Homeowners Desperate To Escape The Sinking Ship Are Offloading Their Properties At Losses
A report from Market Watch. “It’s a tough time for the real-estate industry, which faces a significant test in the form of higher mortgage rates, Dave Liniger, the real-estate tycoon, founder and chairman of Denver-based real-estate giant Re/Max, told MarketWatch. Over the past few years, the same mortgage rate that was averaging around 3% to 4% went as low as 2% during the coronavirus pandemic, when the Federal Reserve cut interest rates. ‘That’s an unreal market — it’s never happened in the history of our country,’ Liniger said. ‘And so what you have is an entire generation of homebuyers who have gotten used to 2.5% to 5%.’ The housing markets that are currently the weakest are ‘ones where home prices are the most unaffordable and overvalued,’ Matthew Walsh, a housing economist at Moody’s Analytics, told MarketWatch. Markets like Austin, Texas, and Boise, Idaho, which saw big run-ups in prices during the pandemic are seeing big drops now, he added. In Austin, home values are down by 4.1% from a year ago, according to Zillow in its March 2024 market report.”
From Newsweek. “The number of homes available for sale rose by more than 10 percent in March compared to the same time a year ago, data from the U.S. Census Bureau showed on Tuesday. Last month, there were 477,000 new homes available for sale, 44,000 more than in March of 2023. Compared to February 2024, new homes ready for sale were up by close to 3 percent. The March data amounted to 8.3 months of supply of homes available for sale. Yelena Maleyevm KPMG’s senior economist pointed out that new homes are able to sell at higher prices as they are also able to give incentives to buyers, such as mortgage rate buydowns. ‘Incentives work,’ she said, pointing to the fact that sales were 8.3 percent higher in March compared to the same time last year.”
Sarasota Magazine in Florida. “Compared to last March, the median price of single-family homes in Sarasota County is only down by 2.5 percent, from $528,013 to $515,000. Among condos and townhomes in Sarasota County, the median price has dipped by almost 9 percent, from $423,245 last March to $385,775 a year later. ‘It’s a more favorable market for buyers now,’ says local realtor Kristina Bregu of Corcoran Dwellings. ‘I’m seeing more price decreases to attract offers, and I’m also seeing more homes going to contract but getting bumped back to the market when something doesn’t work out,’ she continues. ‘I feel like sellers are now realizing there are no more bidding wars and they have to be more strategic.'”
“Bregu says sellers will have more luck if they price their property right at the beginning. ‘You’ll get momentum to start with,’ she says. ‘You have to be realistic now. If homes that cost less than yours aren’t moving, you probably have to drop the price. Sellers aren’t in a hurry to do that,’ she says. ‘But the sooner they understand it, the faster their home will sell.'”
New York Post on California. “San Francisco, once the crown jewel of the West Coast, is now teetering on the brink of collapse. The city’s housing market, in particular, has been hit hard over the past year, with prices plummeting and homeowners fleeing in droves. Once-luxurious properties are now listing and selling for massive discounts just to attract buyers. Consider the penthouse at the San Francisco Four Seasons Residential, initially listed in November 2020 for $9.9 million, now begging for buyers at $3.75 million — a jaw-dropping 62% markdown. It remains on the market today. Homeowners desperate to escape the sinking ship are offloading their properties at losses, with many seeing their investments dwindle by hundreds of thousands of dollars in just months. A five-bedroom home at 478-480 Fourth Ave. sold for $1.1 million earlier this month, after selling less than a year prior for $1.6 million.”
“Real estate veteran Craig Ackerman, who’s witnessed San Francisco’s rise and fall over three decades, laments the city’s potential squandered by inept leadership. ‘I do think that San Francisco probably has another five to eight years of mismanagement. I mean things are a mess out here and they don’t need to be. This could all be changed by the stroke of a pen,’ Ackerman told The Post. ‘But the mayor — they choose to continue this ridiculousness. I don’t think it’s going to change. They are happy waving their liberal flags and looking for a fantasy land that doesn’t exist … It’ll kill you on the way there.'”
The San Francisco Chronicle. “Deeply discounted office towers have become the norm in San Francisco over the past year, but no recent deal has been as radical as one that closed in the city’s struggling Mid-Market neighborhood this month: An empty 16-story tower traded for just $6.5 million. The $72 per square foot pricing for the tower at 995 Market St., which anchors the corner at 6th and Market streets, represents a 90% drop in value from when the building last sold in 2016, for roughly $62 million. The April 18 sale comes after the tower’s former owner, Bridgeton Holdings, last year defaulted on a $45 million loan tied to the property.”
“‘Part of the issue is that the lenders and the owners have no idea what these assets are worth right now,’ one individual said, explaining that the best way to measure the current value of a building is by putting a property up for sale. ‘Even the brokers have no idea.'”
Hawaii News Now. “There’s a final push underway at the state Legislature to let counties phase out short-term rentals to help ease the housing crisis. They’re all advocating for Senate Bill 2919, which would give the counties the power to convert short-term to long-term rentals. The Maui wildfires exacerbated the critical need for housing and the proliferation of short-term rentals. State Sen. Jarrett Keohokalole said there has been some pushback from ‘transient owners … who were offended at the notion that their dream investment property on Maui would be compromised by our efforts here to get fire victims.'”
KPNX in Arizona. “Babies have been born in tents. There’s a secret food bank that school teachers – and others – visit. Families are sleeping in the woods. The lure of Sedona’s red rocks and crystal shops tends to eclipse an unfortunate truth— a growing number of people who work in Sedona can no longer afford to live here. The average home price in Sedona is $944,879 — nearly double what it was 4 years ago, according to Zillow. Sedona Mayor Scott Jablow refuses to blame Sedona’s bustling tourism industry for the rise in prices. Instead, he points the finger at short-term rentals many out-of-towners stay in. According to the mayor, these properties make up almost 17% of Sedona’s housing inventory.”
“‘Of course, we have some people who are very generous and realize that they could make $5,000 a month as a short-term rental,’ Jablow said. ‘[But] they realize the problem, and they are keeping it as workforce housing. Not everybody is looking to make a buck, as opposed to corporations coming in and buying a group of houses.’ Some of those corporations, Jablow said, have made offers $100,000 over asking price.”
The Dallas Morning News in Texas. “Plano City Council unanimously voted late Monday night to ban almost every new short-term rental in single-family neighborhoods. Homes rented through apps like Airbnb and VRBO will still be allowed, but only in areas zoned for hotels and with more strict regulations. Cities have complained about short-term rentals and a lack of regulation on the properties for years because of safety concerns stemming from out-of-control parties, shootings and how one property had a connection to a brothel. ‘We never second-guessed our decision to move to Plano until STR’s showed up at our doorstep,’ said Plano resident Tatiana Ramirez. ‘These properties advertise our neighborhoods as private and quiet, but fail to mention that we are now a crime watch area due to their guests’ criminal acts.'”
Fast Company. “Late last year, New York City made headlines when it all but banned Airbnbs and other short-term rentals within city limits. Since the pandemic, Airbnb had overtaken an estimated 39,000 rental units, hollowing out neighborhoods and causing already-high rents to grow even higher. So, in September of 2023, New York City decided to do something about it. A series of bold requirements capped the total number of short-term rentals (STRs) and limited guests to just two at a time. They required STR operators to be primary homeowners — and to be present in the home while hosting. Though it may sound revolutionary, New York’s crackdown isn’t the first of its kind. In fact, it’s part of a growing trend — one largely spearheaded by much smaller towns. Over the last decade, communities from Irvine, California, to Durango, Colorado, have implemented clever regulations, taxes, and zoning policies to hobble the STR market — or, in some cases, eliminate it altogether.”
“‘You would see tourists on the streets in neighborhoods where there weren’t any hotels,’ recalls New York-based artist and activist Murray Cox. The sound of rolling suitcases could be heard at all hours. Once tight-knit communities began to feel lifeless. ‘It didn’t take very long for people to realize the sharing economy was basically a scam,’ explains Cox, who later went on to found data-sharing platform Inside Airbnb. ‘People weren’t using that car that was sitting in the driveway to drive Uber. And people weren’t just renting out a sofa or a spare bedroom.’ Instead, people saw an economic opportunity they could invest in. And they started buying whole homes to rent out on Airbnb.”
“In many cases, speculators and investment companies were buying multiple homes expressly for short-term rental use. Right now, about 90% of Airbnbs in Bozeman, Montana, and Nashville, Tennessee — both popular vacation spots — are whole homes. San Francisco-based housing activist Dale Carlson first heard about the Airbnb Effect back in 2014, when the city was undergoing a major housing affordability crisis. When he learned that nearly 5% of the city’s limited housing stock was devoted to Airbnbs, he decided to get involved. ‘We were defeated in the ballot. Airbnb spent close to $10 million—they outspent us 20 to 1,’ Carlson says. But despite the heavy spending, Airbnb barely eked out the win. ‘So many people had told us, ‘You’re never going to beat them because they’re too big and powerful,’ Carlson says. ‘But suddenly they didn’t look so powerful. And we didn’t seem so vulnerable.'”
The Globe and Mail. “New condo sales in the Toronto region dropped to their lowest level since the 2009 financial crisis, with investors balking at lofty purchase prices and higher borrowing costs. There were 1,461 new condo sales in the Greater Toronto and Hamilton Area in the first quarter of the year, according to Urbanation Inc. ‘It is dead. I would never use words like this, but I am because it is true,’ said Simeon Papailias, managing partner with real estate brokerage REC Canada, whose firm sells new condos, also known as preconstruction condos because they have not been built yet.”
“The preconstruction condo market started to falter in 2022 as the Bank of Canada raised interest rates to cool inflation. Preconstruction buyers do not take out a mortgage until their condo unit is built and that process can take several years. However, they still need to show developers up front that they can qualify for a loan when the condo building has been completed. Pierre Carapetian, who has sold real estate in the Toronto region for 18 years, said he has steered his clients away from preconstruction homes into the resale market because resale homes are cheaper. ‘In the last two years, I have not recommended a single project,’ said Mr. Carapetian, who runs his own real estate brokerage. ‘I could not in good conscience recommend anything at this juncture because it makes no logical sense.'”
“‘It’s very difficult for investors to make the numbers work on buying new condos, given their record-high price premium over resales and steeply negative cash flow on rentals,’ Urbanation president Shaun Hildebrand said.”
Blog TO in Canada. “In response to this dismal level of activity, developers are ‘dramatically’ pulling back on launching new complexes in and around the city, with 75 per cent of new condo buildings opened so far in 2024 debuting in York Region rather than Toronto proper. Unsold inventory of new condos in the region now sits at around 22.8 months of supply or 23,815 homes (30.6 months of supply in the 416 specifically), with the number of unsold, never-lived-in units increasing by 124 per cent in the last two years. Prices for new units are falling somewhat, now at $1,168 per square foot, largely due to the fact that most new units are outside of the city. This number marks a 12 per cent decrease from the last quarter of 2023, and a 17 per cent fall from the record high seen in Q1 2023.”
ABC News in Australia. “The collapse of one of Perth’s best-known residential building companies is being blamed on mounting pressure on the home construction industry, as one lobby group tips more local builders will go under. Collier Homes, first established in 1959 and more recently operated by veteran builder Dario Amara, was placed into liquidation earlier this week. It is the latest in a series of building company collapses that have plagued the industry nation-wide since the COVID pandemic. One Collier Homes customer from Perth’s northern suburbs, who asked not to be named, said he learned of the news through media reports.”
“The 73-year-old said there was still up to $200,000 worth of unfinished work at his property, nearly three years after construction started. ‘It’s been very stressful up until now, this whole three years … I reckon they’ve actually worked for four or five months in total on the job,’ he said. He said he was also ‘fed up’ with excuses that COVID or impacts to supply chains were to blame. ‘My advice in this climate is don’t build, go and find yourself something that’s almost what you want, and knock a few walls down,’ he said.”
“Home Builders Action Group chairman Jason Janssen said post-COVID stimulus measures intended to keep the industry afloat have instead contributed to the issues now putting pressure on construction companies. But Commerce Minister Sue Ellery said the government was not at fault for trying to turbocharge the industry. ‘We did not require builders to take on more than they had capacity to deliver,’ she said. ‘That was a commercial choice that some of them made. Some companies deliberately put a limit on how many contracts they would sign based on what they knew was their capacity at the time. I don’t think we can blame anyone. It was an extraordinary set of circumstances.'”
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You will own nothing.
The Fast Company article is worth reading in full.
Good morning Vietnam!
You will own nothing
‘New condo sales in the Toronto region dropped to their lowest level since the 2009 financial crisis, with investors balking at lofty purchase prices and higher borrowing costs’
‘Prices for new units are falling somewhat, now at $1,168 per square foot, largely due to the fact that most new units are outside of the city. This number marks a 12 per cent decrease from the last quarter of 2023, and a 17 per cent fall from the record high seen in Q1 2023’
So ‘investors balking at lofty purchase prices’ that are down 17%? They didn’t have any problem paying when they thought it would make them rich. And as is usual in these sh$tholes with a queen on their pesos, you know what this means?
A shortage is coming cuz they aren’t starting as many airboxes!
Yes and No.
Yes – it was a scam by realtors and other insiders (and the other associated ‘investors’) to buy pre-cons and ‘know’ that in 3-4 years when they were built (and they had to take possession) that they could sell right away at a big profit.
No – there were a lot of regular folks (with considerable pressure from their parents/family) looking to get into housing starting with a 1 or 2 bedroom that were unfortunately suckered into paying inflated rates.
We will soon find out whether the ratio of above was 50:50 or even more lopsided towards the former group
FYI they no longer have a queen on their pesos.
I am of the opinion that they still do. Have you ever seen a photo of his soft hands? Probably doesn’t tie his shoe laces.
“his soft hands”
Never had a “job” a day in his life until age 74 when he became this alleged King, LOLZ.
They do indeed.
‘I’m seeing more price decreases to attract offers, and I’m also seeing more homes going to contract but getting bumped back to the market when something doesn’t work out,’ she continues. ‘I feel like sellers are now realizing there are no more bidding wars and they have to be more strategic’…Bregu says sellers will have more luck if they price their property right at the beginning. ‘You’ll get momentum to start with,’ she says. ‘You have to be realistic now. If homes that cost less than yours aren’t moving, you probably have to drop the price. Sellers aren’t in a hurry to do that,’ she says. ‘But the sooner they understand it, the faster their home will sell’
That’s the spirit Kristina! Push that urgency to give it away.
‘Home Builders Action Group chairman Jason Janssen said post-COVID stimulus measures intended to keep the industry afloat have instead contributed to the issues now putting pressure on construction companies. But Commerce Minister Sue Ellery said the government was not at fault for trying to turbocharge the industry. ‘We did not require builders to take on more than they had capacity to deliver,’ she said. ‘That was a commercial choice that some of them made. Some companies deliberately put a limit on how many contracts they would sign based on what they knew was their capacity at the time. I don’t think we can blame anyone. It was an extraordinary set of circumstances’
Australia and K-da are real estate ponzi schemes run by guberments and central banks Sue. All ponzi schemes collapse.
Florida is finished
https://finance.yahoo.com/news/suze-orman-decided-drop-homeowners-170348577.html
“Suze Orman Decided To Drop Homeowners Insurance After An Outrageous Quote: ‘$28,000 For A 2,100-Square-Foot Condo. Are You Kidding Me?'”
Wonder what the HOA does about their common areas?
‘Babies have been born in tents. There’s a secret food bank that school teachers – and others – visit. Families are sleeping in the woods. The lure of Sedona’s red rocks and crystal shops tends to eclipse an unfortunate truth— a growing number of people who work in Sedona can no longer afford to live here. The average home price in Sedona is $944,879 — nearly double what it was 4 years ago’
I don’t remember what the median was in the 2000’s peak but it was way lower than 900k. And when I moved there in 2004 rents were cheap and you could take yer pick.
‘Sedona Mayor Scott Jablow refuses to blame Sedona’s bustling tourism industry for the rise in prices. Instead, he points the finger at short-term rentals many out-of-towners stay in. According to the mayor, these properties make up almost 17% of Sedona’s housing inventory’
Just how bad do things have to get?
A quick look at Sedona on google maps shows that there is land far as the eye can see. Why can’t the workforce drive until they qualify, like everybody else does? It can’t be that hard to toss up some garden-style apartments in Cottonwood or Prescott.
Most of them already drive to the Verde Valley sh$tholes, and it’s not an easy commute. Prescott is way too far away. It’s surrounded by forest service land, state land, hardly used at all. IIRC 80% + of Arizona is locked up like that.
‘Sedona Mayor Scott Jablow refuses to blame Sedona’s bustling tourism industry for the rise in prices. JABLOW? Really? Let me guess, his first name is HAYWOOD?
‘It didn’t take very long for people to realize the sharing economy was basically a scam,’ explains Cox, who later went on to found data-sharing platform Inside Airbnb. ‘People weren’t using that car that was sitting in the driveway to drive Uber. And people weren’t just renting out a sofa or a spare bedroom.’ Instead, people saw an economic opportunity they could invest in. And they started buying whole homes to rent out on Airbnb’
I was blogging about this issue before airbnb existed. What was different then?
‘‘We were defeated in the ballot. Airbnb spent close to $10 million—they outspent us 20 to 1’
These silly con valley shysters used wall street money to bribe, sue and bully their way into markets all over the world and globalist scum media applauded it. You know who led the way? Obammie and his justice department.
Whole-home AirBnB should NOT be lumped in with the larger “sharing economy.”
Letting out an unused room in your house, or letting a friend use your car, or renting out your house the 3-4 weekends you’re not there is sharing economy. A second whole-home that you don’t use *at all* is not sharing economy — that’s a motel or a time share and should be regulated as such.
‘initially listed in November 2020 for $9.9 million, now begging for buyers at $3.75 million — a jaw-dropping 62% markdown. It remains on the market today. Homeowners desperate to escape the sinking ship are offloading their properties at losses, with many seeing their investments dwindle by hundreds of thousands of dollars in just months. A five-bedroom home at 478-480 Fourth Ave. sold for $1.1 million earlier this month, after selling less than a year prior for $1.6 million’
Are we there yet?
‘I do think that San Francisco probably has another five to eight years of mismanagement. I mean things are a mess out here and they don’t need to be. This could all be changed by the stroke of a pen’
Now who’s being naive Craig? Recall what people used to say: San Francisco will always be desirable, expensive and smug about it. Now it’s a literal sh$thole with shacks, airboxes and office towers sinking like a turd in a well.
90% off for office buildings would have gotten you laughed out of a room a few years back. I find it interesting that our current crash still isn’t being acknowledged by the MSM. From what I am seeing, the big one has already started it just isn’t common knowledge yet. We are officially in the phase where various retail chains are abruptly shutting down due to lack of new funding, a couple more happened this week. The crunch is on.
. ‘You have to be realistic now. If homes that cost less than yours aren’t moving, you probably have to drop the price. Sellers aren’t in a hurry to do that,’ she says. ‘But the sooner they understand it, the faster their home will sell.’”
About 1 in 10 will actually figure that out. The rest will allow emotion to set them up for the schlonging of a lifetime.
“A five-bedroom home at 478-480 Fourth Ave. sold for $1.1 million earlier this month, after selling less than a year prior for $1.6 million.”
That’s the sound of yesteryears stimulus vanishing like a fart in the wind.
🚨Biden Whistleblower Mike McCormick (@JoeUnauthorized) unveils the CIA was behind the release of Covid:
“The CIA, in my opinion was behind it—they set up this research alliance with China.”
https://twitter.com/bennyjohnson/status/1782594476591960252
100% safe and effective?
Two weeks to flatten the curve. We’re all in this together. Pull the mask up over your nose. Stand on the stickers on the ground six feet apart. Et cetera.
And my favorite was in May-June 2020 when our betters informed that “racis’ is a bigger threat to public health than the covids” while Sturgis bike rally two months later was evil Drumpf grandma killers.
Greatest FRAUD of my lifetime.
Offloading properties.
Does this seem like a lot?
https://www.realtor.com/realestateandhomes-search/Seagrove-St.-Augustine-Beach_St.-Augustine-Beach_FL?view=map&pos=30.457237,-86.449386,30.33286,-86.285278,13&qdm=true
Interesting, so there are TWO St. Augustines in Florida? One on the panhandle and other on the Atlantic. And yes, that is a seriously high density of For Sale signs!
A reader sent these in:
California has devoted $24 billion to homelessness programs the last 5 years. Since 2019, homelessness rose by almost 20% to more than 181,000. The state audit showed the California Interagency Council on Homelessness hasn’t maintained financial tracking since 2021, per BBG.
https://twitter.com/unusual_whales/status/1782737935886155912
Not only is supply of new homes the highest since 2008, it’s the highest outside of 2005-2008… ever
https://twitter.com/artimidore/status/1782837362768142477
Don’t worry guys, the robotaxis are coming next year! Just like 2019!
https://twitter.com/eliant_capital/status/1782901792663097840
2016 too!
https://twitter.com/eliant_capital/status/1782902679649259772
This is an earnings call of someone doing everything they can to pump the stock, because if they don’t, Morgan Stanley will be knocking on the door saying margin is here
https://twitter.com/eliant_capital/status/1782897599898395081
Companies are going all-in on AI: During the Q4 2023 earnings season, a record 36% of S&P 500 companies mentioned “AI.”
In other words, ~180 companies from the index mentioned “AI” during earnings, up from ~155 in Q3.
Just 4 years ago, less than 10% of S&P 500 companies were mentioning AI.
Due to AI-hype, the S&P 500 has already hit 22 all-time highs in 2024.
Since ChatGPT came out, the S&P 500 has added $10 TRILLION in market cap. AI is changing the world.
https://twitter.com/KobeissiLetter/status/1782823151186919529
Tesla’s Head of Investor Relations has resigned following the earnings call
What a casino 🤡
https://twitter.com/MacroEdgeRes/status/1782939347739627912
AU10yr
The 11 trilion housing bubble about to get a lesson in humility .📖
https://twitter.com/great_martis/status/1782954002029907970
Mother Mary of Bethlehem
Ladies and Gentlemen we can kiss rate cuts goodbye and we welcome rate rises .
https://twitter.com/great_martis/status/1782947799715508463
US30yr Update :✍️ Over the weeks this isn’t going to be good news
https://twitter.com/great_martis/status/1782891367728816507
This rat has done more to reduce inflation than the politicians and IRS.
https://twitter.com/AnarchoXP/status/1782944798480965736
Charleston SC market still on fire, what gives ?
lived there many years ago..i always said it will be a great place to live when tens of thousands of northerners take over.(really redneck) Loved sullivans island. the beaches were empty during week but jammed on weekends. IOP same
[This post is for Housing Wizard.]
“They Think There Are Too Many Of Us On The Planet” – Alex Newman Warns Of Tyrannical UN Plans For Our Future
https://www.zerohedge.com/geopolitical/they-think-there-are-too-many-us-planet-alex-newman-warns-tyrannical-un-plans-our
Award-winning journalist Alex Newman, author of the popular book “Deep State” and the new best-selling book called “Indoctrinating Our Children to Death,” says the UN’s quest for total tyrannical control of your life is coming sooner than you could imagine.
Newman explains, “The bigger story here that people are not paying attention to is the UN is coming together in September… and they are having ‘The Summit of the Future.’ ”
“They are telling us they are going to bring out radical drastic reforms in the structure of the UN… and the power of the UN. Think of it as the biggest power grab ever at the global level. The Secretary General of the UN (António Guterres) has put out briefs where he is calling for the UN to be the one world global dictatorship with him at the helm. In emergencies, the UN would have all power in emergencies and have all power to oversee emergency response…
They say the crisis could be a climate crisis, an economic crisis, environmental crisis, pandemic crisis, black swan crisis or maybe something from outer space. So, basically, anything could be a crisis, and when the Secretary General declares a crisis, all power and authority would go to the UN. This is like a blank check on the wealth and liberty on every person on the planet, and this is coming soon. It is imminent. This is coming in September at the UN, and it is a power grab of historic proportions.
They know their time is short, and they are going for the big enchilada here. This is really a summit for a tyrannical future…
They want control of every aspect of your life.”
If you think the “depopulation” or murder program by the Deep State is some sort of conspiracy theory or myth, think again. Newman says:
“One of the interesting things about going to the UN conferences is they are totally open and totally transparent about the fact that they think there are way too many of us on this planet.
We are taking up their space and consuming their resources. They say this openly.
They say there are way too many people having way too many babies, and we have to drastically cut back on the number of people on the planet. They have a whole agency dedicated to this called the UN Population Fund.”
One sure fire way to kill a lot of people in a short amount of time is war. Newman says:
“They have understood, the globalists, the Deep State, the evil doers and the sick cabal, have understood for a very long time that war was the best mechanism for bringing about their totalitarian one world government.
This is not speculation on my part. This is what they say. Their game plan is war, famine, energy crisis and economic crisis. These are all tools and catalysts for accelerating this agenda.
If millions of people die in a third world war, and it does not matter if it is Iran and Israel, or China and Tiawan, or Ukraine and Russia, it really does not matter, they want millions and millions of people dead so people will give up their attachment to the nation state, self-government and individual liberty and give up anything, money or freedom, anything to make it stop.”
Don’t lose hope because Newman also talks about all the things you can do to not comply with tyranny.
Newman also points out what state and local governments can do and are doing to resist this UN total control of everything. Newman says, “We are at war, and everyone needs to put on the full armor of God.”
Oh the humanity!
Bloomberg
US 30-Year Mortgage Rate Rises to Five-Month High of 7.24%
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US 30-Year Mortgage Rate Rises to Five-Month High of 7.24%
Michael Sasso
Wed, Apr 24, 2024, 4:35 AM PDT
1 min read
(Bloomberg) — US mortgage rates increased to the highest level in five months, pushing down home-purchase applications for the fifth time in the last six weeks.
…
You will own nothing
YOU will own nothing .
The raw math is scary – but will buyers actually work it out themselves. For a $600K home with a $500K mortgage
1. 7.24% @ 30 yr fixed is $1.227M in amount paid, of which $727K is interest with a monthly morgage payment of $3407
2. Just a little while ago @ 4.5% – Total amount was $912K, of which $412K is interest with a monthky of $2533
This is before the increases in property taxes, utilities and insurance.
You can purchase a 3,000 sq/ft home in Moss Point, MS for only 58K, perhaps even less. I suspect the current investor has changed their mind and is on the hunt for a GF.
https://www.zillow.com/homedetails/3813-Dearman-Ave-Moss-Point-MS-39563/78004924_zpid/
Another reno-flipper who gave up. You can see some new wood and unused insulation. Not worth it.
Sorry, the days of buying a cheap house and flipping it with a coat of paint and bath-fitter are over. IMO 90%* of fixer-uppers would cost more to fix than to just raze and plunk down a prefab on a slab.
————
*the other 10% have either historical significance or outstanding period architecture.
Cities’ “Doom Loops” Are Even Worse Than You Imagined
This is why those who understand these dynamics are getting out, even though the city was their home.
https://charleshughsmith.blogspot.com/2024/04/cities-doom-loops-are-even-worse-than.html
A correspondent who prefers to remain anonymous sent me this account of the “doom loop” that is playing out in many American cities. The correspondent makes the case that the Doom Loop is not limited to specific cities, but is a universal dynamic in all US cities due to the core causes of the Doom Loop: financialization and the multi-decade decay of cities’ core industrial-economic purpose / mission.
I have edited the text slightly, with the correspondent’s approval.
The context of the Doom Loop is the process and politics of this decay are the second-order results of central bank easy money (free fiat). That led to financialization becoming the city’s core function and the subsequent loss of the city’s previous mission. The people living in cities just haven’t gotten the message yet.
As such, there is no reversing the process until the centralization of capital itself is reversed.
The typical media articles on metropolitan “doom loops” make it seem like not every city is headed down the path. Now that financialization does not require a physical presence, every city above a certain size will share the same experience. There will be local variations which impact the trend, such as a potential utility as a large pool of voters (i.e. a vote farm), but the decline is part and parcel of financial ‘virtualization.’
It is inevitable.
Even hosting one of the twelve central reserve banks won’t save you.
The process when a city loses its purpose but persists due to inertia follows this basic pattern:
1. Corporate consolidation costs the city its financial base as Fortune 100 corporations are sold to conglomerates closer to the centers of finance.
This is one more second-order effect of easy money: global corporations can easily finance the acquisition of multi-billion dollar companies.
2. In the past, cities received huge government subsidies for re-development, but none for ongoing maintenance. All the redevelopment projects looked great at first, but with little funding for maintenance, they’ve gone downhill and many are now dangerous.
Today, the only redevelopment is done by the billionaire class who make most of their money from (surprise) finance. Once the billionaire loses interest, it’s gone, too.
I would rather find myself in a developing-world city than an American downtown, at least there would be people around. Many American downtowns are literally apocalyptic.
3. Major league sports are increasingly an exercise in force protection. It’s like going inside a forward firebase in Iraq. People still get shot in the stands from guns fired outside the bubble. Unsurprisingly, some major league teams are exploring space outside the cities despite their stadiums being only 20 years old.
4. When federal agencies build new facilities, they’re essentially fortresses with direct entrance/egress from the highway. They add little to nothing to the surrounding economy.
5. Real estate, sales and personal property taxes in cities are typically the highest within the state. As tax revenues decline, cities’ political leaders increase business taxes and start floating ideas such as taxing non-profit organizations: a financial death spiral indeed. Should taxes increase, organizations and companies have said they will leave.
6. In the industrial economy, the core purposes of cities were derived from advantageous locations and key transportation assets (first water, then rail, then roads, and later aviation). In the information age, those benefits are diminished or gone. As a result of their transportation advantages, cities became manufacturing and warehousing hubs. Those too are diminished or gone.
7. Cities have lost their core economic purpose and are choking on their high legacy costs. The proposed substitute purposes–entertainment and bourgeois lifestyles–are not true substitutes. Fine dining and secure condos with delivery do not replace actual economic functions.
8. Making matters worse, the upper-middle class doesn’t want affordable housing in their enclaves, as it lowers property values. So the workers needed to keep the city functioning can no longer afford to live there. Yes In My Backyard (YIMBY) movements to promote affordable housing are not enough.
9. Much of the politics the media focuses on are a consequence of decline, not a cause, and the net result of all the in-fighting is some version of stasis: all sorts of solutions are proposed, but since none address the core sources of decline or the cities’ high legacy costs, they boil down to rearranging deck chairs on the Titanic.
This is why those who understand these dynamics are getting out, even though the city was their home.
[I think point 6 is particularly interesting …]
6. In the industrial economy, the core purposes of cities were derived from advantageous locations and key transportation assets (first water, then rail, then roads, and later aviation). In the information age, those benefits are diminished or gone. As a result of their transportation advantages, cities became manufacturing and warehousing hubs. Those too are diminished or gone.
Cities are still desirable for economic convenience and economies of scale. In a perfect world most people would prefer to have a secluded spot with lots of land far away from the city but it’s not as rosy as it sounds in practice unless you are independently wealthy.
Regarding smaller towns near a city, the infrastructure is actually more expensive per person to maintain. In practice it varies due to various factors but it’s not necessarily cheaper and can be significantly more expensive for the individual customer.
As an example, getting power run out to a remote location is very expensive. One or two families shouldering the cost winds up costing them way more than if 100 families were paying it even if the contractor charges less than they would charge in the city.
It sounds great, let’s all run off to the woods and WFH but it isn’t necessarily easy and the commutes can get very tiresome.
I suppose this would be a good place to post my story…we only lasted seven months:
Farewell to Slam Diego: It is a shame. It’s a beautiful coastal city. Great weather and beaches…but that’s about it. Rent was ‘cheap’ (for the area) and the airbox is nice, but step outside and it’s depressingly grim. And it’s everywhere. Rows and rows of homeless tent encampments scattered all over. Very sad and distressing. Got fined 500 bucks for smoking on our balcony.
Downtown is usually empty (barring a Padres baseball game) except for the dazed, beaten, stumbling, mumbling, screaming, crazy, lazy, addicted, disenfrachised, old, downtrodden physically impaired or of any combination, camped out with nothing but a tent or blanket and wandering aimlessly with only one shoe on, zombified. They have taken over. Not even mentioning the sixty thousand new illegal invaders that call the place theirs now.
A couple of bad choices or just bad luck and it could have been me violently ranting while sifting through the trashcan that someone dug through five minutes ago…while urinating.
Not much traffic in downtown either aside from the constant ambulance sirens heading to pick up bodies from overdoses mostly, i’m fairly certain.
The rich, retired, or struggling people with a job, trust fund kids, all holed up in their airbox, dreading to go grocery shopping pretending to be happy and unfazed while trying to ignore the dystopia and the pile of human feces outside their front door. It’s the new normal. Get used to it FGS!
Teachers, hospital workers, cooks, clerks, office people, Uber drivers. Just normal working citizens barely keeping their head above water…maybe one paycheck away from homelessness themselves.
Not thriving at all.
We were so happy to get the fuque outta there.
Adios Slam Diego. Via con dios.
“…we only lasted seven months:”
Good thing you didn’t buy a house!
Spring break in the third week of April?
54 spring breakers arrested in Savannah bash amid booze-soaked brawls, beach flooded with trash (4/24/2024):
“The party was over for dozens of party animals amid an out-of-control, booze-fueled spring break bash in Savannah, Ga. last weekend.
Tybee Island police arrested 54 rowdy spring breakers and issued 116 citations during the massive “Orange Crush” beach rager at the tourist hotspot.
Authorities also recovered three stolen firearms and a stolen vehicle during the island festivities.
Two women were caught on video duking it out on the beach over the weekend, resulting in both their bathing suit tops appearing to fly off their bodies, drawing a strong reaction from the crowd.
Multiple clips posted online from the weekend showed both men and women crowding a boardwalk as fights continued to erupt.
In addition to the violence, Tybee Island officials say there was enough trash left on the beach Saturday to fill more than 10 all-terrain vehicle carts.”
https://nypost.com/2024/04/24/us-news/georgia-spring-break-leads-to-54-arrested-in-savannah-during-beach-bash-amid-booze-soaked-brawls-beach-flooded-with-trash/
Savannah State’s spring break was from March 16th to 22nd.
“Spring break” must be one of those Associated Press Style Guide kind of things. Spring break in Miami seems to cover any mayhem from February into May.
“They’re not sending their best”
HBCU party central. Vibrant party!
Chris Olivarez
@LtChrisOlivarez
SPLASH DOWN!
Troopers on a high-speed pursuit in Webb County.
During the pursuit, the smuggler slowed down and allowed multiple illegal immigrants to bail out but accelerated, causing one of the illegal immigrants to sustain injuries to his head. The smuggler continued to evade and drove towards the Rio Grande.
The smuggler drove his vehicle into the Rio Grande and evaded apprehension by swimming to Mexico.
Troopers referred one illegal immigrant to the US Border Patrol. #OperationLoneStar
Apr 23, 2024
https://x.com/LtChrisOlivarez/status/1782834215001661660
Rudy W. Giuliani
@RudyGiuliani
🚨VIDEO: A REAL interview we had at NYU:
QUESTION: “Why are you protesting?”
PROTESTER #1: “I don’t know. I’m pretty sure there’s something about Israel [turns to other person] Why are we protesting?”
PROTESTER #2: “I wish I was more educated.”
PROTESTER #1: “I’m not either.”
Apr 24, 2024
https://x.com/RudyGiuliani/status/1783154103947862364
Markets like Austin, Texas, and Boise, Idaho, which saw big run-ups in prices during the pandemic are seeing big drops now, he added. In Austin, home values are down by 4.1% from a year ago, according to Zillow in its March 2024 market report.”
You need to add in the burdensome property tax rate in Travis county and Austin ISD as a sweetener for moving to Austin. Using their online calculator the taxes for a home worth $500k in the Austin ISD are $10,769. I’m sure that sends people flocking over to the Texas capitol city. That and the outstanding police protection that they get for their hard earned money. Never mind the tents and feces folks, we’ve got lots of live music!
‘In Austin, home values are down by 4.1% from a year ago, according to Zillow ‘
Which just means it’s still falling. It’s off 20% or more in the entire region they call Austin now since spring 2022.
As per the TAMU Texas Real Estate Research Center the average price of a home in Austin, TX went from $278,266 in 2011 to $707,304 in 2023. That’s a roughly 18% per year gain. I’m sure that everyone in Austin was getting 18% annual pay raises to keep up with the price increases.
> The April 18 sale comes after the tower’s former owner, Bridgeton Holdings, last year defaulted on a $45 million loan tied to the property.”
Silly banks and their silly nonrecourse debt. The developers ultimately have no skin in the game under this system, yet there it is and seemingly going nowhere. I’ve never understood it, doubtless there are reasons, but it is a fixed reward (at best) for an extreme downside.
Everybody was using and bragging about non-recourse loans a few years back. It was advertising for the lender and borrower. Both saying we’re betting it all on a one way ticket to easy riches. I have been asked, what makes a bubble pop and my answer is greed.
‘Part of the issue is that the lenders and the owners have no idea what these assets are worth right now,’ one individual said, explaining that the best way to measure the current value of a building is by putting a property up for sale. ‘Even the brokers have no idea’
That’s some sound lending right there.
‘Of course, we have some people who are very generous and realize that they could make $5,000 a month as a short-term rental,’ Jablow said. ‘[But] they realize the problem, and they are keeping it as workforce housing. Not everybody is looking to make a buck, as opposed to corporations coming in and buying a group of houses.’ Some of those corporations, Jablow said, have made offers $100,000 over asking price’
And they could get a fannie or freddie guaranteed loan Scott.
‘It’s been very stressful up until now, this whole three years … I reckon they’ve actually worked for four or five months in total on the job,’ he said. He said he was also ‘fed up’ with excuses that COVID or impacts to supply chains were to blame. ‘My advice in this climate is don’t build, go and find yourself something that’s almost what you want, and knock a few walls down’
That’s what they do on those reality TV shows customer. Seems strange to me.
Ok, so FDA saying Bird flu detected in Pasteurized Milk. Claiming a dairy worker in Texas got Bird flu.
And from what I understand they use the PCR test to detect the diseases they claim.
Also, talk of Joe Biden declaring a Climate Change emergency, giving him power as extensive as Covid 19.
So, given Covid 19 was not really a global panademic, and was basically given its teeth by testing people with the high false positive PCR test, they are again trying to get another pandemic going.
Firstly , the slaughtering of millions of chickens, that also lay eggs. Next, the claim that cows, who also produce milk have Bird flu.
Chicken, beef, eggs and milk and cheese and all the
food that is made from that is massive.
Take those foods away and what do you have left. Vegetables, grains, bugs, and fake food basically.
Take away fossil fuel , without a sufficient replacement , and you just have a disaster .
Using disasters emergencies as grounds to take over World and subject humanity to enslavement and deprivation has been launched by the One World Order Entities.
The article above by Alex Newman basically sums up the Globalist plan for a UN and WHO tyranny of the populations of the world based on the declared emergencies , which is just about everything.
It was determined way back in the 50s and 60s by the masterminds of Global take over , that concocted global emergencies would be used to take back the resources of earth from humanity, along with a depopulation agenda.
Who is being replaced?
White men with guns, that’s who. And who are the only demographic capable of resistance to, and overthrow of, tyrannical government.
300,000,000+ million guns. Your move, globalist vermin ☠️
Rough Days Ahead For GTA Condo’s (GTA Condo Real Estate Market Update)
Team Sessa Real Estate
28 minutes ago TORONTO
In this episode we take a look at the current GTA Condo Markets – Toronto, Vaughan, Richmond Hill, Markham, Brampton, Mississauga, Ajax, Whitby, Pickering for week ending April 17, 2024. We also take a deeper dive into the condo market and look at what’s making up all the inventory that is just sitting on the market.
https://www.youtube.com/watch?v=UIMUJkjSuwc
17:39.
At 12:20 only 4% of active downtown condos were sold.
Is the stock market’s recent swoon more dip buying opportunity or prelude to CR8R?
DOW FUTURES -0.23%
S&P 500 FUTURES -0.73%
NASDAQ 100 FUTURES -1.33%
Why the steep plunge in stocks in April means the bull market can push on
Jennifer Sor
Apr 23, 2024, 9:38 AM PDT
bull bear market
Malte Mueller/Getty Images
– The S&P 500’s recent sell-off is actually a sign the bull market is here to stay, according to Ken Fisher.
– Bear markets don’t typically start with a sharp correction, the market veteran told Fox Business Network.
– Investors may be too “fixated” on negative catalysts, like higher inflation, he added.
…
https://markets.businessinsider.com/news/stocks/stock-market-outlook-bull-market-inflation-fed-rate-cuts-election-2024-4
Stocks
Published April 23, 2024 12:04pm EDT
Stock market sell-off has ‘further to go,’ JPMorgan warns
JPMorgan issues gloomy forecast for US stock market
By Megan Henney FOXBusiness
Former Gartman Letter Editor Dennis Gartman and Walser Wealth Management President Rebecca Walser assess the impact of the Israel war on U.S. markets and discuss earnings as well as commodities on ‘Mornings with Maria.’ video
Stocks are overvalued right now, analyst warns
The recent slump in the U.S. stock market is likely to be the start of a deeper sell-off, according to JPMorgan strategists.
Although stocks rebounded at the start of the week, the market still faces a slew of macroeconomic risks, JPMorgan’s chief market strategist Marko Kolanovic wrote in a note on Monday. Those headwinds include dwindling expectations the Federal Reserve will cut interest rates this year, signs of sticky inflation and higher-than-average equity valuations.
“Price action may depend on earnings and could stabilize near-term,” Kolanovic said. “Beyond this, however, we think the sell-off has further to go. We remain concerned about continued complacency in equity valuations, inflation staying too hot, further Fed repricing, and a profit outlook where the implied acceleration this year might end up too optimistic.”
MORTGAGE RATES OVER 7% ARE THROTTLING HOMEBUYER DEMAND
…
https://www.foxbusiness.com/markets/stock-market-selloff-has-further-go-jpmorgan-warns
Finance
S&P 500 is at risk of crashing 44% — and selling early could pay off, says elite forecaster
Theron Mohamed
Apr 24, 2024, 7:42 AM PDT
Market crash graphic
Getty Images
– The S&P 500 is at risk of plunging 44% to around a four-year low, Paul Dietrich said.
– The top strategist explained that selling stocks well before they crash can yield outsized returns.
– Dietrich predicted a mild US recession this year based on multiple warning signs and threats.
…
https://www.businessinsider.com/stock-market-outlook-dietrich-bubble-crash-recession-dot-com-housing-2024-4
LIVE UPDATES | CONCLUDED
Meta earnings: Stock decline could wipe out about $200 billion in market cap
Facebook parent Meta Platforms reported first-quarter earnings after Wednesday’s closing bell. MarketWatch broke down the results live.
Apr 24, 2024 at 7:40 pm ET
Everything to know about Meta earnings
Meta Platforms Inc. shares saw sharp declines in Wednesday’s extended session as the company failed to live up to Wall Street’s high expectations for its first-quarter earnings report.
The company earned $4.71 a share in the period on revenue of $36.5 billion. It also forecast $36.5 billion to $39 billion in total revenue for the second quarter.
While Meta beat expectations with its latest results, investors perhaps wanted more from the Facebook parent company, which had seen its stock climb 39% so far this year, through Wednesday’s close. The midpoint of Meta’s revenue outlook was also below the consensus view of $38.3 billion.
Meta’s stock dropped about 15% in Wednesday’s after-hours trading, and analysts said a lack of upside on the sales outlook was one factor bothering investors. Another was that Meta boosted its capital-expenditure outlook for the full year as it increases spending on areas like artificial-intelligence infrastructure.
Meta now expects to shell out $35 billion to $40 billion on capital expenses, up from a prior outlook of $30 billion to $37 billion. It also narrowed the range of its total expense forecast for 2024. That’s now $96 billion to $99 billion, whereas it was $94 billion to $99 billion before.
The after-hours stock-price declines would translate to a loss of market capitalization near $200 billion if they hold through Thursday’s regular session. That would be one of the steepest one-day declines in market value for any U.S. company on record.
…
https://www.marketwatch.com/livecoverage/meta-earnings-facebook-q1-stock-results-expectations?mod=home-page
“And so what you have is an entire generation of homebuyers who have gotten used to 2.5% to 5%”
what a bullshit statement, rates were only this low for a year, complete BS lie from a worthless realturd.
If we keep rates higher for longer, then the new generation will be used to higher rates. Problem solved, just a small lag. And some people who thought their retirement was easily funded may need to pull on their bootstraps.