NFR How's the housing market where you live?

[HauntedByWaters]

I hate to admit it, but the main reason I own a house is because my friend who works for Google convinced my now wife and I to buy A LOT of Etherum like 10 years ago. We paid around 20-30$ a share when we bought and invested nearly 10 grand. We invested in a lot of stocks but crypto has lifted us to a new level of living. It bought us a house and some. It disgusts me what the real estate market has become and it disgusts me how much money we supposedly made with crypto and stocks like that. It’s all related in my mind; fundamentals don’t make sense anymore…

 

[Evan B]

I hate to admit it, but the main reason I own a house is because my friend who works for Google convinced my now wife and I to buy A LOT of Etherum like 10 years ago. We paid around 20-30$ a share when we bought and invested nearly 10 grand. We invested in a lot of stocks but crypto has lifted us to a new level of living. It bought us a house and some. It disgusts me what the real estate market has become and it disgusts me how much money we supposedly made with crypto and stocks like that. It’s all related in my mind; fundamentals don’t make sense anymore…

My retirement fund is a similar portfolio

 

[Travis Bille]

Humboldt county, CA. I got in just before the door slammed shut, I think. I paid way too much for a house and in 4 or so months it’s worth about 30,000 more than when I bought it.

It’s the only part of the state that’s not constantly on fire, the Bay Area folks found it after they figured out they could work remotely, and our college just became the third polytechnic school in CA and the student body is going to at least double.

I wish I had my shit together a year ago and bought, but I just squeaked in. We’ll see how it goes



Still a shitshow from moving in and projects, but it’s a big step up

 

[Freestone]

My retirement fund is a similar portfolio

I wish I had bought in way back when you first talked about it!

 

[swimmy]

Being one of 15 and "hoping" my number is the best is shitty odds. I think I'm going to have to adjust my strategy.

This is a game. I have leverage. I just need to find a way to get it working for me.

 

[NukeLDO]

We're within 2 years of retirement and had hoped to move from the east side over to Whidbey. But even with a $1M housing budget, that is looking less and less likely.

 

[Stonedfish]

Redirect Notice

www.google.com

 

[Mossback]

A home just sold in my folks neighborhood for 1.2 million, and is going to be torn down...probably replaced with one of those stucco clad monuments to excess...but hey, it's just the way things go.
Lol

 

[_WW_]

We're within 2 years of retirement and had hoped to move from the east side over to Whidbey. But even with a $1M housing budget, that is looking less and less likely.

When I was in early grade school we were told that a million dollars was so much that we would never be able to earn it in our lifetime. Then they told us by the time we grew up everyone would have flying cars. I wonder what the fuck they're telling 'em now.

 

[creekx]

It's absolute garbage here in the Flathead Valley. A 2 BR, 1 BA shit box cabin on very little land will run you $600,000+. Rent for a studio apt is $1,200+. And that's just Kalispell. Whitefish buying/renting is even more absurd. Another huge problem is that there isn't any inventory. Everyone who owns a rental property here is leasing it as a VRBO for $1,000 per night (and getting it). Out-of-State newcomers here are hated with a passion, esp those from the West Coast. When I moved here from WA, the 1st thing I did was get MT plates on my rigs. All crime and traffic violations are blamed on "newcomers". It's a mess. I can't imagine that it's in any way sustainable. It's got to all come crashing down eventually.

Wait, so people coming in from out-of-State, spending $1,000 per night at a VRBO, and buying real estate at insane prices are the ones committing the crimes?

 

[HauntedByWaters]

When I was in early grade school we were told that a million dollars was so much that we would never be able to earn it in our lifetime. Then they told us by the time we grew up everyone would have flying cars. I wonder what the fuck they're telling 'em now.

My uncle was the shop teacher at Mount Baker High School for his career after he got out of the army. He had some real problem students as you might expect and has some crazy stories. He talks about an exit survey for seniors that he would give his classes. From the start of his career to the end, the expectations the seniors had for their lives went from quaint and humble to totally unrealistic conquests of the world. Pretty scary what the youth see as a successful life these days…..

 

[Old406Kid]

Wait, so people coming in from out-of-State, spending $1,000 per night at a VRBO, and buying real estate at insane prices are the ones committing the crimes?

Yup, and they also bring their trash from out of state to dump it in the forest.

 

[SurfnFish]

Wife and I started from scratch like most, never had pension jobs, were able to retire from the full time grind in our mid 50's thanks to prudent real estate investments over the decades...buy low, sell higher., now a much more expensive game to play.
Our current mtn home likely our last money maker, currently shopping for a home back on the coast or near it, will sell this one after relocating...over the summer smoke, crowds, a winter that produces more ice then snow...73 yesterday, hasn't snowed in a month...and need to get back to swinging for King's...that tug

 

[charles sullivan]

It is a supply and demand deal. Along with years and years of cheap money. Add to it all the pandemic stuff and no where to put your money but a house or the stock market. So that is what it is.

There are some interesting bills being proposed on the state level. One may essentially eliminate single family zoning within cities in WA state. This seems like an idea that can garner bipartisan support. Righties like less government. Lefties live in Cities with rising housing costs.

Personally, I am going to build an ADU on my lot. The reason is because I can and because money is cheap even if lumber and labor are not. People will need housing. People should live in cities, on bus lines, water and sewer lines, close to work etc. Also, I like building things. Now if I could just get plans back from my designer.

Presently, I live on 30,000+ square foot lot in a City. Our zoning allows only residential single family development with a minimum lot size of 20,000 square feet. It allows and ADU. I am one of 3 conforming lots within 3 blocks. I often ask myself why any City has 20,000 square foot minimum lot sizes.

Policy matters, Local, State and Federal.

 

[Mossback]

People should live in cities, on bus lines, water and sewer lines, close to work etc.

Lol

I prefer not to live in a city, having done so previously, I choose a more rural setting these days.
The whole 'rats in a cage' thing doesn't appeal to me anymore.

 

[charles sullivan]

Lol

I prefer not to live in a city, having done so previously, I choose a more rural setting these days.
The whole 'rats in a cage' thing doesn't appeal to me anymore.

I don't generally think of fellow humans as rats. The presence of other humans doesn't bother me most of the time. I rather like human interaction. I have at least on exceptionally close friend who is my opposite. I know that he would second my thoughts below, understanding how fortunate he has been to be able to choose to live in the rural spaces that he prefers.

Thankfully for those of us who love open spaces, 80+% of the US population lives in an urban area. If that weren't the case I don't know what those rural areas would look like. The 330 million people in the USA are going to live somewhere. My point was that there is added efficiency when living in an urban area for the betterment of us all. Water lines, Sewer lines, bus lines, roads, proximity to jobs, schools, bars etc. all factor in to this.

In the end, all of these discussions come down to population. I had 2 kids so I can't bitch much. I understand that I have played a role in the demand side of the problem. On the other hand, the thread is about the housing market. We have choices as to whether to spread more out or live together more. Economics drive these sorts of decisions on the population level. Policy helps drive the economics. To that end, there are quite a few bills in the legislature right now that try to deal with this like 1099, 1117, 1660, 1627 etc. These bills do matter in the end.

 

[jaredoconnor]

For folks hoping for a crash, I have some bad news; it's not as bad as you think.

In Sydney, the median house price is around $1.6m and the median household income is around $70k. In that state, the median household income is around $55k.

In Seattle, the median house price is around $750k and the median household income is around $100k. In WA, the median household income is around $75k.

Mortgage rates, on a 30 year loan, are about 4% in both cities.

When you consider that the areas seeing the most growth are filled with tech people, mostly earning $200k+, these house prices are very affordable.

I think higher interest rates will slow things down, but I don't think there will be a correction; I think this is the new normal.

In order for house prices to crash, I think there would need to be a dot com crash level event in that industry. Given how much of the US economy is represented by tech now, house prices would probably be the least of our concerns if that happens.

 

[Breck]

Wait, so people coming in from out-of-State, spending $1,000 per night at a VRBO, and buying real estate at insane prices are the ones committing the crimes?

Haha. I know, right? Native Montanans hold themselves in very high regard. Natives couldn’t possibly be guilty of any wrongdoing whatsoever. I’m on a few local info pages on social media. For a bunch of folks who loudly preach about “what great neighbors” they are, and how the region is all about “community” and “having each others’ backs”, I have never seen a community argue and put each other down the way they do here. It’s appalling sometimes.

 

[scottcbarker]

The upstate of South Carolina is a wonderful place. Lakes mountains close to NC and TN tail waters. 200 miles to the Atlantic coast where fishing is outstanding. Greenville SC is one of the top cities to live in. Six major colleges within 200 miles. Housing is going crazy here but still reasonable compared to MT and ID.

 

[RCF]

As several have indicated housing has changed. IMHO ---> forever.

It used to be the American dream and a way to build some wealth and improved retirement by having a nest egg. It was the middle class.

Now housing is for the "have's". A large majority of people are now falling into the "have not's". Investors, both foreign and domestic, are the main players in the housing market.

When my parents bought their first home it was about 5x the annual salary. When my wife and I bought our first home it was about the same. Using my kids as a reference point (recently graduated and in their first job) to get into a starter home it is about 14x their annual salary.

Think about it ---> How many of us can actually afford to buy the house we live in now? Not me - that is for sure!

When I started working wages were pretty good. But my annual salary increases were lucky to keep up with inflation. Not a true wage increase and getting ahead. I am scared my kids will never be able to purchase a home. It will take multiple people sharing a place just to pay rent. It will mean having to move further 'out' where prices are cheaper due to the long commute. It may/will mean people will be moving to another state where the cost of living is more reasonable.

Hopefully something will change to make America better again...