“HOUSING AFFORDABILITY IS THE STORY

FASTEST DETERIORATION EVER: 2021 to 2023
IF U.S. incomes spiked 69%, we'd return to pre-pandemic housing affordability
IF U.S. home prices fell 41%, we'd return to pre-pandemic housing affordability
IF mortgage rates fell more than 4 percentage points, we'd return to pre-pandemic housing affordability

To be clear, the "IFs" don't mean that I think these are possible paths. Instead, it's how far the given metric would have to shift in order to return housing affordability to historic norms.”

https://x.com/newslambert/status/1797301740544356772?s=46&t=nMLVf69hPg1pGGuTpdFCOw

We are going through it now. Trying to find a 4 bed 2-3bath around Florence that’s not way overpriced has been a unicorn. We sold our house in Jackson Tn and close on the 14th so will be homeless after that. Frustrating has been an understatement.

Told my wife, good thing we like our house because we’re golden handcuffed to our 3.1% mortgage for the next 27.5 years.

I’m leaving a 3.0% Mortage on ours due to finishing residency and taking a job in Florence…this kills me. Wanna trade? 😂 Worst mistake I made was doing a 0 down physicians loan on ours with a 5 year arm instead of a 30 yr fixed where I’d rent it for 2500 a month instead of having to sell it.

Ouch, that is pain.
I have no experience/knowledge of Dr notes, but why do you have to sell it?

If somebody has the time to do persistent finance hunting they can snipe some good deals right now, especially this coming month. Market volatility across the board on everything from bank rates, to commodities, to real estate...is going to be bouncing around like crazy. But the fact remains, nothing is going to get cheaper. If you can tag a good deal on a solid safe asset when it comes up, get it.

If their are all over priced that means that none of them are lol. That's just where the market is.

I think its a really good time to build if you have the skills, cash, and can
to do the majority of it yourself. I'm toying with building a rental or two. Ive got a trespassing neighbor. He build right on rhe line. I might as well build a couple tiney homes right beside him.

In my area you could keep those rented with no problem

I’m in the process of downsizing. Finished out a 14 x 32 shed as a studio and now doing some repair stuff to my house to sell and get out of Chattanooga. Plan is 1-2 years in the shed and build a 2 bed 2.5 bath house where the shed is and sell it. I ran water lines and electrical within the skids on the shed so the buyer would just have to cut the sewer drains loose then reconnect wherever they move it.

Cool, Thats a good idea.... Moving to Bama hopefully...

After two more years of fixed it goes to adjustable so launches. We took the 70k profit to put to a down payment but missed on a long term investment

Thanks for the explanation.

We in the US are really lucky that we have fixed rate mortgages
Most of the globe does not.
Wife and I were talking to two Australians recently at a bar in San Diego about the cost of living of there.

Glad I have no mortgage.

The days of 3% fixed 30 year mortgages was an anomaly in history.

Those of us old enough remember the Carter years when 15% mortgages were strangling the market.

We are about to have a third child and would like to move to a bigger house in a better school district before our oldest starts k5. Our mortgage payment will likely double with the move. I’m making more money than I’ve ever made but it sure doesn’t feel like it.

Yup, Stevenson

Yes but homes did t sell for 200$+ a sqf at that point in time.

Your not making more money, the numbers just changed.

Houses have an average historical increase in value of about 6-7% annually. Some years may be less, some more, but that average has held true for decades.

Prices will level off at the current value soon, we may even see a decline for a while, but in 10 years, if you average out the increases over the past few years it will be very close to the historical norms.