Austin Texas Housing Market - Have U.S. Homebuilders Gone Too Far?
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- Опубліковано 9 чер 2024
- Is Austin Texas the epicenter for a housing market crash? Austin REALTOR, Chris Pesek @livinginaustintx talks about issues not heard in main stream media.
#austintexas #housingmarketcrash #housingmarketnews
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Been In The Austin Area Since 2019. Anyone Taking On A Mortgage After 2020 For A New Home Is Getting Trapped With Increasing Property Taxes And Escalating Home Insurance. I Survived The 2008 GFC In Illinois. This Is A Different Monster. The Tax Scam is out especially (MUD)
3% of purchase price for property tas is crazy, thats how they make up for no state income tax.
@@youdub7926 Texas seriously needs to look at raising sales tax and reducing property taxes. Property tax is a regressive tax as the poor pay for it through rent. At least with sales tax, we can exempt things like food, clothing, school supplies, infant supplies, etc
Old Texas native here. We're behind the 8 ball trying to get postwar infrastructure, schools etc replaced and/or grown to compensate for the massive influxes of non-Texans. We'd have been ok but everybody shows up wanting everything. Now. Somebody has to pay for it.
I live 30 miles northwest of downtown Austin and have been here since 74. Pulte / DR Horton sales are down 39% from year 2022 till now. Pricing 2000 sq ft homes at $400k+ has caught up to them and they deserve what is coming. Charging 40%+ for new homes was wrong and now no one can afford them or now folks realize what a poor investment it is now to own a new home. And if Abbott can not fix the property tax issue, he needs to be replaced. Property taxes in Texas are high and not justified.
I don't think he has legal authority to ban all Californians from moving to Austin.
Replace with who? Some idiot liberal who will destroy all of Texas like liberals have destroyed Austin? The governor gave every Texan a Texas property tax break and is looking to do more. Taxes in Texas is sooo much lower than liberal blue states, you have no idea.
Down 39%? Wow. That's insane.
@@FracturedReality777 stop blaming Californians. It was the greed the caused housing to soar.
The problems you state are not a governor issue. This is a supply and demand issue. If people don't buy, prices fall. When prices fall, your property taxes fall, and always make sure to file a homestead exemption and make sure the county is appropriately taxing you on the value of your home.
He totally glosses over the plethora of apartments coming online. People don’t buy overpriced houses. Still renting here.
Are you serious? Everybody that bought in the last 3.5 years or so willingly overpaid for their houses, and in many areas, there are still enough buyers willing to still overpay to keep new home builders raking in record profits, and used house resellers to still at least start asking very high prices for their houses, and only start lowering their prices if forced to when they can no longer wait for a buyer able and uneducated on the market enough to pay their outrageous original asking price!
Uhh...like everyone I know bought overpriced houses, while I sat here and rented an apartment with hopes of the market crashing in the last four years. Now, prices are still high, AND interest rates are high. I should have bought overpriced when that price wasn't combined with a high interest rate.
@@user-sd5ow2lz9o I’m rather move cities than move back into an apartment complex
Yeah a lot of over priced apartments are beeing built and they also stay at 40% occupancy or less because it's way over priced.
The guest is not totally honest - current rents make buying a very costly option. My son would pay 3 times his current rent if he buys - of course, the apt is lot less than a house, but the $1200 rent vs ~$3500 buy is a no-brainer.
I live in that area. His information about salaries, home prices and traffic/commute times is totally off base!
Definitely inaccurate on travel times. And heaven forbid you want something outside of an HOA and with a yard. HOA fees are worse than property taxes in a lot of places.
@@Heather-ho5vh Never buy an HOA. Its a voluntary tax and you dont control your land.
Is it me or does the realtor sound like he is telling tails or Lying 🤥
He’s basically saying a bunch of rich folks are coming in and the work class is going out
It's you. . .
It's always a good time to buy a house.
Tales
@@gogiletime5296 maybe he has a tail too 🤣
I've lived in the Austin metro since 2009. He says you can find a 3 bed/2 bath 1700 square foot new home for $280-300k. That's not entirely true. $280k will get you a 3 bed/2 bath new home with 1300 to 1500 square feet 30 to 40 miles from downtown Austin. (Bastrop, Jarrell, Lockhart)
You really need to be making $75k+/year with a 700+ credit score in order to buy a basic 1200 square foot home in the greater Austin area. If you're making $90k+ you can get into a slightly upgraded home from a builder without it being unaffordable.
There are a lot more people in the Austin market making that kind of money than in most, but it's still not anywhere near average. Even with all the new home inventory the market is still unaffordable for the average person.
Are you talking about houses ? Or condos and townhomes. Condos and town homes are 1/4 the value of a house and rarely ever keep its value or grow.
Overpriced! Unaffordable!!! Gaslight me no more
@@brandoncue3013 I'm talking about houses.
@@tamimoncrief2264 A lot of home builders are offering cash towards closing plus permanent interest rate buy downs right now. That makes it a lot more affordable.
Where we are from the house.
Be skeptical of cheerleaders.
There are no new subdivisions in ACL. I am in ACL proper. Not some bedroom community a hour commute away. That is not ACL.
The cities he mentioned are in the sticks.
Lots of un-sold builder inventory.
Austin is an interesting place “of falling prices”. Never ask a realtor if we have a bad real estate market. That neck movement say it all
"It's just a gulley". lil
The neck movement, awkward beard scratch, big gulp of water…love watching sales people squirm
The $300K houses are not in Austin central area, where I live in Austin you can’t find any decent housed for less than $500K. They are trapping people in tiny multi-family horrible places since they can’t afford a house. That’s ridiculous while builder are making big bucks. And we all know the salary in Austin are now declining not increasing. I work for a big tech company and they are not hiring buy year after year of layoffs are happening.
Nvidia and Amazon are exploding. Samsung is moving in next. This is just a temporary blimp. Tesla and Twitter will start to rehire soon once interest rates go down. Everyone makes 6 figs in Austin. As a result the prices will go up to New York and Seattle prices where 1 million for a house will be the norm in the next 3 years
sorry to make this my sounding board but when I came in 2021 the builders were still selling to investors and driving the cost up. I never thought to find out how many rentals were in the neighborhood like you would with a condo because they have higher number of rentals. Now I have 3 rentals right accross the street from me. I came California and I never exprecienced the greed I have here in Austin. I hate it here. But I have a good job.
15 minutes from Bastrop to Tesla factory.....nope. Its 24 miles and during rush hour, you're probably 45 to 60 minutes. Maybe the shift would be outside of rush hour traffic, but you're not going to hit 15 minutes. If you're west of Bastrop 5 miles, then maybe 20 min on a perfect clear road and you're doing 75 to 80 and don't hit any lights and take the stupid 2 mile toll road to avoid th3 130 interchange.
You are so right. I have driven many times from Bastrop to Austin and it was never in 15 minutes, driving fast. Wonder if he has really driven between the two cities.
@@Susan-hr5qj well, to be fair, he said to the Tesla factory which is north of the airport.
I know someone that works at mopac and Koenig/2222, lives in Bastrop, leaves house at 6 and the best she does is 45, that's no traffic.
15 minutes sounds like on a Sunday morning at 6am!
Average salary at Tesla factory is about 48k a year. Nothing to write home about in my opinion. And has no one noticed the bottom fell out of EV market last month?
This guy sounds like a politician…gotta keep pushing that narrative
Most real estate agents are like bankers. They have to sell confidence.
Exactly the realtors alway push higher prices no matter what
Politicians are full of shit, worth millions stealing from the chattel/ humanities life force. They go in with$10.00 and come out with $100 million. That’s not these
guys.
These guys aren’t on the mainstream media, which who the money controllers OWN.
Wake the fuk up people !
😂😂😂😂You got it. Realtors and bankers are like politicians. They never tell the truth. The problem is we got to many SHEEPLES who believe them
Buyer's agents work against the buyer's best interest, Because they want to get the deal done no matter what. They're not super motivated to bring your concerns to the seller.Warning you to accept the proalbums so that the commission is obtained
I heard the same argument in 2005-2006-2007 before my house price went down 40% in Los Angeles
You know someone doesn't know anything about the housing market when their only frame of reference is continually 2005-2007.
@@jaydeeare285 How old are you? I suspect you weren't in the RE game in 2008.
@networth00 I repeat -You know someone doesn't know anything about the housing market when their only frame of reference is continually 2008.
I'm 30 years old and LA is a great example to compare it to Austin. LA houses were built in the 1950s, are in the ghetto and cost $1 million. Everyone rents because no one can afford housing. Austin, don't let this happen to you too!
@@jaydeeare285 I've been real estate investing since 1995, so yes, I do know abut housing. 2008 was so terrible for many people, we will never forget that time. What year were you born? What year did you buy your first house?
Lived in Austin for 6 years. Central Austin by Penny Back Bride, south, and Cedar Park. Moved out in 2023... I can say with confidence, that place is an overpriced trash heap.
-Homeless.
-Mentally ill people.
-Never ending traffic jams.
-Never ending car accidents. (You'll see about two flipped cars a year)
-Drugs.
-Pan handlers on every corner.
-High taxes.
-Overpriced homes.
-Overpriced rent.
-Toll roads everywhere.
-Power outages (especially if it snows) The city wont maintain the trees, they freeze and fall on the power lines, then people blame "Texas" because its on its own grid. No, its Austin and the fools that run the city. Not the grid.
I hope to never set foot in that horror show of a city again.
sounds like Seattle
I 100% agree. The price tag is not worth it!
You can have that cess pool.Ausin blows
So true but that describes every modern American city. Did you stay in Texas? Ft worth seems cheaper.
Property tax is crazy high.
And homeowners insurance! 😳
Not compared to liberal clown states like NY and California. It’s all relative.
Don't forget - there's no state income tax. You've got to come up with some way to fund government.
Well that’s what I get when you have no state income tax.
@@agentcrypto7741 No, you clown. Do you know where Texas gets its income from?
I live here in Austin area. Trust me, if prices were dropping I would have bought. Prices are still ridiculous! Who is stating prices are going lower! Hogwash!!
Those making money from crash bro videos
Well the median price has dropped year over year but like 3% but increased like 40-50% from 2020-22, so yeah it doesn’t feel like it.
But but it beats the narrative that home prices always go up that these realtors keep pushing
I bought suburbs of Houston in 2014 they were still cheap !
You are wrong - just look at ABOR stats. I am not saying price is not insane, but it does come down quite a bit. The 2024-03 median would be down at least 10% from 2022-03, and almost 20% from the 2022 high mark.
Cost of materials has dropped
Cost of labor stabilized
Cost of land has stagnated
Supply of finished home increased
Population has stopped or slowed moving or growing naturally
Interest is going to stay above 5% for the next 12 months at least
Prices will continue to fall
Agent don't want to break the real estate industry.
real estate industry will change drastically because of the NAR settlement.
@malcolmlove4602 Maybe so. But, the real estate industry will crash.
DFW area is flooded with new construction- we go down for work and have relatives in the area. I would guess you are seeing 1/4 of it on Zillow, MLS, New Home Source, etc
I live here in Austin and I live in the coolest nicest area right off of Congress. You can still find places. It’s affordable in fact, our prices are down in my complex because of the hype the prices are down but the quality of living is so good in my place. There’s a giant dog park it’s a real community except we leave each other alone and it’s kind of hidden and it’s just a dang fun place to be you can walk to everything you can bike all over the lake and I can still go out and see cheap music everywhere. I mean I’m not talking about a family and needing a big house for working at Tesla I’m talking about living in a center of town right south of the river. It’s great it’s worth buying prices are down now, I’d jump because you wanna be where businesses are. When stuff crashes, you still need to be where everything’s functioning and people are still working.
Will have to watch this but from the comments it sounds like the realtor is trying to temp pump the spring housing cycle.
I've kept up with the austin market and i have seen drops up 28% decrease on houses trying to sell. So I'm not sure what this guy is talking about
Great interview! He’s right…the affordable areas are farther out in small towns. I’m in west Austin and prices are still staying high, even with some price declines. Still a lot of $ I’m the system. Lots of locals started vacating a couple years ago when the run up started bc couldn’t afford even rent anymore. Builders here are still carrying a lot of sales bc they can offer way more than resale.
TX spin doctor😂
I was expecting correct information about the current Austin Market. The Austin numbers just don’t make sense!
Reality is median Austin Home prices are ~6-9x median income in Austin. Several people I know are choosing to continue renting because they don’t want to pay $4-5k monthly PITI for the median home in Austin. Rents for decent places are less than half PITI quotes. Which is why alot of new construction homes are spending over 300 days on the market without selling.
Californians are having to run back to Cali once that 2.4 to 2.8% property tax rate sets in!
Yeah, CA fucked us up and I can't afford a damn thing at $75K salary
New construction in Houston areas start at 3%..... and they build in slum areas too. So for 250k you can get a 2100 sq ft 4 bed, but if you want your family safe the same house is 330k in a different ISD
Thank you for the great information. Really great interview Todd. You asked some really great questions.
Last I checked this past month Austin's inventory is at 99.4% of what it was pre-pandemic (on a monthly basis). I think the lack of a big crash at this time is just an indicator of how many people have moved to Austin since the pandemic. I believe if a city like Charlotte was at 99.4% of their old inventory their real estate prices would greatly reduce, if not crash by now. But with all of that net migration to the Austin area, it probably needs to increase inventory by another 20% before the supply greatly outpaces demand and the market cools down.
I think this presents some problems for Austin because people will think that a crash just ins't possible since they're at pre-pandemic inventory levels and they'll just keep building, but at some point it's going to be a problem. The good thing going for Austin is not only do they have a lot of new commerce coming in, but they also have UT and the UT hospital there to rely on.
Bastrop is at least 30 minutes from Austin
Yeah, this guy is stupid. Interview a real person who luves this shit
With no traffic!
Closer to about 45 minutes.
Closer to about 45 minutes with traffic
if you drive like 80 m/h
Asking a real estate agent to be honest about a crash is funny. He's got a job to keep
I'm in Reno. Not many of the line workers at Tesla that I've met are homeowners. Even some of the executive level folks I've met are renters too.
Austin is no longer paying big out of college salaries . And ibm just laid off a boatload of these youngsters in austin
The working class is leaving Austin Texas and the upper class is taking over.
Say it again for this guest please👏🏿👏🏿👏🏿👏🏿Thank you!!
Gentrification
That’s what I tell people. Austin is a great place to live…. if you’re a multi-millionaire.
@@sabrinamartino9922yesss finally someone said it
Im midway through and I haven’t heard a thing about the 30,000 new rental units that came to the market in 2024. That should offset the whole housing inventory shortages theory that is supposed to prop up the Austin housing market.
A friend just sold his 2400 sqft house in the Seattle market in less than 2 days for $1.4M. They specifically targeted Chinese buyers. 🤷♀️
And it went $175k over asking. Cash offer.
Many are saying housing crash, but we have another 10 million people on the way. It’s been 2 years since the FED raised rates and we have added 4 million people. 2 years from now prices will still be higher
@@journey2harmony_LLC I think there will be a crash simply from other economic downturns and people losing jobs. However, real estate has always been about “location, location, location”…but those locations have to have the people with the money to support it. Seattle still has tech (even with wide layoffs and commercial real estate losses because many workers refuse to go back) AND Seattle continues to have significant influence / money injection from Mainland China (via Vancouver, CA). I now live back on the Gulf Coast of Florida where there was a MASSIVE influx of people during 2020-2022. Now reality (ie jobs, insurance costs, etc) is kicking in and beach houses…once gobbled up in hours…are sitting unsold for months, despite price reductions. I watched my parents lose their modest home in Houston during the 1980s oil recession. Massive layoffs, no jobs. 🤷♀️
Everyone wants a house until it’s time to pay taxes . It’s like why own a house , you own it can’t pay your taxes it’s no longer your property. This is the problem with America . Other place you buy it’s yours no other payments needed . It’s all about money here
Everyone wants free services and more regulations to "protect" the public.
I think the dream is available if you can find it. My home is 1200+ sq feet with a small yard and is affordable but that’s because it’s not the best neighborhood and not the best schools. The neighborhood with good schools has a higher tax rate. The properties in that neighborhood are also higher.
Higher property taxes, insurance premiums, HOA dues, and utility bills are HUGE issues in Austin, Texas.
I don't know how families earning less than $150K are able to purchase $400K-plus homes in Austin, Texas.
I retired in 2015 after 20 years in the new home industry. Homes per thought were over priced at $450K in 2015 have doubled and tripled in 2024.
Sach is right, it's difficult to buy a rental property today in Austin and make any money. This is a problem for all parties.
Bubble in Austin real estate? Am not sure of that. Chris is probably right about not seeing a bubble.
However, something needs to give to attain affordability of rents or home prices. The aforementioned higher property taxes, insurance premiums, HOA fees, are putting pressure on the cost of living in Central Texas.
Austin is still a beautiful place to live and to raise a family. People will continue to move to the area for many reasons.
Alright #sachsrealty another realtor who doesn't see a crash. I think its time to find a REO guy in the area and see what he saying.
No body ever mentions the very large corporation I work for FLex (flextroinics) who has moved almost the entire operation, I came from silicon valley and I got to keep california salery. I bought a new build closed May 2021. And now feeling like I paid too much. People are putting their homes on the market in my neighborhood that with a price per square foot that if I calculate my home makes it $75K less. I'm pissed at these buliders. There are brand new homes sitting empty in my neighborhood now. Plus still building like gang busters down all the way down hwy 29. The builders suck. The houses they are building are crap.
You're the problem for paying so much that you screwed me out of the market
Lived in the Austin, liberty hill ,bertram , georgtown ,leander,hutto ,Taylor, area since the early 80s its crashed 3 times before and will again, now the problem is water to many straws in the same glass , recently read a article georgetown will have serious water issues by 2030 if not sooner , Ronald Reagan crossed 29 headed straight for Briggs and the area lakes those levels are dropping just as bad as Travis and the others , wells are drying up all around the hill country area , even Jacob's well in becave is below the creek lv people now have to look down the hole to see the water , they can say what they want there will be a crash if not now by 2030 for sure .
For a 350k house? Depends where some houses are mansions and in some places these are shacks.
Sheds, at best
I do not understand why the price went on a house went up 3x while the people did not get raises to match.. let’s be honest no one can afford the price the houses
I was a native for over 30 yrs...absolutely hate the place..still have properties in garden ridge and outer Austin...can't wait to sell in a few yrs...traffic...homelessness issues and taxes are out of Control....yall need to follow what Florida is doing with the homeless issue....zero tolerance...just go see Miami...the next financial hub for the USA...
Please interview someone in the Dallas and North Dallas market. It’s the largest growing metroplex. Love the show.
I love your show thank your for producing it. This episode just reminds me that realtors are not trained on the economy of the housing market. It is not covered in pre-licensing (other than the most basic supply and demand concept), post licensing or a requirement for continuing education (maybe there are some electives but not a requirement.) Realtors are focused on the narrative at the moment, and usually that narrative is buy at any cost. Even as I watched this I saw a realtor commercial for my area where the realtor is trying to say there is never a better time to buy. People are going to get financially hurt.
💯
Tech for Intel in portland pay $$ 23.00
This is start for intell equipment technician.
This tech rent apartment 5 to 6 person in 1 bedroom.
This is high tech pay and housing in portlsnd oregon.
Some one make 1 000 000 0000.
Never saw such individuals
Ugh i feel like alot of them leaving to cheaper Houston and San Antonio we are full go back !
Austin has over 5000 active real estate listings. Most of the private sales have had numerous price reductions. New construction doesn’t seem to have many reductions but that could be happening in way of rate buy downs. That indicates market softening
So south or north ide better by or rent?
Thanks guys!!
Its sad Austin cant afford Austin. Most of the areas around Austin only make around 120k per household. Thats nothing these days. A single individual needs to make 60-70k alone, to rent an apartment.
People can say it over and over, but that doesn't make it true. The demand for housing, or even new homes, is not impacted by 3% mortgages that people do not want to give up.
The type of housing, the location, may and probably will be different than it would have been, but new homes that would have been built for people trading up from an existing home will now be built for the people that would have or may have purchased an existing home.
How's the water situation in Austin?
So should I look into becoming a Realestate agent for Austin
If someone thinks the problem is “ greedy” builders they are welcome to go out and buy a piece of land, get the design approved get the permits, do the site work, hire the contractors and build the house. See what the all in price is. Guarantee it will be 300 to 400 k min for a 2000 sq ft when all is said and done. People have no idea what they are talking about. I do. I am in the trades. It’s a skill set we get paid for not “ greed”
Right great question with the TESLA LAYOFF
Please come to the Queen Creek/San Tan Valley. They are building like crazy but I cant imagine that they are all being sold.
If locals still cannot afford it no
Who would move to Austin tx!!?? They do not have the infrastructure to support what they are trying to put there! Traffic is terrible and in the next 5 yrs will be complete gridlock. Doesn't make sense. Rents and mortgage is thru the roof! That city is becoming a complete disaster!!!
Jobs will be the key when no one has one
@mikeshoemaker1909 this guy is a moron
You will own nothing and you will be happy. - Klaus, WEF
I’m sure they are planning on sending another 50 million people to America. Europe and America will double their population in the coming 25 years if this continues
We already own nothing! Don’t pay your taxes, then you’ll see who really owns the home…
this has always been the case from the times of the Roman Empire. Taxes have been a part of society. If you believe that this is reason to not strive for purchasing property then instead of paying 5-10% of your housing payment to taxes and fees people can pay 100% in rent 🤷🏾♂️
There is a massive recession that is coming. Inflation going through the roof as FED Reserve drops interest rates this year. wages will not go up fast enough to outpace inflation. Foreclosures are up 50% in some markets. People will move out of Austin as they won't be able to afford it anymore.
Texas is a winner state! Fighting border and other problens. Pushing new buildings and growth!
I was just at Austin last weekend. Apartments that had managers special are gone and prices are going back up. It was only a blimp with the tech layoffs. Tesla and Amazon are expanding their workforce and moving many 6 figs jobs from previous work at home workers forced to relocate. Prices are going to go back up. Many many rich people live there who can afford a 4000 a month mortgage
Lumber is cheap! I don't believe they are not overbuilt and they are already getting beat down in the market.
I love you man! Your nice, considerate, honest, up front, and intelligent patient. Thank you
Raleigh Durham area in NC has become the same. 😒
Any idea what city this dude talking about because I am in construction business and it not making sense
I get so many job postings for Austin, high paid contract positions. Those people probably rent. And I doubt contractors show up in the numbers. They are also transitory.
I'm looking online at a duplex for sale. It's a nice property but needs work. Maintenance and repairs aren't cheap. It just can't compare to the returns in the stock market. I'm just going to be grateful that I'm not the owner...... although, for the right price, I would be the owners. It needs a 40% price drop.
Having read some comments, I'll save 27 minutes for something else.
Hallelujah!!!! The daily jesus devotional has been a huge part of my transformation, God is good * l was owning a loan of $47,000 to the bank for my son's brain surgery (Oscar), Now I'm no longer in debt after I invested $8,000 and got my payout of $270,500 every months.God bless Andrea Sheryl Fox.
Congratulations!! The scriptures clearly states there's going a transference of the riches of the heathen to the righteous.God keep blessings you
But how do you make so much in a month?mind sharing?
Thanks to Andrea Sheryl Fox .
Really feel your pain,when I was even almost down my God sent to me Andrea Sheryl Fox services cryp to to me and changed the game automatically
I googled about her and yes, she's won my heart. She just gained herself a new client
Austin Realtors like this nice guy are largely young, rolling in $$$. They're not experienced with real life, Austin RE history and Texas in general. We native Texans stay away from Austin except for concerts, trendy dining etc. Never forget: 3M moving to Austin was HUGE in early 80's but has shrunk since, closing plants etc. Bloom fades on the rose, markets change. Transferees lose their taste for Tex-Mex and summer heat. Ausin booms and busts are legendary.
Inflation is getting so bad that there's a record high of amounts and in the number of withdrawals from 401K. It's mom and pop speculators holding on to properties. Large firms are net selling their properties even though they're buying to not drop the price to much as they get out enough to get back in at the bottom.
16:54
“I think we glamorized housing way too much, it’s a basic necessity of life, and we’re playing with that.”
❤❤❤❤❤❤❤❤❤🎉
Then contractors go out of Autin to buy the sheaper land they can and put the higher tags them can?
What’re you seeing in 78704? In the $1M-$1.5M range
Pls discuss why NAR Legal Katie Thompson's salary ($950) is more than five times that of a US Senator ($175). Thank you. TFS
15 min cities ?
This is so insane everywhere .
Rents are down much more than 5% yoy. The price offered might be, but they offer 6-8 weeks free ( not offered during the peak ) which brings prices down closer to 20% total.
I live n Austin in the best area in the sweetest complex it amazes me that the prices are down, I would grab it if I were from out of state. I’m right off Congress it’s fantastic it’s kind of hidden but the thing is you just have to look you’ll find it. Mine isn’t for a family. It’s for a single person and I think that’s maybe why but because of the pipe about it crashing. It’s all our little places are selling for less but it’s paradise I’m telling you it’s fantastic, it’s really worth it. You can bake anywhere or you can see anybody. There’s still tons of cheap places to go out and hear music when you can’t beat the food. It’s just a great place to be. It’s very happy here.
Bastrop is 1/2 hour to the east of the Tesla gigafactory, not 15 minutes unless you drive fast in the middle of the night. It's 3/4 hour from the Samsung factory.
Many people just do not understand how much it cost to build a house these days land infrastructure ( sewer, well or hook up to street if available plus fees fees fees) and then the house it self ( plus the street site development etc if a neighborhood track developer . It is actually amazing they can build a house at all for 300 k ish these days. Usually a duplex or town house these days but still. Just 7-8 years ago costs were a lot less. Add inflation with to golden handcuffs from artificially low interest rates and this is what reality is- not “ greedy” builders. Stop blaming business people.
How long can this last? It is not sustainable. And when people say "oh, the rates were 14-15% and higher in the eighties" it is an absolutely stupid comparison. A 4 bedroom 2 bath, 2000 sq. ft. house in southern CA could be bought for $120 to $150,000 in the eighties. Given that it was not in the middle of Beverly Hills but it was still in a decent and safe neighborhood. That same house is selling for $750 to $850,000 today. And even if a buyer can qualify for an FHA or a VA loan today and get a 5.75% rate it is still not affordable for the majority. One possible soution is for people to partner and buy 3 or 4 unit properties and thus minimize their housing expenses and have staying power for all the market cycles.
Median home prices relatively affordable at 550k lol
Housing values and rent need to drop 50% and incomes must double so one spouse can care for the kids at home or watch society collapse… ???
Austin was a sensationalized carnival when I first lived there in 1979 and it has become increasingly worse since then. 2002 was the last time I saw of the place and I do not miss it.
It’s not just Austin. Even Houston prices are getting ridiculous. I just don’t see how this is sustainable - even a $100,000 just isn’t enough to pay these high prices especially when you have student loans too
We are in the Treasure Valley Idaho. Boise-Caldwell-Meridian-Nampa. There is incredible amount of home construction going on here. It is shocking. Prices are strong, a house a block away in a fine newer community sold for over asking.
Commiefornians buying
This realtor gives used car salesmen a good reputation
$150k move in ready houses here in VA have been.sirting for 6+ months it's crazy .. We have 40k saved and ready to buy but not at 8%... I'll pull the trigger at 5%
You're dumb if u think that's going to happen soon better buy ..in a hot market you will be priced out by cash buyers..I couldn't get anything with a VA loan unless the owners loved military..
Lucky you live in an area where you can buy an entire house for anywhere near $150,000, and still apparently gold down a job there that hopefully pays you, well at least enough money to afford thar good down payment and the monthly payments, but hopefully still have a good amount left over after housing is paid to save and invest for your future needs and be able to live stressfree! Most areas with such low housing prices don't have good paying job opportunities for many residents.
I would rather pay high interest on a 35k like my father did early 80s
What he said is not true…. I have friend that move from Ca to Austin in 2019.. they bought home in Austin 2000 sq# for 600K. They got trap on that house, not only that property tax is killing them, and electric??? Now housing market 39% down…. They think about to pull the plug and move out…. VERY DESVASTING right now in Austin.
In the central valley of california, people are making next to nothing but a typical older 1200 sq ft tract house costs half a million. No wonder everybody is leaving!
I see houses going up for sale left and right in the north western suburbs. Yet they are all asking 450-550k. They'd rather let them sit than lose money on lowering price.
glad you mentioned the build cost. Their were people from my group who came and put money down on a new build and when the house was about to be finished they came and said you will now have to pay 30K more. One person had to back out because they didn't have an extra 30K.
21:30 It's so funny when real estate agents consider "multi-offer listing" a measure of anything OTHER than you priced it wrong. It's just that simple. You didn't price the house properly.
Home price are still ridiculous..!
Houses need to be like $180k. No, builders have not gone far enough at all.
Per refin Feb 2024 article, "Investors Bought 26% of the Country’s Most Affordable Homes in the Fourth Quarter." They are absolutely going to trap young people into renting for decades.
Empty Houses & Empty Apartments what’s Best Buy or rent?
16:30 Thank for really setting the record straight about being a landlord in this day and age. Truth.
There is a money supply issue.
Great video! I felt like even though he's an Austin broker, you had a good idea of what's really going on. I'm in Austin. I'm seeing it first hand, and I disagree with this guy. It's only going to get worse this year and next in my opinion. Good job!
What a good salesman