On Wednesday, May 5, 2021 at 10:45:46 AM UTC-4, Leon wrote:
On 5/5/2021 8:57 AM, Scott Lurndal wrote:
Leon lcb11211@swbelldotnet writes:
On 5/4/2021 9:48 PM, DerbyDad03 wrote:
On Tuesday, May 4, 2021 at 6:30:47 PM UTC-4, Leon wrote:
On 5/4/2021 10:09 AM, Scott Lurndal wrote:
Leon lcb11211@swbelldotnet writes:
On 5/3/2021 8:52 PM, wrote:
On Mon, 3 May 2021 18:10:26 -0500, Leon lcb11211@swbelldotnet wrote:
On 5/2/2021 2:43 PM, DerbyDad03 wrote:
What a crazy housing market this is! My #1 son and his GF just
found out that their offer has been accepted.
Here is how houses are being bought these days€¦
If the house appraises at the $410K level, they will end up paying $55K
(15%) over the listing price. Holy crap!
Not a good idea to buy a home for the time being. Prices are going
crazy and for no good reason. It is a fluke.
I thought you were.
Yes we were. No longer. The home we went into contract for in late
September, $365K is not welling for $430K. Almost 10K per month price
increases in the last 7 months.
Our home went up in value, in the past 7 months, from $232K to $274K.
There is a "reason". Whether it is good or not depends on whether you
are buying or selling.
Lack of supply, high demand.
Lack of supply was a temporary fluke. Building supplies are readily
available. Homes are being built at a record rate in my area. Demand
is up but supply has not been an issue since summer of last year.
While economics has a theory for supply and demand, this ain't that. It
is greed and demand. The builders are saying, lets see how much these
people will pay.
What's going on in your area might not be the norm.
The lack of supply appears to relate to both existing homes and building
supplies.
My son is a RE agent in Las Vegas. He tells me that they usually have a 6
month of supply of houses in their listings. Currently, it's less than a month.
He, my daughter and my other son have all been on the buying side of the
market in the last 6 months. NY, NV and IN. Finding a house wasn't easy in
any of those areas. They all paid a lot more than they would have just a few
years ago due to the lack of supply.
Now, as to building new, these articles were written in March 2021. They both
discuss a shortage of wood and the associated price increase of (and delay in)
getting a house built.
https://www.businessinsider.com/real...ruction-2021-3
https://www.wmbfnews.com/2021/03/29/...ces-skyrocket/
Well I am certain different locations will be different but in San
Antonio and Houston, there is no shortage of building materials. Never
really was except for a brief period last year, just like groceries were.
New homes/new neighborhoods are going up at a shocking rate. There is a
new neighborhood, being built by Meritage homes, across the street from
our subdivision. This was in the plans a couple of years ago, a 130
home community, buy there was just an empty field of grass in December..
Now there are streets and a model is going up along with 6 spec homes.
Another near by neighborhood that will likely have a thousand homes
started a couple of months earlier in October, also in a grass covered
field. The are probably 40 or 50 new homes in that location now. And
the one we were going to have a home built in has probably built 50
homes since October.
50 homes in the Houston metro area isn't even in the noise....
No kidding, the real number is probably 100 times that. I was just
talking about within a 5 minute drive from our home. You cannot drive
any where, in only the west Houston area, with out seeing 5~10 new
neighborhoods that were not there a year ago.
And I am not saying that our market for new homes is the hottest, just
that there is no shortage of materials to build these homes.
Record low inventory:
https://www.noradarealestate.com/blo...estate-market/
https://www.houstonchronicle.com/bus...p-15852599.php
"\u201cI\u2019ve got more buyers than I have homes to sell them,\u201d said Shad Bogany, a
broker associate with Better Homes and Gardens Real Estate Gary Greene in Houston. \u201cWe just don\u2019t have the inventory.\u201d"
Supply and Demand indeed.
Supply of new homes yes, supply of materials NO. So there is really no
reason for material prices to be as high as they are.
I curious as to why you continue to say that there is no shortage of materials,
when it's really easy to find current articles (like as of last week) that say that
there is. I'm asking, not arguing.
I'm not in the middle of it, so I only know what I read, which seems to dispute
your claim. What are you seeing/hearing/reading that indicates that there is
no shortage?
e.g.
https://investorplace.com/2021/04/lu...s-are-soaring/
In addition, while new homes are certainly being built, how much has the price
increased due to reported lumber shortages? I've seen numbers that range from
$16K to $24K on average.
I might be recalling this incorrectly, but weren't you going to build but changed your
mind due to the increased cost? (It may have been someone else)