A $1.3 Trillion U.S. Housing Market Crash Is Imminent, and Inevitable

This is like 2007 - 2008

People are unemployed and falling into foreclosure.
My mortgage company already started this Loan Modification bullshit that they did back in 2008.

I see it again and it's a fucking shame that they are doing it all over again to Americans.

The banks received a bailout.. Why don't homeowners??

Not just mortgage holders. I have invested in Real Estate for my retirement. I have spent the last 30 years paying off properties that I rent so they would be paid off by retirement.

I have a mortgage only on my own home that I live in at this point and have been renting out 8 units.

We have lived off of that money for the past two years for the most part. Now we have the governments telling people they dont have to pay rent if they cant afford it.

For us, this money is considered passive income and there is no financial bail out other than an actual loan that we do have to pay back.

Thats pretty fucked up!

So now all of these unemployed people will be buying take out with their 600+ weekly unemployment checks and I will be scrimping and saving every penny to pay taxes and insurance to protect my investments and hopefully not digging to deep into my savings. I am already out 2000. per month and I cant tell you how many of them called me to ask about not paying.

I keep my rents slightly under market for good tenants and dont raise the rent often if they are good, so my answer was that it affects me too as I get no govt support and when its over it is all going to be due and payable. That anyone who doesnt stay current will see an increase.

I will see who keeps paying once unemployment and these 1200. cks start showing up.

No this is different than in 2008 in every way.

Much worse.

Most business is closed.

People are in denial how bad this is gonna get.

The problem is two fold. First, who wants to buy a house in these economic conditions? And second, think how many people will be losing their houses when they lose their job. So in 6 months you’ll have a huge glut of houses for sale with no one to buy them.

You just figured this out? My wife already wants a divorce.

^^^^^^^^^^
This. This has just begun. More monkey wrenches on the way.

Remember when going into debt to buy all the best things for your growing family was the expected behavior? Why not!? It was just 6 weeks ago.

Seriously though, you pretty much got it made. All my stuff is paid off. Old but paid for.

I think that in some high-priced areas there might be 50% reduction, or in towns/cities where a major industry closed and was not able to reopen, but I don't think it will average more than 25%, which is still significant. The thing is, population is still increasing, so there is a need for housing, which means more housing will need to be built. Existing home price is not going to fall too much below the cost of a new build. We may see a lot more multi-family units (as in apartments and town homes) being built in the next few years and fewer single family homes, though. At the same time, many are still working from home and bringing in a normal income, so those Millennials who were priced out of the market earlier and are still working will snatch up homes when the price gets 20% or so lower than now (if the CV19 crisis is over). I've got two kids and their spouses - not one of them making less than $100k, both living in rental town homes because they were waiting for the bubble to burst before jumping in. There is a surprisingly large number of Millennials in that same position.

When there’s blood on the streets, buy property!

Fuck you lying sack of shareblue shit!

And stocks. Buy 'em like you're Nathan Rotschild and its the year 1815.

Should have bought Gold. You are literally fucked now.

The cascading effect is going to do a very harsh number on society (not just the American one, but throughout the world) due to Covid-19.

This is probably going to be 2008-2009 ramped up several times. Or 2008-2009 on steroids.

I live in NE PA and we are a mix of full time and part time residents. Many of the houses in our private lake community are second homes for people from NY and NJ.

After 9/11 this are saw a huge increase of property values as people fled NYC for the safety of the Poconos. There was a lot of new construction and the area also saw an increase in the permanent population. Then the housing market crashed in 2008 and from 2008 through 2018 the county's population decreased. At times during that 10 year span, foreclosures would be about 10% of the market. We never saw the housing recovery here like it was in other parts of the country.

My next door neighbor had purchased a home for just under a half million in 2007 and then put $300,000 into improvements. He sold the house in 2017 for under $500,000. Other custom homes built for a half million in the early 2000's sold in the $300,000 range.

Anyway, in late 2018, 2019, we saw the housing market start to return and home prices were rebounding, not to pre-2008 levels, but they were moving in the right direction. Still there was no new construction as homes in good condition sold for $90-100 per sq foot and new construction is around $160.

Also last year, a new shopping area was started to be built. It was a strip mall with a grocery store so folks would not have to drive 30 minutes any longer just for groceries. Also a new town center with senior living and many shops was having ground broken supposedly very soon. Now, who knows what will happen to those projects. They were going to draw people to the area and hopefully home prices would ride the wave. Now, there is talk of the projects being delayed indefinitely.

Like everywhere, there is nothing selling. A neighbor's wife works for a title company here and was laid off the first week in March. You can't search titles if no one is buying.

This time there will be no influx of New Yorker's. And, I am anticipating foreclosures to start to climb quickly next year. Sad.

Gold has actually lost 1,96% of its value in 30 days [link to goldprice.org (secure)]

Better invest in Bitcoin

Liberal shithole city property will crash dive. Rural property through the roof.

I second that emotion. Another leftist cuck.

Nah, Bitcoin is double fiat currency and the swings prove it. Better XRD as it is now .18. THat is probably you best bet going forward.

good, they were overpriced already and needed correction, and many honest Realtors knew this.

when you see run down crack house go for over a quarter of a million dollars, something wrong Joe

2008 was the pre show, this will be bad. last time 29-34 90% off on homes. they had little debt today 2000-3000-4000 payments good luck

We just sold our house 2 weeks ago. It was on the market for 10 days. I really didn’t think it was going to sell with everything going on. It’s not like we wanted to do all this during the crisis but it was already set into motion. We also just purchased a house. Feels like we got everything done just by the skin of our teeth. My husband has an essential job so that has helped. If we had waited even a week longer to set it all in motion then it would be a different story I think.

The market will gravitate to where the level of wages are which isn’t very high so a housing market price crash is expected.

You can't have million dollar houses and only offer minimum wage jobs so 1 CEO can own the rest and be a landlord.
You can't expect people to die in wars to protect this system.
The people at the top have too much.
Instead of a 400 million dollar bonus, how about 25 million and put the rest back into the company, pay your workers a living wage and fix the economy.
I hate greedy people

Good post

I think people would think twice before investing in liberal shitholes like SFO and Dallas this time. Those cities are currently going through corona crisis and nobody would want to invest in a property that is infected with coronavirus. The virus remains in the house forever.

hate to break it to you but this isn't going away for 18-24 months
government money will dry up by mid summer
after that it's going to dip into a realm far worse than the great depression that will last for at least 10 years

why would house prices go down? 1 people need a place to live still right? 2 more money printed means less value of every dollar, wouldnt that make houses and rent go higher ? asking for a friend-

Have a house being built. Considering cancelling unless they renegotiate price. Close scheduled for June July.

Obviously you have not partaken in reality much. Are you writing from the 1920s. I don't know happily married people. Most are codependent and dysfunctional. I know there are some rare cases of a good thing - but you write like brain washed robot: get woman, reproduce, life is good, don't be old and alone, beep beep beep

Buy a van.