs if their financial situation allows due to a smaller difference in tax rate.
I do not understand HOA, especially as an investor like me (and I have one). It's like 'buying a mobile home' - you ALWAYS have that fee and it ALWAYS goes up. It's worse as an owner, why not just rent an apt?
This only happens due to higher supply from builders and lower demand from buyers as inflation and higher rates impact take a bite. There’s no building in the north east.
Thanks for the updates. I appreciated that you point out that many sellers are still listing for “what they want to sell for”, not “for its current market value”. I saw that happening in 2013 ain Lauderdale by the Sea. This was after the 2008 crash and prices were down. An entire street of houses were listed for sale, but most were listed for 1.1M -1.3M. The only houses that sold were listed for high $800s. I asked the realtor why so many sellers aren’t priced for the market. He told me they had paid off their house and they refuse to sell at the market rate.
People will have to accept reality that we won't ever return to 3%. If sellers must sell, home prices will have to decline, and lower evaluations will follow. I now look towards the stock market to fuel my millionaire goal. Sure I'm not alone in my chain of thoughts.
I like both. But in my experience, most of the millionaires I know have gained their wealth through diversified investments and they all had a sort of financial advisor helping out with informed decisions.
Nick - your channel has turned into “The “Florida and Texas Real Estate Show”. Outside of these 2 states, existing home sell prices are still going UP! Also, I would add bloated wish list price “cuts” are not the same as sell/comp price cuts.
Buy in areas recently hit and rebuild the land with a home that is 2-3 stories and hurricane/flood proof. I would not build a single story home in a beach home. First story would have need to be a block wall garage. No drywall. Maybe you can insure for lower pricing given the hardiness of your home?
I just recently moved here to Tampa. I go to publix and i'm like "yikes!, how are people paying these prices". even for the regular brand stuff. Wages here are pretty weak too. So it's a double whammy
We knew we were buying in the bubble - but the interest rate that is locked in is super low - buying in a bubble you have to have planned to stay in the home.
There may be resons for some houses with large price cuts. Please check HOA dues, crime, and flood zone ratings. I am looking for a home in Florida and finding a wide range of pricing per square foot. HOA fees are so important some listings incorrectly state there are no HOA fees while others state the fees properly but the house price is far overvalued when the fee is subtracted from the monthly payment. You might also remind people that, when selling a house, the owner loses money simply by listing and selling so a 15% loss in sales price may be closer to 20%.
Florida, with Las Vegas and parts of Texas hot on its heels, and the Phoenix area already starting to follow suit. Keep your powder dry and continue saving for that down payment.
My Parents bought the house they are in now in 2006 for $~140-150k. Its a 3 bed 1 bath home and about 1600sqft in the midwest. The home next to them just sold 6 months ago for 306k same floor plan, just a fresh paint job and new kitchen appliances. The problem is even with the prices falling people still cant afford 250-300k for an entry level home. If I'm in an established career have have had a few promotions and am married then maybe I can afford that. But my Dad worked as a machinist and bought his first home which was 1010 sqft for 90k making 30k a year. Then when my parents were married and Had my brother and I they were established enough to be able to afford a bigger home. But 300k is ridiculous.
House prices go up in the long term. The idea that prices have to fall due to waning demand, as the US working class can no longer afford them, is false, because the average homeowner makes a lot more money than the general population does, as Jon Schwartz (one of Nick's critics) had explained. That is to say, the housing market is confined to a smaller subgroup of people who make above a certain amount of money that's much more than what the US average income is. The housing market isn't fair, or equitable. The wealth of the self employed has risen faster than that of the working class. The number of wealthy self employed people has also risen. The incomes and wealth of highly educated professionals has risen faster than it has for, say, service job workers, and laborers at factories. I can afford $600k for an entry level home.
@@mike2959lol worst investment ever? It can be but it can also be a great investment. There’s a lot more nuance that goes into these things. You can find good deals
We looked at a house having a half basement. It was about 4 1/2 foot high. Months after we closed, the previous owner mentioned the "dead bodies" he left in the downstairs. He said this to someone else and I got it 2nd-hand. Naturally this raised alarm and concern. The previous guy sold and serviced musical instruments to school districts and had thousands of parts downstairs which he called bodies. I was still creeped out about this and got rid of them.
I don’t recommend offering a lower offer on the house if you’re hoping for price appreciation going forward because if your lower offer is accepted, it will bring the cops in the neighborhood down going forward. Event that you do your inspection and there’s a lot of things discovered that weren’t made known on the MLS, it is OK to ask for a reduction in price just know that it is entirely possible. We are in a downturn and you might not be able to sell the property at a profit after you flip it and it is very unlikely that she will be able to get a decent returnwithin the next two years if you turn it into a rental
A short sale requires bank approval, so the list price is less relevant. The seller needs an offer to present to the bank. After the bank and seller agree on a price, the buyer under contract typically has the first option to accept it. If they decline, the property is relisted at the "short sale approved" price.
As good as Nick's zip code/big map data is, it definitely lags behind reality. For example, all of Buckeye, AZ is down closer to 20% from peak, not just the 10% shown. It's crazy how none of this has gone mainstream yet.
I too, was renting in CA. But, I had accepted a job that only had a year's worth of work at the time. Wiki says the pandemic had lasted from 31 January 2020 - 11 May 2023. For argument's sake, let's call it a solid two year block of time from that start date. House prices had risen 33% during that time. LA and SF included. There's people convinced that the market's about to crash just because "prices are too high" and "nobody can afford to buy a house anymore, and so the buyer pool's going to dry up". That's a distorted view of the housing market, and those people are setting themselves up for spending the rest of their lives paying somebody else's mortgage while pricing themselves out of even apartment ownership.
Honestly, this situation makes me feel uneasy, particularly with the Fed's decision to cut interest rates by 50 bps. It indicates deeper economic concerns, and I'm uncertain about my $130K investment strategy, especially with the possibility of not just a recession but potentially a depression.
I agree. Even with great opportunities, we should proceed cautiously. Seeking market analysis or advice from certified market strategists is important.
Absolutely, having a solid plan is crucial. My portfolio has doubled since early last year. My financial advisor and I are working towards a seven-figure goal, though it might take until Q3 2024.
Just wanted to say, ‘Carol Vivian Constable’, my CFA, is the real deal in his field. Dig deeper into her background; she's got years of experience and is a goldmine for anyone diving into the financial jungle!
The reason housing in certain states didn't go down as much was that the prices didn't go up as much! That was true here in NC. And, the prices have not gone down as much this time either since they didn't go up as much.
As someone that works for the county in which Poinciana resides in, almost that whole area is considered a flood zone so residents there are mandated to have flood insurance. And some of the houses do have flooding issues. That might explain your price cut there.
@ yes but poinciana is a natural swamp or wetland. By geological standards the land is depressed so it so of act as a sink. If you want more information then you can come down to the Polk County bocc office in Bartow, Fl. I don’t know too much about the Osceola County side of Poinciana, but I can definitely speak on Polk County side.
Houses should not be bought as investments unless your prepared to loose your ass. Houses are intended for housing. People who use it for housing, aren't really intending on selling it. You reap the seeds you sow.
I have been watching Austin area and prices are coming down. There was a quick uptick in sales early this month (election?), but overall they are dropping. There are a few that have dropped $100K+ over the past year, but prices are still ~40% over pre-pandemic. Many of these homes are empty!! I expect a flood of homes for sale this spring that hopefully drives the market even lower.
When should you jump in and buy? The straightforward answer to that question is that the single best valuation method for any asset is discounted cashflow - the value of the asset equals the net present value of all future cashflows. It so happens all real estate can be valuated using this method with a fair degree of accuracy. Therefore, you should start buying when real estate presents a superior value to all other investable assets in your universe. I have a strong suspicion that virtually no markets in the US meet that criteria as of this video.
Could that cut more of a nominal than actual based on the original higher prices were much farther away from the market fundamentals, or simply an inflated original prices
The affordability is now missing in the lower segment (middle class) of the housing. I saw this exact thing in 2006-07. I said, these prices are not sustainable compared to income/wages. Then the correction came... Remember, the rich doesn't work for "wages". Therefore in the higher segment, affordability is not tied to wages. So "mortgage payment" is not much (if any) of a factor. Therefore, those house prices - in the 1.5 mill and up - are not subject to wage pressures, but the lower segment IS. A correction WILL come.
Many individuals overpaid for homes, even during a period of low interest rates, leading to significant debt burdens. I anticipate a potential housing crisis, as these homeowners may face foreclosure if housing prices continue to decline and they are unable to meet their financial obligations. In such cases, with little to no equity, selling the property would likely not yield any profit. I believe this scenario could affect a large number of people, particularly given the looming mass layoffs and rapidly increasing cost of living.
I advise you to invest in stocks to balance out your real estate, Even the worst recessions offer wonderful buying opportunities in the markets if you're cautious. Volatility can also result in excellent short-term buy and sell opportunities. This is not financial advice, but buy now because cash is definitely not king right now!
You’re absolutely right! With guidance from an investment coach, I was able to diversify my 450K portfolio across different markets and grow it to over 830K in net profit through high dividend stocks, ETFs, and bonds..
My portfolio has been in the gutter for the entire year, so I started researching new ways to profit in the market, but everything I tried just seemed to miss the mark. Please let us know the name of your financial advisor.
I just copied and pasted Jennafer’s whole name into my browser, and her website appeared right away. You've saved me several hours of arduous research, therefore I appreciate it.
I'm seeing some optimistic price cuts here in MA but still very high. It seems like more people are starting to refuse overpaying for homes and forcing sellers to keep cutting prices. People these types of homes are for, literally can't afford these homes; or else they would have already sold. Only homes for rich people are selling because modest homes are too much for the modest earner.
@@me-ut3ud yes indeed. People have no idea that they are not actually richer when their home price goes up it's just showing how much less the US dollar can purchase. Same with stocks and everything else...gotta take into account there has been over 20% inflation the past 4 years.
The first home was never renovated and by the looks of the yard, was flooded at some time. An aerial view of the neighborhood shows a suspicious amount of sand and silt in the yards of those surrounding blocks that two miles to the NE you don't see. Stable, green lawns and normal looking streets over there, a beach where this house is. That whole subdivision is part of what looks like a flood plain that extends 20 miles or more to the south.
This video is filled with examples of people losing a huge amount of money from where they purchased properties near the peak in 2022.
We were told that this would never happen. That home prices would never go down. But increasingly, there are many owners down 20, 30, and even 40% on their investment in just two years.
To avoid making the mistakes of the owners in this video, and to forecast the direction of the market in your area, research the data on Reventure App: www.reventure.app
Start with Inventory and Home Value data for free. And then upgrade to view Home Price Forecast figures for every ZIP code in America.
I'd check with the local scientists too before buying.
prices are still waaaaaaaaaay over valued .. these are only one or three cases out of thousands of homes, and even these cases are homes 8x their original value, still overpriced
@@TravelTechie415the comps are being driven down though
Dale mentiroso
we not even got to recession after uninverted yield curve yet
If anything, it's likely to get worse. Affordable housing will soon become unaffordable. Therefore, I advise taking action now because today's prices will seem like bargains tomorrow. Until the Fed takes more decisive action, I expect we will see hysteria due to rampant inflation. You can't just halfway rip the band-aid off.
In the early 1990s, when I bought my first home in Miami, it was common for first mortgages to have rates between 8% and 10%. It's important to recognize that we may never see 3% rates again. If sellers are forced to sell, home prices might need to drop, resulting in lower valuations. I believe many people share this perspective.
Home prices will come down eventually, but for now; get your money (as much as you can) out of the housing market and get into the financial markets or gold. The new mortgage rates are crazy, add to that the recession and the fact that mortgage guidelines are getting more difficult. Home prices will need to fall by a minimum of 40% (more like 50%) before the market normalizes. If you are in cross roads or need sincere advice on the best moves to take now its best you seek an independent advisor who knows about the financial markets.
How can one find a verifiable financial planner? I would not mind looking up the professional that helped you. I will be retiring in two years and I might need some management on my much larger portfolio. Don't want to take any chances.
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Aileen Gertrude Tippy’’ for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
Thanks a lot for this suggestion. I needed this myself, I looked her up, and I have sent her an email. I hope she gets back to me soon.
I hit $113k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started last month 2024. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject.
I would really love to know how much work you did put in to get to this stage.
It's essential for you to have a mentor to keep you accountable. Myself, I'm guided by Evelyn Vera. for years and highly recommend her I focus on him. To be honest, I almost didn't buy the idea of letting someone handle growing my finance, but so glad I did.
Really you people know her? I was even thinking that I'm the only one she has helped with trading.
Wow! wow! please is there any way to reach her services?
Sure!! Here’s her line
What people fail to realize is that the income in Florida doesn’t align with these price increases. This will inevitably lead to a significant conflict, much larger than the one in 2008.
Many people who are familiar with Florida know that this isn’t something new-it’s something that is definitely going to happen.
Florida is overwhelmed with so many real estate agents, working until things start falling apart.
One key difference from the last housing crash is that we didn’t have inflation like this, nor were other costs rising so quickly. Lately, I’ve been considering consulting advisors for guidance. I’m at a point where seeking advice could be helpful, but I’m uncertain about the actual benefits their services could offer.
It’s going to crash, just wait and see. I live in Lakeville, where properties that went for 100k in the early ’90s dropped to 65k. It’s only a matter of time. You can verify with my CFA, Kate Elizabeth Cressotti-she has an excellent reputation in her profession. I suggest exploring her credentials. With her wealth of experience, she’s a crucial resource for anyone looking for financial market guidance.
I really appreciate how do I find her ?
It is difficult to make exact projections for the housing market as it is still unclear how quickly or to what degree the Federal Reserve will reduce inflation and borrowing costs without having a substantial negative impact on demand from consumers for anything from houses to cars.
It's likely going to grow worse. Housing that is affordable will soon become unaffordable. Consequently, I will encourage everyone who wants to take action to take it now, as today's prices will appear to be lower than they are tomorrow. I believe that we will witness hysteria as a result of unchecked inflation until the Fed takes additional action. The band-aid cannot be torn off halfway.
The new mortgage rates are crazy, add to that the recession and the fact that mortgage rules are getting more difficult, and home prices will need to fall by a minimum of 40% (more like 50%) before the market normalizes. For now, get your money (as much as you can) out of the housing market and get into the financial markets or gold. If you are at a cross roads or need honest advice on the best moves to take now, it is best to seek an independent advisor who knows about the financial markets.
I will be happy getting assistance and glad to get the help of one, but just how can one spot a reputable one?
'Stacy Lynn Staples' is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
I find this informative, curiously explored Stacy on the web, spotted her consulting page, and was able to schedule a call session with her, she shows quite a great deal of expertise from her resume.. very much appreciated
Wow, some of these price cuts are huge! It’s amazing how much the market can fluctuate based on demand and location
I’ve noticed the biggest reductions seem to be on higher-end homes. Sellers might be adjusting expectations due to longer days on market
This makes me wonder if now is the perfect time to buy. Timing the market right could lead to substantial savings
Price cuts like these could signal a softening market in certain areas, especially for homes that were initially overpriced
Some of these homes with major discounts could be great opportunities for investors looking to flip or hold long-term.
It’s interesting to see how much more affordable homes can become with these price adjustments. Makes homeownership feel a bit more attainable.
Unfortunately, financial education is not readily accessible to Brown communities. I appreciate your encouragement to seek out this vital knowledge and bridge the gap.
That's no excuse in this age of immediate access via internet etc. It's a cultural obsession due to poverty of value in things. Poor people spend the rich invest
Everyone needs a different stream of income, unfortunately having a job doesn't mean security due to the high rate of tax, one needs to move ahead of their expectations.
That is true my dear, Investment is the best idea presently and without it, human struggles are worthless.
That's awesome!!! I know nothing about investment and I'm keen on getting started. What are the strategies?
I'll advise you to work with a financial advisor.....Building a good investment portfolio is more complex so I would recommend you seek
Houses in most sunbelt states jumped 80-100% in 2 years. Realtors claimed "its the market." When houses drop over the next few years, buyers can tell realtors "its the market."
The FED knows. They aren't committed to attacking inflation. They are going to continue to inflate, stocks and commodities will continue to go up with everything else. You can't just sit on cash waiting for a crash, get your money working for you, start buying in slowly and then gradually increase the pace of buying as the prices continue to drop.
It's a fact that recessions are a natural occurrence in the economic cycle, and the best approach is to ensure you're ready for them and have a proper plan in place. As someone who entered the workforce during a recession (2009), I experienced the direct effects of inflation and discovered the importance of generating increased passive income to counter it.
Experienced long-term investors are aware that the market and economy have a tendency to bounce back over time, and it's wise for investors to be prepared for such a recovery. Speaking from my own experience, I continue to invest heavily in this volatile market and have achieved significant gains - my portfolio is presently up by 60%. For now, I'll keep a watchful eye on the situation and gradually invest in more stocks as opportunities arise.
How did you achieve it? I been trying to stick with index funds. I feel this new interest rates hikes could crash this economy. I'm looking out for a better investing strategy, I have a lump sum that inflation is steady eating up.
My CFA ’Stacy Lynn Staples’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
I appreciate you sharing this. When I looked up the woman you named and read through her credentials, it was obvious that she was a complete professional. I just need her to respond to the message I wrote her.
You need to add hawaii to those states that crashed in 08. Hawaii gets its buyers mainly from the west coast and when those dried up it was mayhem. I saw builders abandoning partially built houses and my own home value went from 600k at the 06 peak down to the low 3's. The reason other states didn't crash is there was far less speculation in the market. I've seen quite a few of these big losses on zillow. the one that stands out in my memory is a house in kula maui. they bought in 2022 and sold march of 2024. They probably had trouble getting fire insurance. They paid 1.2 million and sold for 835k. Thats a 365k loss. Also what i find interesting is zillow has since erased the price history on this house.
My MAUI RE guy Just bt one $360K in Down Town Honolulu only $1100 a month bills 5* and can rent it out .A corner unit 27Flr too.
They erased the history? Isn’t that censorship?
The price cuts are huge because three years ago the price rise was huge. Most of what the public calls a crash is just prices coming back down to earth.
I feel for those who are losing money on their primary residence. I do not have empathy for investors who drove these prices up so high to begin with.
Spot on my friend.
I mean if you bought the home to actually live in, then the value doesn't really matter unless you HAVE to sell for some odd reason.
@@ryan011110 I agree on one part. But on the other hand if your tax obligation doubles, and insurance goes up, and/or insurance leaves the state, you might be forced to let go of your residence for a loss. That is also f..... up.
@borchelsijles8064 yeah the insurance issue is something that should not be happening. I feel for people in that position, especially when insurance is going up 200-300%. I'm from Tampa but moved out to Vegas 5 years ago and was hoping to maybe move back, but with the cost of insurance, I'd rather just consider somewhere else.
You just lose money when you sell. If you don’t sell and can afford the payments there is nothing to worry about
Florida is full of real estate day traders. That works, until it doesn’t.
Always has been. The say the great depresseion started in earnest when citrus speculators went bust in the late 1920's
Thanks for the update. As an investor, Florida would still have to get cheaper before I’d take on the kind of baggage associated with ownership there. It’s a hot mess.
Please don't buy here. I like more deals.
The cliff is still pretty high in Florida. I wouldn’t buy there period. The insurance is going to be insane if you can get any.
I'm not familiar with FL markets, but hurricane & flood risk is a big issue ..... North East FL (near GA border) and central FL where there is some elevation statistically speaking is much less risky.
What areas in FL are you interested in?
Thanks in advance.
@@nampmaljr9294 100% Nampmaljr, I am an agent in NE FL and we have survived many many hurricanes. When people think of FL, they always equate everything to S FL, when in "Reality" they are two totally different worlds. If you need advice on moving to FL, I am, "Your Trusted Real Estate Advisor" here to help people with the Truth about living in FL. Been here 20 plus years
No sir the bottom will be when u don't want to buy. The generation peak in FL home price is in. Maybe nick will see a higher price by the time he retires.
Predicting inflation starting to rise again this quarter while leading indicators showing economy slowing (not to mention governm*nt figures pumped up for the election). Global economy very weak which affects US. Fed dropping rates 0.50 shows they're VERY worried about financial downturn/crisis. interest rates coming down are also an indication banks are LESS willing to loan money into existence. The question here is where is the inflation going to come from in the near term? Consumers are mostly tapped out which is 70% of US economy (consumption). Yes inflation very likely to return but not before it continues to come down... Inflation can be a concern, but remember, certain assets like stocks and Crypto’s acts as a hedge. Long & short-term trading is generally safer, allowing investors to weather market volatility. I have managed to grow a nest egg of around 3.2 B'tc to a decent 27B'tc in the space of a few months... I'm especially grateful to Seren Wintersun, whose deep expertise and traditional trading acumen have been invaluable in this challenging, ever-evolving financial landscape.
SHE IS ON TELE GRAM.
@Serenwintersun
Get yourself someone like Seren Wintersun who understands the market very well and is also a professional in placing trades. That's the key.
What I appreciate about Seren Wintersun. is her ability to tailor strategies to individual needs. She recognizes that each investor has unique goals and risk tolerances, and she adapts her advice accordingly.
The key to financial stability is having the right investment suggestions for a diverse portfolio. Many investment failures and losses happen when you invest without proper guidance.
Price cuts are not a collapse they are a gain. We need deflation to stimulate the economy.
are you kidding? you want deflation? The last time they allowed deflation to occur was called the "Great depression". We just need to inflate slower than other countries, and increase our GDP (without the gov't spending), and repatriate taxable corporate revenues. If we can't do that, then its WW3....and whoever wins that will be the worlds next super power...just like USA did after WW2. History is literally repeating.
Southern Housing Market (NC,SC,GA,FL,AL,TX,LA) Is Frozen solid people are not seeing the thin layer of ice. As the inventory piles up the thin layer will become a solid block. If you want to sell before you see how really bad it can get summer of next year pull out the concessions, drop your price and be willing to deal or else you will be chasing the market down trying to sell. I watched 18 houses chase the market down for a buyer in the past 3 months. Its officially a buyers market nothing is moving.
2025 it starts to crack and 2026 is the collapse
2030 is when the recovery begins
100% FL agen here, that is the hard truth
lowest activity on record now
Agreed - in GA buyers are not buying and sellers are very slowly reluctantly going down. It is painful for everyone.
WHAT PEOPLE DON'T REALIZE IS THAT INCOMES IN FLORIDA DON'T SUPPORT THESE PRICE LEVELS....SO IT WILL CRASH HARD....BIGGER THAN 2008
People who know Florida know this very important information. We're just tired of trying to explain it to these new folks
amen! also drake fall back to the bottom now i am here
You're assuming locals are buying up everything?
My favorite scene in Florida is the retiree who’s a millionaire working as a bag boy in piggly wiggly. No joke.
@65EVMPH lmaooo. Or delivering Chinese food. Seen it too many times
The fact that people are still purchasing residences in Florida is amusing
We bought a condo in 2021 for $375,000, the exact same floor plan has just sold, in the same building for $250,000. That’s a 33.3% price drop in 3 years. It is in St. Pete. Neither condo was impacted by the hurricanes.
You made the biggest blunder in your life by buying a CONDO.
Condos are a scam.
What's your monthly HOA??
FOMO'd right into that negative equity! 😂
250,000 for a condo is still overpriced!
As long as you plan on staying there for a while and able to afford the payments i wouldn’t worry unless you had plan to sell soon
What is sad is you would probably want to buy a house that is now available for $375k.
Gotta love these cycles, with skeptics (experienced) and 'experts' at every stage. As a professor said, these cycle about ever 5-9 years, but American memories only go back two.
I'd like to meet that professor, the claim is false. I was homeowner, two years ago, five years ago, and nine years ago. I have vivid memories of all three times. I had lost money at none of those times, on my house. I had bought my first house twenty years ago. Seems, the quality of my memory had beat the others out, by a mile...
My girlfriend is going thru this right now. Virginia is a special case. Literally half of the state has good jobs, only once you get 75miles out of a metro area then prices become only 20% cheaper from 500k shit is crazy. We need a home because we are renting a house for 2500 a month 😮💨
Save your money and wait.
For Rent.
For Sale
FOR CLOSED!!!
No thank you
No over price cheaply build 😂😂
lol
lol
Wow! That says it all. I’m 50 years old and know a lot of people but I don’t know more that two people who owns their house outright. 😮
Nice.
"Homeowners in FL are finding themselves under water". Literally and figuratively.
I first learned about the process during 8th grade, in 1971. And I began to realize after college what that process would do to sea level rise. The information was certainly out there for anyone to refer to so I feel little for those that got conned by the fossil fuel industry.
Good play on words 🙂😄
You win the internet today!
@@OldJackWolf Gore took it further and prommised Florida would be under water in the early 200s. He has revised upwards twice and we wont see Florida under water for millenia
Prices have not really gone down in Miami.ive been waiting since 2022
You really are filling such an important niche in the real estate market. Reventure seems revolutionary. Your work rate is impressive. Looks like we're heading for a sustained period of house price DEFLATION which is long overdue. It's the only way buyers will ever be able to afford these properties. Since wages haven't kept pace with prices for what seems like forever, what you predicted and whats clearly materialising is sustained and significant price reductions. Keep up the fantastic work!!!
If immigration slows to a trickle, Boomer demographics could usher in ten years of slowly declining prices. Millennials got screwed royally by the money printer/wall street but younger Zoomers just might be fine.
The downward trajectory is way too localized to celebrare anything. If people started listening to this guy in 2020 they really missed out on good oppurtunities.
@je5406 But the people who didn't listen to him in 2022 and due to life circumstances must sell are really kicking themselves.
@@je5406omg you still exist. Bruh
Mortgage rates are currently at an all time high since 2000(24 years) and based on statistics on inflation, we might see that number skyrocket further, a 30-year fixed rate was only 5% this time last year, so do I just keep waiting for a housing crash before buying or redirect my focus to the equity market.
If anything, it'll get worse. Very soon, affordable housing will no longer be affordable. So anything anyone want to do, I will advise they do it now because the prices today will look like dips tomorrow. Until the Fed clamps down even further, I think we're going to see hysteria due to rampant inflation. You can't halfway rip the band-aid off.
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.
This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.
Can you provide instructions on how to contact your advisor? I'm experiencing erosion of my funds due to inflation and looking for a more profitable investment strategy to make better use of them.
‘’Marisa Michelle Litwinsky’’ is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
With 60% of Americans with a net worth under $1000, it no surprise that there is going to be a shortage of folks with enough money for a down payment as well as the ability to cover the monthly payments, property taxes, home owners insurance, and maintenance. A lot of Americans are beginning to have concerns about their jobs under the new administration. This is a good time to sit tight and build some financial security. Its not a great time to lock yourself in to 30 years of payments. Just like in the great recession, its going to be all cash buyers that pick up the deals on foreclosures and short sales.
If the new administration will do what it is promising, I can't wait. Get all these state employed-welfare recipients off the taxpayers back. They are leaches on society. Government needs to be severely trimmed and all those people need to find out what the real job is.
There needs to be competition for jobs, otherwise people get lazy.
All the employment stats in the present administration are inflated because they, the so called Democrats, increased government sector. These are non- productive jobs. They do not create any value whatsoever and increase the tax burden on each of us who is productive.
I have a net worth of $420k. It was a great time to lock myself into 15 years of payments. Made $35k so far, despite having seen claims the whole time about how the real estate market's about to crash. What a joke. House prices have risen 33% since Nick had first made that claim. These videos, are about using fear, to bring traffic to the Reventure App, which is easy passive income for him. If enough people pay $5 a month, that's six figures a year.
@@dan-qe1tb no one cares
Good evening! Can you please tell me what discounts are expected for Black Friday????
I actually said this at the time ... People that bought here (2021-2023) just bought the Bubble TOP of the market. Everyone else is probably doing fine.
Time will tell. So far those group seems to be Intelligent ones 😂
I am still waiting for those buyers to fail but no sign…. 😢
Where’s here?
Brilliant discussion
Excellent Analysis
Thank you Sir
This is actually become a much needed housing correction. Insurance prices need to be next.
Well, guess what, insurance companies face inflation. Why do people think they don't have to pay?
Naples, FL seems to be remaining wickedly overpriced- Florida property at California prices
Rich people stay rich. It's the rest of us that suffer.
Prosper and Frisco, TX too.
Apparently you don’t know Naples. It’s one of the richest cities in America.
What’s your take on Austin? Mainly Round Rock, Leander areas. Thank you!
It's good to see you post. Keep up the good work.
The BIGGEST Financial mistake (that has happened to almost everyone) ... is NOT buying your 1st home when you were 5 years old.
😂
😄
Lmfao
Blame the parents for not being proactive😂
I tried, but could not see over the bankers desk...
Im not seeing these in Florida.. the prices went up 100 - 300% in the past 3 yrs so 50% decline is expected at the least!
Florida is a big state. Where are you? I’m in Tampa and prices are 8% lower but further out perhaps 12%-15% lower
I fully agree with you. I do not see any meaningful price cuts in my area of Florida.
Prices have skyrocketed 200-300% where I live in the past 4 years show no signs of easing. All new construction is off the charts expensive pricing out almost 100% of the local wage earners. Rentals are not even close to realistic & forcing some very hard choices on working families resulting in an exodus from the state. Something is very wrong with no sign of help arriving.
PS Riviera beach is a hellhole dump.
@ honestly ive been here the same about live in the jax area… most of florida is a dump, everybody lives on top of each other in hoa homes that are made for single floor retirement paper thin construction, non hoas are close to trailer looking homes with 3rd generation drug addicts living in grandmas house or homes that are multimillion dollars with no yard.
@@manchannel6900 You've obviously not been to Broward County. The prices here aren't going to drop, if anything they're going to skyrocket over the next 10 years. Firstly, There's no land left, no direction left to build but up. Any small patches of unused land are becoming Luxury Condominium buildings. Secondly, Broward is a sweet spot in the Jet Stream, Hurricanes go either North or South, we don't really get hit here. Thirdly, Tons of Rich Suburban neighborhoods built in cities that were built up way above Sea Level. Lots of money from New Yorkers cash rich from selling their 500Sq Ft Brownstones for millions. They come down here in droves for the warm weather, low taxes and a SERIOUS lifestyle upgrade! That will NEVER end!
If I had a dime for every “ not in my neighborhood LOL. If it helps you feel better…
What I find most frustrating is how the computer programs like Redfin, Zillow etc allow realtors to wipe out previous pricing and list a home as NEW with a small price reduction. First, it skews days on market in general. We have some properties here in Atlanta that have been on the market for close to a year; but every couple of months the realtor wipes all the pricing away - does a small price reduction and lists as new. The property is not new. Second, it skews list price to sale price. e.g. most properties are selling at 97% of what the list price is - maybe after several price reductions. It is incredibly frustrating and you have to be a super slueth to figure out what is going on with a property.
Same here in Jacksonville. Houses sitting for 6 months to a year and etc....every. ow and then they get relisted and the time on market goes away. Im looking to buy a house and have noticed the same thing
Can youy even get home owners insurance in Florida anymore ??
You can, however, it's high.
Yeah, NO! You can’t buy home insurance in FL, so that’s a big NO!
and you forgot the hidden fees
We've never had mortgage rates go from sub 3% to over 7% so nobody really knows what will happen. But "higher for longer" is real and even 5% mortgages are probably still years away.
No study financial history pls
you pour thing
The stupid banks and government, why did they lower in first place, they should be prosecuted and fined
It went from 3% in 2021 to 7% up until now. WTF happened?
@@LastoftheMohicans116 Biden
Feb 2022, I bought a condo on the east coast, less than 2 miles from beach and Zillow has my appreciation up over 60k and redfin has me at 90k appreciation..
Okay is this some sort of weird flex? Now try and sell it and see what someone is willing to ACTUALLY pay. May surprise you
Car Stealerships are using the same technique. That's not true at all. New Homes are not going down in prices. Builders are reluctant to decrease prices... Instead they are doing what all other companies like Cereal companies or Soap companies which is they are building "lower' price homes but they are a lot smaller than the ones they sold in 2022 and the people who are underwater trying to sell they are not giving up and asking the same or more of what they pay a couple of years ago during the peak. Also, all those "incentives" on new homes are just ridiculous... A $50k "discount" is nothing after they already increased the price of the home 2 or 3 times... Same scheme used by Stealerships and car manufacturers.
Harris county, (Houston )just raised property taxes 8%. It’s going to be brutal for homeowners who are already choking with the HUGE property taxes of Houston
Yep. I voted against it. Too bad not enough people thought this one through more thoroughly to propose different solutions.
That's not a huge difference, a couple of hundreds of dollars per homeowner. Don't most TX counties cap single-year assessments at +10%? So +8% is pretty much a normal high increase. What's going to really kill homeowners is when counties truly reach the ad valorem value of each of their homes.
@@tonystark19631True, but combine that 8% increase with home values that have rapidly increased and that significantly adds to the tax burden on Harris County citizens. Insurance has done the same thing. Fortunately Harris County is ~2%, so overall not as bad as the surrounding counties, but definitely could detract from more residents moving into Houston. They may opt more for the suburbs if their financial situation allows due to a smaller difference in tax rate.
Trump will save them
Forget Manhattan!! Even if it sells for $300k the HOA fee is $2-3,000 a month on top of your mortgage and tax!!!! Who can afford that?
I do not understand HOA, especially as an investor like me (and I have one). It's like 'buying a mobile home' - you ALWAYS have that fee and it ALWAYS goes up. It's worse as an owner, why not just rent an apt?
❤
You are so right but you forget home insurance
Actually, the HOA was $1,400ish.
But point taken.
I would go find a peaceful trailer park,who needs that nut to bust each month, probably takes years of your life also.
This only happens due to higher supply from builders and lower demand from buyers as inflation and higher rates impact take a bite. There’s no building in the north east.
Thanks for the updates. I appreciated that you point out that many sellers are still listing for “what they want to sell for”, not “for its current market value”. I saw that happening in 2013 ain Lauderdale by the Sea. This was after the 2008 crash and prices were down. An entire street of houses were listed for sale, but most were listed for 1.1M -1.3M. The only houses that sold were listed for high $800s. I asked the realtor why so many sellers aren’t priced for the market. He told me they had paid off their house and they refuse to sell at the market rate.
wise man and reventure app. Superb
People will have to accept reality that we won't ever return to 3%. If sellers must sell, home prices will have to decline, and lower evaluations will follow. I now look towards the stock market to fuel my millionaire goal. Sure I'm not alone in my chain of thoughts.
U.S. stocks have historically been the best investment. Home prices will need to fall at least 40% before the market normalizes.
I like both. But in my experience, most of the millionaires I know have gained their wealth through diversified investments and they all had a sort of financial advisor helping out with informed decisions.
One day my guy Steve will get it right. Then it's 69% off and CNBC finance interviews. One out of 10 years.. I'm sure u will get one right
Nick - your channel has turned into “The “Florida and Texas Real Estate Show”. Outside of these 2 states, existing home sell prices are still going UP! Also, I would add bloated wish list price “cuts” are not the same as sell/comp price cuts.
The main thing is a headline that’s a total banger!
No they aren’t. I’ve check many states daily every market in many states, prices are dropping, though slowly.
@ look at comps, not list prices
Did you even watch the video? Clearly not.
Nope Add Arizona and Colorado
Until they start reaccessing taxes and insurance scam comes down and cleaned up… it’s a no buy.
Given the payout history I do not see the SE insurance market getting better anytime soon.
Buy in areas recently hit and rebuild the land with a home that is 2-3 stories and hurricane/flood proof. I would not build a single story home in a beach home. First story would have need to be a block wall garage. No drywall. Maybe you can insure for lower pricing given the hardiness of your home?
I see a lot of price cuts in Seattle from 20k to 50k but it's still way over inflated.Come down baby .Just don't be greedy😅.
Seattle liberal hell
I've been noticing this firsthand in Tampa. My wife's listing lost 15k in value in just a week. From 432k to 417k
I just recently moved here to Tampa. I go to publix and i'm like "yikes!, how are people paying these prices". even for the regular brand stuff. Wages here are pretty weak too. So it's a double whammy
Then the next week she jacks it up to 450. It’s a stupid game these realtor play, like if we’re not watching
So glad Georgia is staying stable. Not the greatest weather but the job market is better than most.
A 33% increase in price with then a 25% decrease brings you back to same price. A double in price with a 50% drop brings you back to same price.
No add inflation !
We knew we were buying in the bubble - but the interest rate that is locked in is super low - buying in a bubble you have to have planned to stay in the home.
There may be resons for some houses with large price cuts. Please check HOA dues, crime, and flood zone ratings. I am looking for a home in Florida and finding a wide range of pricing per square foot. HOA fees are so important some listings incorrectly state there are no HOA fees while others state the fees properly but the house price is far overvalued when the fee is subtracted from the monthly payment.
You might also remind people that, when selling a house, the owner loses money simply by listing and selling so a 15% loss in sales price may be closer to 20%.
Housing in hoa are not selling
Florida, with Las Vegas and parts of Texas hot on its heels, and the Phoenix area already starting to follow suit. Keep your powder dry and continue saving for that down payment.
I'm guessing that regular folks don't have or can't save for a 20% down payment with their low income to purchase a house.
My Parents bought the house they are in now in 2006 for $~140-150k. Its a 3 bed 1 bath home and about 1600sqft in the midwest. The home next to them just sold 6 months ago for 306k same floor plan, just a fresh paint job and new kitchen appliances. The problem is even with the prices falling people still cant afford 250-300k for an entry level home. If I'm in an established career have have had a few promotions and am married then maybe I can afford that. But my Dad worked as a machinist and bought his first home which was 1010 sqft for 90k making 30k a year. Then when my parents were married and Had my brother and I they were established enough to be able to afford a bigger home. But 300k is ridiculous.
House prices go up in the long term. The idea that prices have to fall due to waning demand, as the US working class can no longer afford them, is false, because the average homeowner makes a lot more money than the general population does, as Jon Schwartz (one of Nick's critics) had explained. That is to say, the housing market is confined to a smaller subgroup of people who make above a certain amount of money that's much more than what the US average income is. The housing market isn't fair, or equitable. The wealth of the self employed has risen faster than that of the working class. The number of wealthy self employed people has also risen. The incomes and wealth of highly educated professionals has risen faster than it has for, say, service job workers, and laborers at factories. I can afford $600k for an entry level home.
Inflation means house prices must go up to compensate owner's for converting a tangible asset into liquid cash.
Just remember if you do nothing. You don’t lose anything.
Yes you will actually it’s called inflation
@ Yes you are correct. That’s why owning a home is the absolute worst investment ever.
@@mike2959lol worst investment ever? It can be but it can also be a great investment. There’s a lot more nuance that goes into these things. You can find good deals
@@mike2959 A Millionaire from RE...
We looked at a house having a half basement. It was about 4 1/2 foot high. Months after we closed, the previous owner mentioned the "dead bodies" he left in the downstairs. He said this to someone else and I got it 2nd-hand. Naturally this raised alarm and concern. The previous guy sold and serviced musical instruments to school districts and had thousands of parts downstairs which he called bodies. I was still creeped out about this and got rid of them.
Luv ur channel. Can u pls come and do Australia.? We need an honest, no BS channel like yours in australia
@doristan1748 .. I second that. The real estate in Australia is wild.
I don’t recommend offering a lower offer on the house if you’re hoping for price appreciation going forward because if your lower offer is accepted, it will bring the cops in the neighborhood down going forward. Event that you do your inspection and there’s a lot of things discovered that weren’t made known on the MLS, it is OK to ask for a reduction in price just know that it is entirely possible. We are in a downturn and you might not be able to sell the property at a profit after you flip it and it is very unlikely that she will be able to get a decent returnwithin the next two years if you turn it into a rental
Thank you for research based content.Kudos!
Look for Vancouver Real Estate crisis.
A few examples are not as good as average. We see a few huge price cuts, but overall, they are still over priced.
Just wondering if insurance and taxes are causing these price drops.
One difference last housing crash we didn't have inflation like this or other costs getting so high. I feel this next crash is gonna be special.
A short sale requires bank approval, so the list price is less relevant. The seller needs an offer to present to the bank. After the bank and seller agree on a price, the buyer under contract typically has the first option to accept it. If they decline, the property is relisted at the "short sale approved" price.
Wish there was a coupon to use. Would gladly get the year if I could get something.
As good as Nick's zip code/big map data is, it definitely lags behind reality. For example, all of Buckeye, AZ is down closer to 20% from peak, not just the 10% shown. It's crazy how none of this has gone mainstream yet.
The explanation is a fear of undermining the chances of the Harris presidential election.
thanks for being an advocate for helping me NOT buy during the pandemic - super happy renting in CA
I too, was renting in CA. But, I had accepted a job that only had a year's worth of work at the time. Wiki says the pandemic had lasted from 31 January 2020 - 11 May 2023. For argument's sake, let's call it a solid two year block of time from that start date. House prices had risen 33% during that time. LA and SF included. There's people convinced that the market's about to crash just because "prices are too high" and "nobody can afford to buy a house anymore, and so the buyer pool's going to dry up". That's a distorted view of the housing market, and those people are setting themselves up for spending the rest of their lives paying somebody else's mortgage while pricing themselves out of even apartment ownership.
Honestly, this situation makes me feel uneasy, particularly with the Fed's decision to cut interest rates by 50 bps. It indicates deeper economic concerns, and I'm uncertain about my $130K investment strategy, especially with the possibility of not just a recession but potentially a depression.
I agree. Even with great opportunities, we should proceed cautiously. Seeking market analysis or advice from certified market strategists is important.
Absolutely, having a solid plan is crucial. My portfolio has doubled since early last year. My financial advisor and I are working towards a seven-figure goal, though it might take until Q3 2024.
Can you share details of your advisor? I want to invest my increased cash flow in stocks and alternative assets to achieve my financial goals.
Just wanted to say, ‘Carol Vivian Constable’, my CFA, is the real deal in his field. Dig deeper into her background; she's got years of experience and is a goldmine for anyone diving into the financial jungle!
Looked up her name and her website popped up immediately, interesting stuff so far, about to book a session with her.
The reason housing in certain states didn't go down as much was that the prices didn't go up as much! That was true here in NC. And, the prices have not gone down as much this time either since they didn't go up as much.
As someone that works for the county in which Poinciana resides in, almost that whole area is considered a flood zone so residents there are mandated to have flood insurance. And some of the houses do have flooding issues. That might explain your price cut there.
Isn’t poinciana in in the center, like near Orlando?
@ yes but poinciana is a natural swamp or wetland. By geological standards the land is depressed so it so of act as a sink. If you want more information then you can come down to the Polk County bocc office in Bartow, Fl. I don’t know too much about the Osceola County side of Poinciana, but I can definitely speak on Polk County side.
@@magiala5577 I use to live close to where all the food trucks are at and a couple of hurricanes hit Florida but Orlando was never affected.
@@elperrocovero Geographical Orlando is a higher elevation.
Location location...Bay Area and LA homes in California havent tanked yet. Doubt they will, if anything they will hold or go up more.
Have you already analyzed Marion County FL? Specially Marion Oaks. It’s insane. Take a look at
7:30 you should do a best fit curve starting from 1970 HPI. That would be a better indicator of where we can expect price to straddle in the future.
Roughly I'd expect a swing from peak of an HPI of 300ish to as low as 200ish then back up to ATH of 400-500 in 10-20yrs.
I love when people say prices won't go back to pre pandemic levels. Yet....it's happening.
There drinking the koolaid.
It’s possible but you don’t know for sure. It’s definitely not guaranteed…
I was looking at a home in the suburbs for 60k in 2019 I need it to go back to this price
I have been looking for a decent house in Orlando for over a year now. I don’t see any reductions.
Why is that?
Is it a loss when you bring it down to close to normal price when there is no inflation meaning that it is still too expensive.
The housing market got rugpulled
Houses should not be bought as investments unless your prepared to loose your ass. Houses are intended for housing. People who use it for housing, aren't really intending on selling it. You reap the seeds you sow.
Right, I bought it because I wanted to live in that neighborhood 🎉
This is an absurd statement. Plenty of people did both of those things over the past 15 years and won big. 2019 was the year to stop live/flipping.
You make very beautiful videos, I like them very much
I’m living in poinciana the traffic is one of the reason people don’t want to stay.
You stuck on Florida! What about Northwest ??? Washington State. I need to see your review on NW
I have been watching Austin area and prices are coming down. There was a quick uptick in sales early this month (election?), but overall they are dropping. There are a few that have dropped $100K+ over the past year, but prices are still ~40% over pre-pandemic. Many of these homes are empty!! I expect a flood of homes for sale this spring that hopefully drives the market even lower.
When should you jump in and buy? The straightforward answer to that question is that the single best valuation method for any asset is discounted cashflow - the value of the asset equals the net present value of all future cashflows.
It so happens all real estate can be valuated using this method with a fair degree of accuracy. Therefore, you should start buying when real estate presents a superior value to all other investable assets in your universe. I have a strong suspicion that virtually no markets in the US meet that criteria as of this video.
This happened to me in 2005. Within 18 mos, my home lost almost half its value. Took me 14 years to recoup my original purchase price.
Could that cut more of a nominal than actual based on the original higher prices were much farther away from the market fundamentals, or simply an inflated original prices
The affordability is now missing in the lower segment (middle class) of the housing. I saw this exact thing in 2006-07. I said, these prices are not sustainable compared to income/wages.
Then the correction came...
Remember, the rich doesn't work for "wages". Therefore in the higher segment, affordability is not tied to wages. So "mortgage payment" is not much (if any) of a factor. Therefore, those house prices - in the 1.5 mill and up - are not subject to wage pressures, but the lower segment IS.
A correction WILL come.
yup
Many individuals overpaid for homes, even during a period of low interest rates, leading to significant debt burdens. I anticipate a potential housing crisis, as these homeowners may face foreclosure if housing prices continue to decline and they are unable to meet their financial obligations. In such cases, with little to no equity, selling the property would likely not yield any profit. I believe this scenario could affect a large number of people, particularly given the looming mass layoffs and rapidly increasing cost of living.
I advise you to invest in stocks to balance out your real estate, Even the worst recessions offer wonderful buying opportunities in the markets if you're cautious. Volatility can also result in excellent short-term buy and sell opportunities. This is not financial advice, but buy now because cash is definitely not king right now!
You’re absolutely right! With guidance from an investment coach, I was able to diversify my 450K portfolio across different markets and grow it to over 830K in net profit through high dividend stocks, ETFs, and bonds..
My portfolio has been in the gutter for the entire year, so I started researching new ways to profit in the market, but everything I tried just seemed to miss the mark. Please let us know the name of your financial advisor.
Jennafer Beaver Turner is the licensed advisor I use.
Just research the name. You'd find necessary details to work with to set up an appointment
I just copied and pasted Jennafer’s whole name into my browser, and her website appeared right away. You've saved me several hours of arduous research, therefore I appreciate it.
The house prices grow allways. But that is just the normal inflation pace. Even if sometimes fall for a short while for whatever reason
I live in pompano, it was most likely an air BNB and im sure that 200k check will not hurt them.
I'm seeing some optimistic price cuts here in MA but still very high. It seems like more people are starting to refuse overpaying for homes and forcing sellers to keep cutting prices. People these types of homes are for, literally can't afford these homes; or else they would have already sold. Only homes for rich people are selling because modest homes are too much for the modest earner.
How long before we start seeing Florida prices drop to pre-pandemic levels?
Market condition is not very suitable for Toll Brothers, Lennar and other house builders companies. However their stock price is rising crazy!
That's part of inflation, assets rise even if it stocks
@@me-ut3ud yes indeed. People have no idea that they are not actually richer when their home price goes up it's just showing how much less the US dollar can purchase. Same with stocks and everything else...gotta take into account there has been over 20% inflation the past 4 years.
The first home was never renovated and by the looks of the yard, was flooded at some time. An aerial view of the neighborhood shows a suspicious amount of sand and silt in the yards of those surrounding blocks that two miles to the NE you don't see. Stable, green lawns and normal looking streets over there, a beach where this house is. That whole subdivision is part of what looks like a flood plain that extends 20 miles or more to the south.
Florida is always a mess! Our area isn't cutting any prices. But our area is always beautiful and in high demand. 🌞