Many homeowners are now underwater on their mortgages with the housing downturn

[Saltwater60]

I smell trouble.

As U.S. home prices fall, an alarming number of buyers are underwater

Hundreds of thousands of homeowners who bought properties this year owe more than their homes are worth.

www.cbsnews.com

 

[Drinkthekoolaid]

We didn't see this coming..... Said no one on this board.



All the warning signs are there.

https://markets.businessinsider.com/news/stocks/blackrock-recession-warning-stock-market-analysis-2023-economic-outlook-2022-1

BlackRock CFO says U.S. recession is 'a matter of when, not if'

BlackRock Chief Financial Officer Gary S. Shedlin said Tuesday that a U.S

seekingalpha.com

There's a shit storm coming.

 

[GOPerfect]

I am that guy....

Good. Serves people right for reaching past the stars in their grasps.

As long as home prices continue to drop in Tennessee, in the areas that I want, I will be happy. I have a shit ton of equity in my properties. I am good.

Many of us here speak of these things all of the time. I would gather that most here are more than fine.

 

[TEOTWAWKI inc.]

I'm ready to buy as soon as someone else is ready to lose their ass.

Seriously. I'm in the market for a house right now, and I can't figure out WTF to do. I hope it all crashes tomorrow.

 

[GOPerfect]

I'm ready to buy as soon as someone else is ready to lose their ass.

Seriously. I'm in the market for a house right now, and I can't figure out WTF to do. I hope it all crashes tomorrow.

Agreed. There are some that are smarter than others. I have manged to keep my costs down and my savings up. I owe less than 20 grand on my house. The land and cabin were paid for in cash.

Hopefully, there is someone in Eastern Tennessee that is losing their shit over the over priced home they bought.

 

[SomeSoldier]

I am that guy....

Good. Serves people right for reaching past the stars in their grasps.

As long as home prices continue to drop in Tennessee, in the areas that I want, I will be happy. I have a shit ton of equity in my properties. I am good.

Many of us here speak of these things all of the time. I would gather that most here are more than fine.

I'm ready to buy as soon as someone else is ready to lose their ass.

Seriously. I'm in the market for a house right now, and I can't figure out WTF to do. I hope it all crashes tomorrow.

This is exactly what I was planning when I sold my house in April except I plan on buying one in Florida.

 

[TEOTWAWKI inc.]

Agreed. There are some that are smarter than others. I have manged to keep my costs down and my savings up. I owe less than 20 grand on my house. The land and cabin were paid for in cash.

Hopefully, there is someone in Eastern Tennessee that is losing their shit over the over priced home they bought.

I have a trip planned around Christmas, with the intent to buy something. May have to buy the cheapest house I can tolerate living in for a while, and be willing to lose a bunch of money on it when I find the right one at the right price, or just turn it into a rental.

 

[TEOTWAWKI inc.]

This shit is killing me.




Fuck!!

 

[GOPerfect]

This shit is killing me.

View attachment 182916


Fuck!!

Same shit we are seeing. Two years ago in that State, 250 would buy a near mansion.

 

[SomeSoldier]

This shit is killing me.

View attachment 182916


Fuck!!

Give it time. I am already seeing prices drop 20-30k a shot.

 

[TEOTWAWKI inc.]

Same shit we are seeing. Two years ago in that State, 250 would buy a near mansion.

I could have had my dream home 2-3 years ago, but I wasn't ready. Now I can get a run down mobile home on a half acre.

 

[TEOTWAWKI inc.]

Give it time. I am already seeing prices drop 20-30k a shot.

I have to move in like a month.

 

[TEOTWAWKI inc.]

At least I can get a machine gun down there. I wonder how many other homeless people have a legit machine gun?

 

[GOPerfect]

Here is an example of what we want.

200 Elkins Rd, Rogersville, TN 37857 | realtor.com®

View 43 photos for 200 Elkins Rd, Rogersville, TN 37857, a 3 bed, 2 bath, 1,683 Sq. Ft. single family home built in 1984 that was last sold on 08/30/2012.

www.realtor.com

In 2005, sold for $160. Seven years later, $189, now $329

 

[TEOTWAWKI inc.]

Here is an example of what we want.

200 Elkins Rd, Rogersville, TN 37857 | realtor.com®

View 43 photos for 200 Elkins Rd, Rogersville, TN 37857, a 3 bed, 2 bath, 1,683 Sq. Ft. single family home built in 1984 that was last sold on 08/30/2012.

www.realtor.com

In 2005, sold for $160. Seven years later, $189, now $329

And it is contingent.

People are still making this worse.

 

[SomeSoldier]

Here is an example of what we want.

200 Elkins Rd, Rogersville, TN 37857 | realtor.com®

View 43 photos for 200 Elkins Rd, Rogersville, TN 37857, a 3 bed, 2 bath, 1,683 Sq. Ft. single family home built in 1984 that was last sold on 08/30/2012.

www.realtor.com

In 2005, sold for $160. Seven years later, $189, now $329

Yea, that's what I am talking about.

 

[SomeSoldier]

And it is contingent.

People are still making this worse.

Naw, that dude is going to be upside down in 1 year and foreclosure in 2. Buy it cheap at auction.

 

[GOPerfect]

And it is contingent.

People are still making this worse.

It's been contingent since the day it was listed. Not sure how much I believe these labels.

 

[Cavalry]

Jewish lightning is going to be on the uptick. My apologies, to any Jewish reading this that are not into arson and insurance fraud.

Sidenote: I should have sold my house when it was a 30 day closing on 150% more than I bought it for and lived in a rented 14x72 in Tennessee until the dust settled.

 

[SomeSoldier]

I have to move in like a month.

If you don't have kids, buy an RV and chill.

@Jmac00

 

[TEOTWAWKI inc.]

If you don't have kids, buy an RV and chill.

@Jmac00

Family, dogs, chickens, fish.

 

[SomeSoldier]

Family, dogs, chickens, fish.

Buy a big RV? Teach them how to rough it.

 

[Cavalry]

Family, dogs, chickens, fish.

Drop the animals off here. This may/may not include family

 

[Jmac00]

I have to move in like a month.

party on,

 

[Cavalry]

Here is an example of what we want.

200 Elkins Rd, Rogersville, TN 37857 | realtor.com®

View 43 photos for 200 Elkins Rd, Rogersville, TN 37857, a 3 bed, 2 bath, 1,683 Sq. Ft. single family home built in 1984 that was last sold on 08/30/2012.

www.realtor.com

In 2005, sold for $160. Seven years later, $189, now $329

That is the fanciest trailer turned "log home" I have ever seen. The decks/gazebo/outbuildings are worth more than the "house". I probably could even convince my wife to reside in such a structure.

 

[Drinkthekoolaid]

This shit is killing me.

View attachment 182916


Fuck!!

Same. It sucks

 

[MikeM]

I am in same boat, I plan to move to north eastern Tennessee next summer. watching the falling prices.

 

[Jmac00]

That is the fanciest trailer turned "log home" I have ever seen. The decks/gazebo/outbuildings are worth more than the "house". I probably could even convince my wife to reside in such a structure.

why would you make your wife sleep in the gazebo ???

 

[tgenec86]

So much of this comes down to whether the buyers could even afford the mortgage in the first place. This article makes such a massive deal about being "underwater" - but that is utterly meaningless if the homeowner is making their payments and does not plan on selling immediately in a cold market. Values rise and fall all the time - and while that's not always a good thing, it's also not significant when the mortgage & escrow payment, plus expenses, is affordable.

"Being underwater becomes a bigger problem when homeowners have trouble paying their debt — a data point that's also rising."

Valid point - IF the buyer got in at the high end of their price range, or well over it. Sorry to say - but too many people are stupid. Just simply stupid. If you don't know the cost of your mortgage, upkeep, utilities, insurance, state & local taxes, & stuff like trash, snow removal, and possible homeowner fees, you have no business trying to buy a home. So many get starry eyed when they get a mortgage payment they can "afford" - but fail to realize (especially in shithole tax states like this) your ex-tax-tion payments can be damn near as much as your mortgage. Point being - we could have "afforded" that gorgeous Italianate home in Clinton mortgage, but would have lost our asses with the $12,800 fucking tax bill - plus the fuel oil bill (estimated $6K annually in 2017 - probably closer to $9K in todays market).

So no. Not much sympathy here. Our first home was a townhouse in a shitty section of Duluth GA that got repossessed from a crack dealer. We put a lot of care into it, made it really nice on a budget and a lot more elbow grease & sweat, and sold it three years later for $25K more than we paid for it. Then moved into a home we could AFFORD in a nice but older neighborhood that was also overlooked because it wasn't a McMansion in an upscale neighborhood. But it also had a 1.2 acre yard in an area where the half million dollar ticky-tacky neighborhoods had 1/4 acre yards. 15 years later we sold handsomely to a couple with three kids. Over that 15 years we watched potentially millions of people get in over their heads in the "hot" ATL market who lost their asses over greed and ignorance.

 

[Cavalry]

why would you make your wife sleep in the gazebo ???

At nearly 2 decades in I should just trade her in and start fresh with all my new acquisitions. Me personally, 6-800 sqft is all that is needed to live in. My shop on the other hand, I need over 2K, probably closer to 3K.