Crime F*** THE HOUSING MARKET

[Deleted member 592570]

Coleman, you are such a troll pretending to be astounded by that.

Your house value is going up because of increased demand, dipshit. It's going up specifically because more people want to buy it.

That's how dumb you are.

You don't understand supply and demand.

 

[Neph]

Your house value is going up because of increased demand, dipshit. It's going up specifically because more people want to buy it.

That's how dumb you are.

You don't understand supply and demand.

I'm sorry you are accusing people of being dumb and not understanding supply and demand, but he's right.

His quote that you are getting worked up over:

The more something costs the less people are willing to buy it.

Supply and demand - Wikipedia

en.wikipedia.org

Let's follow both curves.

SUPPLY:
As the price increases, people want to supply more, because they can sell it for more.

DEMAND:
As price decreases, their demand for the good decreases, because its ratio of value: cost worsens.

We can probably stop right there, since it's elementary that increasing price reduces demand.

However if you want to explore the concept further, there's the elasticity of demand:

Price elasticity of demand - Wikipedia

en.wikipedia.org

The elasticity of demand translates the change in demand with the change in price.

Something that is highly elastic responds substantially to changes in price. Something where the change in demand is less responsive to a change in price is called inelastic.

Examples of highly elastic items include restaurant meals, luxury goods, etc. These are things people forgo easily when the price is too high.

Examples of highly inelastic items include basic food staples, medicine, etc. These are items that, even if the price increases, people are somewhat required to purchase.

TLDR:

You should probably not shout how people are stupid when you are wrong.

 

[Deleted member 592570]

I'm sorry you are accusing people of being dumb and not understanding supply and demand, but he's right.

His quote that you are getting worked up over:

Supply and demand - Wikipedia

en.wikipedia.org

Let's follow both curves.

SUPPLY:
As the price increases, people want to supply more, because they can sell it for more.

DEMAND:
As price decreases, their demand for the good decreases, because its ratio of value: cost worsens.

We can probably stop right there, since it's elementary that increasing price reduces demand.

However if you want to explore the concept further, there's the elasticity of demand:

Price elasticity of demand - Wikipedia

en.wikipedia.org

The elasticity of demand translates the change in demand with the change in price.

Something that is highly elastic responds substantially to changes in price. Something where the change in demand is less responsive to a change in price is called inelastic.

Examples of highly elastic items include restaurant meals, luxury goods, etc. These are things people forgo easily when the price is too high.

Examples of highly inelastic items include basic food staples, medicine, etc. These are items that, even if the price increases, people are somewhat required to purchase.

TLDR:

You should probably not shout how people are stupid when you are wrong.

Good thing there isn't an unlimited supply of housing then. The increased demand for housing is driving the rising prices. We aren't at the point of the price proving to be a barrier to potential buyers.

 

[Fedor>Cain]

Update:

Ended up winning a bid on a slightly cheaper house that was also slightly bigger.

I'm poor now.

Would anybody like to donate to my GoFundMe?

 

[chardog]

Update:

Ended up winning a bid on a slightly cheaper house that was also slightly bigger.

I'm poor now.

Would anybody like to donate to my GoFundMe?

Hell of a quick turnaround, impulse game is strong

 

[HomeCheese]

I've had this feeling for the last half decade lmao

Just pissed I loved that house.

Either way I'll be good. My rent is $700 a month in an 1100 sq foot town house. I'm basically just hoarding money at this point lmao.

This housing market is just retarded. I can't believe somebody was willing to say fuck inspections on a house lol.

Buyer could be a contractor who did the inspection himself.

 

[Michaelangelo]

Update:

Ended up winning a bid on a slightly cheaper house that was also slightly bigger.

I'm poor now.

Would anybody like to donate to my GoFundMe?

Pics of house

inb4 shingles too pointy

 

[scoopj]

Update:

Ended up winning a bid on a slightly cheaper house that was also slightly bigger.

I'm poor now.

Would anybody like to donate to my GoFundMe?

Sure, I’ll donate. Send me your SSN and mother’s maiden name and I’ll get the process started.

 

[lifelessheap]

We put down 20% on 351,000 in early 2020. Fucking saved by the bell. Prices went nuts after that in Idaho. We locked in a 2.3% 20 year loan.

Everyone who moved in after us had payments at least double in the same development. Crazy times.

 

[IanEdwards]

College Sorority coke whores ----> age 23-29 Bottle girl at clubs ---> age 30+ Realtors

ha. I imagine there is *at least an element of exaggeration* in this but I can imagine it- I'm not in the uS but I am sure there is some crossover in personality types for 'realtors' in general. In the UK most of them would be gettign started in their 20s, FWIW

in the uK I would say the amount of 'realtors' that are university-educated is pretty low, as it happens. However they do very much tend to have consistent personality/other traits. Their (relative) physical attractiveness and superficial vivaciousness would very much be the common denominators, but also, you seem to imply in the US the majority of realtors are female? not so in the uK but the male examples of the breed are similar personality/etc types. Superficially charming, kinda presentable types. Glib, facile, like sociopaths in a (very) low key

if they had the brains they would be financial advisors/wealth managers, but there are some pretty difficult exams to pass and standards to meet in that industry and more oversight/ less leeway for outright dishonesty, which wouldn't play well with their basic personality trait of moderate-at-best intellect, dishonesty and selfish opportunism. If they had the ruthless drive and ability to take punches and keep coming, the fundamental hardness of the *very best salespeople* making very good money, they'd be doing that. But they haven't. So they have to sell houses, which are products that basically sell themselves and in the majority of cases involve virtually no sales skill, just that opportunistic streak and lack of scruples.

 

[cooks1]

Sorry sherbros. Had a few tonight.

Just lost a bid on a 300k mcmansion in Kentucky because the other bidder was willing to forgo all inspections lmao.

What a time to be alive.

Yes this is listed under crime.

Chin up. I'd say that's a bullet dodged.

 

[cooks1]

We put down 20% on 351,000 in early 2020. Fucking saved by the bell. Prices went nuts after that in Idaho. We locked in a 2.3% 20 year loan.

Everyone who moved in after us had payments at least double in the same development. Crazy times.

Well done. Time is the great equalizer. We have a 2981 sf home in FL built by Lennar. And our floor plan is by far the most common one in the neighborhood. Easily 30 homes just like ours. So there is always one for sale.

We bought our home new in 2007 for 300K. We felt like we got a crazy good deal when we found out our neighbor paid almost 400K for the exact same home in 2006. But of course that all changed over the next dew years.....and we watched in horror as the exact same floor plam as ours was selling for as low as $190,000 at the absolute bottom.

We never sold and still live in the same home today. They are going for about $570 right now.

 

[Mr Holmes]

 

[LostMyBlackBelt]

Trump is making it much easier for foreign investors to buy up US property. He is acting like it is great that they are "investing in:"Murica.

 

[nonoob]

FWIW, this cat calls it as he lives it.

Funny Based Guy breaks down the Housing Crisis (about Canada but applies everywhere)

This is how mortgaging works worldwide and why being underwater in a dip is so catastrophic

theworldwatch.com

 

[chardog]

FWIW, this cat calls it as he lives it.

Funny Based Guy breaks down the Housing Crisis (about Canada but applies everywhere)

This is how mortgaging works worldwide and why being underwater in a dip is so catastrophic

theworldwatch.com

interesting, but I disagree, the bank cares because if the prices drop that much, they face an increasing chance of default. When prices fluctuate too fast, it's what happens.

 

[UFCUCF]

interesting, but I disagree, the bank cares because if the prices drop that much, they face an increasing chance of default. When prices fluctuate too fast, it's what happens.

In my experience the bank might care, but not enough to foreclose if you are underwater but making payments. Just don’t try to refinance or move. If you move, get a tenant—fast. It will be a default on most homestead mortgages but the bank isn’t that eager to take an underwater asset if it’s performing.

 

[HeffDoesWant]

Just when I think the lefties here can't get any more financially illiterate, one of you posts something like this.

I am truly astounded.

That's pretty much the underlying theory behind supply and demand. I consider it basically irrefutable, so im stunned you're stunned.



I think he'll be alright it just means he is more likely to sell to an investor not someone looking for a home.

 

[WklySportsMemes]

Just when I think the lefties here can't get any more financially illiterate, one of you posts something like this.

I am truly astounded.

Im a lefty & I have probably held more financial licenses than most people here.
Especially in the home loan game.
In fact going to look at some properties today for new construction.

Do you hold any financial licenses, degrees, or certifications?

 

[BoomStronk]

Sans inspection is insane. You could have done that

Maybe the buyer Lucks out, skips a bunch of bullshit and paperwork and gets a fine house out of the deal.

Or, maybe the pipes are made out of asbestos and lead