- May 12, 2022
- 7,964
- 6,391
- 1,938
Right now there’s about 1 million homes on the market in the USA. But usually around this time of the year there should be about 4 million homes on the market.
Whatever side of the isle one comes down on. This is certainly an issue. Whatever one might say about what they think about the economy this affects Americans across the country who want to buy a home and pursue the American dream. It is extremely frustrating for Americans, who have new families to look at high interest rates and high home prices …These are the kind of things that might get Trump back into office.
Right now interest rates on a home mortgage loan is around 6 1/2 to 7%. Down from his high is 8%. But still extremely high considering what many Americans are paying right now for their mortgage. under Trump mortgage loan rates were around 2 1/2%.
Another thing affecting our economy , are hospital costs, which have effectively doubled since 1995.
Patrick bet David brings this up on his podcast this morning. Showing us a few factors on why people are not selling or buying homes.
“A few factors why people aren’t selling or buying a house.
92% of Americans have a mortgage below 6% right now
61% are below 4%
23% have a mortgage below 3%
(source @DavidBahnsen)
So what would cause people to start selling & buying:
1. Americans running out of savings
Personal savings in
reached $686 Billion in 2022, the lowest figures since 2009.
2020: we had $3 trillion
2021: we had $2.5 trillion
2022: $686 billion
2023: $800 billion (as of April)
We went up slightly but as savings decreases, that panic could cause owners to sell at a lower price.
2. Unemployment.
It’s still at 3.6% ish and hasn’t gone up to the 10% many thought like it did in 2008.
The market expected unemployment to skyrocket if Powell kept increasing rates.
Hasn’t happened yet.
3. Congress has more power than Powell
Everytime Powell increased the rates to help address obsession the govt has with over spending the last 14 years with low interest rates, congress undermined it by delaying the time bomb that was coming to the next generation.
So will anything happen with a massive crash in real estate?
In certain pockets, maybe. But across the country, probably not.
Let the fake success economy continue.
No politician or majority of congress has the brass to actually do what’s best for.
Zero chance of getting elected let alone re-elected.
Our current structure with no term limits will hurt the next 2 or 3 generations.
Someone with brass who doesn’t care about pleasing the majority needs to take the lead.
But can that person get elected?”
Whatever side of the isle one comes down on. This is certainly an issue. Whatever one might say about what they think about the economy this affects Americans across the country who want to buy a home and pursue the American dream. It is extremely frustrating for Americans, who have new families to look at high interest rates and high home prices …These are the kind of things that might get Trump back into office.
Right now interest rates on a home mortgage loan is around 6 1/2 to 7%. Down from his high is 8%. But still extremely high considering what many Americans are paying right now for their mortgage. under Trump mortgage loan rates were around 2 1/2%.
Another thing affecting our economy , are hospital costs, which have effectively doubled since 1995.
Patrick bet David brings this up on his podcast this morning. Showing us a few factors on why people are not selling or buying homes.
“A few factors why people aren’t selling or buying a house.
92% of Americans have a mortgage below 6% right now
61% are below 4%
23% have a mortgage below 3%
(source @DavidBahnsen)
So what would cause people to start selling & buying:
1. Americans running out of savings
Personal savings in
reached $686 Billion in 2022, the lowest figures since 2009.2020: we had $3 trillion
2021: we had $2.5 trillion
2022: $686 billion
2023: $800 billion (as of April)
We went up slightly but as savings decreases, that panic could cause owners to sell at a lower price.
2. Unemployment.
It’s still at 3.6% ish and hasn’t gone up to the 10% many thought like it did in 2008.
The market expected unemployment to skyrocket if Powell kept increasing rates.
Hasn’t happened yet.
3. Congress has more power than Powell
Everytime Powell increased the rates to help address obsession the govt has with over spending the last 14 years with low interest rates, congress undermined it by delaying the time bomb that was coming to the next generation.
So will anything happen with a massive crash in real estate?
In certain pockets, maybe. But across the country, probably not.
Let the fake success economy continue.
No politician or majority of congress has the brass to actually do what’s best for
.Zero chance of getting elected let alone re-elected.
Our current structure with no term limits will hurt the next 2 or 3 generations.
Someone with brass who doesn’t care about pleasing the majority needs to take the lead.
But can that person get elected?”
