There Are Absolutely Some Still Hoping For 2021
A report from WINK in Florida. "In Immokalee, Habitat for Humanity is working to fill vacant homes in the new Kaicasa neighborhood. About 40% of the homes are complete, but many remain unoccupied. The Kaicasa community is expected to include 280 homes once complete. Currently, Habitat's main focus is on filling the homes that are already built. 'This is such a large community, we have the opportunity to really scale up and build more homes. And so that's what we had projected. But what we found was that we didn't have the same kind of applicant uptick that we expected. We expected that folks working in Ave Maria, folks working in Immokalee, working on Marco Island, would really see this as a great opportunity,' said Lisa Lefkow, CEO of Habitat for Humanity Collier County. Habitat for Humanity recently adjusted the income levels for their program, potentially allowing more families to qualify. They encourage those who previously applied and were just above the limit to check again and consider applying."
Fox 13 Tampa Bay. "Nine months after Hurricanes Helene and Milton battered Florida, families like the Kvockas are still displaced. Neil and Nicholle Kvocka bought more than $1 million in property insurance for their waterfront Ruskin home—yet they’re living in a camper with their two teenagers. Citizens paid nothing. Flood insurance paid $104,000—not nearly enough to rebuild the home based on assessments the Kcovkas received from contractors. That payout is now frozen by their mortgage company, pending resolution. FOX 13's Craig Patrick asked the Kvockas why they don't just sell. Nicholle responded, 'Our neighbors are selling for less than we owe. We can’t afford to rebuild.'"
"Before the storms, their home was valued at $1.3 million. Now, real estate models put it closer to $400,000. They still owe nearly $100,000 on the camper loan. Their mortgage is in forbearance. They continue to pay for home insurance on a house they can't live in. 'They don’t pay out. And if they do, it’s nickels and dimes for something we paid top dollar for,' said Neil."
From Market Watch. "Sales of existing homes fell 2.7% in June from the previous month, according to the NAR, dropping to a 3.93 million pace. Home prices fell 4.3% from a year ago in Austin, and fell 3.4% in Tampa and 2.6% in Miami, the company noted. 'When we see price decreases, it is likely due to competition in the market. It is crucial that homes are priced right, which may mean just at or slightly below what the market analysis suggests,' Heather Brown, an Austin-based real-estate agent with Re/Max Fine Properties, told MarketWatch. 'Some buyers are canceling deals because another home pops up in the same price range that they like better, or because they discover a flaw and get nervous it’ll cost too much to fix,' Crystal Zschirnt, a Dallas-based real-estate agent with Redfin, said in the analysis. 'I’ve also heard of some buyers backing out because they’re hoping home prices or mortgage rates are going to plummet soon, even though that’s unlikely,' she added."
7 San Diego in California. "The city of San Diego is about to get some new guidelines when it comes to accessory dwelling units, or ADUs. 'We do not have homeownership opportunities. We don't have starter home opportunities. And if you're placing such strict limitations on the largest lot sizes across San Diego, you're also limiting those homeownership opportunities for youth,' said supporter Nicole Lillie. 'You're taking it away. I mean the developers are overpaying for that whole lot and now that single-family could have moved in there is not. Also, the adjacent homeowners are now moving out because those people don't want to live next to these monstrosities,' said opponent, Angela Guzy."
The Globe and Mail. "Toronto-area home buyers are emerging from the paralysis that gripped the market during the opening days of the U.S.-Canada trade war in the early spring. Suzanne Lewis, real estate agent with Bosley Real Estate, says buyers are undoubtedly driving the decisions during the quieter summer months. For those homeowners who do decide to list, Ms. Lewis pulls out the data from recent sales in the area. If the last five similar properties sold for $1-million, it’s not realistic to hope for $1.4-million. 'You don’t have to convince the buyer it’s worth $1.4-million – you have to convince the lender. You’re probably not even going to close.' If the sellers are too out of sync, she doesn’t take on the listing. 'Sometimes we’re not on the same page – we’re not even in the same book.'"
"She points to one Riverdale house which sold around the $3-million mark roughly three years ago. The same house just changed hands again for $2.5-million, she says. Some homeowners – particularly in the downsizing category – have decided to hold off listing until prices regain the level recorded a few years ago. 'There are absolutely some still hoping for 2021,' she says. While transactions have perked up, Simson Chu, real estate agent with Chestnut Park Real Estate says, many buyers continue to hold back because they don’t know how much lower the market will go. Mr. Chu recently had discussions with a pair of buyers who are interested in his listing for a detached four-bedroom house in Markham, Ont."
"The property at 32 Arbour Dr., listed with an asking price of $1,868,888, appealed to the buyers, but their finances took a hit when they sold their property in Hong Kong for less than they were expecting. Now they are unable to submit an offer. 'That’s reality. That just happened,' he says. Mr. Chu sometimes advises homeowners to hold off listing now if they have that option – especially while many potential buyers are spending time in Europe or at the cottage. Mr. Chu recommends that condo owners delay listing until that segment regains some momentum. Sellers who do want to go ahead must be willing to list at a price that’s irresistible or they must offer a property that’s irreplaceable, he says. 'If you can hold off and not panic, it might be the best thing to do when there’s turmoil,' Mr. Chu says. 'We’re not day traders.'"
From ABC News. "New rental data from property analysts Cotality, formerly CoreLogic, has shown Canberra is the fourth most expensive Australian capital city in which to rent. Three years ago it was the most expensive. Real Estate Institute of the ACT Chief Executive Maria Edwards said recent changes in Canberra's rental market were due to supply and demand, as well as government policy. She said that was coupled with negative net interstate migration and lowering overseas migration. She said many landlords were under financial stress. 'Most of our agents have reported significant numbers of landlords selling off. There's also been a real slow down in the sales prices of apartments because there are so many available,' Ms Edwards said. 'So, there are actually owners who have bought apartments 10 years ago who will not make a profit if they sell now. It's probably never been more affordable to buy an apartment.'"
Radio New Zealand. "Construction companies are struggling to stay afloat as orders dry up amid tough economic times, with some slashing quotes by as much as 50 percent to get whatever work they can. Latest data from the Building Research Association of New Zealand showed that liquidations in the construction sector rose 37 percent in February year on year. Amid the sharp rise in closures, some Chinese construction firms had resorted in cutting quote prices and squeezing already tight margins to stay in business."
"Henry Wang, a former carpenter who had worked in the construction industry for eight years and now ran his own business, said pay rates for carpentry work had dropped sharply compared to the industry's recent peak. 'The market was booming from 2020 to 2022,' Wang said. 'At that time, a carpenter could earn around $150 to $160 per square meter on a residential build. However, now payments have fallen by as much as 40 to 50 percent. We used to work from 7am to 6pm - sometimes even until 7pm - including Saturdays when business was really busy. But gradually, the company could only guarantee three days of work a week By the end of 2023, they started cutting staff because there simply wasn't any work left.'"
"He estimated that between 60 and 80 percent of the workers at his former company were made redundant. He eventually left as well, citing a lack of available work. Wang said the downturn had triggered a destructive price war in the industry, which he found deeply concerning. 'There isn't much work out there,' he said. 'A lot of companies are dropping their quote prices. Some are even slashing them by half just to win clients and stay in business. All I can do is hang in there and try to survive these next two years.' Gareth Kiernan, chief forecaster at Infometrics said net migration shifts had also contributed to the softening of the housing market. 'There was an undersupply of housing, particularly in Auckland,' he said. 'Potentially, over the next year or so, we could be starting to move into a position with the housing market rather than being undersupplied to actually oversupplied.'"