NFR How's the housing market where you live?

Non-fishing related
Dustin Chromers said:
Both. This country isn't in as good of shape as far as upward mobility for the middle class as it once was. I don't dispute that. I would add that property ownership is a vector to wealth.

On the second item I'm not going to generalise lazy but people have allot more stuff garnering their income and productivity that doesn't lead to ownership. Two plus cars, smart phones, toys, less nuclear family arrangement etc. So even if one isn't lazy unless they have lots of willpower and priority they will find their money is leaving their wallet in small bites for distractions. I strongly advise a cold list form of priorities for people. This keeps focus on what is important. If it's not advancing what you truly want, forget it. The gratification after delay is far more gratifying.

While we are handing out blame and advocating for certain subjects required in school I got one. Financial literacy..I had to learn the hard way. It was almost as if someone wanted me to get a college loan, go in debt, get credit cards to pay said debt, and be terminally slave to that system. I mean visa and MasterCard came to the campus. It didn't happen but I could see how easy it could. I was armed with zero tools to fend it off. Let's give young people the tools to know what is what in financial matters. It should be required. We are producing debt slaves that drive new cars and have the latest everything except property. That works great for the corporate class and not so hot for a dwindling middle class. People may own nothing and like it but at some point........
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This is already taught in our public schools, starting in middle school and continuing through high school. Both in standard math classes and in finance/life skills specific classes. Then again, immune function and bacterial/viral infections are too and we all saw how that played out.
 
Stonedfish said:
Middle density zoning may be great, but in a city say like Seattle where do you put it and what do you take out?
It has already happened in many areas. Just drive down Lake City Way say between 125th and 145th. More are coming there as you see multiple boarded up small commercial building in a row. (See picture of what used to be one of my clients offices.) Its been sitting that way for awhile now.
This is happening on just about every major arterial in the city. Goodbye Sandy’s Seafood, Jansen’s Smokehouse and Safeway on Greenwood.
I think the biggest issue is the time involved with securing financing, permitting etc.
I still don’t think even if all the projects were shovel ready all at the same time you could build yourself out of the current situation.

Not far from me, a bunch of single family homes were taken out to build a bunch of townhomes. Obviously not the density of apartments or condos, but a heck of a lot more units then the single family homes provided. $10 million was the starting price just for the dirt and the homes that were torn down. Sorry, you get increased density but those new units won’t be affordable to many with starting prices in the $800K.

Feel free to paint me in the boomer / NIMBY crowd, as I didn’t buy my home in a single family neighborhood to look at condos and apartments.
SF

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Same sh^t s happening in Kenmore and Bothell. The well known Murphy’s Auction house in Kenmore has sold and a 164 unit dwelling with a small community eco friendly park will be erected in its place. And for anyone who has not been in Bothell the last 5 years…just 😳!
 
Gary Knowels said:
This is already taught in our public schools, starting in middle school and continuing through high school. Both in standard math classes and in finance/life skills specific classes. Then again, immune function and bacterial/viral infections are too and we all saw how that played out.
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That's excellent to hear. I got zero instruction on finances other than, "you better go to college by any means or you'll be nothing." I'm glad to hear this vital need is being filled. I grew up in not the most affluent area where the football team was top priority for the school.
 
We all have economic questions to answer both individually and collectively. Where to live, what to do, education and relationships. We were taught there is a particular order. Go to school, go to work, get married, get a house, live happily ever after. The order throws us deeper into debt with college student loans, low paying wages, marital commitments and rising housing costs. Today we are questioning those societal forces. Try to understand supply and demand and make decisions that keep you ahead of the curve, not behind it.
 
Gary Knowels said:
This is already taught in our public schools, starting in middle school and continuing through high school. Both in standard math classes and in finance/life skills specific classes. Then again, immune function and bacterial/viral infections are too and we all saw how that played out.
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I'm glad to hear they are teaching finance / life skills. We never had any of that when I was in school. Luckily I had two depression era parents who taught my brother and I those values, especially related to money.
Every time I see someone teaching their kid how to pump gas, how to make change, use the self check stand and other things related to money use, I compliment them. We could use a lot more of that type of parent involved teaching in my opinion.
SF
 
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All this discussion about housing markets got me thinking . . . about the first house I bought. I was just shy of 29 years old and had a 1-year old daughter. Found a small house in 1977 in Mt Vernon for $27,500 I think it was. 850 sq ft with 2 bdrm and 1 bath. We decided that my wife would be a stay-at-home mom until kids went to school. I made $12,000 that year I think. Mortgage interest was 6.5 or 7%. The monthly payment was $202. I think I put 5 or $6,000 as down payment. It seemed like affordable housing since I had previously paid $185 a month for rent.

After a couple years we had a second child and needed more space. Instead of buying a larger house, I borrowed $20k and remodeled that house out to 1650 sq ft, but it took me six years to finish it. It was a fun project, I learned a lot about construction, and then sold it for $110 in 1992 and was able to put 50% down on my next house when I moved to Olympia.

I finished building my bucket list house in 2010 for over $425,000, but the recession valued it more like $300. That took the wind out of my sails. Now it's apparently worth somewhere north of $500 or more, I really don't know. If I didn't already own it, I'm doubtful I could even qualify for the kind of loan it would take to buy it now.
 
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In Seattle’s U-District the forecast is for an additional 10,000 plus people to live there in the next 10 years. Zoning changes (building height and more) plus light rail access ( 2 stops plus the one near Husky stadium) have made this possible. Some new high rises have been built and opened before that news. Construction activity is already noticeable and will increase. Doesn’t seem like Seattle home prices are likely to decline soon.
 
The OP by @swimmy was about the housing market in areas we live. It meandered about on various related subjects as these type of threads do. But it has remained on course for the most part.

@cody- it was not about how to get into the market nor teach people how to buy their first home. IMHO In order to buy a first home or new home nowadays, it may require finding a road less traveled. Here is one:

Investing 101 is use other people's money to make you money. So how do we do that? Buy investment property, and have the tenants cover the payments, taxes and maintenance. As the property appreciates, the raise the rent, improve cash flow, and put that money into a ROTH IRA. Use the IRS rules for tax benefits. Then using IRS Rule 1031 Exchange, role the sale of that property into a better investment tax-free (delayed). After a few years, money/value will all grow tax free both in the property and ROTH IRA. If one follows the strict rules of a 1031 Exchange, one can move into the investment property and make it a permanent residence. Then the IRS rules applied upon the sale so that capital gains are tax free for the first $250k if single or $500k if married.

One might have to sacrifice a bit by not owning their home for a few years but growing money with other people's money and tax free is wonderful.

Edited: The real estate investment conglomerates are actually doing something similar this right now if you think about it...
 
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It’s true for me and I’m sure it true for a lot of folks that bought their house 10-20 years ago like we did in 2004 for $330,000. And especially in the Seattle and greater area, many could not afford their home they live in today. Evidently my home is valued at $1.12M. Unbelievable l!!! Homes around us and most were built in the 60’s by the same couple of builders have been fetching well north of $1M the last year plus.

Crazy!!!!!!!
 
cedarslug said:
How does one easily secure investment property?
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Easily? No way. It does not need to be a house. How about a duplex, storage units, or land with hookups for RV (VRBO?) and rent them out. Maybe buy more rural. People gotta live in rural areas also. It may become the next suburban growth area. That is where creativity, research and hard work comes into play.
 
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Didn’t Canada just ban property being purchased by overseas entities? Seems like a GREAT place to start. This is not a WA/US problem it’s happening in many counties. If supply is being taken up by unlimited overseas entities and driving up costs then that needs to be reduced. Not really a free market principle but might help.
 
The real estate investment conglomerates are doing it to make good money. Not a lot of other places to make good money or they would be there instead.

It is not only foreign based conglomerates. There are a number of US based real estate investment firms e.g. Blackrock and Driftwood Capital come to mind.
 
RCF said:
The real estate investment conglomerates are doing it to make good money. Not a lot of other places to make good money or they would be there instead.
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Haven't they heard of bitcoin ?
 
Canada just banned handguns, haven't heard anything about foreign purchase of property. They love China and China owns a massive amount of Canadian real estate. I don't think Trudeau would do that to his buddy Xi.
 
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