Where are all the people coming from?

[Newtosavage]

With all the free aid and migrant startup programs out there, wouldn't surprise me. They're not buying a home, you're buying it for them.

 

[Newtosavage]

Most that I know, including my daughters, are literally panicked over the fact that they may never be able to buy a home (CA). The constant talk about inventory shortages, corps buying up homes, mortgage rates climbing, add to that panic and desperation to own a home.

My kids are in the same boat. And who can blame them? They've literally done everything right, have more education than their parents and certainly their grandparents, and will work 2x as long to own half the home that we did.

I have to wonder how much of this is the buying power + the great fortune (timing) of the boomers having this effect on later generations. No generation since has been able to compete with them.

I have to believe that as the boomers die off, we are going to see the largest redistribution of wealth in history. Question is, will it disperse or be further concentrated?

 

[JFK]

It’s not one thing causing it. It’s investors. It’s the fact that boomers are living much longer than the generation before them and choosing to stay in their homes. It was the post WWII int’l monetary policy that created high wages and lots of wealth for boomers, that younger generations don’t benefit from. It’s the income inequality and weakened unions that have turned many formerly middle class jobs into lower paying jobs. It’s the fact that many areas don’t have the same appetite for massive single family housing tracts as they had in the 70’s to create some supply. I don’t blame them for that, but they just aren’t building homes like they were 50 or so years ago. Californians are hurting big time and many have to leave to keep a home or have any hope of financial health. I was fortunate enough to buy a home four years ago, but couldn’t afford almost any house in the whole county now as prices have gone up so much.

 

[Fireman03]

So are you suggesting that the same people that are living "on welfare" and "not paying taxes" are buying up $600k homes?

Yep sure am...... It's a cover for the cartel

 

[amassi]

Most that I know, including my daughters, are literally panicked over the fact that they may never be able to buy a home (CA). The constant talk about inventory shortages, corps buying up homes, mortgage rates climbing, add to that panic and desperation to own a home.

Have they considered moving to Akron Ohio and buying a 700sf 2 bed for a starter (jk. Heavy sarcasm)
It's a shame what we're lining up to leave to our kids.

They'll be lucky if they can rent a Chinese investment property. I hear rentals want 750 credit score, first last and safety. I rented my first apartment with a signature and a pay stub and they gave me a TV.

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[ManyBullets]

Welcome to the financialization of everything. Hedge funds are buying up trailer parks with their cheap money so the whores can come in. Apparently they're cranking up the space rents and squeezing every penny from their new investments. The stories I read also mentioned they were Kushner type landlords too just letting everything go to crap and charging fees on top of fees.

You think it's rough now for the skilled/professional trades? Wait until this next generation goes through the pathetic woke school systems and enters the workforce with their overpriced degrees and entitled attitudes. Who's hiring the gender 917x kid that thinks you should install a litter box b/c he identifies as a cat?

The sh*t going on in the schools is going to churn out the most useless group of dependents this country has ever seen. I see it and hear about it constantly from my kids and other parents.

Back to the house stuff. Inventory is rising all over the place which means price reductions will follow. 61% of homes in the Boise market have had price reductions. July's fed data won't be out for a few weeks. Will the market crash? Probably not, but it never corrects perfectly so there will be opportunities out there. The iBuyers have taken a beatdown and will continue to get hammered. Zillow quit buying, Offerpad just got hit for $62 mil for misleading consumers and all of the iBuyer stocks are on life support. They overpay for shit, do crappy renovations then try to resell into a rising market for a profit. Well when prices stop rising...

 

[amassi]

Yep sure am...... It's a cover for the cartel

While tje cartel certainly purchases and rents properties on this side of the border and those homes require tenants as fronts I doubt that's the driving force behind the housing shortage and affordability issue

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[CorbLand]

I hear rentals want 750 credit score, first last and safety. I rented my first apartment with a signature and a pay stub and they gave me a TV.

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This is no shit. I was closing on our house the same time as a girl in my office was getting a rental. It was easier to get the mortgage.

Before the rental company would tell them they had the house they wanted to rent, they had to show proof that they had terminated their lease at their current place. I am pretty sure that was to make it so they were desperate and the rental could up the price and they had no choice.

 

[Billinsd]

South border

Huuuge Torrential Flood.

 

[Billinsd]

Well, not with their own money.....but that's what our government is for.......apparently.

Have you seen how many of these homes have been bought up by foreigners in general? Lots of Chinese investors as well as from all over the world.

Chinese are investing BIGTIME in San Diego!!!

 

[Billinsd]

Welcome to the financialization of everything. Hedge funds are buying up trailer parks with their cheap money so the whores can come in. Apparently they're cranking up the space rents and squeezing every penny from their new investments. The stories I read also mentioned they were Kushner type landlords too just letting everything go to crap and charging fees on top of fees.

You think it's rough now for the skilled/professional trades? Wait until this next generation goes through the pathetic woke school systems and enters the workforce with their overpriced degrees and entitled attitudes. Who's hiring the gender 917x kid that thinks you should install a litter box b/c he identifies as a cat?

The sh*t going on in the schools is going to churn out the most useless group of dependents this country has ever seen. I see it and hear about it constantly from my kids and other parents.

My RAD CHICK DAUGHTER, I call her, my oldest got a full scholarship to the university near our home for civil engineering, plus several more grand from other scholarships just to spend. She completed an entire year of Calculus her senior year!!! She's completed at least a semester's worth of AP courses she will transfer to college. She's lined up for high paying internships her sophomore year and a 6 figure starting salary with no debt and no out of pocket costs for her dear old dad. Her high school boyfriend is going to same university for mechanical engineering, his dad is a mechanical too, rock solid parents. I'm not worried for my daughter if she stays on course. She wrote on my last Father's Day Card thanking me for teaching her to WORK HARD AND PLAY HARD, my family motto. Strong parenting is critical to combating the PINKO COMMIE SOCIETY (WOKE) they are immersed in, in everything they do!!! My kids know when teachers are feeding them crap, they tell me stories and we LAUGH OUT LOUDLY!! My soon to be 14 son's trajectory is as good or better than my daughter. 90% of my kids classmates are from broken homes, divorced parents that many of which are not educated. We see the same parents, 40 or so at swim meets, boy scouts, girl scouts getting their gold award, and eagle, scholarship awards, within a 20 mile radius. 40 or so parents out of hundreds and hundreds of parents. My wife and I are Helicopter, Tiger Moms, yes I'm a mom too, lol. We fight! We advocate like HELL for our kids!! Roar!!! lol, it works. Try grooming your kids for success, what's more important than your kids!?!? It starts when they are babies and tapers off A BIT when they go to college.

 

[def90]

So are you suggesting that the same people that are living "on welfare" and "not paying taxes" are buying up $600k homes?

No they aren’t but it’s still pressure on the market, they have to live somewhere. They may end up living in shithole apartments or trailer but someone else used to live in that shithole apartment or trailer. Some of those people move up to the next tier of apartments, then some of those move up to the next tier and may buy a condo, some of those move up to home ownership. In the end you have a housing market that is saturated which drives rent rates up along with home prices. As long as demand for those housing units stays high prices will continue to climb.

 

[Fireman03]

While tje cartel certainly purchases and rents properties on this side of the border and those homes require tenants as fronts I doubt that's the driving force behind the housing shortage and affordability issue

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And how can you be so sure?

 

[Newtosavage]

Yep sure am...... It's a cover for the cartel

mmmkay.

 

[Johnny Tyndall]

This is pretty much the whole story right here. Per-capita housing starts:

 

[ManyBullets]

Wouldn't it be interesting if we told countries that don't let us buy property in their country that their citizens and corporations cannot own property in ours?

 

[bojangles808]

Wouldn't it be interesting if we told countries that don't let us buy property in their country that their citizens and corporations cannot own property in ours?

the leeches that lobby for realtors would never let it happen.

 

[amassi]

the leeches that lobby for realtors would never let it happen.

Also the politicians allowed to Insider trade likely profit from this scheme

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[THRASH]

It’s just crazy times all around these days. Surely the housing and automobile purchasing trends will come crashing down sooner than later.

 

[Maki35]

The ongoing "How are people affording these crazy home prices" thread has driven me to post this question that I've been wondering for a while.... where are all these home buyers and then subsequent buyers coming from?

People are moving out of California/NY/etc, but wherever they were living before is being bought/moved into 10 minutes later..

People decided now that they work from home, they need a bigger/better home so they upgrade and buy a new home.. but their old home gets filled immediately as well..

It doesn't sound to me like anywhere is sitting empty..

While at the same time, we have a labor shortage because I'm told that there just aren't as many people in the labor force now because the baby boomer generation is now retiring, and they just didn't have as many kids so there just isn't the same population of gen x, millennials, or gen z...

I think the labor shortage has to do with blue collar workers. Imo, many of the folks that can work from home are white-collar workers.
Whether it's CA, NY or another city, even though many have move out of the city, there's always going to be someone/people that wants to live in the city. I've read stories of folks moving back to NYC because they didn't like living in the country. Different strokes for different folks.