The Largest Housing Crash Is Coming | Why I Sold

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THE 2022 REAL ESTATE MARKET:

BUYERS:
It’s difficult to place a “once size fits all” approach throughout everything – although, some markets have already started to see a net decline. In fact, Boise Idaho saw more than 60% of their sellers issue a price reduction, along with 50% of sellers dropping their asking price throughout Denver, Colorado, and Salt Lake City, Utah. As a BUYER – fortunately, you’re in a good position to negotiate, make lower offers on properties that have sat on the market, and – not worry about losing a deal, because – most likely – another one is already listed.

SELLERS:
Realtor.com found that “the share of homes that reduced their list price reached 14.9% in June versus 7.6% a year earlier” – meaning, sellers can no longer ask unrealistic numbers and GET IT…but, even as of recently: nearly 5 offers are being received for every property sold, with more than 50% of buyers still offering over list price.

RENTERS:
Just recently, a Realtor.com analysis found that – in metropolitan cities – rent increases have finally begun to slow down, and – in some locations – EVEN REVERSE – as demand begins to subside. In large cities, rents have simply increased to a price that tenants are unable to pay. Bloomberg noted that, after rents rose almost 12% year over year on the average 2 bedroom apartment…they’ve begun to come back down…with a decrease of 2.9%.

So, overall…it’s definitely apparent that…we are finally beginning to stabilize, and enter a new phase of normal that isn’t just “prices keep rising indefinitely.” From what I can see, mortgage rates have begun to hold firm…and, even decline to 5%…prices are still increasing, albeit at a slower pace, and rents are only going to go as high as tenants can afford.

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*Some of the links and other products that appear on this video are from companies which Graham Stephan will earn an affiliate commission or referral bonus. Graham Stephan is part of an affiliate network and receives compensation for sending traffic to partner sites. The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available. This is not investment advice. Public Offer valid for U.S. residents 18+ and subject to account approval. There may be other fees associated with trading. See Public.com/disclosures/