Sorry about that! I talk too fast so this is a good reminder to slow down.

@@kpenn8516 AZ is mostly a boom-n-bust market. Prove me wrong.

@@LockedUpLarry i actually hope you are correct.

@@oletreed4230 yeah. Even more alarming, are those who bought inflated homes at 2-8% with little to no money down. The latter being an important factor on two main fronts. 1) they feel uninvested when the repo man comes calling 2) the loan to value will not pencil out in a correcting or crashing market. Call it “hand cuffs” or “financial prison!” Lmao, you youngins never gonna learn.

I love my 2.75% rate and cannot afford to sell and buy now.

In what way does this change the housing market? If tariffs go though we’re going to be paying out the nose for home building supplies.

@DaveDDD you poor poor lib

Same here in Knoxville Tennessee. But the sellers are not military, they are either trying to sell high or they can no longer afford the home(the date the rate marry the home) line.

It sounds better though.

Doesn't it show trends in demand relative to prior whereas total pending shows aggregate demand?

@@nonexistent5030 percent of change vs total number is a wildly different meaning

It goes to show how low inventory was in early 2022. Thanks for commenting!

@@CurtisLoew-q7q it’s also 5 o clock somewhere! Happy hunting

Depending on when they bought, and their financial circumstances, they may already be in trouble and not know it. I’m seeing many homes here in the SE that were purchased in 21-23 hit the market with huge price cuts already.

Also, it depends on jobs... Right now, jobs are strong, with an average national unemployment level. If jobs stay strong, we won't see repos like we did in 2008.

@ foreclosures are still suppressed. We know this because delinquencies and foreclosures trend together. Well, up until Covid. Over 60% are still in forbearance. Jobs data is also not exactly being portrayed correctly. Ex. lower wage jobs are either not being averaged (layoffs) or being doubled by single workers needed multiple jobs. I understand the need for affirmation, but it’s not good.

Thanks for commenting, Juan. Just something to keep in mind: inventory was higher every month in 2024 compared to 2023 yet home prices were up by 3-5% by year end. Rising supply should be downward pressure on home price growth though. Let's see what happens with mortgage rates in the months to come. It seems that 7% rates stall the market but demand increased when rates fell to the low 6's last Sept.

Well expect in the market where I want to buy.

Look at the graph, not happening.

Like this craziness never happened

They wouldn't and they didn't.

Those were offered only on new home purchases - a fraction of the overall - and they final rate was usually in the 4% range. Nothing "crazy" about it unless everything you learn about real estate comes from crash bro KZbin channels.

@JimFriend-iw3ev not saying a crash, moreso a market adjustment with an increase of inventory. Plus we know this isn't a rate issue, it's a price issue facing home affordability. Additional inventory can fix that.

@@anthonybanks2092 yep we make over $200K and we can't even afford a home in a meh area, which is outside of LA and OC. And he house we were trying to get is not even big. 3 bedrooms and 2 baths. I would say, though that if the rate was cut to like 4 % we probably would be qualified for the new home. The rate they currently have is a little over 6%. So yeah it's an affordability issue. It was said on Jason Walter's past video that only 16% of people in California can afford a home.

Happy hump day, Steve! Nice to have sunshine today 😎

After yesterday, it’s great to see blue skies again!😃

@Steverz32 lots of small branches fell at our house.

@@JasonWalter1 Us too, but we can thank our neighbors tree for our small branches 🌳🏡

good luck, I don't see 5% rates any time soon (unless a deep recession occurs, which appears unlikely).

@@alexprince9035 same boat.. But I am thinking to refi between 6.25-6.50 first Then if it’ll further, then between 5.75-6.25. Missed the chance as was waiting for similar as yours “perfect rate scenario” when rates were 6-6.25 in Sept’24

Rates were below 6 last year for awhile why didn't you refinance then ?

@ I bought my house in September of 24

@snape57 do you think it's worth the cost in fees to refinance for a 75bps cut? You might doing yourself a disservice refinancing so quickly.

Yeah the IE is the last bastion of affordability in SoCal. People move here from LA/SD/OC and commute so they can just own a home. Drove up prices way beyond local income. Has turned the whole region into a commuter's land. Makes the traffic a nightmare. Honestly can't understand why people would put up with all that just to own a home in a relatively meh area. Leaving the state probably is a good idea. Better opportunities elsewhere.

@ I was just about to say this. One of the sales agents told me last year that a lot of people from better areas like the OC are moving to the inland empire since it’s more affordable. It’s ridiculous. And since the wild fires I can imagine it’s gonna get worse. I think the local government can do better here

Lived in Chino/Chino Hills area my whole life and now we are a family of 3 making 180k combined income with my husband. We were force to look out further in the IE to be able to afford a single family home in Redlands, CA. Small little historical town. Closing this Thursday, 2/6! We are now 20-30 minutes away from family and friends. Luckily, I go into my office in OC once a week and my husband works from home or else we would have never bought this far out. We were considering moving out of state and looking in Summerlin and Henderson NV, but it's just not the same. Plus being near family is everything to us.

@ Congratulations! I know you and your family are excited. Further out in the IE is more affordable. Moving out of state is definitely a big decision to make. My job is also in the OC area and I also work remotely.

What ? 🙄

@ it makes homes more affordable because prices drop along with rates.

​@sokratzmmf 45% of people are free and clear so by your "logic" , jobs don't matter. 🙄

@sokratzmmf "If" "if" "if". Keep renting.

@pablo81778 agreed. My rent in a good area is twice cheaper compared to the mortgage if I bought in the area much worse than I'm renting in. Makes no sense to buy.

Get ready this summer will be the best time to buy

Rents are not "coming down". 🙄

Yes, the federal funds rate and mortgage rates are loosely connectged as discussed in the video.

Thank you for sharing, Maddie!

Good question... I haven't seen data on this. Anyone?

Yes, interesting question. Personal debt is quite high and it can't keep growing forever.

Forbes did a report on this in 2023. They found that in 2021, the time it was nearly 12%. Down from 25% in 2010. They also found it had declined every year in absolute terms and percentages during that time.

People that are "drowning in debt" don't get approved for mortgages.

I believe that map is only for existing houses too so when you account for new home construction it's likely higher in TX, FL and TX.

Thank you! Wet day in Sacramento today !