It’s hilarious. The inventory and transaction volume has been lower for months now. The early takes on it were doomer headlines focusing on the drop in transaction volume as if it was ominous. Now they are finally realizing there’s so little inventory that home prices are increasing. Inventory is at 2020 levels when covid made people afraid to let others into their home and sell it. I guess the RE doomers miscalculated this one by a little bit.
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DCB? I remember the DCB in 2009 then dip again in 2010 to 2011.
I doubt it unless we see a surge in inventory to drive prices lower. We don’t have all the ARM and low-quality borrowers this time. People actually had to qualify to buy a home.
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Limited housing supply begets limited housing for sale supply. If there is nothing to buy then sellers will stay put. There is historically low supply. Interest rates are one component. The other is limited new building construction. High costs of development and construction. And of course nimby legislation nationwide with restrictions on development
For Austin, in matured neighborhoods where there are hardly any new construction, prices (including luxury) are climbing up whereas prices in new neighborhoods with new construction are still declining, much slower though. Since there are hardly any new construction in Bay Area, I expect prices are moving up… check Zillow, estimated prices of my CU SFHs are climbing up.
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Biden will solve that problem when he opens up the floodgates this week
By definition, middle class is always around.
Top 15%
Middle 70%
Bottom 15%
Listen to the video. California taxes are systematically destroying the middle class to benefit the poor. A national problem.
Regardless, middle class is still middle class. Just become poorer.
Some define it as a range above and below median income, so the number of people within it changes.
Lesson: poor is now a little less poor but middle is poorer so you need to be rich to stay in the middle.
BTW I think regulation is a far greater factor in killing the middle class than taxes. I’m replacing a 4 year old refrigerator (Whirlpool) and while that’s a bit unusual replacing them at 8 to 10 years now isn’t. They used to last 25-30. It’s because of energy “efficiency” standards which, on net, likely cause more environmental damage than they prevent as well as kicking the middle class in the teeth.
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Speaking of energy efficiency and the cost…
We’re literally trading one type of pollution for another.
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Lol, 1.2% is a massive drop? Did you even watch the video or just post because of the headline?
The world is coming to an end… news at 11