patrick.net

Misc says

You are the one that brought up the Fed raising short term rates 1% would fuck up home values when all being equal it would decrease mortgage rates.

I wouldn’t say it would screw up home value, but it would likely slow down the rate of price increase. The refinance market will likely see a huge drop.

What do you mean when all being equal, it would decrease mortgage rates?

Blue says

Raising the rate will slowdown the economy but doing it as part of the knee jerk reaction to slow inflation a little bit. Biden must stop the dangerous and fake vaccine show and make everyone get back to work and make the country productive immediately to control the inflation. The longer the it takes the damage will continue and eat up savings.

Raising interest rate won't "slow the economy", because this inflation has nothing to do with uncontrolled rising of economic output. Federal Reserve the only tool is useless in this case.

Current inflation is the effect of surplus of money (borrowed) given for NOTHING (not paid for economic afford) to people and businesses, plus shortage of goods and services as an effect of pandemic slow down (lockdown). Getting all back to business will indeed slow inflation.

Who the fuck is renting all these rental houses that these investors keep buying? I mean a rudimentary internet search tells me to stay the fuck away from invitation homes even if I were inclined to rent. They most likely wouldn't be in the rental business if they had no tenants.

Eman says

Misc says

You are the one that brought up the Fed raising short term rates 1% would fuck up home values when all being equal it would decrease mortgage rates.

I wouldn’t say it would screw up home value, but it would likely slow down the rate of price increase. The refinance market will likely see a huge drop.

What do you mean when all being equal, it would decrease mortgage rates?

All being equal, means keeping asset purchases on the long end of the rate curve the same and not selling long term obligations they have purchased along with keeping other economic measures the same.

Raising short term rates slows the economy reducing inflationary pressures, thus reducing long term mortgage rates.

Misc says

Eman says

Misc says

You are the one that brought up the Fed raising short term rates 1% would fuck up home values when all being equal it would decrease mortgage rates.

I wouldn’t say it would screw up home value, but it would likely slow down the rate of price increase. The refinance market will likely see a huge drop.

What do you mean when all being equal, it would decrease mortgage rates?

All being equal, means keeping asset purchases on the long end of the rate curve the same and not selling long term obligations they have purchased along with keeping other economic measures the same.

Raising short term rates slows the economy reducing inflationary pressures, thus reducing long term mortgage rates.

How does lowering mortgage rates help inflationary pressure? Housing is already a serious problem.

WineHorror1 says

Misc says

Eman says

Misc says

You are the one that brought up the Fed raising short term rates 1% would fuck up home values when all being equal it would decrease mortgage rates.

I wouldn’t say it would screw up home value, but it would likely slow down the rate of price increase. The refinance market will likely see a huge drop.

What do you mean when all being equal, it would decrease mortgage rates?

All being equal, means keeping asset purchases on the long end of the rate curve the same and not selling long term obligations they have purchased along with keeping other economic measures the same.

Raising short term rates slows the economy reducing inflationary pressures, thus reducing long term mortgage rates.

Mortgage rates went up to 4% for the 30 year fixed. That will help put an end to the bidding wars.

Booger says

Who the fuck is renting all these rental houses that these investors keep buying? I mean a rudimentary internet search tells me to stay the fuck away from invitation homes even if I were inclined to rent. They most likely wouldn't be in the rental business if they had no tenants.

Here in SF Bay Area there is a housing shortage, so landlords charge what the market can bear. People's willingness do double/triple/quadruple up with relatives or roommates is the elasticity in the demand to pay the high rents.

Cash says

Here is a test case: https://www.zillow.com/homedetails/6243-S-Teak-Ave-Boise-ID-83716/79703656_zpid/?source=patrick.net
This home goes on the market tomorrow morning $589k and the sellers say they will pick the winning offer Sunday...
Does anything in this short post seem odd?

Sold: 46k Over asking

Misc says

Mortgage rates went up to 4% for the 30 year fixed. That will help put an end to the bidding wars.

House in our neighborhood went on the market. This one is in the low 1M range. First day, 6 showings, second day already 5 offers. 3 of them are all cash. For the square footage, this one will break a record for the neighborhood. People trying to rush in before interest rates go up further or will this year just be a continuation of last years craziness?

Bitcoin says

People trying to rush in before interest rates go up further

This.

House a couple of doors down from the GF's house. 1/4 acre lot 4BR built in 2019, sold for 450K, now for sale asking 575K, and LOTS of people looking at it on Friday and Saturday. OK area but nothing special, in Anne Arundel County, MD (think Glen Burnie type of area). The people are leaving the area. He works on the Delmarva Peninsula (which makes him a super commuter) and her job in the DC are just went remote, so they are moving to the other side of the bridge. Presumably they will be paying too much there too, but at least they won't be in the DC area any more.

Cash says

Cash says

Here is a test case: https://www.zillow.com/homedetails/6243-S-Teak-Ave-Boise-ID-83716/79703656_zpid/?source=patrick.net
This home goes on the market tomorrow morning $589k and the sellers say they will pick the winning offer Sunday...
Does anything in this short post seem odd?

Sold: 46k Over asking

Boise is probably more of a bubble than anywhere else in the country.

RedStar says

Cash says

Cash says

Here is a test case: https://www.zillow.com/homedetails/6243-S-Teak-Ave-Boise-ID-83716/79703656_zpid/?source=patrick.net
This home goes on the market tomorrow morning $589k and the sellers say they will pick the winning offer Sunday...
Does anything in this short post seem odd?

Sold: 46k Over asking

Boise is probably more of a bubble than anywhere else in the country.

My house in LA has increased the same amount as Boise. Only difference id say between LA and Boise is that the people in boise are putting large downs or cash so bubble doesnt matter. It's litteraly escape from CA here.

RedStar says

Boise is probably more of a bubble than anywhere else in the country.

Will see ;) All I see here is stagnation for a time here and there then continue heading higher in 2022. Rich and their cash Loves them some RE...

RedStar says

Boise is probably more of a bubble than anywhere else in the country.

Because of The Californians. Californians can run, but we can't hide.

RC2006 says

It's litteraly escape from CA here.

It absolutely is... Dont they know how much Idaho sucks? Freeze your brass balls off and such, ugly women and getting uglier..

Cash says

RC2006 says

It's litteraly escape from CA here.

It absolutely is... Dont they know how much Idaho sucks? Freeze your brass balls off and such, ugly women and getting uglier..

Idaho in the summer is paradise

RedStar says

Cash says

RC2006 says

It's litteraly escape from CA here.

It absolutely is... Dont they know how much Idaho sucks? Freeze your brass balls off and such, ugly women and getting uglier..

Idaho in the summer is paradise

Nothing a few more million illegals can't cure.

RC2006 says

Only difference id say between LA and Boise is that the people in boise are putting large downs or cash so bubble doesnt matter. It's litteraly escape from CA here.

Why Boise?

WineHorror1 says

RC2006 says

Only difference id say between LA and Boise is that the people in boise are putting large downs or cash so bubble doesnt matter. It's litteraly escape from CA here.

Why Boise?

Racial demographics. 91% white. 3% African AMerican.

Low crime rate because of it.

https://www.google.com/search?q=racial+demographics+boise+idaho&sxsrf=APq-WBv_ZM1rwLBYHOZXaFdEUJ1qPqlczQ%3A1644729739532&source=patrick.net&ei=i5UIYv3yGuPGkPIPwf-v-AI&iflsig=AHkkrS4AAAAAYgijm6XmRiSD-zLldoj0Dl_Ee-lfB0fD&oq=racial+breakdown+for+boise&gs_lcp=Cgdnd3Mtd2l6EAEYADIGCAAQFhAeOggILhCABBCxAzoICAAQgAQQsQM6CAguELEDEIMBOggIABCxAxCDAToFCC4QgAQ6BQgAEIAEOgsIABCABBCxAxCDAToHCC4Q1AIQQzoKCC4QsQMQgwEQQzoHCC4QsQMQQzoLCC4QgAQQsQMQ1AI6CggAELEDEIMBEEM6BAgAEEM6CgguEMcBEK8BEEM6DgguEIAEELEDEIMBENQCOgcIABCxAxBDOgUIABCxAzoKCAAQgAQQhwIQFDoFCAAQhgM6CQgAEMkDEBYQHlAAWJQ_YK9eaABwAHgBgAHqA4gByyGSAQowLjIzLjEuMS4xmAEAoAEB&sclient=gws-wiz

I dont even know if they sell bike locks here, still haven't seen one lock at k-12 school. Could walk 100 miles in any direction and never have to worry about a criminal or gang bangers.

Tri valley, buckle up and see you at +10-15% in Dec ‘22