Home Price Deterioration Report – Home Pricing Strategy 2022
Sep 26, 2022 Picture this… you’re sitting at your dining table with your Realtor and they’ve just popped the question, “What do you think about this price.” You start to squirm uncomfortably in your chair. You cross your arms across your chest getting ready for an argument. And you have nothing but a gut feeling you’re about to be robbed.
Today we’re talking about Home Pricing Strategy today and we’re gonna do that by looking at home home prices deteriorate with increasing days on the market. let’s get started.
Back to the story… you’re sitting at the table and you’ve just looked at a bunch of tiny numbers scrunched on to one page and you still don’t understand. You tell the Realtor you want to list the home for a higher price and…
The next 2 sentences out of your mouth are…
“we don’t want to leave any money on the table.”
and “we can always come down. we can’t ever go up.”
And your Realtor says, “okay”. Because, let’s be honest.. It’s hard to argue with that logic and… no one has a crystal ball.
But there is MORE data to rely on and a better way to figure out how to play in ANY market.
Yes, here are some more numbers FROM THIS MONTH, September 2022 from the last trailing 30 days of sales in Waco, Texas. This really drives home how important it is to have a strategy other than “we can always reduce the price later” because… if i’m being perfectly honest, it’s not YOU who will be choosing the discount.
If you have priced your home correctly…. meaning
it’s demonstrating real value for its condition and may even be perceived as a deal… It’s highly likely you’ll get multiple offers in the first 7 days, OVER ASKING! Which potentially
1) makes up for the initial discount/lower asking price
2) gets you a more solid contract with more amenable terms – like appraisal waivers!
Now look what happens if you don’t want to “leave any money on the table” and price your home above market value. A) You start losing momentum in the market, B) buyers percieve there’s something wrong with your home and C) some won’t even make an offer because they don’t want to offend you. (FYI, millennials don’t negotiate) AND… your sales price snowballs, crashes and burns within 30 days on the market.
Now that i’ve made you sick to your stomach… let’s talk best strategy.
It’s important to note that
1) inventory is still below the current demand, and as such
2) it is near impossible to UNDER PRICE your home…
the market WILL respond, one way or the other.
so 1) Give your Realtor permission to be perfectly honest with you about how the market will react to your home. Your Realtor doesn’t care if you don’t like to wash your dishes but your home should be priced according to how buyers will react to such.
2) Price it slightly below market. Buyers, and their agents, know when a deal is a deal – all of the buyers! And they would rather make an offer over asking to try and WIN your home, than have to ever OFFER LESS and OFFEND you.
3) Monitor the comparable sales data weekly. Homes that are under contract, when you list your home, may close offering new and updated information you should heed and adjust to accordingly. AND AS FAST AS POSSIBLE. The quicker you are to respond to the shift in the market, the LESS MONEY YOU’LL LEAVE ON THE TABLE.
The second 9:17 video:
Deals Deals Deals – Living in Phoenix Arizona
Sep 26, 202
The third 10 minute video:
9/26/2022–Phoenix Housing Market Update
Streamed live on Sep 26, 2022 In this week’s episode of Merrill’s Monday Market Madness, we take a look at inventory rising, months supply of inventory, interest rates, price reductions and looking ahead at what might be on the horizon?
Good morning everybody and welcome to a new episode of Merrell’s Monday Market Madness. Coming at you really quick with an update regarding the Phoenix housing market. Today is September 26, 2022. So today active on the market, we have 19,792 active listings at our low point this year back in February or March we were at about 4,000 so with almost five times more active listings on the market today than we did just about six months ago. There are 8,244 listings that are currently pending and we saw 5,680 homes close in the past 30 days giving us a monthly supply of inventory of 3.48. The month’s supply of inventory is interesting to me so where to 3.48 last Monday was also a 3.48. The Monday before that was a 3.47 and then four weeks ago was a 3.35. So we haven’t really seen a significant change in that month’s supply of inventory number it’s gone up 0.12 points in the past four weeks. In other words, the kind of supply and demand is really really balanced right now.
Inventory has increased so four weeks ago, there were 19,076 active listings today there are 19 792. so in four weeks, we’ve gained 700 listings so every single day there are what is that so four weeks 28 days 700 listings. I should have done the math on this before starting the show but now I kind of want to know what it is daily so 700 divided by 28 25 ish so every single day there are 25 more homes coming on the market than what’s coming off and what’s selling but that’s not a significant pace. We were at a point where we were gaining that many active listings every single week and now that’s how much we’ve gained over the course of a month so inventory is still going up but it’s going up at a pretty slow pace. It’s really really leveled off.
Days on Market is going up a little bit and we expect that will probably continue to rise as we head into kind of our slower selling season of course the nice thing about the Phoenix housing market is we never really see this massive drop off a huge fall off. Absolutely, no home sale in the winter like some of these really cold snowy climates, of course, we’ve got snowbirds and a decent amount of activity that happens here during the slow during slower months but typically we do see inventory rise in the fall and heading into the spring.
I’m going to go ahead and share my screen with you all now to show you a couple of other graphics that I thought would be important so this first one here is called the uh the Cromford market index it basically measures how hot the market is. So as you can see back in March at our high point we were at a market index score of about 457. and now we are at 105. but here’s the thing, it’s really not changing much you go back about a month and it was at a 106. So the market index was falling rapidly back in May and June and July but then by mid-August, it really leveled out and we continue to see that it’s hardly moving at all moving down ever so slightly. Now one thing that is interesting is the average sales price there are a ton of graphics on this chart here and I don’t mean to overwhelm you but the average sales price so far over the past 30 days is $535,276. Last month, it was $550,000. So we did see a drop in the average sales price of about $15,000 month over a month which is almost 3%. That’s pretty significant the highest 30-day average sales price that we saw was about $602,000. So from the peak, we’ve seen a drop of about $67,000 but compared to last year right the average sales price last year was $492,000. So even at 535 years over year, average sales prices are still up by $43,000
Another interesting metric here is a chart I’ve shown this before that shows how many price reductions are happening in a week and we did hit an all-time high of price reductions last week of $4,205 homes that reduced their price the previous high happened the week of July 24th with $4,172. of course, there weren’t quite as many homes on the market in July. So as a percentage of homes reducing their price, there was still a lot higher greater percentage of the available homes had to reduce their price in July as compared to last week in September.
The average mortgage rates you probably heard the FED raise the federal funds rate by another three-quarter of a percentage point average rate right now on the 30-year fixed according to Freddie Mac is 6.29 which is obviously the highest that’s been over a 10-year period but looking all-time rates will last in this range roughly in 2006 2007. So, rates and affordability are definitely a big factor of what’s causing the market to kind of a struggle but here’s what I would kind of leave you with.
The fourth 15:42 video:
Why Have Toronto Home Prices Not Dropped Further? – Sept 21
Team Sessa Real Estate
Sep 27, 2022
Toronto Real Estate Market Report for the week of Sept 15 – Sept 21, 2022.
The last 13:30 video:
Even the Stock Market is Shorting Real Estate. 2022 Canadian Housing Market
Jon Flynn Broker of Record, Flynn Real Estate Inc.
Sep 27, 2022 I drove across this great country and realized how overpriced our real estate is so I revisited the household income to average house price to see how far off we are fundamentally and it’s bad. The stock market is shorting real estate too!
“Although U.S. housing prices remain substantially above their year-ago levels, July’s report reflects a forceful deceleration,” said Craig Lazzara, director at S&P DJI. “The theme of strong but decelerating prices was reflected across all 20 cities.”
Sounds fancier than saying “slamming on the brakes”
July’s numbers? hey, newsflash, it’s almost October.
U.S. House Prices Fell in July, S&P Sees “Forceful Deceleration” in Market
YAHOO!Finance|1 day ago
U.S. house prices fell for the first time in two years in July, as the market underwent a “forceful deceleration” due to rising borrowing costs and a slump in consumer confidence. The national index of house prices compiled by the Federal Housing Finance Agency fell 0.
Lumber prices splinter amid rising interest rates
The Real Deal|12 hours ago
Lumber prices are at their lowest level in more than two years, with futures down more than 70 percent from the peak in the spring.
Falling lumber prices are more a symptom of a slowing housing market than an opportunity for builders, according to Anirban Basu with Associated Builders and Contractors. As supply chain setbacks have eased and materials have become more affordable, he said, financing for builders and buyers has become more expensive.
“It’s very inconvenient,” Basu said. “It is almost as if somebody has been trying to sabotage the U.S. housing market or homebuilding market.”
Here are the U.S. cities that have seen the steepest drop in the cost of a one-bedroom apartment in August compared with a year ago, according to Rent.com.
St. Louis, Missouri (-39.6%)
Long Beach, California (-24.4%)
Anaheim, California (-22%)
Baltimore, Maryland (-20.3%)
Cleveland, Ohio (-19%)
Pittsburgh, Pennsylvania (-16.5%)
Los Angeles, California (-15.7%)
Albuquerque, New Mexico (-14.5%)
Jacksonville, Florida (-14.2%)
Colorado Springs, Colorado (-14.1%)
Charlotte, North Carolina; Des Moines, Iowa; and El Paso, Texas, are seeing sharp year-over-year declines in two-bedroom units, Rent.com found.
KEY POINTS
The 10-City composite rose 14.9% year over year, down from 17.4% in June.
The 20-City composite gained 16.1%, down from 18.7% in the previous month.
Tampa, Miami and Dallas saw the highest annual gains among the 20 cities in July, with increases of 31.8%, 31.7% and 24.7%, respectively.
U.S. home prices cooled in July at the fastest rate in the history of the S&P CoreLogic Case-Shiller Index, according to a report released Tuesday.
Home prices in July were still higher than they were a year ago, but cooled significantly from June gains. Prices nationally rose 15.8% over July 2021, well below the 18.1% increase in the previous month, according to the report.
The 10-City composite, which tracks prices in major metropolitan areas such as New York and Boston, climbed 14.9% year over year, down from 17.4% in June. The 20-City composite, which adds regions such as the Seattle metro area and greater Detroit, gained 16.1%, down from 18.7% in the previous month. July’s year-over-year gains were lower compared with June in each of the cities covered by the index.
Mortgage News Daily is reporting the 30-year fixed at 7.08%, a .21% increase from yesterday.
The St. Louis Fed’s monthly supply of new houses index (MSACSR) dropped to 8.1 for August, down from 10.4 for July.
Neighbors living next to the project said the apartments will make the area unsafe with additional traffic and potential crime, such as petty theft. They also cited issues like deplorable living spaces and drug use at Renascent Place, a supportive housing site in San Jose run by Charities Housing.
Shortly after Charities Housing purchased the Santa Clara property two years ago, residents claim several homeless people moved into the vacant buildings on the lot and caused disturbances, stole bikes and used drugs. The issue reached a boiling point when an RV emptied its septic tank at the site last April, prompting a resident to file a police report.
“It took (Charities Housing) four days to clean up and we suffered from intolerable stench, and a harmful exposure to germs and viruses,” resident Keyhan Sinai, whose home is located behind the site, said in a letter.
The last repo shop that I worked for had an RV parked in the alley for several weeks before police ordered them to move out. They emptied their tank right there before leaving. The light industrial owners finally called in a pressure washer truck.
NBA legend Bill Walton lambasts San Diego mayor over homelessness.
“A few years back, our mayor, Todd Gloria, decided that the park would be a terrific place for a massive homeless encampment with its accompanying nightmares of enormous amounts of trash, safety issues, lack of sanitation, health problems and security issues,” he said, referring to an area of Balboa Park near his home in Hillcrest. “This is absurd and insane. This is a shipwreck.”
“Are we to believe his hot air or our own eyes?” he said. “Things are worse now than ever before. And our lives are being dictated by an out of control and unruly homeless population. Every time I go out on my bike I’m threatened, chased, attacked and assaulted by homeless people.”
A 24% year-to-date drop for the broad Russell 3000 which aims to track the 3,000 largest U.S. traded stocks, wiped out $13 trillion in market capitalization, the analysts said, with several former high flyers down more than 60% from their 52-week highs.
They also found the average stock was down 41.7% from its 52-week high as of Monday’s close. That means the average stock would need to see a rally of 71.5% to get back to its high.
“This is just true carnage in equities unlike anything we’ve seen since the Financial Crisis or the Dot Com bust,” the analysts wrote, referring to the bear market that accompanied the housing crisis in 2007-2009 and the bursting of the dot-com bubble in the early 2000s, respectively.
Celsius Network Ltd. Chief Executive Officer Alex Mashinsky, who founded the embattled crypto startup and served as pitchman for the sky-high yields it promised to its thousands of investors, is stepping down as the company works its way through bankruptcy.
Under Mashinsky’s leadership, Celsius became mired in an increasing number of controversies. The company froze user withdrawals in June as it experienced liquidity issues, faced a lawsuit in July that called the firm a “Ponzi scheme” and disclosed a $1.19 billion deficit in its bankruptcy filing later that month.
The startup has also faced the wrath of its customers. A chat group on the Telegram messaging app called “Celsius Custody Accts” has gained more than 1,300 members after being promoted on Reddit in July. The group’s members have contributed funds to secure legal representation in an effort to recover the money they invested on the Celsius platform. The company sought to return $50 million to users who were locked out of their Celsius accounts, but that’s just a fraction of the more than $200 million worth of crypto trapped on the platform.
German pensioner Peter Faerber, 68, tries to save energy whenever and wherever he can.
“We shower shorter and colder, wash only with cold water. In the kitchen, we use the gas as rarely as possible, I have bought an external electric plate,” Mr. Faerber said.
Although it is already getting very cold in the morning, the retiree does not turn on his natural gas heating. Instead, he burns what little firewood he has left in his small oven. “I hope it‘s enough, otherwise we‘ll have to borrow some from the neighbours,“ he said.
Mr. Faerber lives in Kassel, the largest city in the north of the German state of Hesse, in the southwestern part of the country. Firewood is about 60 per cent more expensive than before Russia invaded Ukraine, he says. Even worse: most stores are sold out or he has to wait weeks or months for a delivery.
Mr. Faerber also bought a few gas cartridges for his camping stove to be able to cook in an emergency if the gas supply to his house is turned off.
These 2 maps show the U.S home price correction is sharper—and more widespread—than previously thought
“Our view is that you will see—and we’re seeing it right now—home prices will fall even though supply levels are not ripping higher,” Rick Palacios Jr., head of research at John Burns Real Estate Consulting, tells Fortune. “I think that’s an interesting thing that is now starting to surprise a lot of people.”
There are three types of dry friction, static friction, kinetic friction and rolling friction. Imagine a stick of lumber laying flat with a brick centered, on top. If one edge of the lumber is slowly lifted creating a slope the brick will remain in place until its static friction gives way, and the brick will continue to slide despite its kinetic friction.
Home prices are notoriously sticky, but once they give way… 🙂
once they give way…
All that’s left are the skid marks.
😁😁😁👍
Office Markets Are the Real Estate Crash We Need to Worry About
The Washington Post|20 hours ago
While a soft landing is still possible for housing and labor, it’s going to get ugly for city business districts.
“Office Markets Are the Real Estate Crash We Need to Worry About”
When profits are soaring there’s no mention of, “We.”
Footnote: The Lone Ranger and Tonto are surrounded by a horde of hostile Indians. The Lone Ranger says to Tonto “what do we do, now?,” to which Tonto replies, “what you mean ‘we,’ kemosabe?”
When profits are soaring there’s no mention of, “We.”
Damn fine point.
“We”
LIEberal scum always have a frog in their pocket.
The Redfin report shows homebuyers were most likely to back out of deals in Sun Belt cities that surged in sales and price during the pandemic. The Phoenix, Tampa, and Las Vegas markets were among those seeing the highest numbers of canceled deals.
“House hunters today are taking their time and exploring their options, whereas six months ago, they had to act quickly and pull out every stop to compete because homes were selling almost immediately,” said Tzahi Arbeli, a Redfin real estate agent in Las Vegas.
“Homebuyers now will agree to buy a house and be doing the inspection, and then back out because they found another home they love more.”
‘The violence in this city has to stop.’ Four dead in wave of Sacramento shootings
Tuesday, a remarkable wave of gun violence that followed yet another shooting outside a central city night spot over the weekend. The death toll brings the city’s homicide total to 45 this year, on pace to surpass last year’s 57 homicides that were the most since 2006.
L.C. Curtis, 69, walked his 10-speed bicycle to the crime scene to take a look. He’s lived in the neighborhood since 1977 and said he is well aware of the dangers that lurk for everyone, especially those who get involved or try talking to police.
“But it’s like that, you know, some people can’t walk the street out there,” Curtis said. “I don’t even walk with my family no more out here.”
He said some in the neighborhood might see him talking to reporters and think he’s trying to cooperate with law enforcement. He says his sons warn him to watch out for himself.
“They tell me ‘Dad, be careful,’” Curtis said. “I think the Lord has protected me this far.”
Downtown Orlando development has stalled, says developer Craig Ustler
The Business Journals|22 hours ago
Downtown Orlando construction has stalled for the first time in a decade, according to developer Craig Ustler. Here’s why.
Nate Oester has lots of tabs on his screen during work: email, Twitter, news sites and his 401(k). He said he ritually opens the investment account every morning. “It’s there and I could check it, embarrassingly, I dunno, 100 times a day.”
Oester is no day trader on the verge of retirement. He’s a 40-year-old electrical engineer in Denver. Back in 2020 and 2021, that tab was usually instant dopamine. “You know, it’s like getting a like on a post on Facebook or Instagram,” he said.
But this year, “it’s more of an emotional downer and a feeling like I have no control over this,” Oester said.
Wa happened to my pivot Nate?
NFT Trading Volumes Collapse 97% From January Peak
The fading NFT mania is part of a wider, $2 trillion wipeout in the crypto sector as rapidly tightening monetary policy starves speculative assets of investment flows.
From the first 3:34 video:
Home Price Deterioration Report – Home Pricing Strategy 2022
Sep 26, 2022 Picture this… you’re sitting at your dining table with your Realtor and they’ve just popped the question, “What do you think about this price.” You start to squirm uncomfortably in your chair. You cross your arms across your chest getting ready for an argument. And you have nothing but a gut feeling you’re about to be robbed.
Today we’re talking about Home Pricing Strategy today and we’re gonna do that by looking at home home prices deteriorate with increasing days on the market. let’s get started.
Back to the story… you’re sitting at the table and you’ve just looked at a bunch of tiny numbers scrunched on to one page and you still don’t understand. You tell the Realtor you want to list the home for a higher price and…
The next 2 sentences out of your mouth are…
“we don’t want to leave any money on the table.”
and “we can always come down. we can’t ever go up.”
And your Realtor says, “okay”. Because, let’s be honest.. It’s hard to argue with that logic and… no one has a crystal ball.
But there is MORE data to rely on and a better way to figure out how to play in ANY market.
Yes, here are some more numbers FROM THIS MONTH, September 2022 from the last trailing 30 days of sales in Waco, Texas. This really drives home how important it is to have a strategy other than “we can always reduce the price later” because… if i’m being perfectly honest, it’s not YOU who will be choosing the discount.
If you have priced your home correctly…. meaning
it’s demonstrating real value for its condition and may even be perceived as a deal… It’s highly likely you’ll get multiple offers in the first 7 days, OVER ASKING! Which potentially
1) makes up for the initial discount/lower asking price
2) gets you a more solid contract with more amenable terms – like appraisal waivers!
Now look what happens if you don’t want to “leave any money on the table” and price your home above market value. A) You start losing momentum in the market, B) buyers percieve there’s something wrong with your home and C) some won’t even make an offer because they don’t want to offend you. (FYI, millennials don’t negotiate) AND… your sales price snowballs, crashes and burns within 30 days on the market.
Now that i’ve made you sick to your stomach… let’s talk best strategy.
It’s important to note that
1) inventory is still below the current demand, and as such
2) it is near impossible to UNDER PRICE your home…
the market WILL respond, one way or the other.
so 1) Give your Realtor permission to be perfectly honest with you about how the market will react to your home. Your Realtor doesn’t care if you don’t like to wash your dishes but your home should be priced according to how buyers will react to such.
2) Price it slightly below market. Buyers, and their agents, know when a deal is a deal – all of the buyers! And they would rather make an offer over asking to try and WIN your home, than have to ever OFFER LESS and OFFEND you.
3) Monitor the comparable sales data weekly. Homes that are under contract, when you list your home, may close offering new and updated information you should heed and adjust to accordingly. AND AS FAST AS POSSIBLE. The quicker you are to respond to the shift in the market, the LESS MONEY YOU’LL LEAVE ON THE TABLE.
The second 9:17 video:
Deals Deals Deals – Living in Phoenix Arizona
Sep 26, 202
The third 10 minute video:
9/26/2022–Phoenix Housing Market Update
Streamed live on Sep 26, 2022 In this week’s episode of Merrill’s Monday Market Madness, we take a look at inventory rising, months supply of inventory, interest rates, price reductions and looking ahead at what might be on the horizon?
Good morning everybody and welcome to a new episode of Merrell’s Monday Market Madness. Coming at you really quick with an update regarding the Phoenix housing market. Today is September 26, 2022. So today active on the market, we have 19,792 active listings at our low point this year back in February or March we were at about 4,000 so with almost five times more active listings on the market today than we did just about six months ago. There are 8,244 listings that are currently pending and we saw 5,680 homes close in the past 30 days giving us a monthly supply of inventory of 3.48. The month’s supply of inventory is interesting to me so where to 3.48 last Monday was also a 3.48. The Monday before that was a 3.47 and then four weeks ago was a 3.35. So we haven’t really seen a significant change in that month’s supply of inventory number it’s gone up 0.12 points in the past four weeks. In other words, the kind of supply and demand is really really balanced right now.
Inventory has increased so four weeks ago, there were 19,076 active listings today there are 19 792. so in four weeks, we’ve gained 700 listings so every single day there are what is that so four weeks 28 days 700 listings. I should have done the math on this before starting the show but now I kind of want to know what it is daily so 700 divided by 28 25 ish so every single day there are 25 more homes coming on the market than what’s coming off and what’s selling but that’s not a significant pace. We were at a point where we were gaining that many active listings every single week and now that’s how much we’ve gained over the course of a month so inventory is still going up but it’s going up at a pretty slow pace. It’s really really leveled off.
Days on Market is going up a little bit and we expect that will probably continue to rise as we head into kind of our slower selling season of course the nice thing about the Phoenix housing market is we never really see this massive drop off a huge fall off. Absolutely, no home sale in the winter like some of these really cold snowy climates, of course, we’ve got snowbirds and a decent amount of activity that happens here during the slow during slower months but typically we do see inventory rise in the fall and heading into the spring.
I’m going to go ahead and share my screen with you all now to show you a couple of other graphics that I thought would be important so this first one here is called the uh the Cromford market index it basically measures how hot the market is. So as you can see back in March at our high point we were at a market index score of about 457. and now we are at 105. but here’s the thing, it’s really not changing much you go back about a month and it was at a 106. So the market index was falling rapidly back in May and June and July but then by mid-August, it really leveled out and we continue to see that it’s hardly moving at all moving down ever so slightly. Now one thing that is interesting is the average sales price there are a ton of graphics on this chart here and I don’t mean to overwhelm you but the average sales price so far over the past 30 days is $535,276. Last month, it was $550,000. So we did see a drop in the average sales price of about $15,000 month over a month which is almost 3%. That’s pretty significant the highest 30-day average sales price that we saw was about $602,000. So from the peak, we’ve seen a drop of about $67,000 but compared to last year right the average sales price last year was $492,000. So even at 535 years over year, average sales prices are still up by $43,000
Another interesting metric here is a chart I’ve shown this before that shows how many price reductions are happening in a week and we did hit an all-time high of price reductions last week of $4,205 homes that reduced their price the previous high happened the week of July 24th with $4,172. of course, there weren’t quite as many homes on the market in July. So as a percentage of homes reducing their price, there was still a lot higher greater percentage of the available homes had to reduce their price in July as compared to last week in September.
The average mortgage rates you probably heard the FED raise the federal funds rate by another three-quarter of a percentage point average rate right now on the 30-year fixed according to Freddie Mac is 6.29 which is obviously the highest that’s been over a 10-year period but looking all-time rates will last in this range roughly in 2006 2007. So, rates and affordability are definitely a big factor of what’s causing the market to kind of a struggle but here’s what I would kind of leave you with.
The fourth 15:42 video:
Why Have Toronto Home Prices Not Dropped Further? – Sept 21
Team Sessa Real Estate
Sep 27, 2022
Toronto Real Estate Market Report for the week of Sept 15 – Sept 21, 2022.
The last 13:30 video:
Even the Stock Market is Shorting Real Estate. 2022 Canadian Housing Market
Jon Flynn Broker of Record, Flynn Real Estate Inc.
Sep 27, 2022 I drove across this great country and realized how overpriced our real estate is so I revisited the household income to average house price to see how far off we are fundamentally and it’s bad. The stock market is shorting real estate too!
“Although U.S. housing prices remain substantially above their year-ago levels, July’s report reflects a forceful deceleration,” said Craig Lazzara, director at S&P DJI. “The theme of strong but decelerating prices was reflected across all 20 cities.”
https://www.msn.com/en-us/money/realestate/home-prices-rise-at-a-slower-pace-in-july-signaling-end-of-the-red-hot-housing-market/ar-AA12iMG4
forceful deceleration
Quite the adjective!
Sounds fancier than saying “slamming on the brakes”
July’s numbers? hey, newsflash, it’s almost October.
U.S. House Prices Fell in July, S&P Sees “Forceful Deceleration” in Market
YAHOO!Finance|1 day ago
U.S. house prices fell for the first time in two years in July, as the market underwent a “forceful deceleration” due to rising borrowing costs and a slump in consumer confidence. The national index of house prices compiled by the Federal Housing Finance Agency fell 0.
Lumber prices splinter amid rising interest rates
The Real Deal|12 hours ago
Lumber prices are at their lowest level in more than two years, with futures down more than 70 percent from the peak in the spring.
Falling lumber prices are more a symptom of a slowing housing market than an opportunity for builders, according to Anirban Basu with Associated Builders and Contractors. As supply chain setbacks have eased and materials have become more affordable, he said, financing for builders and buyers has become more expensive.
“It’s very inconvenient,” Basu said. “It is almost as if somebody has been trying to sabotage the U.S. housing market or homebuilding market.”
https://www.marketplace.org/2022/09/27/what-cheaper-lumber-means-for-the-housing-market/
Here are the U.S. cities that have seen the steepest drop in the cost of a one-bedroom apartment in August compared with a year ago, according to Rent.com.
St. Louis, Missouri (-39.6%)
Long Beach, California (-24.4%)
Anaheim, California (-22%)
Baltimore, Maryland (-20.3%)
Cleveland, Ohio (-19%)
Pittsburgh, Pennsylvania (-16.5%)
Los Angeles, California (-15.7%)
Albuquerque, New Mexico (-14.5%)
Jacksonville, Florida (-14.2%)
Colorado Springs, Colorado (-14.1%)
Charlotte, North Carolina; Des Moines, Iowa; and El Paso, Texas, are seeing sharp year-over-year declines in two-bedroom units, Rent.com found.
https://www.cbsnews.com/news/apartment-rent-price-august-realtor-costar/
“Home prices cooled in July at the fastest rate in the history of S&P Case-Shiller Index
”
https://www.cnbc.com/2022/09/27/july-sp-case-shiller-index-home-prices-cooled-at-the-fastest-rate-in-index-history.html
(snip)
KEY POINTS
The 10-City composite rose 14.9% year over year, down from 17.4% in June.
The 20-City composite gained 16.1%, down from 18.7% in the previous month.
Tampa, Miami and Dallas saw the highest annual gains among the 20 cities in July, with increases of 31.8%, 31.7% and 24.7%, respectively.
U.S. home prices cooled in July at the fastest rate in the history of the S&P CoreLogic Case-Shiller Index, according to a report released Tuesday.
Home prices in July were still higher than they were a year ago, but cooled significantly from June gains. Prices nationally rose 15.8% over July 2021, well below the 18.1% increase in the previous month, according to the report.
The 10-City composite, which tracks prices in major metropolitan areas such as New York and Boston, climbed 14.9% year over year, down from 17.4% in June. The 20-City composite, which adds regions such as the Seattle metro area and greater Detroit, gained 16.1%, down from 18.7% in the previous month. July’s year-over-year gains were lower compared with June in each of the cities covered by the index.
Mortgage News Daily is reporting the 30-year fixed at 7.08%, a .21% increase from yesterday.
The St. Louis Fed’s monthly supply of new houses index (MSACSR) dropped to 8.1 for August, down from 10.4 for July.
https://fred.stlouisfed.org/series/MSACSR
Neighbors living next to the project said the apartments will make the area unsafe with additional traffic and potential crime, such as petty theft. They also cited issues like deplorable living spaces and drug use at Renascent Place, a supportive housing site in San Jose run by Charities Housing.
Shortly after Charities Housing purchased the Santa Clara property two years ago, residents claim several homeless people moved into the vacant buildings on the lot and caused disturbances, stole bikes and used drugs. The issue reached a boiling point when an RV emptied its septic tank at the site last April, prompting a resident to file a police report.
“It took (Charities Housing) four days to clean up and we suffered from intolerable stench, and a harmful exposure to germs and viruses,” resident Keyhan Sinai, whose home is located behind the site, said in a letter.
https://www.msn.com/en-us/money/realestate/santa-clara-residents-say-no-to-affordable-housing/ar-AA12jD3U
But weather!
“…when an RV emptied its septic tank…”
The last repo shop that I worked for had an RV parked in the alley for several weeks before police ordered them to move out. They emptied their tank right there before leaving. The light industrial owners finally called in a pressure washer truck.
NBA legend Bill Walton lambasts San Diego mayor over homelessness.
“A few years back, our mayor, Todd Gloria, decided that the park would be a terrific place for a massive homeless encampment with its accompanying nightmares of enormous amounts of trash, safety issues, lack of sanitation, health problems and security issues,” he said, referring to an area of Balboa Park near his home in Hillcrest. “This is absurd and insane. This is a shipwreck.”
“Are we to believe his hot air or our own eyes?” he said. “Things are worse now than ever before. And our lives are being dictated by an out of control and unruly homeless population. Every time I go out on my bike I’m threatened, chased, attacked and assaulted by homeless people.”
https://www.msn.com/en-us/news/us/nba-legend-bill-walton-lambasts-san-diego-mayor-over-homelessness-this-is-a-shipwreck/ar-AA12k8CJ
Weather?
Stock market losses wipe out $9 trillion from Americans’ wealth
https://www.msn.com/en-us/money/markets/stock-market-losses-wipe-out-249-trillion-from-americans-wealth/ar-AA12iDLy
That’s terrible! Where’s the croupier?
A 24% year-to-date drop for the broad Russell 3000 which aims to track the 3,000 largest U.S. traded stocks, wiped out $13 trillion in market capitalization, the analysts said, with several former high flyers down more than 60% from their 52-week highs.
They also found the average stock was down 41.7% from its 52-week high as of Monday’s close. That means the average stock would need to see a rally of 71.5% to get back to its high.
“This is just true carnage in equities unlike anything we’ve seen since the Financial Crisis or the Dot Com bust,” the analysts wrote, referring to the bear market that accompanied the housing crisis in 2007-2009 and the bursting of the dot-com bubble in the early 2000s, respectively.
https://www.msn.com/en-us/money/savingandinvesting/e2-80-98true-carnage-e2-80-99-stock-market-selloff-wipes-2413-trillion-in-market-cap-off-broad-us-benchmark/ar-AA12jATr
Celsius Network Ltd. Chief Executive Officer Alex Mashinsky, who founded the embattled crypto startup and served as pitchman for the sky-high yields it promised to its thousands of investors, is stepping down as the company works its way through bankruptcy.
Under Mashinsky’s leadership, Celsius became mired in an increasing number of controversies. The company froze user withdrawals in June as it experienced liquidity issues, faced a lawsuit in July that called the firm a “Ponzi scheme” and disclosed a $1.19 billion deficit in its bankruptcy filing later that month.
The startup has also faced the wrath of its customers. A chat group on the Telegram messaging app called “Celsius Custody Accts” has gained more than 1,300 members after being promoted on Reddit in July. The group’s members have contributed funds to secure legal representation in an effort to recover the money they invested on the Celsius platform. The company sought to return $50 million to users who were locked out of their Celsius accounts, but that’s just a fraction of the more than $200 million worth of crypto trapped on the platform.
https://ca.finance.yahoo.com/news/celsius-ceo-resigns-bankrupt-crypto-162811705.html
German pensioner Peter Faerber, 68, tries to save energy whenever and wherever he can.
“We shower shorter and colder, wash only with cold water. In the kitchen, we use the gas as rarely as possible, I have bought an external electric plate,” Mr. Faerber said.
Although it is already getting very cold in the morning, the retiree does not turn on his natural gas heating. Instead, he burns what little firewood he has left in his small oven. “I hope it‘s enough, otherwise we‘ll have to borrow some from the neighbours,“ he said.
Mr. Faerber lives in Kassel, the largest city in the north of the German state of Hesse, in the southwestern part of the country. Firewood is about 60 per cent more expensive than before Russia invaded Ukraine, he says. Even worse: most stores are sold out or he has to wait weeks or months for a delivery.
Mr. Faerber also bought a few gas cartridges for his camping stove to be able to cook in an emergency if the gas supply to his house is turned off.
https://www.theglobeandmail.com/business/article-germany-russia-gas-energy-crisis/
Those clean nuke plants look pretty good now, eh?
These 2 maps show the U.S home price correction is sharper—and more widespread—than previously thought
“Our view is that you will see—and we’re seeing it right now—home prices will fall even though supply levels are not ripping higher,” Rick Palacios Jr., head of research at John Burns Real Estate Consulting, tells Fortune. “I think that’s an interesting thing that is now starting to surprise a lot of people.”
https://finance.yahoo.com/news/2-maps-show-u-home-065208963.html
There are three types of dry friction, static friction, kinetic friction and rolling friction. Imagine a stick of lumber laying flat with a brick centered, on top. If one edge of the lumber is slowly lifted creating a slope the brick will remain in place until its static friction gives way, and the brick will continue to slide despite its kinetic friction.
Home prices are notoriously sticky, but once they give way… 🙂
once they give way…
All that’s left are the skid marks.
😁😁😁👍
Office Markets Are the Real Estate Crash We Need to Worry About
The Washington Post|20 hours ago
While a soft landing is still possible for housing and labor, it’s going to get ugly for city business districts.
“Office Markets Are the Real Estate Crash We Need to Worry About”
When profits are soaring there’s no mention of, “We.”
Footnote: The Lone Ranger and Tonto are surrounded by a horde of hostile Indians. The Lone Ranger says to Tonto “what do we do, now?,” to which Tonto replies, “what you mean ‘we,’ kemosabe?”
When profits are soaring there’s no mention of, “We.”
Damn fine point.
“We”
LIEberal scum always have a frog in their pocket.
The Redfin report shows homebuyers were most likely to back out of deals in Sun Belt cities that surged in sales and price during the pandemic. The Phoenix, Tampa, and Las Vegas markets were among those seeing the highest numbers of canceled deals.
“House hunters today are taking their time and exploring their options, whereas six months ago, they had to act quickly and pull out every stop to compete because homes were selling almost immediately,” said Tzahi Arbeli, a Redfin real estate agent in Las Vegas.
“Homebuyers now will agree to buy a house and be doing the inspection, and then back out because they found another home they love more.”
https://www.consumeraffairs.com/news/homebuyers-are-balking-at-high-prices-and-high-rates-092822.html
‘The violence in this city has to stop.’ Four dead in wave of Sacramento shootings
Tuesday, a remarkable wave of gun violence that followed yet another shooting outside a central city night spot over the weekend. The death toll brings the city’s homicide total to 45 this year, on pace to surpass last year’s 57 homicides that were the most since 2006.
L.C. Curtis, 69, walked his 10-speed bicycle to the crime scene to take a look. He’s lived in the neighborhood since 1977 and said he is well aware of the dangers that lurk for everyone, especially those who get involved or try talking to police.
“But it’s like that, you know, some people can’t walk the street out there,” Curtis said. “I don’t even walk with my family no more out here.”
He said some in the neighborhood might see him talking to reporters and think he’s trying to cooperate with law enforcement. He says his sons warn him to watch out for himself.
“They tell me ‘Dad, be careful,’” Curtis said. “I think the Lord has protected me this far.”
https://www.msn.com/en-us/news/crime/e2-80-98the-violence-in-this-city-has-to-stop-e2-80-99-four-dead-in-wave-of-sacramento-shootings/ar-AA12k175
Weather!
Downtown Orlando development has stalled, says developer Craig Ustler
The Business Journals|22 hours ago
Downtown Orlando construction has stalled for the first time in a decade, according to developer Craig Ustler. Here’s why.
Nate Oester has lots of tabs on his screen during work: email, Twitter, news sites and his 401(k). He said he ritually opens the investment account every morning. “It’s there and I could check it, embarrassingly, I dunno, 100 times a day.”
Oester is no day trader on the verge of retirement. He’s a 40-year-old electrical engineer in Denver. Back in 2020 and 2021, that tab was usually instant dopamine. “You know, it’s like getting a like on a post on Facebook or Instagram,” he said.
But this year, “it’s more of an emotional downer and a feeling like I have no control over this,” Oester said.
Wa happened to my pivot Nate?
NFT Trading Volumes Collapse 97% From January Peak
The fading NFT mania is part of a wider, $2 trillion wipeout in the crypto sector as rapidly tightening monetary policy starves speculative assets of investment flows.
https://uk.news.yahoo.com/nft-trading-volumes-collapse-97-084909316.html
My forever stamps have held at support.
Sacramento, CA Housing Prices Crater 28% YOY As California’s Fraud Crippled Housing Market Chokes On Soaring Default Rate
https://www.movoto.com/ca/95818/market-trends/
As one broke seller pleaded, “Someone… anyone… just come take this house!”