This may be a bit too simple for most of you but if you don't mind sharing a lesson or two. Here is my question: It occurred to me that we have recently arrived at a time that most buyers dream of. The synchronicity of falling prices, increased inventory, and very low interest rates. It was the exact dream I had when I began the hunt in 2007. I'm not arguing the exact moment or the exact numbers... [more]
This may be a bit too simple for most of you but if you don't mind sharing a lesson or two.
Here is my question:
It occurred to me that we have recently arrived at a time that most buyers dream of. The synchronicity of falling prices, increased inventory, and very low interest rates. It was the exact dream I had when I began the hunt in 2007. I'm not arguing the exact moment or the exact numbers just generalities. I now see that rates are on the rise. Is there a 'magical' graphical moment in residential RE when a raising interest rates has a profound effect on closing prices yet have not risen so high that it the purchase is no longer an attractive idea?
The concern is that the bears are right and prices fall again but the rates make it prohibitive to borrow.
I remember being in High School when rates were 16% to 18%. I'm not really talking about rates that high but you get the idea.
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Response by Riversider
over 15 years ago
Posts: 13573
Member since: Apr 2009
I'd follow that with a lesson in behavioral psychology. People say they like to buy low and sell high but the reality is far different, they like to buy in a rising price environment.
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Response by w67thstreet
over 15 years ago
Posts: 9003
Member since: Dec 2008
Falco, yes apparently the same riversider advice which gave you the bubble!!!!!! Iz what you should follow now!
Falco. If you got ballz, 18% means $500k c6 on 5th ave and 80th. Funny, riversider advice works in reverse too, financial ninnies capitulate exactly at the worst Fking time. The greatest buys will be for your downpayment amount in 2007. Shave your nutz brother, the fun games are about to begin!!!!
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Response by dwell
over 15 years ago
Posts: 2341
Member since: Jul 2008
>synchronicity of falling prices
IMO, prices may be falling, but haven't fallen enough. I've seen some prices fall to 2005 levels, but 2005 was a bubble year. Also, I've seen many prices above 2005 levels, but below 2007/8 levels. Thus, IMO, prices still bubbly. Then, add in higher mtg rates.
Sorry, can't answer your main qu.
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Response by falcogold1
over 15 years ago
Posts: 4159
Member since: Sep 2008
Just called my broker with w67 advice.
She said she would gladly shave my balls if I would be kind enough to stop at duane reade first to pick up her Parkinsons meds.
Oh boy we're going shopping!
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Response by w67thstreet
over 15 years ago
Posts: 9003
Member since: Dec 2008
May you score the big one! My one hit wonder. :) use the force, bid multiple units, act Mad!, demand weird concessions!, use the north korean method of negotiations! At closing ask for a blow job!
I'd follow that with a lesson in behavioral psychology. People say they like to buy low and sell high but the reality is far different, they like to buy in a rising price environment.
Falco, yes apparently the same riversider advice which gave you the bubble!!!!!! Iz what you should follow now!
Falco. If you got ballz, 18% means $500k c6 on 5th ave and 80th. Funny, riversider advice works in reverse too, financial ninnies capitulate exactly at the worst Fking time. The greatest buys will be for your downpayment amount in 2007. Shave your nutz brother, the fun games are about to begin!!!!
>synchronicity of falling prices
IMO, prices may be falling, but haven't fallen enough. I've seen some prices fall to 2005 levels, but 2005 was a bubble year. Also, I've seen many prices above 2005 levels, but below 2007/8 levels. Thus, IMO, prices still bubbly. Then, add in higher mtg rates.
Sorry, can't answer your main qu.
Just called my broker with w67 advice.
She said she would gladly shave my balls if I would be kind enough to stop at duane reade first to pick up her Parkinsons meds.
Oh boy we're going shopping!
May you score the big one! My one hit wonder. :) use the force, bid multiple units, act Mad!, demand weird concessions!, use the north korean method of negotiations! At closing ask for a blow job!