Frustrating housing market in ny/nj! Buy or wait?

Apr 24 9 Comments

My husband and I work in nyc. He has wfh and I have to go in maximum of two days a week. We are trying to buy a home but the market is so crazy! It seems to be a lose lose situation! The interest rates are rising and so are the house prices! We could easily have bought a house last year in Edison for 800 900k and gotten a low interest rate but now both are elevated! So frustrating! Will it get better? Or there is no hope now?

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  • Siemens
    Choi net

    Go to company page Siemens

    Choi net
    Wait it out. You have everything to gain financially.
    Apr 24 1
    • OP
      True! That’s what I feel too… but I am so scared things will get even worse! Like prices will continue to rise and so will interest rates! I was worried about being too far from my office so we held off buying but now o am kicking myself!
      Apr 25
  • Cracks have started. For next 8 months at least I don’t see rates coming down. In fact I predict it’s gonna be more than 7%. 1.4M new housing coming to market and institutional investors getting out to cash on safer bond investments and I can tell you there is gonna be enough supply for everyone.
    Apr 24 3
    • No mortgages won’t go down IMO for at least next 8 months. Feds are offloading balance sheet and until that is not complete it won’t. In fact in recent comments Fed Powell himself emphasized on desire of seeing housing market cool down (which indirectly means correction back avg line which essentially means -20% to -30%). Bayarea housing has already started moving lower around -5% mark. So include that offset with mortgage and you will effectively pay same that you would have paid around mid 2021.
      Apr 25
    • Again I am no Micheal Burry but there might be a dip before line goes back to normal next year.
      Apr 25
  • Yahoo
    lurker3210

    Go to company page Yahoo

    lurker3210
    Sorry, not a good time to buy and I recommend to not get over your heads. Expenses only increase for married couple, especially if you are going to have kids
    Apr 24 1
  • Timing the market is usually a bad idea, but everything right now is pointing towards rising rates which will eventually lower prices.

    Also, a lot of houses are being built but it'll take a while for it to impact the market.

    The main point being that you get a house at a monthly payment you're comfortable with and where you can see yourself staying at for at least 7+ years. If you can find that now, then pull the trigger. If not wait and keep saving. High interest rate just means more value in your down payment.
    Apr 25 0