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Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
331–340 of 510 posts
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#332Earlier quoted context omitted.
> The true demand from people with the intend to actually live in the estates has been constantly decreasing since around 2000; the real salarys dropped since then, so did the buying power. > When 90 (?) percent of people simply lack the buying power to participate in the real estate market, but the other 10% happily sell each other estates, that's not a bubble, the real estate market just stopped interfacing with th…
I’d disagree in the sense that the home ownership population differs from those that have been buying or selling in the last few years.
If millennials were not buying homes at similar rates to their parents, the home ownership rate would be declining
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#333Earlier quoted context omitted.
I honestly won’t be too upset if that happens especially if it means people aren’t treating housing as high return investment vehicles. Hopefully that means house prices will be more reasonable.
Yeah. I'm trying to figure out why a sane housing market is a "bad" thing?
There are a lot of reasons.
Buying and selling real estate involves high transaction costs - there are closing costs and transfer taxes on the buy side, and 6% commissions and transfer taxes on the sell side - which means in order to break even, you need to have some amount of appreciation.
Then there's the opportunity cost of living in a home that doesn't appreciate while literally everyone else in the country is getting rich merely by owning homes in states that have increasing populations.
And to top it all off, Chicago homes are not cheap and the property taxes are astronomical, so it's not like you're getting an amazing deal to make up for it.
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#334My wife and I will be moving to Chicago soon and we intend on buying a house when we get there. How screwed are we by the current housing situation and interest rates?
How soon? If trends continue, prices will start falling. You might be able to offer under asking, too. I bought 15% under asking in October of last year. Chicago didn't really go crazy like Phoenix or Palm Springs...
15% under asking?!
That is a wild revelation to someone comparing greater Denver housing market, where adding 30% is required just to be considered....
I've been watching Zillow pretty consistently over the past few weeks, and have noticed price drops as well as longer days on the market in the Chicago area.
Knowing values don't increase much isn't really a deterrent considering the desirability of the location.
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#335Earlier quoted context omitted.
Is this also true for places like Detroit, small inner towns in the mid ? West... my impression was that once banks got involved lending money the prices took off, I was under the impression that getting a house loan directly contributes to the amount of money in circulation...thereby increasing ? inflation.... another myth?) I heard was that in China houses are leased for x years (80?) thereby leading to a lot of Ch…
> in China houses are leased for x years (80?) It's worse. It's the land being leased for 70 years. House usually can't last that long anyway. But not owning the land and no guaranteed usufruct after 70 years is big.
Thank you for teaching me a new word, "usufruct": https://en.wikipedia.org/wiki/Usufruct
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#336Earlier quoted context omitted.
Danish loans are a bit special, though, as in most people don't pay them down, but just use them as a way of having a fixed rent. At least that's my experience, all my danish family own their houses, but have almost done no real payments on the loans. Whenever they've paid down a bit, that is just refinanced to a new loan so they get cash, aggressively promoted by the banks. Or the equity is just based on a hope that…
I wonder if the way I use "homeowner" differently than the phrase "own their home" is particular to me. I wouldn't say someone with a mostly unpaid mortgage "owns their home" even though they are a homeowner. It is "their house" and things like that also, but I hesitate to directly say that they own it.
In the US, liens are encumbrances to title but aren't transfers of title. It's a legally important distinction because the law often recognizes that even in a foreclosure, equity belongs to the homeowner ...among all of the other rights that come along with property ownership.
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#337Earlier quoted context omitted.
Airbnb is a horrible thing if you (like me) live in a tourist city and making rent inaccessible to the local residents
why do you live there though. Can't you ask your employer to match the deficit.
employers could not care less about your housing problems because employers have greater bargaining power than workers. places like CA think they can control where people live by depriving people of housing but it's not true. people just become ever more desperate, paying more and more for shelter. It's employers who decide where people are. this is because we've created a world where people can't live without money. so he who controls wages, controls where people live.
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#338Earlier quoted context omitted.
Then I guess your salary is amazing, because many house prices across London have doubled in 5 years. If you somehow bought a house at a reasonable earnings multiple, say 4x earnings, then your house has appreciated essentially what you earned over the last 5 years. This is just math.
Can you tell me an area where average house prices have doubled in the last 5 years? I can't think of one. Most expensive areas have gone sideways since Brexit, and risen a bit since the pandemic. Most cheap areas have grown slowly since Brexit. https://www.bloomberg.com/graphics/property-prices/london/ shows the median as having gone up around 6% in total since 2017. Trying a mix of neighbourhoods in that tool, I ca…
Berlin prices has been growing at crazy speeds, it might have doubled the last 5 years. Even with a lot government intervention(rent raises cap etc).
The situation is so bad that there isn't even housing stock available. You are generally better off moving out or buying whatever you can.
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#339Rocket, like other mortgage firms staffed up the last 3 years on processing roles. Those are the first positions you're seeing let go with refinance volume falling off a cliff due to rising rates.
Also Rocket recently shifted their technology strategy to build fewer point solutions in house where there was an adequate market solution available, focusing more on customer facing technology to build in house.
Re: Rocket Mortgage to trim 8% of workforce as home-loan market shrinks
#340Has anyone actually used Rocket? Every time I (or a friend) have looked at them they have higher closing costs and wanted multiple points to close the mortgage. I was able to do way, way better by going with a local bank, as did my friends. The only thing I can figure is they are better for folks with "good" (not "excellent") credit and can maybe close the loan faster.
Something to note about your local bank/CU. They might originate the loan, but as sure as water is wet they’re going to sell it to someone else for service. If you have a good working relationship that you can used for good terms, then go for it. But don’t go with a local bank because you think you’ll continue to work with them.
> Something to note about your local bank/CU.
Credit Unions tend to be different (at least the 3 I'm a member of, maybe this is not universal) in keeping loans in-house.
The banks will indeed most likely sell off the loan as soon as it's done.
Not that it matters either way.