Comments 1 - 16 of 16 Search these comments
What are you trying to say? We're in a bubble right now? If so, how? No inventory.
$
GlocknLoad saysWhat are you trying to say? We're in a bubble right now? If so, how? No inventory.
A bubble means that the asset is overvalued. That is current price greatly exceeds its intrinsic value. For housing, generally that is tied to income where the median value of housing usually trades at 3 to 5 times the median annual household income. Locales like Silicon Valley are outliers because salaries / income / compensation is not representative for the average American household.
https://www.longtermtrends.net/home-price-median-annual-income-ratio/
Read Patrick K's book The Housing Trap.
Also this may help you to decide to rent or buy:
I think the economy is splitting in two. Average income will not be buying houses, they will be bought by the above average. Are homes being bought with incomes that are too low?
Has the NINJA NINA made an appearance yet?
"Shit! It's like somebody hit a piñata filled with white people who suck at golf..."
I think the economy is splitting in two. Average income will not be buying houses, they will be bought by the above average. Are homes being bought with incomes that are too low?
two professionals to make 150k each isn’t a problem in the Bay Area. 300k household income makes the 1.2M dollar condo not look so bad anymore
$300k is only $200k after taxes.
It's all about inventory boys, just watch that.
You can’t have a crash without inventory skyrocketing. And there is no inventory. There is demand however and historic low rates.
Eventually, this couple will figure out they spent the best 30 years of your adult life on the treadmill.
www.youtube.com/embed/TUG2BDsWgE0