SoCal home prices falling as mortgage rates increase

Joy Benedict reports on the Southern California housing market, where house prices appear to be falling after a lengthy period of inflation. Rising mortgage rates could be the root of the cause.

[@Petlover10000]

$50K less, big deal. The seller is still asking for $999K for 2 bedroom, 1.5 bath. Whoever buys this type of house is really a fool.🤣

[@exterMEnator83]

Do you own a house and what company do you represent that doesn't fool you for a deal like this?

[@Petlover10000]

@@exterMEnator83 My driveway is even bigger than this house, so you think this house is really worth for $999K.

[@alwaysdreaming5175]

@@Petlover10000 it doesn’t matter what you think it’s worth. The home sold for $80k over the list price! What’s keeping prices high is the shortage of new homes being built and competition from investors.

[@truther001]

@@exterMEnator83 Anywhere outside of the ripoff state of California.

[@bamm3967]

Lmaoo I was about to comment the same shit. I'm from Los Angeles, had to move like 30 to 1hr out for a big house for the same price as my 1 bed room. Fucking bs I say

[@GPSniper1]

the price went up like $300k and falling 5k lol this is a joke

[@WLA-General]

Exactly

[@LivingLifeOutWest]

AGREED!

[@exterMEnator83]

Do you own a house?

[@wwfla8691]

WTH California got me F up😂

[@lvgk8898]

Like gasoline prices, up 3 dollars a gallon down a nickel and fools believe this is a positive.

[@xzaiverwillis8148]

"Complete Rip Off"... 999,000.00 that's insane....You'll never pay that home off... The system is broken..... Get the bulldozer out....

[@betsyj59]

In some towns people will pay whatever it costs, then get the bulldozer out, as well as the diggers, and build a house twice as big or more with more than half the square footage underground.

[@GPSniper1]

not falling enough

[@WLA-General]

Right

[@five1five06]

How about they go down by $500k-$800k

[@Reach41]

I'm fine with your house going down by that much.

[@truther001]

@@Reach41 That would be a typical price for a house in many other states. Just wait until the electric grid collapses and there is no water coming out of the taps.

[@Reach41]

@@truther001 Don’t worry, Ms Nancy, this state is run by Democrats. We’re gonna be just fine, they promised.

[@broken_psp_umd_disc]

$1,000,000 tbh a TWO bedroom house SHOULDN'T cost that much!!! wtf

[@chrollifanboy28]

1M for a 2bd home with white fridge and cabinets?? What in world is going on in California.LMAO

[@Petlover10000]

For that price, the house doesn’t even have two baths, if my friends or family come visiting me and stay, I have to share the bathroom with everyone. It’s a joke.

[@BA-pz3lo]

they are out of their mind in california

[@ysierra1724]

You get more for your buck in other states what a rip off in Cali

[@jhonditch4269]

in some areas you could buy a whole town for that but no one lives or goes there.

[@GothBatty]

$999k for. 2bed 1 bath got y’all looking insane. Glad prices aren’t like that in Georgia. You can get something for $80k-$250k easily.

[@sebastianliu2009]

YUP!! My old military buddy is in Atlanta and he told me the same thing. My house i bought in 2021 3bed 2.5bath 1500 sqft, $370K. Monthly mortgage $1550. Rent in SoCAL............probably around $2.4K a month. No thanks California!! HAHAAHHA LMFAO!!!

[@p9r4ex8dyk]

but then you're stuck living in Georgia

[@GothBatty]

@@p9r4ex8dyk it’s not bad I’m from Atlanta 😄

[@p9r4ex8dyk]

@@GothBatty what is there to do there? I’ve never been there before.

[@dennispatterson4998]

I bought a nice remodeled 3 bed two bath near Chattanooga Tenn- for $102. 000 just 3 years ago.

[@jerrynguyen8083]

So this guy originally listed for 1 mill plus 50k. Then he lowered it to $999,999 and it sold 80k over asking price. So in the end home prices are still high. He sold for 1 mill plus 80k

[@Ap_twsh]

that's a good deal

[@jhonditch4269]

the best part he will pay less in taxes on the deal and possibly real estate in the area will be taxed at a lower value so a win ~ win for all.

[@truther001]

@@Ap_twsh LOL

[@Dwightstjohn-fo8ki]

good location homes are still worth the LOT price. Most lot prices are half a million to over one million for starters. Builders with "kash" and buyers who have the "kash' to buy new will pay that.

[@eliramirez9958]

Media lies

[@adanmorenomoncayo9694]

Lol seriously two bedrooms almost $1 million dollars you got to be kitting me someone got finesse!

[@Jay-pf2cn]

You clearly know nothing about real estate. Location, location, location.

[@waltchan]

Live in a brand-new home near UC Riverside university campus is the safer investment now during this recession. Prices start at only $525,990 with over 1,400 sq. ft. and over 3 bedrooms.

[@adanmorenomoncayo9694]

@@waltchan that’s reasonable but of course some one by the name JAY has no idea about real state lol oh yeah location location rip people of

[@waltchan]

@@adanmorenomoncayo9694 Altadena is prone to wildfires from the San Gabriel Mountains. Best location is often not safe.

[@MitchGrooms]

Good Lord.... I am a Realtor in Atlanta and in the nicest neighborhood, that home would not be more than 600K.. WOW..

[@midsummernightsdream60]

its not the home thats valuable. its the land

[@computron5824]

@@midsummernightsdream60 Is Altadena land THAT valuable? Median Income in Altadena is about 37k, and households are much better at 100k. C.A.R. statistics mentioned that a 200k income would be required for an 880k house, and this is a million dollar house at a much much higher interest rate. That means that loan cost just went up significantly. California has the highest poverty level in the United States based on COL, so how valuable can that land really be?

[@FUNNYBUNNI1]

It still sold $80k over asking!! On a 1mil dollar home! Insane! We had to move from my hometown of Whittier, CA to suburbs of Georgia because of this shit. Just bought a home here in March 2022 3 bedroom 1 acre for $336k. In Whittier this house would be worth 900k or more

[@computron5824]

Probably more. Something is really off with SoCal housing prices. I've seen way too many shacks all over Los Angeles listed at $600-700k but the median household income in that zip code is less than $40,000 a year. Min income to afford a $600k property is around $150k depending on a lot of factors. This isn't going to end well.

[@allegra9967]

You can buy a huge home in Texas 4 bdrm 2 car garage for less than that amount

[@dfirth224]

The same for inland areas of Calif.

[@IdealUser]

Texas is getting out of hand though. I had a coworker move to Iowa and bought a 3 bdrm house for $120k. Yeah it sucks out there, especially the weather but with the same salary, at least she can afford to live without drowning in debt or living paycheck to paycheck.

[@patriciahaber376]

that house was maybe 15k when built in the 50's top loader what ever the market will stand.people love l.a. it attracts the 30 demographic like crazy .

[@betsyj59]

I did a little research on the 5 bedroom, 5 bathroom house my parents bought in 1967 at 36,000 (Del Mar, CA). In today's money, that's something like 305,000. That house is now falling apart and it's assessed at 7 million. People are so stupid. They keep gorging themselves on any profit they can find without caring one bit about the economic tsunami that is approaching. The collapse of society always features farce, stupidity, and greed. Oh well.

[@truther001]

That love is fading fast.Mostly now it's homeless, drug addicts and illegal immigrants who love it. Middle class is leaving in droves.

[@umass06]

Who the heck is buying this shed for million?? Are these celebrities? CA people crazy 😮

[@s.h.6219]

LoL

[@brianoleson9224]

some homes in California are down 180,000 dollars or 15 % the type of pandemic we had we had not seen since 1918 all this is all for exposure for the networks. I would expect nothing less in this downturn then in line with the crisis of 1920,1929,2008

[@fonfon1]

Time to start putting in those low ball offers folks

[@chrisdaniel2759]

If you enjoy wasting your time. The home sold for $80k over asking dummy.

[@dionafeworki2387]

Thats why everyone moving to lancaster Riverside sanbernadino lasvegas🌵🌵

[@Victic005]

No shit! Homeless in LA cause property value drop too.

[@GPSniper1]

lol 1million for 2 bedroom is a price drop?

[@computron5824]

Not really. Look up prices around Skid Row.

[@Victic005]

Prices are dropping. Title of this video.

[@FEEDER.396]

FAKE NEWS! HE DID NOT SELL 80K OVER. Straight lying.

[@rayosullivan4398]

Somebody told me that house sold for 470 which is still nuts yes FAKE NEWS

[@zayn9763]

oh wow prices fell so much... almost 1M for a tiny shack

[@charlesritter6640]

A MILLION DOLLARS for a very average house. No thank you.

[@luckap79]

Itty bitty tiny house for 900k 😂

[@hectorraigosa7149]

No, prices are a rip off.. one can move to another state and buy one bigger and better below half California market.

[@JohnDoe-xu2vx]

Market has been way over priced for years

[@paquesepas6696]

Good luck if you are waiting for the homes to drop here in Southern California. Why would you go from a fixed low interest to the plus 6% rates now? Where is the supply of homes gonna come from? They won't.

[@computron5824]

A part of the supply is going to come from risk loving investors buying up overvalued houses to bulldoze them and split them into multi family housing lots. The other wave will probably happen as boomers retire and try to sell or transfer these massively overvalued properties which will trigger an updated property tax rate.

[@mayajade1750]

Price and interest are up over 50-100% in many parts of Southern California. I tried to buy a home in 2019 for $800k…that same home is $1.3 mil now with a payment that feels more like your paying for a $2,000,000 home. And people are still buying fast. Plus a couple of 6 figure cars. Guess there’s just a ton of people loaded with buck bucks… I don’t get it

[@SCS-yx5hu]

You should of did whatever you could of to get that house . U know the equity out here will change your life . U missed your opportunity brother . Equity will never do this again here in La . Don’t buy a house right now it’s dumb . U would have to have 100k cash down payment , pay 50k over the asking price , high monthly payment , and u can’t get the house unless your credit was 700 to begin with

[@starcatcher3691]

It seems like the discounts should be much more considering interest rates more than doubled. I say this as someone with property.

[@BillyBob-op6lg]

It’s barely starting

[@BillyBob-op6lg]

@@theoutcast3292 precovid?? Lol some homes literally doubled post covid only in two years, just ridiculous. I agree though a 50% reduction from this point would be acceptable

[@jhonditch4269]

don't worry folks it is only an 'adjustment' actually a buying opportunity. for those who aren't dependent on 'traditional' loans.

[@GAMMA187]

Feds are not done yet. We will see interest rates at 10%+

[@brianoleson9224]

exactly this is going to be a messy battle its wont be even close to over in say 7 months (june 2023) theres going to be alot of increases fed meetings media exposure over the next year

[@JasmineTea127]

I’ll never buy a home in California I refuse!

[@s.h.6219]

Never say never.

[@elanamccullum1677]

ABSOLUTELY FUCKING RIDICULOUS FOR A 2 BDR HOME TO BE 900,000...THIS IS JUST OVERINFLATED HOUSING ..NO HOME THAT SIZE IS WORTH IT...DISGRACEFUL THAT HOUSING IS A COMMODITY INSTEAD OF A RESIDENCE TO HAVE A ROOF OVER YOUR HEAD🙄🙄

[@tpolerex7282]

He has been selling houses, including, presumably, many vintage ones, in Southern California for decades and he doesn’t know what to call a “California Cooler” in the kitchen?!

[@RickStorni]

They need to drop prices by at least 75 percent so people can afford a home.

[@Dwightstjohn-fo8ki]

1st) this is happening everywhere from Tijuana to Toronto. 2nd) the deep equity of homeowners and home investors goes back to the end of WW2. They own five/ten/fifteen houses clear title (thanks, dad) and can buy with "kash". 3) about to come onto the market at LOT value are hundreds of BILLIONS of dollars of homes that went under in the credit crunch of 2008 era. The "owners" stayed in their homes as it was less than rent (IF you could FIND a rent) and the bank actually owns it. But as owners under water, they didn't do any MAINTENANCE. one home I know was just declared uninhabitable by the four decade owners. they're out, and it's lot value. 4) even if you bunk up, you still need a roof over your head, esp. for families.

[@davinxi5926]

If you call, like 8000$ off as substantial, it isn’t. But whatever, real estate is the best investment to have.

[@Dwightstjohn-fo8ki]

8 grand doesn't even buy a good pick up truck.

[@fred7796]

Just price the homes at a billion dollars, it’s not like it makes any difference.

[@bakrifustok2976]

This is only the beginning. Need to drop much much more 😂

[@MightyMouse11]

Market is still inflated.

[@back2basics597]

People of the early exodus out of the shitty dump must be smiling to themselves.

[@marmunoz9427]

Let's get ready!

[@New-bw4kz]

Not enough, prices are still high

[@tomsimpson5317]

Doesn't do any good when you can't afford it

[@taylordooley3765]

It’s not a dip unfortunately. A home worth 4k a month in mortgage stays at that payment which decreases value.

[@mikek545]

Well I only pay cash so it’s good news for me! 😊

[@brianoleson9224]

@@mikek545 mike this is a little random to state but i feel like people dont factor in the once in a century pandemic that could cause homes to crash people just look at the data and dont look at the bigger picture and im not sure why do i make a valid point? history shows a large scale pandemic leads to historic downturns (e.i 1920,1929,2008) and home crashes even in 1929 they crashed and homes were not 8.5x income to asset price

[@Dexion845]

Almost $1 million dollars for a puny 2br 1ba house in Commiefornia where you pay likely the highest taxes in the nation. ROTFL.

[@99hamcam]

Lies. Prices haven’t gone down to where they should be. Prices were increasing due to realtors being lazy and doing their duties, outside speculators(not local buyers, corporations), panic buyers, and just plain greed which did everyone a disservice.

[@Old_Mansplaining]

I plan on stealing a tent and living on your lawn .

[@marcelinorodriguez7628]

Paying a million to live in lower middle class house…no thank you

[@erikh9991]

You cannot deduct the mortgage interest above $750,000 for a home recently purchased.

[@jvelazquezmusic1039]

Welcome to 2008

[@cg2007]

Yeah but Just like the Gas it was 2.89 a gallon it reached almost 7 dollars went down aoparently to 5 now its almost 7 dollars again and Rising again SMH

[@jjg8452]

Didn’t everybody and their ancestors say home prices would keep rising?? 🤡

[@rons5319]

Prices are down 6% in LA? ha ha ha Try 60% for starters.

[@mikemao2098]

Lived in la all my life. Rented for a couple years at 1800 and 1600 near Pasadena apartments. Those were in the areas next to drug houses and bums everywhere. Pay less for 5 acres, and I can shoot my gun if/when people try crimes they’d get away with in la. It’s the new small pox in blanket

[@TheStrangeKage]

How much did Joe's company pay for this "report". 🤔

[@mikedc]

Trump2024

[@elanamccullum1677]

HELL FUCKING NO🤚🤚🤚

[@oscarsmith6519]

Still too much. It will go lower.

[@beforeyourimmigrants8471]

You're a fool to play million dollars for that house.

[@waltchan]

Live in a brand-new home near UC Riverside university campus is the safer investment now during this recession. Prices start at only $525,990 with over 1,400 sq. ft. and over 3 bedrooms.

[@InobuZ]

Let's revisit this segment in a month or so and see........today Realtors and Used Car Salesmen synonymous

[@cosmichef75]

What idiot paid that price? I'm happy for the seller though. The market is going to fall for years.

[@hufair2215]

Tisk

[@jpdavis6042]

It's a Moot Point still a Million Bucks, lol Plus a silly piece of reporting (No Story here)

[@ricardosandoval1647]

California suck big time 1M for a 2 bed home wow

[@brianoleson9224]

you can buy a 2 bedroom mobile home for a rough estimate $17,000 or a 2 bedroom home away from the coast 1hr+ both in norcal and socal for $200,000 you just cant live in the popular areas where 2/3rd of the states people live

[@KOVIDGOON]

😁ITS CALLED A CRASH

[@gsxr1189]

That word chaps asses.

[@BarbacoaAppliances818]

Dear joy, Call me

[@ccloud3981]

Yay biden, thanks again for making everything so much better!

[@gsxr1189]

Actually it's Jerome Powell making things better after Joe the clown over stimulated the economy & market fluctuated ppl into money they didn't actually get off their arse & earn. We Republicans don't want money we didn't earn anyway bc that would be an entitlement attitude.

[@Dexion845]

Lord... please sendeth the Asteroid to the state of California.

[@topgnetwork0187]

Lmfaoooooo 🤣🤣🤣😂😂😂😂😂🤣🤣 I Guess NOBODY speak the TRUTH huh? The one and only reason home prices is going down in California is because the crime rate dummys even the cops said they can’t keep the people safe but let’s not blame that right 😑

[@monsterpig3270]

Down 6% since May???? Try down 30% in two years. It's coming.

[@cloutgangster]

Lmao