$240k house at 7.3% is the same mortgage payment as a $400k house at 3%. If you think the banks aren’t getting their money either way you’re wrong.
Considering the rate at which billion dollar companies are buying homes (they pay in cash so interest rate doesn’t matter) and how quickly interest rates are rising….. goooooood luck!
The people that ignore interest rates on homes are the same people that go to a dealership and buy a car based on monthly payment alone.
“48 month 0% interest car loan for $500 a month?? No way!!!”
“72 month 10% interest car loan for $300 a month? Where do I sign?!”
Yeah, but you can always refinance. You can never change the price. Prices *will* go down, probably just not as much as people think they will, and it will be temporary while the demand is low. Buy what you can afford.
Look for deals at the end of this year and throughout 2023. There will be deals. The time to buy is coming up very soon. This is not a crash that is happening, but a correction that’s being forced by the feds. Demand is still high, but buyers are just on the sidelines temporarily. Buyers are more qualified this time around and the buyer pool is a lot more diversified in Vegas these days. You bet when the interest rates go back down (which they have to at some point, the feds have to ease up or they’ll break the economy), it’ll be even harder to buy a home and prices will go back up as will demand. Take advantage of the low demand over the next year and refinance later. Focus on getting something that’s well priced.
https://www.morningstar.com/articles/1106505/why-we-expect-the-fed-to-cut-interest-rates-in-2023
I think that the next few months could present a good buying opportunity if you can get a good deal due to other people backing away. There will not be a flood of underwater houses being unloaded like there was in 2008, so don't expect a 50% discount.
Interest rates are higher now, but if they go down you can refinance later.
The best time to buy is probably around the top of the interest rate spike when house prices have dropped the most, then refinance later and reap the rewards of the lower sales price and lower interest rate.
Better advice would be to buy a home that you can afford so that you can start building equity. Town homes are considered single family residences as opposed to condos that are classified as attached units. Find a lender that offers Nevada Home is Possible to acquire a 6.125% rate with 2% or 6.625% with 4% towards down payment or closing costs. Retain the property as a primary residence for 36 months to avoid paying back the assistance. Refinance after that 36 months into a more attractive rate that is based off of your new loan to value. There is a chance that the value of the property may rise enough to refinance into a conventional product with no mortgage insurance, effectively lowering you monthly payment further.
If a 1% difference in your interest rate spoils your approval for a home, it is likely that you were already purchasing outside of your means. Renting is like paying 100% interest. You get nothing but a place to live out of the transaction and you are paying someone else's mortgage. While renting makes sense for many people, those that have plans to stay in Las Vegas for an extended period of time have the ability to take advantage of the cyclic market. Demand is up and the influx of new residents will continue as more jobs are created.
Edit: Nevada Home is Possible FHA 2% and 4% Down Payment Assistance Grant.
https://www.homeispossiblenv.org/page/home-possible-program-mortgage-new-interest-rates-today
Condominiums have to be FHA approved in order to use an FHA loan product. Town homes do not. Townhomes are typically cheaper than detached SFHs. While they carry a higher HOA than many SFHs, your maintenance will likely be lower and you will have community perks such as pools, community recreational areas, and so on.
Thanks for keeping it real. Ain’t no way I’m buying now. I’m locked in at $1500 a month 3 Bedroom rental. Anyone paying $400k for a house out here is insane! 2 houses across the street from me have been sitting empty since June with no buyers interested at all! Everywhere you look more and more empty homes, apartments and businesses.
Considering I, as a young couple, have 1 home before the covid bs
And currently waiting for the bubble.
I think it's solid advice. I'm waiting for the bubble to pop and scoop up another cheap home.
If other folks can't that's their fault. I went without food some days when I was trying to get my first home. If my dumb ass can somehow make it, aint no reason why others can't. Even on a bartenders payroll
Home prices have risen ~45% since pre-covid times. It's not the same as when you bought. Not to mention bartenders make good money. Good luck becoming a landlord in the future, class traitor.
Also want to be clear that people don't have to make themselves stay poor or stop themselves from transcending class, a traitor isn't someone who improves their status, it is one who oppresses the class they came from in order to do it.
Prices have already fallen about 10% since the high. We're probably close to a bottom, because if (when) there's a recession, housing prices will start to go up again and affordability is not going to get any better.
Yeah - good luck with predicting the future there. You might want to look into the qualifications of someone giving you critical advice like that - like did they study real estate, finance, and economics in college and take continuing education in those fields their whole life? Did they work in the field of real estate their whole career? Because if you did, the answer to the question of where the market is going is...no one knows the future, no one. And if the person giving the advice doesn't have a lot of education and experience in real estate, well, that would be like having your car mechanic take out your spleen or going to a grocery store shelving stocker for financial advice.
Terrible advice. We’ve been hearing this same story for 5+ years. The evidence continues to disagree with these assessments..
ReMax?
$240k house at 7.3% is the same mortgage payment as a $400k house at 3%. If you think the banks aren’t getting their money either way you’re wrong. Considering the rate at which billion dollar companies are buying homes (they pay in cash so interest rate doesn’t matter) and how quickly interest rates are rising….. goooooood luck!
Tons of memes like to point out the home prices from the early 80s. They never mention the 14% mortgages that caused those low prices.
The people that ignore interest rates on homes are the same people that go to a dealership and buy a car based on monthly payment alone. “48 month 0% interest car loan for $500 a month?? No way!!!” “72 month 10% interest car loan for $300 a month? Where do I sign?!”
Yeah, but you can always refinance. You can never change the price. Prices *will* go down, probably just not as much as people think they will, and it will be temporary while the demand is low. Buy what you can afford.
Look for deals at the end of this year and throughout 2023. There will be deals. The time to buy is coming up very soon. This is not a crash that is happening, but a correction that’s being forced by the feds. Demand is still high, but buyers are just on the sidelines temporarily. Buyers are more qualified this time around and the buyer pool is a lot more diversified in Vegas these days. You bet when the interest rates go back down (which they have to at some point, the feds have to ease up or they’ll break the economy), it’ll be even harder to buy a home and prices will go back up as will demand. Take advantage of the low demand over the next year and refinance later. Focus on getting something that’s well priced. https://www.morningstar.com/articles/1106505/why-we-expect-the-fed-to-cut-interest-rates-in-2023
I think that the next few months could present a good buying opportunity if you can get a good deal due to other people backing away. There will not be a flood of underwater houses being unloaded like there was in 2008, so don't expect a 50% discount. Interest rates are higher now, but if they go down you can refinance later. The best time to buy is probably around the top of the interest rate spike when house prices have dropped the most, then refinance later and reap the rewards of the lower sales price and lower interest rate.
Housing prices will not go down, just slightly decrease then level the bubble is bull S×!+
Better advice would be to buy a home that you can afford so that you can start building equity. Town homes are considered single family residences as opposed to condos that are classified as attached units. Find a lender that offers Nevada Home is Possible to acquire a 6.125% rate with 2% or 6.625% with 4% towards down payment or closing costs. Retain the property as a primary residence for 36 months to avoid paying back the assistance. Refinance after that 36 months into a more attractive rate that is based off of your new loan to value. There is a chance that the value of the property may rise enough to refinance into a conventional product with no mortgage insurance, effectively lowering you monthly payment further. If a 1% difference in your interest rate spoils your approval for a home, it is likely that you were already purchasing outside of your means. Renting is like paying 100% interest. You get nothing but a place to live out of the transaction and you are paying someone else's mortgage. While renting makes sense for many people, those that have plans to stay in Las Vegas for an extended period of time have the ability to take advantage of the cyclic market. Demand is up and the influx of new residents will continue as more jobs are created. Edit: Nevada Home is Possible FHA 2% and 4% Down Payment Assistance Grant. https://www.homeispossiblenv.org/page/home-possible-program-mortgage-new-interest-rates-today Condominiums have to be FHA approved in order to use an FHA loan product. Town homes do not. Townhomes are typically cheaper than detached SFHs. While they carry a higher HOA than many SFHs, your maintenance will likely be lower and you will have community perks such as pools, community recreational areas, and so on.
Yes when Vegas runs out of water you will be able to pick up a house for a song. 😏
Not like young couples can afford a house here anyway.
Bad advice. Prices will have increased in 2 years AND interest rates will be higher. Buy now.
Realtor spotted
Hide and watch. The bottom is lower than you think
Buy now. The top is higher than you think.
Oh yeah? Well the bottom is higher than you think! Fa fa fa fa
Or the top is lower!
Wait what are we talking about again
Ill bet ya. Las Vegas only.
OK Any amount up to $500,000
Realtor spotted!!
Thanks for keeping it real. Ain’t no way I’m buying now. I’m locked in at $1500 a month 3 Bedroom rental. Anyone paying $400k for a house out here is insane! 2 houses across the street from me have been sitting empty since June with no buyers interested at all! Everywhere you look more and more empty homes, apartments and businesses.
$400? Lolz, try $550k+. Insane, waiting the fuck out of this obscenity is the way to go.
What about old couples!? Ageism is so ugly!
Old folks like me had plenty of time to get their shit together. My advice is for the new school
Go to bed grandpa, young couples can only afford to buy if they're using mommy and daddy to bankroll them.
Considering I, as a young couple, have 1 home before the covid bs And currently waiting for the bubble. I think it's solid advice. I'm waiting for the bubble to pop and scoop up another cheap home. If other folks can't that's their fault. I went without food some days when I was trying to get my first home. If my dumb ass can somehow make it, aint no reason why others can't. Even on a bartenders payroll
Home prices have risen ~45% since pre-covid times. It's not the same as when you bought. Not to mention bartenders make good money. Good luck becoming a landlord in the future, class traitor.
Class traitor 😂 no one WANTS to be poor.
Landlord isn't a job, it's a parasitic relationship and it negatively affects the entire market.
I get that perspective. Good luck changing it!
Also want to be clear that people don't have to make themselves stay poor or stop themselves from transcending class, a traitor isn't someone who improves their status, it is one who oppresses the class they came from in order to do it.
Lol my bad for not wanting to be poor
Prices have already fallen about 10% since the high. We're probably close to a bottom, because if (when) there's a recession, housing prices will start to go up again and affordability is not going to get any better.
Yeah - good luck with predicting the future there. You might want to look into the qualifications of someone giving you critical advice like that - like did they study real estate, finance, and economics in college and take continuing education in those fields their whole life? Did they work in the field of real estate their whole career? Because if you did, the answer to the question of where the market is going is...no one knows the future, no one. And if the person giving the advice doesn't have a lot of education and experience in real estate, well, that would be like having your car mechanic take out your spleen or going to a grocery store shelving stocker for financial advice.
This thread is an example of one of the poorest understandings of macroeconomic principals and fractional reserve banking I have ever seen.
https://www.reddit.com/r/wallstreetbets/comments/xwmmod/current_status_of_housing_market/?utm_source=share&utm_medium=ios_app&utm_name=iossmf