Chip price, going up.

BrntWS6

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Yeah, everything's a big damn mess. Lumber has come down but wire is ridiculous.

I am not sure what is coming. But I had enough concern to sell my house and downsize so I could live mortgage free.
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aldo98229

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Yeah, everything's a big damn mess. Lumber has come down but wire is ridiculous.

I am not sure what is coming. But I had enough concern to sell my house and downsize so I could live mortgage free.
Not me. My home is turning out to be one of the best investments I ever made.

I bought this home 4 years ago with a fixed rate of 3%; it’s already appreciated 50% in value.

I couldn’t get that rate of return anywhere else!
 

ReimundKrohn

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Reimund, you hit the nail on the head, better than i did. I agree, that was the point to my initial post was if you are in the market, are thinking about it and can make it work, yes see if you can swing a deal for MSRP right now. That's why I did as well and I ordered my new jeep and payed MSRP.

Right now some dealers are marking them up because of low inventory already that's is what the first dealer I went to tried to do to me. A coworker just bought a new Hyundai and he had to pay some fee, forget what they are calling it but was over 3K more and they told him it was basically because of COVID and everything it is affecting.

Jump ahead 2 years, we have a handle on this COVID mess and the world is some what returned to it's normal crazy. Do you think price's are going to be lowered back down? IMHO not a chance, once they have gone up they are going to stay there.
That’s 100% right; and the reason the price won’t go down isn’t just that people have been acclimated to pay more, it is also that we are in being forced right into a technology shift, like it or not. Manufacturers are being forced to move resources into EV technology, whether their customers want them or not…. ICE vehicles will not become more available, but less. R&D costs big money, and that will be reflected in price tags. As ICE vehicle sales become further restricted, you can bet the prices for those still on the market will continue to rise - at least as long as there is a demand for them.

Watched this last night; I think this guy knocked it out of the park:

 

four low

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A rising tide floats all boats ; a falling tide,well, not so good.
Stuff is worth only as much as people can/ will pay for it.
The last true Depression, 1929 on to the advent of WW2, is a lesson best not forgotten.
The above video foretells a shift from "Ownership " to "subscribership ". You don't own anything, the Big Banks do, you're just a Renter...
 
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aldo98229

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Growing up we had only 3 TV channels and they were all free. Now we get 300 channels, have to pay for each one...and there’s nothing to watch!

Today every company out there, internet providers, mobile services, TV and music streaming services, healthcare providers, childcare services, mortgage lenders, utilities, home security services, even automakers, want us on a monthly payment.

We are the only ones responsible for our own financial well-being, and it is up to each one of us to decide which monthly payments are worth getting into, and which are not.
 

BrntWS6

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Not me. My home is turning out to be one of the best investments I ever made.

I bought this home 4 years ago with a fixed rate of 3%; it’s already appreciated 50% in value.

I couldn’t get that rate of return anywhere else!
Well as you know its a seller's market. That wont last forever so we decided to cash out now. I will be very surprised if the people who bought my house ever turn a profit on it.

Bought a fixer upper on 4 acres to keep me busy.
 

Ridgway Jeeper

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Well as you know its a seller's market. That wont last forever so we decided to cash out now. I will be very surprised if the people who bought my house ever turn a profit on it.

Bought a fixer upper on 4 acres to keep me busy.
Historically real estate is a solid investment. It has been driving the American dream for many decades now. We may or may not see a lull in home values but to think those buyers will never turn a profit is to ignore history completely. We have had ups and downs before, this isn't the worst one I have seen. Being mortgage free is a wonderful thing but thinking this is the end of upward trends would be a mistake.
 

aldo98229

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Well as you know its a seller's market. That wont last forever so we decided to cash out now. I will be very surprised if the people who bought my house ever turn a profit on it.

Bought a fixer upper on 4 acres to keep me busy.
Real estate is a long-term investment. If you keep that perspective, you can’t go wrong.
 

Austintatious

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I see the greed curve increasing in velocity and will soon overcome the demand curve regardless of supply issues. That's when the bust will start.
 

BrntWS6

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Historically real estate is a solid investment. It has been driving the American dream for many decades now. We may or may not see a lull in home values but to think those buyers will never turn a profit is to ignore history completely. We have had ups and downs before, this isn't the worst one I have seen. Being mortgage free is a wonderful thing but thinking this is the end of upward trends would be a mistake.

To be fair I did not say it cant happen. I would just be very surprised. But part of that is due to the fact I remodeled the entire house. So there are not many home improvements left to do for some time. Bank appraisers are keeping a lid on prices to some extent. So people are having to come up with cash at closing.

It's just important to time the market. I sold a house in 2005 right before the bubble burst. It recently sold for 13k less than I sold it for in '05.
 

Ridgway Jeeper

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To be fair I did not say it cant happen. I would just be very surprised. But part of that is due to the fact I remodeled the entire house. So there are not many home improvements left to do for some time. Bank appraisers are keeping a lid on prices to some extent. So people are having to come up with cash at closing.

It's just important to time the market. I sold a house in 2005 right before the bubble burst. It recently sold for 13k less than I sold it for in '05.
Appraisers are the biggest scam ever... Just my opinion having to deal with them almost daily. I have had them recently come in both way under and way over, even the same appraiser. Many people can come up with plenty of cash at closing, nearly $200k each in my two most recent deals. I just called on one last night, 5 offers in 2 days on a clearly overpriced home. In my market at least, despite a 40+% increase in sales prices over last year, the market continues to go up. Depends entirely on your location. I have way more buyers than sellers trying to get out of cities into a beautiful rural area. In the last 20 years even the 2007 crash didn't lead to reduced values but maybe 5 years of stagnant values before the steady increase resumed. My friend, a high end general contractor, has three homes going currently for his small crew of four. If he could find more people, a current challenge in all walks of life due to government subsidizing the lazy, he would be doing even more business. I think all markets are more resilient than you are maybe giving them credit for. Government intrusions into the markets are our biggest hurdle but that isn't anything new. One of us is likely to be surprised I suspect... I hope it is you and not me :) but I tend to make money either way.
 

BrntWS6

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Appraisers are the biggest scam ever... Just my opinion having to deal with them almost daily. I have had them recently come in both way under and way over, even the same appraiser. Many people can come up with plenty of cash at closing, nearly $200k each in my two most recent deals. I just called on one last night, 5 offers in 2 days on a clearly overpriced home. In my market at least, despite a 40+% increase in sales prices over last year, the market continues to go up. Depends entirely on your location. I have way more buyers than sellers trying to get out of cities into a beautiful rural area. In the last 20 years even the 2007 crash didn't lead to reduced values but maybe 5 years of stagnant values before the steady increase resumed. My friend, a high end general contractor, has three homes going currently for his small crew of four. If he could find more people, a current challenge in all walks of life due to government subsidizing the lazy, he would be doing even more business. I think all markets are more resilient than you are maybe giving them credit for. Government intrusions into the markets are our biggest hurdle but that isn't anything new. One of us is likely to be surprised I suspect... I hope it is you and not me :) but I tend to make money either way.
I have seen appraisers screw over some people that's for sure.

Like I said I dont pretend to know what is going to happen with the economy. My property taxes doubled and I had an opportunity to make good money off my house and pay cash for another. I enjoy fixing up houses on my own and selling them. This one needs a ton of work but it will be a big flip.
 

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Yeah, everything's a big damn mess. Lumber has come down but wire is ridiculous.

I am not sure what is coming. But I had enough concern to sell my house and downsize so I could live mortgage free.
I wanted to downsize, but the wife said no to selling the kids. /s
 
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