Economic Fallout

While there is reams of post about the stock market but very few about real estate.

https://tiny.url.com/13-year-high

The article centers around real estate values reach an all time high just before the Virus outbreak. It's really poor timing for those that bought a house, prices will fall as fast as the market.

Now for my personal observations living in Las Vegas during the last downturn. When I moved to Las Vegas it was the fastest growing city in the states for 10 years. Over 1,000 people a week were moving to Las Vegas. Real Estate prices were jumping thousands of dollars per month. Much of this fueled by California residents moving to Las Vegas, they would sell their million dollar homes in CA and buy the same or better in Vegas for $350 K and on top of that low real estate taxes and no state income taxes.

People were flipping houses, everyone was doing it, the bigger fool theory. (Be foolish for buying it, but sell it to a bigger fool)

Then the housing crash, $350 K houses bottomed out at $150 K. I've seen $200 K condos drop to $50 K.

After the housing crash prices went up as fast as they came down. I had a job that involved picking up contracts from a large national home builder. Their home office wanted receipt of the contracts from their various developing communities, approximately 13 communities. First they built the models, within a year they were sold out (thousands of houses) and new communities were developed.

Their contract pickups went from two days a week to four days a week. The houses ranged from $250 K to $400 K. The sales people were earning 1 1/2 % commission.

Lightning strikes twice, for those that are bold enough to get into real estate, missed the first time? Now you have a second chance.

W9XR :

While there is reams of post about the stock market but very few about real estate.

https://tiny.url.com/13-year-high

The article centers around real estate values reach an all time high just before the Virus outbreak. It's really poor timing for those that bought a house, prices will fall as fast as the market.

Now for my personal observations living in Las Vegas during the last downturn. When I moved to Las Vegas it was the fastest growing city in the states for 10 years. Over 1,000 people a week were moving to Las Vegas. Real Estate prices were jumping thousands of dollars per month. Much of this fueled by California residents moving to Las Vegas, they would sell their million dollar homes in CA and buy the same or better in Vegas for $350 K and on top of that low real estate taxes and no state income taxes.

People were flipping houses, everyone was doing it, the bigger fool theory. (Be foolish for buying it, but sell it to a bigger fool)

Then the housing crash, $350 K houses bottomed out at $150 K. I've seen $200 K condos drop to $50 K.

After the housing crash prices went up as fast as they came down. I had a job that involved picking up contracts from a large national home builder. Their home office wanted receipt of the contracts from their various developing communities, approximately 13 communities. First they built the models, within a year they were sold out (thousands of houses) and new communities were developed.

Their contract pickups went from two days a week to four days a week. The houses ranged from $250 K to $400 K. The sales people were earning 1 1/2 % commission.

Lightning strikes twice, for those that are bold enough to get into real estate, missed the first time? Now you have a second chance.

Singapore may have to wake up to an even larger horror story!
This is going to get very painful for the many who over invested in real estate!
Well in a way you are right!...New home hunters will benefit everywhere once we come out of this "Ice Age"  :/

Here is a list of the top few countries with the most national debt:

Belgium (National Debt: €399.5 billion ($456.18 billion USD))
United States of America (National Debt: $19.23 trillion (USD))
Spain (National Debt: €1.09 trillion ($1.24 USD))
Singapore (National Debt: $350 billion ($254 billion USD))

& This related article!

https://www.google.com/amp/s/amp.ft.com … 12ae7fd32b

manwonder :
W9XR :

While there is reams of post about the stock market but very few about real estate.

https://tiny.url.com/13-year-high

The article centers around real estate values reach an all time high just before the Virus outbreak. It's really poor timing for those that bought a house, prices will fall as fast as the market.

Now for my personal observations living in Las Vegas during the last downturn. When I moved to Las Vegas it was the fastest growing city in the states for 10 years. Over 1,000 people a week were moving to Las Vegas. Real Estate prices were jumping thousands of dollars per month. Much of this fueled by California residents moving to Las Vegas, they would sell their million dollar homes in CA and buy the same or better in Vegas for $350 K and on top of that low real estate taxes and no state income taxes.

People were flipping houses, everyone was doing it, the bigger fool theory. (Be foolish for buying it, but sell it to a bigger fool)

Then the housing crash, $350 K houses bottomed out at $150 K. I've seen $200 K condos drop to $50 K.

After the housing crash prices went up as fast as they came down. I had a job that involved picking up contracts from a large national home builder. Their home office wanted receipt of the contracts from their various developing communities, approximately 13 communities. First they built the models, within a year they were sold out (thousands of houses) and new communities were developed.

Their contract pickups went from two days a week to four days a week. The houses ranged from $250 K to $400 K. The sales people were earning 1 1/2 % commission.

Lightning strikes twice, for those that are bold enough to get into real estate, missed the first time? Now you have a second chance.

Singapore may have to wake up to an even larger horror story!
This is going to get very painful for the many who over invested in real estate!
Well in a way you are right!...New home hunters will benefit everywhere once we come out of this "Ice Age"  :/

Also new home owners who buy during downturn, their biggest benefit will be the low interest not the price of the house. When I posted how successful these sales people were, their sales rose & fell on the interest rate. Just  1%  increase when financing a $320K on a $400K mortgage is $266.67 a month.

New topic