Bay Area home prices down 30%
Considering the valuations that’s a huge amount of value lost. Wonder if that trend will hit the rest of the country or if it’s Bay Area-specific due to all the tech layoffs. https://wolfstreet.com/2023/01/19/san-francisco-bay-area-house-prices-plunge-30-from-crazy-peak-housing-bust-2/
I pity those who bought at the peak. But they brought it upon themselves
At peak rates were so low that you will be paying lower monthly mortgage than a 20-30% higher priced home. And when the rates come down, home prices will go back up again. So you just need to look at a comfortable monthly mortgage instead of timing the market.
I bet that sometimes the bubble is so fing obvious that whoever doesn’t time the market by avoiding it is a complete idiot
Didn't they say that prices never go down in bay?
Market has bottomed. Much more activity. I bought in core Chicago this December and my Redfin estimate is printing 💰💰 Love waking up and looking at those juicy paper gains
Lies
If that’s true then it won’t last long. Never fight the Fed. They are going to keep raising rates until they kill the housing market https://fortune.com/2023/02/08/housing-market-signs-of-life-could-make-our-jobs-harder-says-fed-prresident-kashkari/amp/
So sad to hear
I'm seeing quite a few listings trying to sell at a loss compared to the price the seller paid a few years ago. Many down by six figures. I guess things are really collapsing now. Random example: https://redf.in/m5Avfs
So few are selling I’m not sure if you can make a lot out of this
Doesn’t matter if you aren’t gonna sell anytime soon. Your monthly payments gonna be the same, it’s either gonna be paying more towards interest or towards equity.
If
So if you are given a choice of buying a house with 0% interest vs 7% interest but the monthly payment is still the same which one would you choose? These are not the same obviously
“But for people who used to look on Zillow constantly to see how much richer they have gotten by just living there, well, they might have to stop looking.”
I bought it in 95124 in December 2022 (50k under the list price , also the redfin estimate). The Redfin estimate went down 100k last month, and now it is 200k above. People in the 1980s used to get coke bottles for 25 cents. Inflation Fucks and once in it stays. People resist for a while, and it becomes the new normal. House prices may go down, but don't assume things will go down drastically, and u ll again be able to buy coke bottles for under a $. Same about housing.
https://youtu.be/zqHZWdFVyyQ