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I have two kids in the market for a home of their own so we have helped them look for listings. Houses are listed usually somewhere near the appraised value then I guess they start taking offers, sounds like an auction to me. Looks like the buyers are willing to got to the pre approved limit the lender will let them have. Houses can be sold the same day they are listed or not lasting long. WTH are we starting in to another housing bust with banks selling crappy loans to second rate lenders ? Whatever happened to honest appraisals and local held loans. No denying the interest rates are attractive but I suspect this going to go tits up.

Seeing this in KCMO and around Yankton SD. Is it this way everywhere?

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Same way here in vt, friend works for a development company in burlington, they are selling houses faster than they can build them. 

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I got a feeling this crash may be way bigger than the last one. 

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I think it is everywhere.  There was a thread about this awhile back.  For some reason there is simply no supply.  Lots of cash sales where family is helping obtain the money and then the new home owner borrows against home after settlement to pay family back.  Lumber and other material costs have added 30000+ to new construction if not more which has driven up the existing market.  Rates are still historically low.  Perfect storm.  If it crashes or pulls back there are going to be a lot of people upside down.

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Neighbor across the street from us sold earlier this summer.  Only lived there maybe 2 years, did a bunch of work to it then went through a nasty divorce and just wanted to move and get away from bad memories.  He got a CASH offer for his asking price 1 day after putting it up (and I thought the asking price was a bit high).  

Kinda wish we were in the position to sell now as I want the heck out of town, and I think we could really cash in on some improvements we have made.  

Main holdout though is theres going to be a major shuffling of family housing/properties in the very near future, so not really too motivated yet (although weve maxed out this house with 3 kids).  

Cant help but have that thought in the back of your head about families going bonkers over estates though, especially with what it's worth now.  

My wife is starting to get a bit impatient with my plan (and I dont blame her to a point because nobody has those tough discussions).  What happens, happens though.  At one time I probably would have done more than what's considered reasonable to acquire family property.  Now, nothing more than a plainly worded expectation to be given first shot, at a fair price (for family) and any other shenanigans results in you being dead to me, and likely not having to mail me Christmas cards anymore.  

Sorry for the long winded comment

 

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In northwest Illinois the average time on the market is less than 30 days some as other places are sold the day they are listed 😎

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7 minutes ago, Cdfarabaugh said:

Now, nothing more than a plainly worded expectation to be given first shot, at a fair price (for family) and any other shenanigans

Have cousin in that predicament as we speak

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All the covid money burning holes in pockets? Plus everything else mentioned. Our town of 18,000 give or take, not much available on Market right now. Sounds like everywhere to me too. I keep wondering how long before botched policies and resulting higher taxes to pay for them will screw stuff up even more.

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The market is tight everywhere.  Read an interesting take on it.

1). COVID upset the building of new homes and they have not recovered yet for the numbers, some claim a huge percent of houses were not built in 2020, and 2021 has issues with building supplies, go check the price of a 2x6, whew 

2) all the people who wanted to live in the big city for the social life have found out that during the apocalypse they have a front row seat, so they are moving out of the city if they can

3) lots of people who lived in the city for work now work online, so they can move out of the city

4) places are hiring, so people can move and get a job, again, leaving the city.

lots of new or additional people looking to buy a house and less houses for sale.   This article was a market analysis email, and they addressed the fact that they do NOT see it being the same as 2008, and these were some of the reasons given, but time will tell.

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2 hours ago, junkandcattle said:

I have two kids in the market for a home of their own so we have helped them look for listings. Houses are listed usually somewhere near the appraised value then I guess they start taking offers, sounds like an auction to me. Looks like the buyers are willing to got to the pre approved limit the lender will let them have. Houses can be sold the same day they are listed or not lasting long. WTH are we starting in to another housing bust with banks selling crappy loans to second rate lenders ? Whatever happened to honest appraisals and local held loans. No denying the interest rates are attractive but I suspect this going to go tits up.

Seeing this in KCMO and around Yankton SD. Is it this way everywhere?

Fargo and places like Sioux Falls are really picking up. People leaving Chicago , Minneapolis area. Still close enough to go back for visits and live a safer kinder area. Interest rates and timing from last housing bubble contribute to it all.

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My daughter is a Loan Auditor for a large company and she said that next year it is going to be a big bust.  I would not want to be getting a big loan this year and have it all tank next year.  She said it will be bigger than 2008.

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23 minutes ago, bigequip said:

My daughter is a Loan Auditor for a large company and she said that next year it is going to be a big bust.  I would not want to be getting a big loan this year and have it all tank next year.  She said it will be bigger than 2008.

Your daughter knows her line of work.. I expect she learned some things from her Dad.  The acorn did not fall far from the tree..

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10 minutes ago, bigequip said:

My daughter is a Loan Auditor for a large company and she said that next year it is going to be a big bust.  I would not want to be getting a big loan this year and have it all tank next year.  She said it will be bigger than 2008.

here EVERYONE is claiming at least 2 more years like this, I said put it in writing, I have cash,will pay the "real world" immediately

"IF" it is worth x$$ in 3 years will pay the balance cash + interest.   Sir we have 7 offers you are 60% too low.

purchased and sold enough properties ,to know the real world costs of "codes" in a normal year less 300% inflated labor and material costs.

As I posted last month, a double wide 50 year old slab shack 1250' ,with 1/4 ac,on un maintained shared hill dirt road  that freezes or muds all winter while they slide 300' back down to main road, listed on 3-6 sold 3-8    over 50 onsite lookers with 20 cars blocking the main road, still waiting for the bank. to announce  $160K with ask $130

ran the $ with a bank friend $120K with an ALL in <$150K ,mortgaged as a live in 15 yrs+

as a rental $85K with < $125K ALL in , at $1500 mo

resale..........run now fast forrest ~!!

codes are $20-65K if you check the wrong boxs

regardless it is a 50 year old double wide,not much to work with.

so  cheap $10K for codes

$20K for updates mama wants

remove 7 trees at discount $1800=$12K

$10K for parking spaces

$5k for landscape

$10K for conned road repair, I heard they are being sucked into

soooo $210-230K any way it is billed.

inflated '21 pricing for new

1/2 ac $15K , 1 ac $22-30K

new double wide full basement  $145K

site prep landscape codes etc $50K

so $210K  EVERYTHING is new exactly how mama wants it

 

was also looking at a warehouse ad ,great 3 acres with 11' ceiling 5000' $175K

ceiling was 9', only 1/2 the floor concrete, only electric installed, needed $30K sewer tie in or 5 yr sand mound,1/3 of the walls were plywood or single pane glass,the other needed repair, mud goat road for access,   3 ac was only good for goats.

again there was a line waiting to look,  lots across the road,you can build inflated new for less $$

 

 

DSCF3781.jpg

DSCF3786.jpg

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Was talking to a banker about 2 months ago and I said I feel sorry for the small businesses, meaning owned and operated by a individual, or family owned, in the area the past year. He said we've not seen the worst yet. I said O? I don't remember the exact technical wording he said, but I guess alot of things got deferred from having to pay back because of what's happened, and the day of reckoning is coming.

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6 hours ago, mmi said:

here EVERYONE is claiming at least 2 more years like this, I said put it in writing, I have cash,will pay the "real world" immediately

"IF" it is worth x$$ in 3 years will pay the balance cash + interest.   Sir we have 7 offers you are 60% too low.

purchased and sold enough properties ,to know the real world costs of "codes" in a normal year less 300% inflated labor and material costs.

As I posted last month, a double wide 50 year old slab shack 1250' ,with 1/4 ac,on un maintained shared hill dirt road  that freezes or muds all winter while they slide 300' back down to main road, listed on 3-6 sold 3-8    over 50 onsite lookers with 20 cars blocking the main road, still waiting for the bank. to announce  $160K with ask $130

ran the $ with a bank friend $120K with an ALL in <$150K ,mortgaged as a live in 15 yrs+

as a rental $85K with < $125K ALL in , at $1500 mo

resale..........run now fast forrest ~!!

codes are $20-65K if you check the wrong boxs

regardless it is a 50 year old double wide,not much to work with.

so  cheap $10K for codes

$20K for updates mama wants

remove 7 trees at discount $1800=$12K

$10K for parking spaces

$5k for landscape

$10K for conned road repair, I heard they are being sucked into

soooo $210-230K any way it is billed.

inflated '21 pricing for new

1/2 ac $15K , 1 ac $22-30K

new double wide full basement  $145K

site prep landscape codes etc $50K

so $210K  EVERYTHING is new exactly how mama wants it

 

was also looking at a warehouse ad ,great 3 acres with 11' ceiling 5000' $175K

ceiling was 9', only 1/2 the floor concrete, only electric installed, needed $30K sewer tie in or 5 yr sand mound,1/3 of the walls were plywood or single pane glass,the other needed repair, mud goat road for access,   3 ac was only good for goats.

again there was a line waiting to look,  lots across the road,you can build inflated new for less $$

 

 

DSCF3781.jpg

 

forgive me @mmi what part of the world do you live? 

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Oh kids...you aint seeing anything.

Here 2h N of the Hellattle my friend just sold his 20yo 1600sq hoise for 550000 in 24hr.  He should of held for 600000.  $300/spft is qoute for new building.

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With Amazon coming to Sioux Falls, and the normal growth, the housing shortage is staggering.

There was an open house in Sioux Falls with at least four couples waiting to get in.

The people stood in the driveway throwing out offers on the house like an auction.

It sold, then and there, for $40,000 over asking price.

I heard that contractors are standing around as they cannot get products to install.

A big shortage of lumber, electrical wiring, electrical boxes and the list goes on and on.

But, Sioux Falls is turning into little Minneapolis.

They are the liberal capitol of South Dakota and crime is increasing.

You cannot build houses only without building a larger Penitentiary.

More people means more problems.

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Not to be a Debbie downer, but I watched a show years ago about the life of people in Cuba. The only thing that stuck out to me at the time was the fact that the people drive 50’s Cadillacs around, repairing literally anything instead of purchasing new.

the line that stands out was the guy saying this “there’s nothing to replace this car with, and even if there was we couldn’t afford it.” 
starting to echo a current situation as well. 
 

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It's not just houses but any kind of real estate,people are nervous and they are looking for a safe haven for there money. A 200 plus acre piece A little East of me went on the market a couple weeks ago. Sixty five + - acres of crop ground with the balance in timber with some pasture, 1.2 million and they had 4 bidders within 24 hours of listing it.

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Friend of mine sold his business here and is planning on relocating to Tennessee. He put the word out that he was thinking of selling, figuring that it might take a while to sell, he had an offer in three days! They decided to move to Tennessee to be near daughter #1 . They have been on three trips down there to look for houses, finally made an offer on one. There were five other offers all higher than theirs, but seller took their offer since it was cleaner, no inspection and cash. He told me that a couple of the places they looked at had only one day of viewing and then deadlines for offers, almost like a silent or sealed bid auction. Place he bought increased in price 100k since last sale a year ago. All were selling over asking price! He is hoping the same happens here when he puts his place on the market. 

A couple of places down the road from me came up for sale, I think they were both sold before the sign went up. I saw the sign one day, looked up on internet the next day and it was pending. I will have to check the transactions to see if they sold over asking price.

The internet has changed real estate, that is for sure. People are buying houses sight unseen, just going off internet ads and moving across the country. My wife has a niece who did that, moved from Boulder to Birmingham, bought a house off the internet.

One good thing about this is for the sellers, no need to deal with all that crap about sellers assist like they were doing a couple of years ago. If you are getting offers over asking price, no need to do crazy deals.

I just don't understand where all the money is coming from. I have worked steady all through the pandemic, and my pockets are not overflowing with cash, and I didn't do any big ticket purchases the last year either.

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5 minutes ago, CC_Ranger said:

I just don't understand where all the money is coming from

That is the scary part I don't need my kids caught up in this as they are pretty secure at the moment. We all have seen how rapidly that can change.

On the other side of this we will be selling a house and 6 acres that the youngest has been renting from us. When word got out he would be moving he had 5 people call asking to be told when it is coming to market.

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14 hours ago, junkandcattle said:

Is it this way everywhere?

Short answer: YES

The following is specific to the Minneapolis/St. Paul metro area. We are seeing significant shortages in house supply. More buyers than sellers for some reason. I have a friend that works in the building industry for a national housing development company and he told me they were closing on almost 8 houses per week in the development he's currently working in. I know of other raw land developments that are sold out before the roads and utilities have been installed. This has been going on since before the China Flu made its way here last year. The scamdemic has only made the issue worse by interrupting the supply chain.

I just wonder what's going to happen when the "woke mob" burns the metro area to the ground in the next couple weeks. 

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