Used car prices rising?
#31
Super Moderator
Now is a (financially) great time to downsize your home, or switch to renting. It's a very bad time to be a new homebuyer or considering an upgrade.
#32
Lexus Champion
But yes I agree this isn't a great time to buy, however I'm not complaining because my house value has been skyrocketing.
#33
Pole Position
Not sure I agree/understand. If I downsized my home I'd be in a less nice house, I don't think I'd make out with a lot of money because I'd have to find another place to live. A cheaper crappy house would cost more to own now. Why would someone want to switch to renting?
But yes I agree this isn't a great time to buy, however I'm not complaining because my house value has been skyrocketing.
But yes I agree this isn't a great time to buy, however I'm not complaining because my house value has been skyrocketing.
#34
Lexus Champion
#35
Lexus Champion
Not sure I agree/understand. If I downsized my home I'd be in a less nice house, I don't think I'd make out with a lot of money because I'd have to find another place to live. A cheaper crappy house would cost more to own now. Why would someone want to switch to renting?
But yes I agree this isn't a great time to buy, however I'm not complaining because my house value has been skyrocketing.
But yes I agree this isn't a great time to buy, however I'm not complaining because my house value has been skyrocketing.
#36
Super Moderator
Someone could choose to switch to renting so they could pocket all of that profit, and then get back in the market once some sanity is restored.
There are plenty of other (non-financial) reasons NOT to do either of these things. That's why I specified that from a financial perspective ONLY, now is a very advantageous time to do either. I am certainly not doing either. But I wouldn't consider upsizing right now, even if I wanted to.
#37
Racer
Thread Starter
New car prices are rising as well - the cost of goods is increasing. I read an article on Bloomberg yesterday about what's happening with new car prices. Due to this, used car prices will remain high for a while IMO. A guy I know does very large volume in helping a dealership with their used car inventory and does a lot of buying and off loading of their inventory at auction. He said he's paying 20+ percent more for a used Camry now than he was 6 months ago - and the dealership is selling these 2-3 year old Camry's for very close to sticker of a brand new Camry (same line). He's been in this business over 30 years and says he's never seen it like this. The dealers are doing very well.
#38
Lexus Champion
It’s just a personal preference. Space= luxury to us. It’s not a dense city where space is precious. If you want a big house you can find one easily. I wish our house were slightly bigger actually, bigger garage maybe 3 car, but like I said that’s not worth cashing in all our equity and having to buy back in and pay a higher price for the next home, so we are fine with it. We owe roughly half what our house is worth, that’s quite a secure and warm and fuzzy feeling lol.
#39
Lexus Champion
It's gone even more nuclear here, since my last time on this thread at least.
House down the street is for sale again, priced $182,000 higher than it sold for TWO years ago. No upgrades done per listing photos from the last time.
The house took a while last time to sell because it doesn't have great curb appeal and the floorpan is sort of awkward.
If it sells for what or near asking price my mind will be blown.
House down the street is for sale again, priced $182,000 higher than it sold for TWO years ago. No upgrades done per listing photos from the last time.
The house took a while last time to sell because it doesn't have great curb appeal and the floorpan is sort of awkward.
If it sells for what or near asking price my mind will be blown.
#40
Lexus Champion
It's gone even more nuclear here, since my last time on this thread at least.
House down the street is for sale again, priced $182,000 higher than it sold for TWO years ago. No upgrades done per listing photos from the last time.
The house took a while last time to sell because it doesn't have great curb appeal and the floorpan is sort of awkward.
If it sells for what or near asking price my mind will be blown.
House down the street is for sale again, priced $182,000 higher than it sold for TWO years ago. No upgrades done per listing photos from the last time.
The house took a while last time to sell because it doesn't have great curb appeal and the floorpan is sort of awkward.
If it sells for what or near asking price my mind will be blown.
#41
Lexus Champion
This house down the street, I can't believe there is a realtor on crack to advise to list it for that much. But I sure hope it sells for top dollar.
$182 grand more if they get their price in 2 years. $182k?????? That is just crazy. This is a hot area for sure, but damnnnnnn.
#42
Super Moderator
It's kind of an illusion though, because unless this is an investment property and you're exiting the market, you don't really get to keep that. You have to live somewhere, after all. So if you decided to downsize, then yes you would get to pocket a small portion of the profit. You could rent for a couple of years and hope that the RE market cools off, letting you keep more of the gains. But if you're looking to upgrade, your new house price is going to be even more inflated than the one you're selling, so you actually lose out.
#43
Lexus Champion
It's kind of an illusion though, because unless this is an investment property and you're exiting the market, you don't really get to keep that. You have to live somewhere, after all. So if you decided to downsize, then yes you would get to pocket a small portion of the profit. You could rent for a couple of years and hope that the RE market cools off, letting you keep more of the gains. But if you're looking to upgrade, your new house price is going to be even more inflated than the one you're selling, so you actually lose out.
However, you just have to buy back in to the market here so yes I get what you mean.
I'm never selling this house, I would be stupid to. I'll just rent it out eventually and charge 3xs the mortgage (I could easily).
Or we may just do nothing and stay here and live here forever, that would be fine too. We might want a big cabin cruiser Sea Ray 340 in retirement, big enough to live on and and take off the grid for a week.
Used car prices are still sky high. I still watch the market, LXs and Land Cruisers are still going for top dollar. I got in just under the wire.
#44
It's kind of an illusion though, because unless this is an investment property and you're exiting the market, you don't really get to keep that. You have to live somewhere, after all. So if you decided to downsize, then yes you would get to pocket a small portion of the profit. You could rent for a couple of years and hope that the RE market cools off, letting you keep more of the gains. But if you're looking to upgrade, your new house price is going to be even more inflated than the one you're selling, so you actually lose out.
#45
Lexus Test Driver
It's NUTS. NUTS!!!! In a year or two more my house will be worth double what I paid which its just crazy. Double the value in well less than a decade. House-wise I feel rich!!! Everyone around here does, my friends etc. etc.
This house down the street, I can't believe there is a realtor on crack to advise to list it for that much. But I sure hope it sells for top dollar.
$182 grand more if they get their price in 2 years. $182k?????? That is just crazy. This is a hot area for sure, but damnnnnnn.
This house down the street, I can't believe there is a realtor on crack to advise to list it for that much. But I sure hope it sells for top dollar.
$182 grand more if they get their price in 2 years. $182k?????? That is just crazy. This is a hot area for sure, but damnnnnnn.
Certain markets like TN, FL, Carolinas etc have seen massive increases due to ppl fleeing NY, CA etc.
If i were you, I would leverage the new equity you have by investing in several Rental homes. Its a good way to have passive cash flow with long term wealth growth. I think states with no income taxes will continue to see population growth as families get priced out of other states. I just received my “school tax” bill for 1st half of 2022 and its painful lol.