Levels below 100 have only been seen 2 times:

    • 1989
    • 2006

    Both times it ended in a recession

    https://i.redd.it/92tm09w2mumd1.jpeg

    Posted by TuxForBux

    28 Comments

    1. Only-Reach-3938 on

      The main difference between 08 and now is that Blackrock are buying 10% of the housing market. They decide if it goes up or down

    2. The demand for alternative investments is driving this trend and as one of the fastest areas of growth in wealth management it paints a morbid picture for home affordability.

    3. Ima call this the Covid money crash. I worked in car sales during that time making $120k gross 2020-2023. Now I’m gonna commission out like 70k gross this year. But every one that worked at dealerships had 2 years of 6 figures tax returns and 5% a down payment. They not making their $3.5k mortgages anymore. Also people in trucking were making 10k a week And construction is dead rn. No more heloc to upgrade the house at these rates. Now massive tech lay offs?

      Welcome to the new era of real estate bag holders.

    4. four_digit_follower on

      I know what to do – more immigration, more tax advantages for everything real estate related, lower interest rates. That should do.

    5. What are these “points”? Another thing is that the chart starts at 1989, so it conviniently does not show the 80’ when mortgage rates were 15-20%

    6. EvictionSpecialist on

      Man… I remember when a SFH at $275K was BALLIN OUT OF CONTROL. this wasn’t even that far back in SoCal.. 1999/2000

    7. ExaltedStillness on

      Thank goodness the folks in Washington are talking about giving up to $20k in down payment assistance and California is doing the same – that will surely fix this problem!

    8. Can’t wait to see what a 25K first time home buyer’s credit will do to the market! Records are meant to be broken, am I right?

    9. That’s a major consequence of massive QE and ZIRP. Asset values are heavily driven by capital markets and the size of the monthly payment.

    10. Heavy_Track_6267 on

      I was thinking to buy house in Seattle this year. I need to rethink my idea now. Might get 20-30% discount in next 6 month

    11. Same in Italy, where an attending physician makes less then 40k of net income and a good house for a family in a big city is priced >400/450k

    Leave A Reply
    Share via