Will the real estate market let up at all in 2021?! (Spring: cul-de-sac, foreclosures)

[ashbeeigh]

Originally Posted by JT24hr

I put down my earnest money deposit in Feb 2019 on my new build and moved in September 2019. My same floorplan I purchased in has been steadily going up $10k every few months. This month it went up 30k. It went up a total of 94k since the initial deposit.

In what part of the city?

[ashbeeigh]

I remember looking at this house with my family last year. It was sold for 345k 2 years ago and is now listed for 440k. This market, y’all. https://www.zillow.com/homedetails/1...ource=txtshare

[atxcio]

I always used to wonder what it must be like to have bought a regular home in California, only to have it balloon in value to 750K+ and have tons of equity.

I used to wonder.

[Austin97]

Originally Posted by atxcio

I always used to wonder what it must be like to have bought a regular home in California, only to have it balloon in value to 750K+ and have tons of equity.

I used to wonder.

the only part you are missing is the low low property taxes due to caps in increases.

[10scoachrick]

Here's a fun example from a listing typical "up here" north of the city...

"
The builder will be accepting offers until Sunday, February 7th at 3pm on this specific property. All offers to purchase must be signed by 3pm Sunday February 7th. We are scheduling preview appointments during published business hours until 2pm on Sunday February 7th. Please note-due to demand, we anticipate receiving multiple offers on many of our available properties & are advising customers to put forth their highest & best offer for consideration. We are not currently accepting investment purchases or second home purchases at this time. Earnest money of $1,000 (plus the dollar amount offered over list price is required for additional earnest money)"




I'm guessing this "earnest money" could exceed $30K in many cases

[ashbeeigh]

Originally Posted by 10scoachrick

Here's a fun example from a listing typical "up here" north of the city...

"
The builder will be accepting offers until Sunday, February 7th at 3pm on this specific property. All offers to purchase must be signed by 3pm Sunday February 7th. We are scheduling preview appointments during published business hours until 2pm on Sunday February 7th. Please note-due to demand, we anticipate receiving multiple offers on many of our available properties & are advising customers to put forth their highest & best offer for consideration. We are not currently accepting investment purchases or second home purchases at this time. Earnest money of $1,000 (plus the dollar amount offered over list price is required for additional earnest money)"




I'm guessing this "earnest money" could exceed $30K in many cases

At least they added this part: “ We are not currently accepting investment purchases or second home purchases at this time. “

[Need4Camaro]

Originally Posted by 10scoachrick

Here's a fun example from a listing typical "up here" north of the city...

"
The builder will be accepting offers until Sunday, February 7th at 3pm on this specific property. All offers to purchase must be signed by 3pm Sunday February 7th. We are scheduling preview appointments during published business hours until 2pm on Sunday February 7th. Please note-due to demand, we anticipate receiving multiple offers on many of our available properties & are advising customers to put forth their highest & best offer for consideration. We are not currently accepting investment purchases or second home purchases at this time. Earnest money of $1,000 (plus the dollar amount offered over list price is required for additional earnest money)"




I'm guessing this "earnest money" could exceed $30K in many cases

That must be a dampener for those seeking to put out multiple offers.

[10scoachrick]

Originally Posted by ashbeeigh

At least they added this part: “ We are not currently accepting investment purchases or second home purchases at this time. “

I can imagine the lawyers having a field day with this one!

I personally like the idea; but I'm looking for a residence, not an investment.

[Need4Camaro]

Originally Posted by 10scoachrick

I can imagine the lawyers having a field day with this one!

I personally like the idea; but I'm looking for a residence, not an investment.

Well, there's nothing illegal about the restriction per Fair Housing Act, there's no discrimination against race or sex at play either so there's not much legal ground opposing it can stand on from what I can tell. Seems that it happens more than I thought too, I read up on it and found various developers nationwide have practiced similar strategies. In this case, it is warranted given the limited inventory...although at this point probably isn't going to take very much pressure off the RE market. I wouldn't want to pay $500k + to rent out a house as investment property, after all expenses are accounted for annually I can't see how they could turn a profit...a second home and sitting on it for a few years while it appreciates however may be a different story, in that instance I guess renting while waiting could turn out a pretty hefty profit.

[ashbeeigh]

Welp. They withdrew an offer on a fixer upper that was just not going anywhere in negotiations. One popped up went pending 1-10 and the offer fell through. They looked at it tonight but the foundation was shot. Blergh.