From CNBC:
Mortgage rates dip, giving U.S. homebuyers over $200,000 in additional spending power in some U.S. cities
U.S. home buyers are gaining tens of thousands in purchasing power as mortgage rates drop.
With 30-year fixed mortgage rates declining from 7.79% in October 2023 to 6.2% last week, home buyers in the 100 largest U.S. cities have gained a median of $70,000 in additional buying power for the same $2,100 monthly payment, according to a Realtor.com analysis.
In other words, a U.S. buyer can now afford a home $70,000 more expensive than what they were planning to purchase last year.
The findings are based on the monthly payment for a median-priced home in the U.S., a 20% down payment and a 6.2% mortgage rate. The analysis applied the same method to each of the 100 largest cities, calculating how much extra buying power homebuyers have in each local market compared with last year.
Perhaps unsurprisingly, buyers in cities with the most expensive homes saw their spending power increase the most. In San Jose, California, for example, buyers can now afford a home worth $1.6 million for the same monthly payment they could get a $1.4 million home a year ago, according to Realtor.com.
Those savings will likely grow, too. With the Federal Reserve cutting its benchmark federal funds rate by 50 basis points last week, mortgage rates are forecasted to decline to 6% or less at some point in 2025.
If that happens, additional buying power for homebuyers in the 100 largest metro areas would increase to $84,800 for a median-priced home, compared with October 2023, according to the analysis.
Frist
U.S. home buyers are gaining tens of thousands in purchasing power as mortgage rates drop.
Unless your paycheck increased ~ 50% over the last four years, you gained nothing. What does that life insurance commercial say? Price. Price. Price. That’s what matters the most.
I know a state trooper who just bought a home. Obviously, overpaid. So much work needed. These kids gained no purchasing power. This is no different than 2008 where all my coworkers in their mid twenties panick bought a townhome for $350k and then needed to rent it out because they couldn’t sell it. In the game of monopoly, they got moved back to St. Charles Place, they did not pass go, they did not collect $200.
Wow! Hundreds of thousands of dollars in increased buying power. How wonderful! Fantastic news for home buyers, it’s like manna from heaven. What a stupid article.
I guess we’ll see what happens. A lot of this is just feel good stuff because the market is still overpriced IMHO. I’m also wondering if Powell didn‘t make too big a rate cut too soon. Very handy that the rate cut ends up being a political gift to the current administration holding the White House. Everything happening in the US appears so rigged lately.
I also remember a friend from grad school. Bought a home 3% down in North Plainfield and a month later he has a $50k home equity loan. He moved to Boston and it took him 7 or 8 years to sell.
Get your USPS prepaid Jingle Mail envelopes before the rates go up January 1st.
Hehe
I remember some rube who paid $132,000 in 1987 for a condo and sold it in 1999 for $92,000.
Chad,
Recommend you listen to Bloomberg Radio Tom Keene’s Surveillance 8am-10am for economic reality check. Avoid those weirdo pod cast.
This morning they were great. The 0.50% cut and another 0.50% likely has market spooked. What is it that is making them act as such? Well topics addressed were:
-Commercial RE, if you own Class A space in premium areas you are doing average, everyone else is kaput. So is it a behind the scene commercial RE financiers bail out?
-Import Tariff and continued overspending without dramatically overhauling the tax code of the FIRE crowd that benefits the most from it. Import tariff are an around about way the equivalent of a Value Added Tax – aka National Sales Tax, but just on imported goods. So looks at your products at home to see where you going to pay when you buy stuff. Plus they have another benefits, you can target industries and products, so if you have a transactional sale out politician in charge, you can buy him out. Is not unusual in many 3rd world countries for many markets (cooking oil, etc) to be off limits and protected from competition by law. We do it here with Sugar and that creates an internal need for Corn Syrup. Without laws protecting sugar the old cuban family of Fanjul brothers (US Sugar, Dominos), Archer Daniel Midland, and most Iowan corn farmers would be in the HTC Gummy business.
-Other mayhem in the zeitgeist. Middle East, China testing ICBM, Election results and civil disorder and violence, etc.
Everything happening in the US appears so rigged lately.
Because it is.
You aren’t paranoid.
My father bought in Winter Springs Florida, 1989
https://www.zillow.com/homedetails/770-Bear-Creek-Cir-Winter-Springs-FL-32708/47641670_zpid/
He paid 600k in 1989
Sold for $425k in 1996
It sold again in 2016 for $575k
Current Zillow estimate 1.2 million. See, real estate only goes up in the long term bro!
( )( ) ====D – – – interest – – rates – – –
10:34 The least desirable area to live in Florida.
Harris wants to eliminate the filibuster, but only to reinstate the protections of Roe v Wade. Slippery slope indeed.
3b your ballsack is the size of a toddler.
LAX: Your obsession with male genitalia is interesting. Also, you are getting even more cranky and childish with your outbursts. You need to cut back on the weed or get better weed, or you need more sex or both. I don’t know, but you do have some serious anger issues, perhaps some therapy might help too.
11:22 Aw shucks wwjd
3b,
Yeah, he sounds a bit rapey. Maybe the wife cut off the Only Fans money, or he is wacking off to his students. Teachers do that you know.
11:41 wow you are a little fruitcake aren’t you. How’d you like your teeth kicked in?
LAX says:
September 25, 2024 at 11:36 am
11:22 Aw shucks wwjd
There is no God. It’s all a farce. Jesus is just a made up man in a book written by humans who had nothing better to do at the time.
LAX: So much for the beautiful California weather, it’s certainly not helping your disposition. I hope you find peace.
11:47 Peeeeeace comes in many forms.
11:47 Let’s put it this way, once you start talking smack about teachers, my “peace” disapates to ass kick mode. Yeah, I’m alittle bit like that. Low blows for those who give their years to trying to help kids. Also a fine talking point from right wing loons.
Tom Keene is the man. I’ve been listening to him for like 40 years. Best economist (is he one?) you will ever find and truly has no political bias.
I can have fun with any profession. I’m an equal opportunity reporter.
NJ Nurse. Rumson. Crashed into 3 cars. Maybe plastered? IDK, maybe sober.
2nd possible dui or something else. The attitude on some women is incredible even after she injures others. A woman. A caregiver. A nurse. A narcissist
https://youtu.be/uPWrelK6yVQ?t=552
Give LAX a break, he was a principal at Highland Park school
https://youtu.be/vPGYm5gVBu0?si=-wUa2RTcgO2PENno
And spent sometimes at the Ronald Reagan Hospital for the Highly Excitable. His Insurance only paid for the 3 beatings a day plan.
https://youtu.be/iyxbkut9DA0?si=ejaEBfpR8DhGfUkE
11:47 Let’s put it this way, once you start talking smack about teachers, my “peace” disapates to ass kick mode. Yeah, I’m alittle bit like that. Low blows for those who give their years to trying to help kids. Also a fine talking point from right wing loons.
I’ve only been attacked as a teacher here from people that lean left.
1:27 how nice for you. I’ve been online for ages and once people find out you are liberal and a teacher you have to hear all kinds of bizarre and degrading comments.
and don’t get me started on the successful wife memes….
Pumpkin knows….
Time to take a vacation on the house? I keep getting credit card offers tied to my massive stash of home equity.
Why can’t I securities and lend my home equity to the bank so they can pay me interest instead?
Juice. Max out your credit card cash offers. Usually you get a year to pay it back. Put it all in DNA. I kid. Put it in 5% interest bank account. Use the float like the banks do. Just read the fine print.
LAX says:
September 25, 2024 at 1:32 pm
“once people find out you are liberal and a teacher you have to hear all kinds of bizarre and degrading comments”
No one degrades you for being a teacher, nor even for being a lib for that matter (other than supporting imbeciles like Carmella and Joe). To the extent degrading comments are directed at you it’s likely because you’re a lazy, drug-addled, freeloading cuck.
Retired Orange Co NY judge commits suicide as FBI closing in to arrest him for taking bribes of 63k. 63k?? I don’t understand that.
Lib; I did that for my trip to Portugal in August, and doing it again for another European trip later in the Fall. Got travel rewards too which paid for 25 percent of each trip (hotels,. Airfare and transfers)
I was starting to enjoy the ASCII Cock drawings. It reminded me of the playground intellect shared at a MAGA rally.
3B,
There is still no deal better the British Airways Avion credit card offer. You can use the Avions on partner airlines and go anywhere around the world for the cost of the taxes on the ticket for the most part. And if you fly first class, the companion ticket is invaluable.
The Amex points are pretty valuable too for international travel. Put you have to put out the $450 to get about $4,000 in perks.
Lib: Will have to check out the British Airways connection card.
I’m having a brain freeze. What’s the economics blog that’s basically in black and white? He discusses housing, politics and economics, etc. I cannot get the URL or name in my head. Help!
Fast: Kamalanomics?
2:24 not really. In reality I’m just another human being trying to make their way.
3b, they run their point special once a year, usually in January or February. Check out Nerd Wallet, the Points Guy or My Money Blog. All three will discuss it. Points Guy gets way to deep into the weeds. My Money Blog makes me about 10K a year for maybe ten hours time. Worth getting on the free mailing list.
Wait for the 125K offer.
Lib: Thank will do that.
Two Bronx men were indicted for killing a third man, dismembering the body and putting it in trash bags. They then put the trash bags in a shopping cart and boarded a Metro North train to Yonkers where they got off and set the shopping cart on fire under a bridge. It’s getting crazier out there.
Captain Cheapo continues to take advantage of purchasing INkind gift cards at Costco at $80 for $100 (plus 3% back with Costco Visa). INkind does so many crazy offers that you often can eat out or get takeout for 50-70% off. Combined with the 23% off at Costco, you can eat at really nice places for 25% of the regular bill at times. And gratuity is locked at 18% when eating out. I usually tip 20% minimum.
Lately ate at Proven Poke in Montclair, Social Club in Parsippany, Ani Ramen in Westfield and Montclair (though overrated), and tried the Black Seed bagel and was unimpressed. Still, paid next to nothing at all of them. It won’t last. Here’s an extra $25 off of $50. https://app.inkind.com/refer/EKKPZDZ4 get $25 if you use it too. Grim, feel free to pull my reference code if you don’t want people doing that here. Really, just trying to help others complaining about inflation.
3b,
There’s a lot of crazy everywhere. Not sure if it was the Covid lockdown, Social Media or MAGA mean. But I’m seeing a lot of madness as well. Or maybe it’s just getting too crowded in these parts? Parking lots are like Falujah at times. Some lady yesterday nearly pulled out of a side street (she had. stop sign) directly in front of my car. Had I not been paying really close attention and slammed on the brakes, she’d be dead. Not sure what’s going on too. It’s probably a combination of everything. The cities seem to be filled with the mentally ill and the brazen lately.
I bet they are maga
3b says:
September 25, 2024 at 3:04 pm
Two Bronx men were indicted for killing a third man, dismembering the body and putting it in trash bags. They then put the trash bags in a shopping cart and boarded a Metro North train to Yonkers where they got off and set the shopping cart on fire under a bridge. It’s getting crazier out there.
It’s too crowded in the liberal northeast.
No NJ maga is ever moving to Oklahoma or Mississippi. Maga loves the high quality of life and high income that blue states offer.
None of them ain’t never moving to Republican south
Libturd says:
September 25, 2024 at 3:15 pm
3b,
There’s a lot of crazy everywhere. Not sure if it was the Covid lockdown, Social Media or MAGA mean. But I’m seeing a lot of madness as well. Or maybe it’s just getting too crowded in these parts? Parking lots are like Falujah at times. Some lady yesterday nearly pulled out of a side street (she had. stop sign) directly in front of my car. Had I not been paying really close attention and slammed on the brakes, she’d be dead. Not sure what’s going on too. It’s probably a combination of everything. The cities seem to be filled with the mentally ill and the brazen lately.
Phoenix says:
September 25, 2024 at 10:15 am
Everything happening in the US appears so rigged lately.
Because it is.
You aren’t paranoid.
https://youtu.be/OEeJLTX1KYk?si=gdoKKgd_XlorGarN&t=94
“triple-leveraged all-cash”
“vet bill”
“genny cream ale”
It is criminal that they split up Ferro and him. The most hilarious witty intellectual fucking shit of all time, served up every market morning…….
Libturd says:
September 25, 2024 at 11:57 am
Tom Keene is the man. I’ve been listening to him for like 40 years. Best economist (is he one?) you will ever find and truly has no political bias.
Very Stable (Debatable) : One of the suspects name is Mohammed, can I assume he is an Islamist terrorist?
Lib: The craziness has been gaining ground over the last 15 years or so, Covid and the lock downs definitely contributed to it in a big way. But, I think just day to day it has gotten even worse. People are angry, and spoiling for a fight, the parking lots, super markets, driving, and even the pedestrians crossing the street. Also, I am hearing lots of crazy work stories from friends and families, even to the extent that they are afraid some of their co-workers will resort to violence. The political rhetoric from both sides does not help either, if you disagree or don t take a side one way or the other, you are suspect, or racist or sexist or whatever. Intellectual discourse, and agree to disagree is out the window, Facts don’ t matter.
We are told the economy is good and people are spending money etc, and yet it somehow all appears to be very fragile. It is ugly crazy out there. I hope it does not get worse.
LAX: if you are up for a road warrior trip to London…
https://myticket.co.uk/artists/lanegan-60
Phoenix,
A friend of mine in Philly says my problem isn’t that I‘m paranoid, it’s that I‘m not paranoid enough. Maybe he’s right. Let’s look at this from a distance. You have a sitting president who obviously is in the early stages of dementia and whose issues have been covered up by his political party and the main stream media. Then you have a vice president who has been considered a nitwit and in way over her head, who suddenly is being heralded as the next coming of Indira Gandhi. She doesn’t do press conferences or discuss policy either. Meanwhile the guy with dementia is still in office after being deemed unfit for re-election. Oh, and by the way the candidate of the opposition party who is running for president has survived two assassination attempts within a matter of weeks. Add in the Fed making a big rate cut weeks before an election, when it was previously stated rates would only be cut once the target of 2% inflation was met. I could go on and on, but you get the idea.
I applied this week for German citizenship. I figure it is good to have a backup plan as I wait out the destruction from within of the US. The US is gaining a reputation as an up and coming banana republic.
Q to the Board:
I was considering taking a single-day out and back to O’Hare on Tuesday next week. I was hesitating to lock it in. It was tracking at $157 until this morning, when it jumped to $412 across the board. Is this common? We are now within 6 days?
4:07 I’m very overdue for a trip to London.
Chi,
Planned a trip with my kid this summer. Cunty ex wife kept delaying when she would tell me when she would drop off my kid.
Price jumped every day. Cunty ex cost me hundreds.
Trip was excellent though. I understand now how some people end up at the bottom of a well, however.
Chad: Oh boy, you are going to get some abuse for that post.
Chad,
Again, you aren’t paranoid. America is not headed in the right direction, and judging by the two cretins you will have to choose from it’s going to get much, much worse.
PoPo just shot 2 innocent straphangers, and one of their own, over a 2.50 subway fare.
Sure he had a knife, but they went all ape shite. I’m sure the guy with a massive brain injury is happy the PoPo were there. Oh, and the PoPo lied about the woman they hit, turns out it wasn’t a “graze”, her leg is destroyed. Lying C Succers.
I’m writing in Bill Burr for President.
Hehe.
Phoenix: I am selecting myself as a write in candidate. Maybe, I will end up on some secret list of trouble makers.
Airfare is typically the cheapest about 45 days before departure and between two weeks and a week. It is based on how full the planes are and this can easily be checked by making believe you are buying tickets and checking the seating chart. If there are A LOT of empties, it can stay cheap right until about two days before the flight. If it is a holiday travel period, it likely won’t get any cheaper than 45 days before and depending on capacity, two months before might be slightly better. It’s rarely cheap the last week since they know they will have a whole bunch of suckers either heading to funerals or consultants who have to put out last minute fires.
As a hockey dad who traveled for tournaments way too often, we watched the average ticket price on flights go up by 100s as the team of 20 booked. Then as the families booked, it would up 100s more. What’s incredible about the pricing algos, is that the competitors fares would also increase nearly simultaneously. Especially when it was a small market, like Detroit in the middle of January. Or Rochester, in February.
The price could drop again, ChiFi, and personally, I would wait one or two more days to see. After that, pay the man!
4:08 That’s one way to look at it. The other way is that the US Gubmint is (poorly) tun by civil serve-ants and cuckolded elderly spinsters with dysentery.
BRT that was really a luxury house for that area and that era and your dad didn’t really time that purchase well. Proximity to UCF would have been a plus. Bet you all went to the Altamonte Mall when that was still a hot destination.
Back in 1989 I was doing a 50 minute drive each way to UCF using I4 and Semoran, the toll road 417 near there didn’t even exist back then. Probably wouldn’t have spent the extra money anyway.
I lived in Winter Park FL through the 90s, fine if you have good work there, but otherwise there are more appealing parts of FL than the Orlando region.
Chicago,
Issue with O’Hare is hub for United & American. You are competing with everyone buying tickets that is connecting there. EWR United has more daily flights. LGA American has more daily flights. With Delta right behind out of JFK & LGA. Pending where you are in Philly an American hub has frequent flights.
Thx on ORD
Paul Pelosi has made yet another brilliant stock trade, selling shares of Visa valued at between $500,000 and $1 million less than three months before the feds hit the credit card company with antitrust charges.
Guess being married to one of the most plugged-in politicians in America has its perks: Does anyone believe Pelosi is making these “lucky” calls entirely on his own?
Mazel Tov Paul, you took one to the noggin, your wife you have been snoggin’ and the golden years are rich baby. Don’t have the playa. Yo
5:38 Winter Park was sweet back then. Yessir
chi, there are a bunch of twitter accounts that just snoop on her filings and every other member of congress. Shadowing her trades has paid off massively. They give alerts on suspicious trades like when a congressman invests 1/4 of their net worth into some small company
No One, yep. My neighbors were lottery winners and Orland Magic players. Altamonte Springs mall was where it was at. Got Hot Sam Pretzels there all the time. Stood in the doorway waiting for the lightning to pass so you could go to your car. Only spent 1/2 a year there. School was terrible but ever since they built a real building, it looks light years nicer than anything I’ve been in inside NJ.
Chgo: If Nancy Pelosi was a Republican it would matter. The Democrats don’t do bad things, on the off chance they do, it was an honest mistake.
No. Dems and Republicans are equally corrupt. But Dems are socially miles ahead of the Republicans.
No. Dems and Republicans are equally corrupt. But Dems are socially miles ahead of the Republicans.
Not until you start voting them out of office would I even entertain this idea.
NYC Mayor Adams indicted.
If you haven’t figured it out yet the game is rigged or so says texas attorney general ken paxton blocked votes to the tune of 2.5m
The inquiry was launched by the Democrat-led Senate finance committee in response to reports in the New York Times that Kushner was pursuing property deals abroad as his father-in-law was embroiled in a presidential election campaign.
The paper reported that Kushner was using contacts cultivated while working as a White House adviser during Trump’s presidency.
The Senate investigation has found that no profits have been paid to Saudi and other investors by Affinity despite the hefty management fees it has raked in.
Ron Wyden, the committee’s Democratic chairman, wrote to the company this week asking why it had not “distributed a penny of earnings back to clients”.
In a letter to Chad Mizelle, Affinity’s chief legal officer, he said the inquiry’s findings have “heightened my concerns that investments in funds managed by Affinity create unprecedented conflicts of interest”.
He added: “Affinity’s investors may not be motivated by commercial considerations, but rather the opportunity to funnel foreign government money to members of President Trump’s family, namely Jared Kushner and Ivanka Trump.”
Wyden said the foreign investors’ fees included $87m from the government of Saudi Arabia.
“Affinity’s failure to deploy capital in a timely fashion while charging excessive fees has reinforced my view that Affinity is likely part of a compensation scheme involving US political figures designed to circumvent the Foreign Agents Registration Act (FARA),” he wrote.
Wyden’s comments amplify concerns voiced in an earlier letter – sent in June to Affinity’s chief financial officer, Lauren Key – that the company’s exclusive reliance on foreign investors raised national security concerns.
“Private investment funds that take money exclusively from foreign politically exposed investors present heightened national security and other risks,” he wrote. “The US government has recently highlighted how the opacity and lightly regulated status of private funds can present risk to national security.”