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Considering the "new normal" interest rates around the world and the direction things are going (down), I have doubts housing prices will decrease in any develo

Considering the "new normal" interest rates around the world and the direction things are going (down), I have doubts housing prices will decrease in any developed country for the upcoming 5 years.

cptskippy 7y ago
Housing prices in Las Vegas and Southern California are declining. This is a first time for LV since the Great Recession. Declines like this have historically preceded every recession. Do you anticipate housing prices will weather such a recession which many predict is looming on the horizon? That would be a first.
- cheriot 7y ago
  declining by what magnitude? In Cali it's more like they've been oscillating around an upward trend.
  - o-__-o 7y ago
    10% down in Texas metro cities. Considering buying a house, but may wait for complete recession to hit first
  - cptskippy 7y ago
    We're in preparation to move to SoCal so we've been watching prices for the last year. The trend has definitely been downward for housing in our price range.
    - scruple 7y ago
      It's flat where I live (south Orange county, California) for homes in the $500k-$1M mark. Newer development has stickier prices than older homes. However, there's a lot of local business development happening and, in the case of a single organization that I am aware of, many high-paying jobs are moving into the immediate area in the next 18-24 months. That single organization is stated to be investing over a billion in this new facility alone. It'll be very interesting to see what this does to the local market.
- samsonradu 7y ago
  Armchair economist here and more familiar with the situation in Europe. The US has the highest interest rates among all developed economies (since December last year) so I assume that is starting to feel into the housing markets. The FED seems ready to drop rates at the first signs of economic bad news and consensus is that it will this year. Party will go on until inflation skyrockets, no idea when though but I doubt it's too soon. (not before elections)
SkyMarshal 7y ago
They already are in some places (Silicon Valley), you can see it on sites like Zillow.com.

Considering the "new normal" interest rates around the world and the direction things are going (down), I have doubts housing prices will decrease in any developed country for the upcoming 5 years.

cptskippy 7y ago

Housing prices in Las Vegas and Southern California are declining. This is a first time for LV since the Great Recession. Declines like this have historically preceded every recession. Do you anticipate housing prices will weather such a recession which many predict is looming on the horizon? That would be a first.

cheriot 7y ago
declining by what magnitude? In Cali it's more like they've been oscillating around an upward trend.
- o-__-o 7y ago
  10% down in Texas metro cities. Considering buying a house, but may wait for complete recession to hit first
- cptskippy 7y ago
  We're in preparation to move to SoCal so we've been watching prices for the last year. The trend has definitely been downward for housing in our price range.
  - scruple 7y ago
    It's flat where I live (south Orange county, California) for homes in the $500k-$1M mark. Newer development has stickier prices than older homes. However, there's a lot of local business development happening and, in the case of a single organization that I am aware of, many high-paying jobs are moving into the immediate area in the next 18-24 months. That single organization is stated to be investing over a billion in this new facility alone. It'll be very interesting to see what this does to the local market.
samsonradu 7y ago
Armchair economist here and more familiar with the situation in Europe. The US has the highest interest rates among all developed economies (since December last year) so I assume that is starting to feel into the housing markets. The FED seems ready to drop rates at the first signs of economic bad news and consensus is that it will this year. Party will go on until inflation skyrockets, no idea when though but I doubt it's too soon. (not before elections)

SkyMarshal 7y ago

They already are in some places (Silicon Valley), you can see it on sites like Zillow.com.