8 ms·
The “Ones and Tooze” podcast covered this well in their most recent (12/30) podcast. Basically, this is to be expected. Home owners looking to sell put off the
by ianai 4y ago
The “Ones and Tooze” podcast covered this well in their most recent (12/30) podcast.
Basically, this is to be expected. Home owners looking to sell put off their sell when conditions turn sour. The construction industry is historically fast reacting and bipolar. The good times feel slowed by bottlenecks (their word) and the bad times like abyss.
Importantly, the mortgage backed securities which made 2008 so bad have largely been sidelined. That at least won’t be the thing that turns this downturn into a repeat of 2008.
- poulsbohemian 4y agoThis kinda fits with my small-town / rural / tourist-economy real estate market... the people who are selling right now are those who have an incentive to sell (need to move for life reasons) rather than opportunistic sellers. The buyers I'm seeing at the moment are first-time buyers - yes interest rates are higher now, but they aren't competing against ten other cash buyers like they were in the past year+. We are seeing new construction sitting in some cases - but I'd argue it's because of greed and stupidity. We have some new developments in the area that are grossly overpriced for their locations, poorly built, and the developments themselves were poorly designed - even in a hot market they were having trouble moving, and now that the market has cooled, they look even more ridiculous. Alternatively, the new construction that is fairly priced and actually meets buyers expectations are still moving - albeit at the slower pace of the rest of the market. When spring rolls around, I'm fully expecting a rebound. Maybe not to the same competitive level and pricing as a year ago, but that's a-ok - better to have a more balanced market anyway.