Jump to content
House Price Crash Forum
Sign in to follow this  

Housing Remains A Dead End

Recommended Posts

Posting this as it seems to sum up my thinking about the UK market. Worrying that $200 a month gets you $200k of debt and yet there are relatively few takers:


In real dollar terms from the point of view of a consumer, 1% is just not that much money. <$100 a month per $100,000 of mortgage. If that's all it took to crush the market, then what does that reveal about the market? In fact, I'd think if people were in a good position to support housing, the yield rise should be driving home sales as consumers try to lock in rates before they go up another 1%.

The housing recovery will hinge on a wage recovery for young Americans. Household formation needs to get back on track – but for the moment, as my multifamily REITs are signaling, renting is a favored option against homeownership among this generation. Household formation among the youngest citizens continue to opt for leases over mortgages

This comment seems to get it, as over 50% of US sales are cash buyers

Echoing my comment on the thread a few days ago, I think this year's housing bull market is for people with cash money. I think most ordinary folks would be hard pressed to come up with conventional or FHA down payment, especially since it has to be seasoned.
Edited by aSecureTenant

Share this post

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 404 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?

      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%

  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.