11–20 of 634 posts
Turns out that mass flipping houses doesn’t work when you can’t hire contractors to do the work for a price that makes your budget assumptions hold. I am disappointed that they’re looking to offload them to institutional investors rather than individuals. Housing should probably not be an investment vehicle, but here we are.
Turns out that mass flipping houses doesn’t work when you can’t hire contractors to do the work for a price that makes your budget assumptions hold. I am disappointed that they’re looking to offload them to institutional investors rather than individuals. Housing should probably not be an investment vehicle, but here we are.
Best news I've seen all month. I hope anyone doing this kind of thing with residential real estate falls hard.
They are not the problem with residential real estate prices. The real problem is people that prevent additional housing from being built.
The trend of big companies buying single family homes and attempting to flip them is demonstrably bad for individuals trying to purchase a home.
7k millennials will be happy to buy them up at affordable prices.
Unfortunately, at an average price of about $400,000 most of them are not going to be affordable for a typical young first-time buyer.
It wasn't long ago that we were reading how Zillow et al were going to buy up all the housing stock and keep millenials and Zoomers homeless forever.
The people saying this have obviously never gone through a "bust" cycle. This is unsurprising as we've now been in the longest bull market in modern history. It's not always like this. It won't always be like this.
History is littered with the corpses of those who tried and failed to corner a market. Real estate is no different. That's not to say we can't make the system better. We can and we need to. But serfdom isn't imminent either.
Zillow shouldn't be taking real estate positions as it's going to end badly and will likely hurt their core business (ie transactions). I'd love to know who signed off on this idea. They need to be fired.
7k millennials will be happy to buy them up at affordable prices.
7k millennials will be happy to buy them up at affordable prices.
Turns out that mass flipping houses doesn’t work when you can’t hire contractors to do the work for a price that makes your budget assumptions hold. I am disappointed that they’re looking to offload them to institutional investors rather than individuals. Housing should probably not be an investment vehicle, but here we are.
We're on the tail end of 50 years of policy to make single family homes into a perpetually growing investment vehicle to finance baby boomer's retirements.
Turns out that mass flipping houses doesn’t work when you can’t hire contractors to do the work for a price that makes your budget assumptions hold. I am disappointed that they’re looking to offload them to institutional investors rather than individuals. Housing should probably not be an investment vehicle, but here we are.
Projected population of US in 2050 is 458 million from the current 330 million. Given that underlying reality, housing is going to be an investment.
7k millennials will be happy to buy them up at affordable prices.
Unfortunately, at an average price of about $400,000 most of them are not going to be affordable for a typical young first-time buyer.
Mortgage rates are incredibly low and there are a number of options to reduce down payment requirements right now. Meanwhile, wages are up and better paying jobs are more common for young people. $400K isn’t out of reach at all for a lot of first-time home buyers in this economy.