patrick.net

People wonder why new home sales slumped when interest rates rose.
The sad part about today's number is that New Home Sales is only 1/12th of the entire market, tilted toward the most wealthy buyers in America.

Even with that back drop, there were issues on the capacity to own with interest rates never breaking 4.75%

AF, actually RE should be the only commodity available to buy/sell. How do you like that idea?

Housing should be the cost of shelter to your own capacity to own the debt. I don't believe it should ever be looked as an investment for a primary resident buyer.

I understand the investment thesis for those looking for yield and to flip. However, in general it should be looked at as shelter and there isn't anything wrong with renting.

A lot the problems we have now is that we assumed everyone should own a home and we lack rental homes. The builders are trying to build up for the rental demand but we are so out of whack in terms of inventory that there is a limit to their expansion

Logan Mohtashami says

don't believe it should ever be looked as an investment for a primary resident buyer.

Unfortunately, the case is exactly opposite. Every single primary resident buyer thinks he/she can buy and make a hefty profit few years down the road - only because there are loads of people ready to pay for that profit loaded shack when time comes to sell.

Every year it goes higher that capacity for gain becomes less and less when more inventory comes to market.. leaves a big gap lower for the next job loss recession

Zandi works at Moodys, a criminal organization responsible for the economic meltdown. Sure, let's believe him.