fan-of-fans
Well-known member
I see two fears here about buying or not buying or not buying.
I agree on ways it seems like the way things are going is a rent forever model. There are certainly communities being built now where the homes/units are being built to rent. There have also been many homes sold in my area that are being purchased and then rented out. What really ticks me off about this is the buyers are able to “pay cash” in order to beat out buyers who want to actually live in the home and would need a mortgage. But these “cash buyers” aren’t even paying cash! They are getting a loan fronted so that it looks like they’re paying cash, but they still have to pay the lender.
It is such a scam and sadly it’s nearly destroyed the affordable end of the market for anyone just wanting to buy a starter home for themselves.
So we either don’t buy now, and just become priced out forever.
Or, you do buy, now having missed out on cheaper prices AND low interest rates and have a much higher risk of foreclosure as/if we go into a recession.
There are few deals on the market and whereas even in 2019/early 2020 you could get a nice 3 bedroom 2 bath home with a 3 car garage, it now takes over $250k to get anything like that. I would feel like a sucker at this point to buy what $150-180k gets you now, knowing what it used to buy just a few years ago.
What’s interesting though is I’m seeing more new construction here right now than I’ve seen in years. That’s actually a little concerning to me, and reminds me of 06/07. Just within a few miles of here I can think of 7 or 8 homes that are in process of, just finished construction or lane had been cleared to begin. That’s quite a lot. And around town there are probably 30 homes built within the last year or two just in one area I can think of.
There is one builder offering 3/2/2 homes on your land starting in the high $180s/low $200s. This sounds like a pretty good price to me given how high costs are right now. I’ve also considered buying land and putting a mobile home and steel building for a shop on it. You can buy a nice mobile for $110k and a good sized steel building for $10k, both including delivery and installation.
I’m fortunate that I have a substantial savings over the last decade of working and saving, but I don’t want to sabotage my chances by making a bad decision at a bad time.
I agree on ways it seems like the way things are going is a rent forever model. There are certainly communities being built now where the homes/units are being built to rent. There have also been many homes sold in my area that are being purchased and then rented out. What really ticks me off about this is the buyers are able to “pay cash” in order to beat out buyers who want to actually live in the home and would need a mortgage. But these “cash buyers” aren’t even paying cash! They are getting a loan fronted so that it looks like they’re paying cash, but they still have to pay the lender.
It is such a scam and sadly it’s nearly destroyed the affordable end of the market for anyone just wanting to buy a starter home for themselves.
So we either don’t buy now, and just become priced out forever.
Or, you do buy, now having missed out on cheaper prices AND low interest rates and have a much higher risk of foreclosure as/if we go into a recession.
There are few deals on the market and whereas even in 2019/early 2020 you could get a nice 3 bedroom 2 bath home with a 3 car garage, it now takes over $250k to get anything like that. I would feel like a sucker at this point to buy what $150-180k gets you now, knowing what it used to buy just a few years ago.
What’s interesting though is I’m seeing more new construction here right now than I’ve seen in years. That’s actually a little concerning to me, and reminds me of 06/07. Just within a few miles of here I can think of 7 or 8 homes that are in process of, just finished construction or lane had been cleared to begin. That’s quite a lot. And around town there are probably 30 homes built within the last year or two just in one area I can think of.
There is one builder offering 3/2/2 homes on your land starting in the high $180s/low $200s. This sounds like a pretty good price to me given how high costs are right now. I’ve also considered buying land and putting a mobile home and steel building for a shop on it. You can buy a nice mobile for $110k and a good sized steel building for $10k, both including delivery and installation.
I’m fortunate that I have a substantial savings over the last decade of working and saving, but I don’t want to sabotage my chances by making a bad decision at a bad time.
