June 2024 Foreclosure & Mortgage Delinquency UPDATE

[@amardeepkaur6876]

Only one guy who speaks facts based on numbers. Thank you Jason

[@Jameson77777]

A completely remodeled home in my area just went up for sale & when you go on the listing it says it’s a foreclosure. I was curious who owned it and checked the county tax site and it showed it’s been bank (FEDERAL NATIONAL MORTGAGE ASSOCIATION) owned since 2020! I could also see by searching the bank that they own 6 other homes in the town. Is it unusual for banks to hold homes for years, remodel and list them for sale? I’m in the northeast & we’re still experiencing inventory shortage and bidding wars.

[@alexkane84]

I saw the same thing here in California!!

[@misterringer]

I think VA is still moratorium and FHA is still doing "restructuring" - i.e. moving late payments to the end of the loan and resetting the status. Ah well. Looks like prices will be sticky until we get real economic distress.

[@joesmith3590]

That is how it is now. It takes like 3 years almost to get foreclosed on. Even if all the programs end it still takes years and has multiple restructuring chances.

[@rubyannr6898]

Agree. VA and FHA restructuring and moratorium are hiding the true pain in the economy.

[@HedgeFundCIO]

Awesome. Fed doesn’t need to cut rates and my down payment can continue to earn 6% in high grade bonds.

[@SmilingArchaeology-bk2gy]

Good morning! I am trying to learn more about all of the ins and outs of investing. How do you earn from your down payment?

[@JimFriend-iw3ev]

Too bad homes are rising 7%+ and inflation is destroying the buying power of that "down payment".

[@wreckim]

@@SmilingArchaeology-bk2gy I would think he means he hasn't purchased his home yet. Just a guess.

[@Ja56780]

The real question is if our government will bail out individuals and companies or will they allow any changes for the better or worse to occur.

[@luisdavidllense2293]

They will bail out the 'too big to fail' first, like the last time. 'Free markets,' they say.

[@benjaminwlang]

I'm glad to see some caution on your channel. There's too much FOMO going on.

[@Steverz32]

Happy Monday Jason & let’s get nerdy!🤣😂🤣 I am going to order a nothing burger 🍔 for Sacramento home prices. 😅Prices might adjust some, but no crash on the horizon🤔

[@JasonWalter1]

Hi Steve!

[@timeforachange-i3s]

That's because 25% of the mortgage payment is being placed on the backend with 0% finance charge for VA homes (40,000 VA homes would be in foreclosure if this program was not available).

[@prashanthb6521]

This data paints a totally opposite picture. I dont know whom to trust anymore.

[@jkonkle]

Watch credit card delinquencies, people will stop paying credit cards before they let the house payment go delinquent. Hence mortgages will show low delinquency at this time, but watch the credit cards and auto (repo up) delinquency.

[@wreckim]

@@jkonkle But credit card delinquencies have a 20%+ rate, and most folks mortgages are fixed at 5% or lower before 2022.

[@jkonkle]

@@wreckimcash flow is king, no cash flow, no pay. When you decide not to pay, you sacrifice unsecured debt first, ipso facto credit cards. Credit cards can be settled for 20-30% of total unsecured amount vs mortgage which typically requires 100% unless short sale. Good luck!🍀

[@timeforachange-i3s]

Are people taking out HELOC loans to make their mortgage payment?

[@nitroneonicman]

Almost certainly. People are racking up huge credit card debt as well.

[@cyrusm3391]

No, theyre taking it out to increase their assets and values by expanding existing home or buying another property to rent out

[@nitroneonicman]

@@cyrusm3391 a heloc is a high risk desperation loan. Someone who is smart at managing their money is not doing this.

[@agentcrypto7741]

Absolutely

[@Savvygal]

Or renting them out and going to live in a tiny apartment to save their home.

[@chrisw9451]

I don't think current delinquency numbers matter much when it comes to looking ahead. After all the 90 days hasn't been this low since 2005, right before the last collapse.

[@JimFriend-iw3ev]

You know someone doesn't know anything about the housing market when their only frame of reference is continually the "GFC".

[@davidallen2682]

No rate cuts

[@Victor-t4d4p]

The big question is: If unemployment rate goes back to the normal 5.5% what will happen since it is taking 2 incomes to pay for a house? 2008 prices went all time high and income didn't readjust. In less than 3 years prices went up rapidly not allowing income to catch up.

[@dylyo1]

Prior corrections to housing never carried forebearance programs leading into correction. These numbers remind me of tech carrying historically ridiculous P/E ratios. Just because it remains pumped does not make it good investment. See crypto and vehicles for reference.

[@RedGottie]

This does not bode well for prices or interest rates to come down.

[@nitroneonicman]

So basically people have married their homes and aren't moving. I wonder at what point investors will realize their money can be better spent literally anywhere else other than the housing market. A CD is a better investment at this point.

[@danmarlin5302]

The mortgage delinquency rate makes no sense given that there's a direct correlation with late credit card payments and mortgages... Something's not right there.... Mortgage restructuring? Likely.

[@joesmith3590]

No there isn’t. It is 2 different groups. One is home owners one is all Americans.

[@HedgeFundCIO]

@@joesmith3590OP is right. Analyze prime auto/credit data and still seeing the same trends.

[@SigFigNewton]

@@joesmith3590so you’re saying that the difference between those two groups has changed dramatically?

[@1crystalball419]

​@@joesmith3590😂

[@JimFriend-iw3ev]

​@@joesmith3590Correct. There is absolutely no correlation between the two.

[@davidlivesay6948]

I am somewhat surprised by these numbers, Jason. I would be interested in your thoughts on housing prices going forward with the affordability issue being so bad right now. How do prices sustain?

[@cyrusm3391]

He always says limited "inventory" , I agree.

[@professorprofessorson8795]

Wow it’s getting really bad now, dominoes falling….

[@billpointer6451]

Is VA foreclosing or moratorium

[@JimFriend-iw3ev]

There's a couple hundred thousand mortgages still on forbearance for some veterans. Do you have a problem with that ?

[@jkonkle]

VA is on Moratorium. keep in mind Texas doesn’t do HELOC 2nd, must refi at the new rates and take cash out so there is one loan.

[@Bridin84]

perfect time to buy a house guys. forclosures are down😅

[@georgedoolittle7574]

*"foreclosed then the Bank collapsed .... again .... and that got abandoned too! AND IT'S GONE!"*

[@peacefreedom4930]

There’s craziest behind the scenes

[@Truebaconluver]

"Every one is leaving california " homes keep selling and continuing to increase in value

[@JungleBook805]

Chinese investors

[@Truebaconluver]

@@JungleBook805 or people coming back from where they left to

[@sneekydealz]

Still doesn’t change the fact that for a lot of people the economic situation feels like a slow death. People are feeling pinched with cost of living just continuing to rise and not keep up with wages.

[@lockup6104]

Mahalo good morning

[@rosemont83]

Don't let real estate mindset see this video or he will lose his mind that foreclosures and delinquencies are going down LOL

[@stevenap4594]

You don’t necessarily need people to foreclose for prices and demand to crash.

[@robertjones2282]

Is personal and national debt sustainable ? The answer to that question will pertain to the housing market.

[@PelicanIslandLabs]

Gotta give you mad props for putting so much effort into this vid................ even when the data indicates foreclosures are a 'big nothing burger'. Now all you 'sub-slackers', hit that subscribe tab! 😀

[@DaveDoggyDogg50]

people finally getting evicted so now home owner can get actually paid, thus letting them catch up on payments. some could see this as a good tbing, others a bad thing. just wait till the gloomy data catches up after the lag from BOTH fiscal and monetary policies.

[@victorcapetillo2070]

What happened to all those millennials that were let go by Twitter, Microsoft, Amazon, Google, Facebook? Those are a lot of homes that cannot be paid. Many of these dont hold a degree and lack the math and engineering for doing AI, so how are they getting a job now?

[@Truebaconluver]

Crash postponed again😂

[@Steverz32]

1😊

[@Shishiku91]

Careful, gonna upset the crash prophets 😂

[@3ptmre]

🤣🤣

[@seestuff09]

No. Foreclosures don’t lead. Unemployment does. Notice he said recent low since 2005? What happened after that I wonder.

[@baseman151]

If the fed does not break the economy you wont see any meaningful price correction

[@joesmith3590]

Unemployment has no effect on home pricing. Look at the history. 08 was bad loans nothing to do with unemployment. Look at the history of home pricing and recessions. It doesn’t make prices go down. Only bad loans does that.

[@luisdavidllense2293]

@@joesmith3590 Agreed. We can also look back at the 2020 - 2021 season as a good example.