Congratulations to the Dow hitting 40,0000

[Sledog]

History says we'll see a deep housing price drop as well. Mine has gone up tremendously four to five times what I paid to build it but Idaho has been through booms and busts before they don't skyrocket taxes here because of that but there certainly was a pretty good increase. Most of that increase in housing prices and taxes was caused blue staters running here to escape. Real estate has cooled here but we'll see what summer holds. I own mine outright. No house payments here but I am financially illiterate according to some here.

 

[Bob_C]

History says we'll see a deep housing price drop as well. Mine has gone up tremendously four to five times what I paid to build it but Idaho has been through booms and busts before they don't skyrocket taxes here because of that but there certainly was a pretty good increase. Most of that increase in housing prices and taxes was caused blue staters running here to escape. Real estate has cooled here but we'll see what summer holds. I own mine outright. No house payments here but I am financially illiterate according to some here.

Yeah it is coming. It's completely unsustainable as it is now. The irony is that Bidenomics has reversed the way the market normally operates. As we all know high rates should bring lower prices, but are not do to supply constraints cause by the fast increase in rates. It's gonna be wild that when rates begin to drop, that prices are actually going to go down as well as pent up supply will go up dramatically. Totally healthy economy. Put that one on the scoreboard right now.

 

[thechatch]

The housing bubble is going to affect places like Marin Co, Atherton, Bellevue, and Calabasas somewhat, but appetite for that kind of RE will always exist.
It’s places like Camas, Riverside, and Modesto that will get absolutely crushed….

 

[HuskyBuck]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
And you can do what a lot of your colleagues did, sell that house move to another state, buy a house fully and pay 0% interest. Isn't it nice to have that option?
Not being a dick, just wanted to inform you in case you wanted to do just that.

 

[Bob_C]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Thanks for the finance lesson. My pretend equity has increased well over $1m in 12 years.

 

[BleachedAnusDawg]

History says we'll see a deep housing price drop as well. Mine has gone up tremendously four to five times what I paid to build it but Idaho has been through booms and busts before they don't skyrocket taxes here because of that but there certainly was a pretty good increase. Most of that increase in housing prices and taxes was caused blue staters running here to escape. Real estate has cooled here but we'll see what summer holds. I own mine outright. No house payments here but I am financially illiterate according to some here.

Yeah it is coming. It's completely unsustainable as it is now. The irony is that Bidenomics has reversed the way the market normally operates. As we all know high rates should bring lower prices, but are not do to supply constraints cause by the fast increase in rates. It's gonna be wild that when rates begin to drop, that prices are actually going to go down as well as pent up supply will go up dramatically. Totally healthy economy. Put that one on the scoreboard right now.

Prices are not going to drop. There is not nearly enough housing supply and new starts are declining right now. Rates drop = more buyers in the pool competing and bidding prices up again.

 

[Bob_C]

History says we'll see a deep housing price drop as well. Mine has gone up tremendously four to five times what I paid to build it but Idaho has been through booms and busts before they don't skyrocket taxes here because of that but there certainly was a pretty good increase. Most of that increase in housing prices and taxes was caused blue staters running here to escape. Real estate has cooled here but we'll see what summer holds. I own mine outright. No house payments here but I am financially illiterate according to some here.

Yeah it is coming. It's completely unsustainable as it is now. The irony is that Bidenomics has reversed the way the market normally operates. As we all know high rates should bring lower prices, but are not do to supply constraints cause by the fast increase in rates. It's gonna be wild that when rates begin to drop, that prices are actually going to go down as well as pent up supply will go up dramatically. Totally healthy economy. Put that one on the scoreboard right now.

Prices are not going to drop. There is not nearly enough housing supply and new starts are declining right now. Rates drop = more buyers in the pool competing and bidding prices up again.

Normally you are totally right. It'll be area specific for sure. But what about what is happening right now indicates that we are operating in a rational market, most would have thought that going from 2.5% to 7% mortgages would have cratered prices, but that didn't really happen.

 

[WestlinnDuck]

History says we'll see a deep housing price drop as well. Mine has gone up tremendously four to five times what I paid to build it but Idaho has been through booms and busts before they don't skyrocket taxes here because of that but there certainly was a pretty good increase. Most of that increase in housing prices and taxes was caused blue staters running here to escape. Real estate has cooled here but we'll see what summer holds. I own mine outright. No house payments here but I am financially illiterate according to some here.

Yeah it is coming. It's completely unsustainable as it is now. The irony is that Bidenomics has reversed the way the market normally operates. As we all know high rates should bring lower prices, but are not do to supply constraints cause by the fast increase in rates. It's gonna be wild that when rates begin to drop, that prices are actually going to go down as well as pent up supply will go up dramatically. Totally healthy economy. Put that one on the scoreboard right now.

Prices are not going to drop. There is not nearly enough housing supply and new starts are declining right now. Rates drop = more buyers in the pool competing and bidding prices up again.

Normally you are totally right. It'll be area specific for sure. But what about what is happening right now indicates that we are operating in a rational market, most would have thought that going from 2.5% to 7% mortgages would have cratered prices, but that didn't really happen.

Prices are set at the margin. There is still plenty of wealth in the country and the wealthy are doing well. Portland suburbs and Bend are doing well. My daughter has had three friends and two groups of friends parents move to Bend from the Bay area since covid hit. When the average working family can't move up due to the mortgage rate increase they stay put. So, you get a few sellers and a very thin market. That was true of mortgages in 2008. The Fannie Mae purchases of subprime mortgages at face value established the market for those loans. However, when the sellers became greater than the Fannie Mae purchases, the wider market resulted in the mortgage market blood bath. What can't go on forever, won't.

 

[Sledog]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Somehow I know how all this works. I used to have 8 rental homes around the country. I'm down to the last one. Been selling them off about 1 per year for tax reasons. But hey I did all this while HuskyCuck was in diapers. I like getting to pull the cash out now and I'm just done messing with them. Besides prices are up and I'm taking advantage. But then I am stupid and have no idea what I'm doing. Ask HuskyCuck. That dude needs to get laid. By a chick.

 

[RaceBannon]

I watched the Big Short again
Recommend

 

[Bob_C]

Good parallels to 2008, but sort of the reverse is happening interestingly. Currently, the people with real equity have no incentive, and a real disincentive, to sell which creates the lack of supply. Following 2008, the people that were broke and underwater were the ones who weren't selling because they couldn't. At least in the case of 2008, those people were forced out eventually which helped the market bottom out an eventually stabilize. In the current situation, what is the forcing mechanism to get us back on track to a normal market?

 

[EverettChris]

The housing bubble is going to affect places like Marin Co, Atherton, Bellevue, and Calabasas somewhat, but appetite for that kind of RE will always exist.
It’s places like Camas, Riverside, and Modesto that will get absolutely crushed….

Living in Montana, Bozeman within 5 years is going to be having a fire sale on existing houses if we are in any similar economic structure in the USA. Service workers are living in roaming RV communities the pricing is so bad and college students aren’t wanting to leave the dorms until forced out by incoming freshmen.
I’ll pick up a hot deal when I move back there from the less-desired “city” I’m in now here.

 

[HuskyBuck]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Thanks for the finance lesson. My pretend equity has increased well over $1m in 12 years.

Im glad youre informed again, after the fact. So you mean to tell me your house went from something like $600,000 to $1,000,000 and you're lamenting the days you didnt have that extra $400,000? Bob, you are trippin!

Fellas, there's no bubble. In 2006 banks were approving loans to peeps because of their obsession with Mortgage Backed Securities and no problems lending to people who had no business owning a house and predictably, those peeps started to fail making their payments. Tell me in your own words where this crash will happen in 2024. Everybody in 2024 is well above water with a healthy supply of would be buyers on the sideline. Any takers?

 

[RaceBannon]

lol

 

[HuskyBuck]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Somehow I know how all this works. I used to have 8 rental homes around the country. I'm down to the last one. Been selling them off about 1 per year for tax reasons. But hey I did all this while HuskyCuck was in diapers. I like getting to pull the cash out now and I'm just done messing with them. Besides prices are up and I'm taking advantage. But then I am stupid and have no idea what I'm doing. Ask HuskyCuck. That dude needs to get laid. By a chick.

Lol I know bro….you're good at picking stocks after they've already gone up and telling us about them afterwards lol.

 

[PurpleThrobber]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Thanks for the finance lesson. My pretend equity has increased well over $1m in 12 years.

Im glad youre informed again, after the fact. So you mean to tell me your house went from something like $600,000 to $1,000,000 and you're lamenting the days you didnt have that extra $400,000? Bob, you are trippin!

Fellas, there's no bubble. In 2006 banks were approving loans to peeps because of their obsession with Mortgage Backed Securities and no problems lending to people who had no business owning a house and predictably, those peeps started to fail making their payments. Tell me in your own words where this crash will happen in 2024. Everybody in 2024 is well above water with a healthy supply of would be buyers on the sideline. Any takers?

it’s the opposite of a bubble. People keep trying to tell you that.

Demand is not being propped up by cheap mortgages and loose underwriting.

 

[Sledog]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Somehow I know how all this works. I used to have 8 rental homes around the country. I'm down to the last one. Been selling them off about 1 per year for tax reasons. But hey I did all this while HuskyCuck was in diapers. I like getting to pull the cash out now and I'm just done messing with them. Besides prices are up and I'm taking advantage. But then I am stupid and have no idea what I'm doing. Ask HuskyCuck. That dude needs to get laid. By a chick.

Lol I know bro….you're good at picking stocks after they've already gone up and telling us about them afterwards lol.

Yeah 2006 was yesterday.

 

[HuskyBuck]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Thanks for the finance lesson. My pretend equity has increased well over $1m in 12 years.

Im glad youre informed again, after the fact. So you mean to tell me your house went from something like $600,000 to $1,000,000 and you're lamenting the days you didnt have that extra $400,000? Bob, you are trippin!

Fellas, there's no bubble. In 2006 banks were approving loans to peeps because of their obsession with Mortgage Backed Securities and no problems lending to people who had no business owning a house and predictably, those peeps started to fail making their payments. Tell me in your own words where this crash will happen in 2024. Everybody in 2024 is well above water with a healthy supply of would be buyers on the sideline. Any takers?

it’s the opposite of a bubble. People keep trying to tell you that.

Demand is not being propped up by cheap mortgages and loose underwriting.

That’s not the argument being made here, Throbber. Dumb EverettChris made his usual stupid statement that there’s gonna be a fire sale in Bozeman Montana.

 

[Bob_C]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Thanks for the finance lesson. My pretend equity has increased well over $1m in 12 years.

Im glad youre informed again, after the fact. So you mean to tell me your house went from something like $600,000 to $1,000,000 and you're lamenting the days you didnt have that extra $400,000? Bob, you are trippin!

Fellas, there's no bubble. In 2006 banks were approving loans to peeps because of their obsession with Mortgage Backed Securities and no problems lending to people who had no business owning a house and predictably, those peeps started to fail making their payments. Tell me in your own words where this crash will happen in 2024. Everybody in 2024 is well above water with a healthy supply of would be buyers on the sideline. Any takers?

Again, using your numbers, what exactly does $400k in equity get you if you have to buy something else in same area or a similarly priced area since all the similar or step up houses have gone up as well? You'd be far worse off cashflow wise. I thought you were a finance expert.

 

[Bob_C]

Hey Bob, you need a finance lesson. You will not pay a capital gains tax on the first $500,000 if you lived in the house 2 out of the last 5 years. If you did make more than $500,000 then you pay the long term capital gains on what's over that.
Not being a dick, just wanted to inform you in case you wanted to do just that.

Thanks for the finance lesson. My pretend equity has increased well over $1m in 12 years.

Im glad youre informed again, after the fact. So you mean to tell me your house went from something like $600,000 to $1,000,000 and you're lamenting the days you didnt have that extra $400,000? Bob, you are trippin!

Fellas, there's no bubble. In 2006 banks were approving loans to peeps because of their obsession with Mortgage Backed Securities and no problems lending to people who had no business owning a house and predictably, those peeps started to fail making their payments. Tell me in your own words where this crash will happen in 2024. Everybody in 2024 is well above water with a healthy supply of would be buyers on the sideline. Any takers?

it’s the opposite of a bubble. People keep trying to tell you that.

Demand is not being propped up by cheap mortgages and loose underwriting.

Exactly. It's not a bubble, it's a broken market with no volume. Limits economic mobility. Imagine the pay increase that would be required to move from SF to LA or something if you had to sell and rebuy a similar $2m house.