Valley Real Estate

[Dback Jon]

House down the street - they are asking $725K!!

Was completely remodeled 4 years ago - and is larger than the other houses in the neighborhood (addition in back), but this is insane.

https://www.zillow.com/homedetails/7302-E-Coronado-Rd-Scottsdale-AZ-85257/7579154_zpid/

 

[BigRedRage]

yeah....I'm planning to put my second property up for sale and cash in while things are out of control. I wanted to rent it out but why bother at this point

 

[Zeno]

Wow! 1 car garage and less than a 6500 SF lot? It's nice but it isn't $725K nice. Sold for $270K 4 years ago, must have done a lots of updates since then but that is crazy.

Where I live house prices have increased and homes are selling for over asking price but nothing like that. I am hoping I get the position I put in for in Florida so I can sell while the market is hot.

 

[Folster]

Unless you are simultaneously selling and buying at the same time, I think it's best to sit on the sidelines for a while. Way too much FOMO right now.

What does Buffet say, "be fearful when others are greedy, and be greedy when others are fearful."

 

[puckhead]

Feels so much like the lead up to 2008. Anyone else have that in the back of their mind?

 

[Folster]

Feels so much like the lead up to 2008. Anyone else have that in the back of their mind?

I see the similarities, but we don't have the systemic issues within the mortgage industry and Wall Street.

This is more of a fed, treasury, and legislative branch caused problem that's been simmering for decades. Now it's at a full boil. I don't know what brings the market back to reality aside from widespread inflation and rising rates. Way too much easy/free money flying around.

 

[dscher]

I see the similarities, but we don't have the systemic issues within the mortgage industry and Wall Street.

This is more of a fed, treasury, and legislative branch caused problem that's been simmering for decades. Now it's at a full boil. I don't know what brings the market back to reality aside from widespread inflation and rising rates. Way too much easy/free money flying around.

Dead money from too much liquidation imo. We have money with no velocity yet. Banks are flush with cash. When that money does start moving..watch out. It's all in the feds balance sheet. When they finally reduce it you will see the ramifications. Crazy that they can't even talk about tapering, let alone taper, in fear of market sell offs.

 

[BigRedRage]

Feels so much like the lead up to 2008. Anyone else have that in the back of their mind?

For years. I've been expecting a correction for years. The median home price is about 40% above the median income in phoenix. This is unsustainable and has been for years.

 

[Folster]

Dead money from too much liquidation imo. We have money with no velocity yet. Banks are flush with cash. When that money does start moving..watch out. It's all in the feds balance sheet. When they finally reduce it you will see the ramifications. Crazy that they can't even talk about tapering, let alone taper, in fear of market sell offs.

Yep, can't even hint about reducing the monthly injection of 120B into the economy. God forbid, growth and speculative stocks take a haircut.

 

[82CardsGrad]

Unless you are simultaneously selling and buying at the same time, I think it's best to sit on the sidelines for a while. Way too much FOMO right now.

What does Buffet say, "be fearful when others are greedy, and be greedy when others are fearful."

At least once or twice a month my wife & receive a call from a realtor saying they have an "all cash buyer" willing to pay "x" for our home. That "x" is mind-blowingly above the price we paid just 6 years ago... But, as I always say to these realtors, "That's great but where are we gonna go?"
We'll be sitting tight for a LONG time...

 

[puckhead]

At least once or twice a month my wife & receive a call from a realtor saying they have an "all cash buyer" willing to pay "x" for our home. That "x" is mind-blowingly above the price we paid just 6 years ago... But, as I always say to these realtors, "That's great but where are we gonna go?"
We'll be sitting tight for a LONG time...

I get a text or call at least once or twice a day looking to buy my home.

 

[Folster]

Dead money from too much liquidation imo. We have money with no velocity yet. Banks are flush with cash. When that money does start moving..watch out. It's all in the feds balance sheet. When they finally reduce it you will see the ramifications. Crazy that they can't even talk about tapering, let alone taper, in fear of market sell offs.

You're not lying.

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[Zeno]

I get a text or call at least once or twice a day looking to buy my home.

Wow. That is crazy! I am glad I am not looking at relocating to the Valley, I'd be living in a shack.

 

[Folster]

I get a text or call at least once or twice a day looking to buy my home.

I mess with them. They are usually asking about a property I don't own.

 

[dscher]

You're not lying.

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Some of the biggest distortions in history are everywhere in this economy. Nutty times to be certain.

 

[DWKB]

Home prices here in Annapolis are going for anywhere between $235 sq ft to close to $300 sq ft.

Seems like the market has cooled from just a few weeks ago as homes are sitting for a few days/weeks.

Read a lot has to do with the aging Millenials finally ready to enter the market and the lack of new housing available for them to buy up (on top of growing costs to build from materials)

 

[Zeno]

A friend of ours in Michigan was preparing to list her house next month, she bought one of those PODs to put things in while she and her husband were doing some minor renovations and painting before actually putting it on the market. They hadn't even started loading it when they got a knock on their door asking if they were interested in selling and negotiated a deal right then and there with the daughter of one of their neighbors. She was retiring effective today and was planning to stay until the end of September--now she is leaving this weekend to the home they already bought in Georgia.

Needless to say the market is crazy everywhere it seems.

I hope when it comes time to sell my house it is as easy.

 

[Mainstreet]

I found this chart which says a lot about the price of houses sold in relation to family income.

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[BigRedRage]

I found this chart which says a lot about the price of houses sold in relation to family income.

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Yep. It's been a problem for a while. With the government now allowing eviction and foreclosure, the next 6 months could start to buck the trend. We'll see.

 

[Mainstreet]

Yep. It's been a problem for a while. With the government now allowing eviction and foreclosure, the next 6 months could start to buck the trend. We'll see.

If I were a buyer I would hold off buying a house as I think a lot of folks will unfortunately lose their homes due to foreclosure, more houses will hit the market and prices will drop.

Now is a great time to sell a house though.

 

[BigRedRage]

If I were a buyer I would hold off buying a house as I think a lot of folks will unfortunately lose their homes due to foreclosure, more houses will hit the market and prices will drop.

Now is a great time to sell a house though.

I've been watching and waiting for something for years and years. Conveniently, I'd like to sell a house at this high market but I might not be ready for another 8 months and by then it'll probably be a bit late and I might end up renting it out instead until the market goes bonkers again. We'll see. Even if it drops too fast and I rent it, it's still not a losing situation for my end goals.

 

[Mainstreet]

I've been watching and waiting for something for years and years. Conveniently, I'd like to sell a house at this high market but I might not be ready for another 8 months and by then it'll probably be a bit late and I might end up renting it out instead until the market goes bonkers again. We'll see. Even if it drops too fast and I rent it, it's still not a losing situation for my end goals.

I have a family member who is in a similar situation but further along. He just fixed up a house but instead of selling, he rented. It's like dang. I thought he should have sold.

 

[AZ Native]

Income is just part of the equation. Many people are selling their homes in states (like CA) and paying cash or putting down huge down payments. They are stable and will not lose their homes to foreclosure unlike in the last housing crash.

 

[DWKB]

Phoenix No. 1 housing market negatively impacted by investors - AZ Big Media

In Phoenix, investors had a significant impact on the housing market in April, taking 429 units of inventory. Here's a look at the impact.

azbigmedia.com

 

[AZ Native]

Feels so much like the lead up to 2008. Anyone else have that in the back of their mind?

Nope. No stated income, no inflated appraisals and people are paying cash or putting a lot more down thus they are vested in their homes.