I found your channel post-FTX crash and have become a regular listener, usually in the morning while I'm getting ready for work. Really appreciate your commentary!
As an older millennial who purchased their first home this last winter before rates went up, I am very happy with my house in Cincinnati. By next February I would probably be paying $500 more for my nice one bedroom apartment I had rented before.
I'm 36 and own my home. I became a homeowner in 2017. I'm so happy I bought it when I did because housing prices went up 50% since then in the area where I live. Very few of my friends own their own homes. Most are struggling to even afford rent. I really hope housing prices go down soon. I want my friends to be able to afford a house even if that means my house is worth less.
Another thing is why are all almost all new houses built with so many unneeded expensive "features"? Like roofs with multiple levels, dormers, extra tall ceilings with vast wasted space, etc. All of those roof features, with water draining from one level to another, and all those valleys will be an expensive maintenance replacement over and over for the life of the place. Seems like people did just fine decades ago with 1600 square foot houses, now that's tiny. What happened to live below your means with houses? Another thing - houses should be square, not rectangle. A square gives you the most area per perimiter size. Decades ago I think they were commonly square, too.
all my friends who bought rental properties lost everything and their lives were ruined. Getting rich with rental properties is mostly a myth for individuals. Big companies make money , for sure.
Life really complicates it. I live in Ireland and bought my first place in 2007, just before prices collapsed. A decade of negative equity followed. The place was way too small, especially when 2 kids arrived. We were finally in a position to move this year, again having to buy at the top of the market, but at least this time the blow was softened by being able to sell at an inflated price atvthe same time as buying at an inflated price. I wouldn't have bought in either instance if it were a purely financial decision, but it wasn't.
I know life happens and people need a place to live. Plus it's difficult to treat your house like the stock market where you can just buy and sell at will.
@@realchris I was worried at the time because every house I wanted was a bidding war , but looking back I'm super happy I could capitalize on those low interest rates
I'm gen z and bought my first house a year ago during the housing shortage... gotta be honest, it wasn't that hard. I don't even make a lot of money or live somewhere shitty or remote.
it is really sad how crazy home prices have been. In 2020 I started a masters degree and finished it up this year. I thought it would be good but now that I am done my work is doubling what they would pay for school reimbursement because of inflation, but its not retroactive and now I am done. I feel like if I would have had more time I could have just taken on debt and bought a home 2 years ago. I decided to do school first, then get a home when I had saved up more. It sucks that the opposite decision would have meant a 40% increase in home value and a free degree.
People bought larger houses than they needed the last 2 years. Increase in interest rates, banks are struggling, and layoffs incoming, I expect to see foreclosures and total crash (30-40%) September - December next year. I expect this order, crypto crash, S&P crash 2600-2900, and then housing down.
The majority of homes any where near my neighborhood (totally average homes with micro yards) are averaging over $900K+. I'm in Washington state, and am seeing $1M homes for sale all over the place.
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I found your channel post-FTX crash and have become a regular listener, usually in the morning while I'm getting ready for work. Really appreciate your commentary!
Appreciate that! And happy to be a regular part of the day :)
As an older millennial who purchased their first home this last winter before rates went up, I am very happy with my house in Cincinnati. By next February I would probably be paying $500 more for my nice one bedroom apartment I had rented before.
Congrats on a new home! Yep right now prices are high and rates going up. It’s scary out there
I'm 36 and own my home. I became a homeowner in 2017. I'm so happy I bought it when I did because housing prices went up 50% since then in the area where I live. Very few of my friends own their own homes. Most are struggling to even afford rent. I really hope housing prices go down soon. I want my friends to be able to afford a house even if that means my house is worth less.
Congrats on a home! As shown in the charts, it's really hard for young people right now and unfortunately going to get harder.
Spot on Chris. Well done video! It's crazy how many get caught up in the mania & don't understand the cycles.
Another thing is why are all almost all new houses built with so many unneeded expensive "features"? Like roofs with multiple levels, dormers, extra tall ceilings with vast wasted space, etc. All of those roof features, with water draining from one level to another, and all those valleys will be an expensive maintenance replacement over and over for the life of the place.
Seems like people did just fine decades ago with 1600 square foot houses, now that's tiny. What happened to live below your means with houses? Another thing - houses should be square, not rectangle. A square gives you the most area per perimiter size. Decades ago I think they were commonly square, too.
all my friends who bought rental properties lost everything and their lives were ruined. Getting rich with rental properties is mostly a myth for individuals. Big companies make money , for sure.
Buy? More like time to save to survive
save me!
Life really complicates it. I live in Ireland and bought my first place in 2007, just before prices collapsed. A decade of negative equity followed. The place was way too small, especially when 2 kids arrived.
We were finally in a position to move this year, again having to buy at the top of the market, but at least this time the blow was softened by being able to sell at an inflated price atvthe same time as buying at an inflated price.
I wouldn't have bought in either instance if it were a purely financial decision, but it wasn't.
I know life happens and people need a place to live. Plus it's difficult to treat your house like the stock market where you can just buy and sell at will.
I was born in 1997 and I got a home 2 years ago locked in 2.875% interest. Purchase price was 250k - 300k
If one was able to lock in those low rates as you can see, it's a massive savings compared to buying today.
@@realchris I was worried at the time because every house I wanted was a bidding war , but looking back I'm super happy I could capitalize on those low interest rates
That one chart I showed of bids and asking was crazy times.
I'm gen z and bought my first house a year ago during the housing shortage... gotta be honest, it wasn't that hard. I don't even make a lot of money or live somewhere shitty or remote.
Congrats on the house! What do you think makes you different than others in Gen Z since the numbers suggest you are the minority.
it is really sad how crazy home prices have been. In 2020 I started a masters degree and finished it up this year. I thought it would be good but now that I am done my work is doubling what they would pay for school reimbursement because of inflation, but its not retroactive and now I am done. I feel like if I would have had more time I could have just taken on debt and bought a home 2 years ago. I decided to do school first, then get a home when I had saved up more. It sucks that the opposite decision would have meant a 40% increase in home value and a free degree.
It's not normal for homes to go up that much so quickly. But nothing has been normal these last few years.
@@realchris Yeah these have been really strange times. I am considering just renting the next year and waiting things out.
All depends what market you are in.
People bought larger houses than they needed the last 2 years. Increase in interest rates, banks are struggling, and layoffs incoming, I expect to see foreclosures and total crash (30-40%) September - December next year. I expect this order, crypto crash, S&P crash 2600-2900, and then housing down.
The one chart I showed with the blue in gains and red in losses show there could potentially be a lot to give back.
I can’t believe someone is still hoping to sell $1M house in this environment 🤷♂️
LA is really expensive! Eeek.
The majority of homes any where near my neighborhood (totally average homes with micro yards) are averaging over $900K+. I'm in Washington state, and am seeing $1M homes for sale all over the place.
Yep all depends which market you are in.
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