How high can we go?

From Black Knight:

Home Prices Hit New Record Highs in 60% of Major Markets as Annual Growth Rate Rises, Boosting Homeowner Equity Levels

The Black Knight Home Price Index (HPI) hit an all-time high in June, this time on both seasonally adjusted (SA) and unadjusted levels, with nearly every major market experiencing month-over-month growth

Prices have now reached new peaks in 30 of the 50 largest markets, with several northeastern metros currently 5-8% above 2022 highs

Home prices rose by +.67% (SA) month-over-month in June, while after slowing for 14 consecutive months, the annual growth rate rose to +0.8% in June, up from a revised +0.2% in May

Broadly speaking, annual growth is strongest among Midwest and Northeast markets, while West Coast and pandemic boom markets continue to see prices run below last year’s levels

Despite overall outstanding mortgage debt surpassing $13T for the first time ever, home price growth has also pushed homeowner equity levels back to within 3% of 2022 peaks

Total mortgage holder equity topped $16T again in June, with tappable equity – the amount that can be accessed while retaining a 20% equity stake – climbing to $10.5T, within $434B (4%) of 2022 peaks

While the number of underwater homeowners is up nearly 70% from last year, it remains 52% below 2019 levels, with just 344K (0.65%) of mortgage holders nationwide currently owing more than their home is worth

This entry was posted in Housing Bubble, National Real Estate, New Jersey Real Estate. Bookmark the permalink.

32 Responses to How high can we go?

  1. dentss dunnigan says:

    First

  2. dentss dunnigan says:

    And property taxes as well ..In little silver they assed every year , my assessment went up 220 K taxes up 3700 ….

  3. The Great Pumpkin says:

    Since 1960, the jobless rate has typically risen 18 to 24 months after the start of a Fed tightening cycle
    Buckle up…

    “This delay stems from a year needed to slow corporate revenues, followed by another 9 to 12 months for companies to decide to cut costs

    Currently, 17 months after the Fed started hiking, the pattern continues with nominal revenues stalling and real revenues declining

    This means unemployment will probably increase substantially in late 2023 or 2024”

  4. Old realtor says:

    Showed this one last Friday…https://www.zillow.com/homedetails/72-Rock-Rd-Glen-Rock-NJ-07452/37920685_zpid/

    Listed last Wednesday. Sunday night received the highest and best email. Offers due by 11:00 today. Busy street. No garage. Minimal closet space. About 1500 GLA. Want to buy in Glen Rock? Entry level starts with a 7 or an 8.

  5. Libturd says:

    Primis Bank is giving me 5.16% on my completely free checking account that I opened in January. If anyone is interested, they are now accepting new accounts, but only by referral only. So far, the bank has worked perfectly for me. The account was especially easy to open and was done completely online. There are no minimums, no requirements, ATM fees are rebated and I think new accounts are paying 5.09%. Full disclosure, I will get a Benjamin up to five of them per month. But I’m not sharing this to put the blue cheese in my pocket. I am sharing it because people can do a lot better than what Apple and Marcus (Goldman Sachs) are paying. Plus who wants to send money to those shysters?

    Info here: https://mcpwvgk1-8q75yy74qy82pdmmwfy.pub.sfmc-content.com/kqlomfhpwdf?qs=4909936e8e7d0b07be205d1f60a1b4b7ca2999a97975def5583a91b1a5a840596d76fc274eb21686dea2caf017b3fbe8c2c7cfe1030a3b7f&utm_source=sfmc&utm_medium=email&utm_campaign=Referral+Program+Email+to+Customers&utm_term=webpage+&utm_id=259718&sfmc_subkey=4o-n9-cQeWnyCk—25FmGJ-

  6. Fast Eddie says:

    Old Realtor,

    What’s your estimate on the sale price for that house? Do you already know what price was accepted?

  7. The Great Pumpkin says:

    *UPS DRIVERS TO MAKE $170,000/YR WITH BENEFITS BY CONTRACT END

    https://twitter.com/conorsen/status/1688895862913613824?s=46&t=0eaRjeKWHSIY8WCyPT4KMg

  8. Juice Box says:

    Re: How High?

    A multi-year disinflationary trend in housing is only just starting.

    San Francisco Fed. “Our baseline forecast suggests that year-over-year shelter inflation will continue to slow through late 2024 and may even turn negative by mid-2024 .. the most severe contraction in shelter .. since the Global Financial Crisis ..”

    https://www.frbsf.org/economic-research/publications/economic-letter/2023/august/where-is-shelter-inflation-headed/

  9. Old realtor says:

    Eddie,
    My buyer didn’t make an offer. No idea where that will land. House sold 17 months ago for $599,000. Ten percent increase gets you to 660 and we know it is higher than that. Probably a 20% increase or more over the previous sale as that gets this to $720,000 or maybe even higher?

  10. The Great Pumpkin says:

    If home prices decrease by 5%, more than 200,000 households could be at risk of falling into negative equity, essentially ‘going underwater’ on their home loans, per CoreLogic.

  11. Phoenix says:

    So what?

    The Great Pumpkin says:
    August 8, 2023 at 10:17 am
    If home prices decrease by 5%, more than 200,000 households could be at risk of falling into negative equity, essentially ‘going underwater’ on their home loans, per CoreLogic.

  12. Jim says:

    The Great Pumpkin says:
    August 8, 2023 at 9:50 am
    *UPS DRIVERS TO MAKE $170,000/YR WITH BENEFITS BY CONTRACT END

    Yea , and my son works from 8 in the morning to 10:00 at night from November to December. No summers off, 6 hour days, like you have Pumps.
    Good news Pumpkin UPS is hiring in Mt. Olive, you can start like my son did 15 years ago loading trucks from midnight to 8am @ minimum wage $8 hour when he started but now $17-18 to start. Took him 4 years to become a full time driver because his boss in Parsippany blocked his moves to being a driver, due to his work ethic and never ever calling in sick in 4 years. Boss literally kept him in job longer than he needed to be. The grass may look greener, but it comes at a price, quotas of packages must be filled .

  13. Phoenix says:

    UPS pays better than nursing without a college degree or the liability. Seems RWJ nurses are right, they should argue to be paid what UPS workers get.

    im says:
    August 8, 2023 at 10:30 am
    The Great Pumpkin says:
    August 8, 2023 at 9:50 am
    *UPS DRIVERS TO MAKE $170,000/YR WITH BENEFITS BY CONTRACT END

    Yea , and my son works from 8 in the morning to 10:00 at night from November to December. No summers off, 6 hour days, like you have Pumps.
    Good news Pumpkin UPS is hiring in Mt. Olive, you can start like my son did 15 years ago loading trucks from midnight to 8am @ minimum wage $8 hour when he started but now $17-18 to start. Took him 4 years to become a full time driver because his boss in Parsippany blocked his moves to being a driver, due to his work ethic and never ever calling in sick in 4 years. Boss literally kept him in job longer than he needed to be. The grass may look greener, but it comes at a price, quotas of packages must be filled .

  14. Jet Lagged Chi says:

    Couldn’t be more accurate.

    dentss dunnigan says:
    August 8, 2023 at 7:11 am
    And property taxes as well ..In little silver they assed every year

  15. Fast Eddie says:

    If home prices decrease by 5%…

    Not here. Not in the NY/NJ/CT area. Flat at worst, then a multi-year surge again, like a volcano building up its next eruption. For the first time in my life, I agree with the realtors; it’s different here. Toss a few dead piglets into a pond full of crocodiles, that’s what’ll happen when you list your house in the Tri-State area.

  16. Phoenix says:

    Women. They will do anything for a buck. Screw each other over to get their grubby little fingers on some money to buy an expensive purse or fancy car.

    They are no better than the men they complain about. I was in a strike with the UAW, no way this would have happened.

    You would never see the police or firemen do something like this-it’s about having an ethic.

    “In a statement released Aug. 7, Wendy Gottsegen, RWJUH spokesperson, said that the hospital remains open, operational and fully staffed.

    “Thanks to the support of our highly skilled, highly trained, and professional replacement nurses, staffing levels throughout the hospital have been appropriately maintained across all units and all shifts when considering both patient volume and acuity,” said Gottsegen. “The transition to replacement nursing staff could not have been more successful and seamless and their shared commitment to support the hospital, our patients, and our communities is greatly appreciated.”

  17. Jet Lagged Chi says:

    I miss those days on the PATH train on this 95+ summer days.

    Libturd says:
    August 7, 2023 at 4:39 pm
    No One,

    I bet the headlights weren’t the only thing that popped up.

    Chi, try to keep that drink from shooting out your nose now, won’t ya please?

  18. The Great Pumpkin says:

    Jim,

    How do you think I bought my rental property? I worked at the post office for 2 years. Summer of 99, had one day off the entire summer, and that includes Sunday. Worked 70 hrs or more every week. You people still don’t understand how much grit I have in me. Why do you think I became a teacher? I busted my ass at a young age, realized all jobs suck, and I went for the job with the least hours. I am no stupid idiot like you guys think I am.

    Also, why I can honestly say urban teaching is the hardest job I have ever done. I have done all the hard manual jobs. They don’t have chit on trying to teach an urban classroom. I am exhausted after each school day. They are tough kids and they aren’t afraid of adults or authority. Not many people can do it. You have to get them on your side, and that’s not easy. If you are not a like able person, you are dead on arrival.

    I am proud of what I have done in life based on the hand I was dealt. I didn’t cry, I manned up, and went for it. Better off than most people I know. Not bad for a polish/Lithuanian kid from clifton.

    My parents (esp my mom)went 3 for 3 with raising successful kids. The hand she was dealt and how she never gave up, brings a tear of happiness to my eye. I am so proud.

  19. The Great Pumpkin says:

    And in my eyes…my mom is more successful than most. It’s not about the money, it’s about how you played that hand you were given in life and about being a good honest individual. That’s how you measure your life, not by money.

  20. The Great Pumpkin says:

    Money is only a tool. A tool to help yourself. A tool to help others. Nothing more. Use it for power and you are evil.

  21. No One says:

    Chi, Lib,
    Well I was only 11 or 12, so I didn’t yet have the concept of a hot teacher in 6th grade. On the way to the spelling bee I was nervous, on the way back I was sad. I think I got a metal pen as a prize, spelling either my first or second word wrong at the county bee, after winning my elementary school’s bee. So no tents were pitched during the ride. Perhaps grim can create a portal that can turn any anecdote into a JJ-worthy lurid story using AI trained on JJ’s old posts here.

    I found out on facebook the teacher has already passed away. Back then she was single, 30, and driving her red RX7 to Daytona Beach on weekends, where I’ll bet she was having fun. A better memory for me than the retired grandma of her obituary. Tans looks good on girls age 16-30, but women’s skin pays a price longer term with accelerated aging.

  22. BRT says:

    Pentagon Says Ukraine is `Making Incremental Gains’ in Tough Fight. Is this in centimeters or dollars?

  23. Director NYC says:

    Pumps, – which one is it? – easy job or no?

    “Why do you think I became a teacher? I busted my ass at a young age, realized all jobs suck, and I went for the job with the least hours. I am no stupid idiot like you guys think I am”

    “Also, why I can honestly say urban teaching is the hardest job I have ever done. I have done all the hard manual jobs. They don’t have chit on trying to teach an urban classroom”

  24. The Great Pumpkin says:

    Director,

    Reading comprehension? All jobs suck. I just picked the one that has less days there.

  25. No One says:

    Here’s a video of Pumpkin teaching in the inner city
    https://southpark.cc.com/video-clips/95a6hm/south-park-how-white-girls-cheat

  26. ExEx says:

    11:44
    Really depends on what type of power:

    https://www.tiktok.com/t/ZT8Ltf7Bu/

  27. leftwing says:

    Yeah, no crazy here…

    The Secret Hand Behind the Women Who Stood by Cuomo? His Sister. https://www.nytimes.com/2023/08/07/nyregion/cuomo-women-sister-madeline.html?smid=nytcore-android-share

  28. The Great Pumpkin says:

    Lefty/Brt,

    If you have balls, short UPS long-term or long-term
    Options on UPS labor contract deal. You will be hurting a good american company that produces good paying jobs.

  29. The Great Pumpkin says:

    But prob not a bad play

  30. The Great Pumpkin says:

    Just watching wsj video on “Yellow.” How does this not hurt the economy? That’s a lot of jobs. Economy can no longer depend on this rock for jobs.

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