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Kyle

Kyle

ULTRA-F###ING-MAGA!
PREMO Member
60K real estate deals called off in September

Redfin projects mortgage rates may not fall until early to mid-2023


Red-hot mortgage rates are giving home buyers and sellers cold feet. About 17% of homes that went under contract with real estate brokerage Redfin last month were called off.

"Demand is slumping due to surging mortgage rates, but prices are being propped up by inflation and a drop in the number of people putting their homes up for sale," Zhao said.
Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.94%. A year ago the rate was 3.09%. These rates have driven monthly housing payments for buyers up more than 50% compared to a year ago, according to Redfin.

www.foxbusiness.com

60K real estate deals called off in September

High mortgage rates are driving down home sales and dampening buyer competition as many potential buyers and sellers remain put in the real estate market, according to Redfin.
www.foxbusiness.com www.foxbusiness.com
 
RoseRed

RoseRed

American Beauty
PREMO Member
It's insane what is happening to the market. I see one-bedroom apartments renting for more than what my mortgage is!
 
Hijinx

Hijinx

Well-Known Member
I know a young man who has purchased a piece of land, a beautiful waterfront lot and it's already perked and cleared. He and his wife had every intention of building this year, but the price of lumber and the other things needed to build has become so great he has decided to wait in hopes that prices will come down.

We were living so good when Trump was President. Gas prices were down and there was no inflation, Russia and Ukraine were not fighting, the border was secure and getting even more secure. Then along came the Faucci Pandemic and we followed the Faucci science right down the toilet and then Biden was selected by the Democrats, and now here we are. Up chit creek without a paddle. I will be voting a straight republican ticket in November. Not that republicans are so much better, but because Democrats are so much worse.
 
H

HemiHauler

Well-Known Member
If someone is calling off their real estate purchase because of high rates, they were trying to buy far too much house.

Rates need to go up more and stay there for a looong time to bring home prices back into this stratosphere. Get used to it.

It's almost like you people think you have a natural right to cheap money in perpetuity.
 
H

HemiHauler

Well-Known Member
And then - when rates are low, you complain about the price of houses!

It's almost like you people don't understand a thing about economics.
 
Kyle

Kyle

ULTRA-F###ING-MAGA!
PREMO Member
HemiHauler said:
And then - when rates are low, you complain about the price of houses!

It's almost like you people don't understand a thing about economics.
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Not nearly as much as you. :jet:

You were that panhandler on the subway this morning decked out in pink hightops, a BLM t-shirt and a spongebob backpack, weren'cha? :jet:
 
StadEMS3

StadEMS3

Well-Known Member
PREMO Member
My nephews bank just told him he no longer qualifies for the home that he is currently having built due the debt to income ratio with the interest rate now up to 7.25%! When he started the process, it was around 3.5%. The house was scheduled to be finished in mid-December.... The sad part is he sold his previous home and is living in a small apartment with his wife, 2 kids and 3 dogs while it was being built. They don't know what they are going to do...
 
Gilligan

Gilligan

#*! boat!
PREMO Member
StadEMS3 said:
My nephews bank just told him he no longer qualifies for the home that he is currently having built due the debt to income ratio with the interest rate now up to 7.25%! When he started the process, it was around 3.5%. The house was scheduled to be finished in mid-December.... The sad part is he sold his previous home and is living in a small apartment with his wife, 2 kids and 3 dogs while it was being built. They don't know what they are going to do...
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ouch!!
 
H

HemiHauler

Well-Known Member
StadEMS3 said:
My nephews bank just told him he no longer qualifies for the home that he is currently having built due the debt to income ratio with the interest rate now up to 7.25%! When he started the process, it was around 3.5%. The house was scheduled to be finished in mid-December.... The sad part is he sold his previous home and is living in a small apartment with his wife, 2 kids and 3 dogs while it was being built. They don't know what they are going to do...
Click to expand...

Probably lots of nuance missing here. Most lenders want DTI ratio around 35% or below.
 
Kyle

Kyle

ULTRA-F###ING-MAGA!
PREMO Member
HemiHauler said:
Probably lots of nuance missing here. Most lenders want DTI ratio around 35% or below.
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OK Everybody. Grab a cup of coffee and sit down so Warren Buffett here can enlighten us all!


:coffee:


We're all ears here Mr Stein. :snacks:
 
StadEMS3

StadEMS3

Well-Known Member
PREMO Member
HemiHauler said:
Probably lots of nuance missing here. Most lenders want DTI ratio around 35% or below.
Click to expand...
Yes, materials cost went up raising the price of the house, many delays in building, and a single military income. When it all started he was close to DTI., but the bank said good to go for a VA loan. Did he buy close to his limit for his "dream home" for his family on verge of making E8, you bet he did, but he's an adult and will need to figure it out. At least he has a roof over his families head for now.
 
Kyle

Kyle

ULTRA-F###ING-MAGA!
PREMO Member
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