With mortgage rates above 8%, who are the buyers buying houses right now in the Bay Area market? What is hodling the Bay Area housing market from a correction? What do you think about Bay Area housing prices for the next 1-year?
Seattle area price drops a lot. Idiots would buy house now, check how much interest you pay each year
It’s already dropped tho, there’s only so much more it can drop before it steadily climbs
You’ll pay that interest for a few years, then refinance. If a home is selling for 100k less and you’ll pay 50k more in interest over 3 years it’s still a good deal. You gotta think long term.
Every other day someone posts the same question on blind - who are the buyers…. And yet again.
The buyers aren't wasting their time on blind like us I guess
It’s wishful thinking to imagine that homes are going to keep going up at high (8%) or higher (15%+) like it did since pandemic. Inversely it’s wishful thinking to imagine homes would crash 20% or more. One thing which seems logical to me is that, it was an unprecedented growth in last few years. Those who got it under 4% or lower 2020 or before are definitely going to enjoy net +vs value for many years. Those who did not buy (like me) have a hard time speculating whether to buy at the top of price at 7.75% or hope and wait for some correction and keep placing downpayment in a safe account earning 4-5%…in 10 years from now, it would definitely look a great decision. In 2-3 years from now it could be a possible under water situation while stressing more about job while being house poor.
Flat for next 1 year. Period. I have the crystal ball
Arm ftw
People with sub 3% would never want to sell. Eventually rent would be higher than their mortgage for those who got in under 3%
+1 as someone who has 2.5% rate. this house will only be sold over my dead body
Rajesh. It’s just 60 days away. So don’t ever get so attached :)
1. People are upgrading from smaller condos or townhouses to bigger homes 2. Cash buyers from China 3. People sitting on stocks are selling now and diverting it to home purchases 4. Inventory is still low so it feels like a boom but in reality number of buyers have reduced
People saying houses only go up are either real estate agents or people owning homes trying to cope up. Look at median San Francisco data - housing in SF is now at 2017 levels and trending to 2011 levels.
Same with Manhattan condos. I am thinking of buying one there, and it seems that prices are now at the same level as they were in 2016.
SF is unique. It’s losing its appeal as a premium market given everything that is going on in the city. How about choose another location such as South Bay or peninsula?
5 of my friends bought in last 4 months.. don’t see housing in Bay Area going down anytime soon
In bay area? How much down payment did they put? What was the purchase price?
Many are selling their current homes and moving up. All sfh upto 2.5 million. Yes Bay Area
All the folks who have been on the sidelines - some are buying now. Also, upgraders. Housing market is sticky. So plateau is fine, but downtrend is less likely.
Pleateau is actually a loss. You need your house to appreciate at least 4.5-5% for it to be worthwhile otherwise better off renting
That’s only true in the Ponzi markets, Google.