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Old 11-29-2023, 08:51 AM
 
16,395 posts, read 8,187,139 times
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Quote:
Originally Posted by Saguarogirl507 View Post
And here in Amherst here is what you can get for 1.6 million:

https://www.redfin.com/MA/Amherst/35.../home/16262568
At first I was thinking that seems expensive...but then i saw 10 bathrooms...seems like it would be a good investment for one of the colleges.
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Old 11-29-2023, 09:04 AM
 
15,796 posts, read 20,499,262 times
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Quote:
Originally Posted by msRB311 View Post
I still can't wrap my head around WHY people were so willing to overspend on a home the last two years...but they did.

I just want to peek into the finances a bit and see how folks paying $4.5-5K mortgages on $850K "starter homes" are getting by.
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Old 11-29-2023, 09:21 AM
 
3,620 posts, read 1,840,863 times
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Quote:
Originally Posted by BostonMike7 View Post
I just want to peek into the finances a bit and see how folks paying $4.5-5K mortgages on $850K "starter homes" are getting by.
I'm real curious about that as well. It just doesn't seem realistic that everyone one of them is making $200K + a year. I'm guessing the debt ratio is up the wazoo for many. I know one example of a recently sold home that I shared the other day in Duxbury, the folks only put like $20K down on an $800K house! I wouldn't want those payments, not to mention the PMI.
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Old 11-29-2023, 09:30 AM
 
23,561 posts, read 18,707,417 times
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Quote:
Originally Posted by BostonMike7 View Post
I'm starting to see homes selling under list or not selling and sitting on the market for 60-90 days+ without any action in my general area.
Quote:
Originally Posted by msRB311 View Post
that's what i would expect to see this time of year

"This time of year" 2021, houses were selling in a single weekend for 20% over asking price.
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Old 11-29-2023, 09:33 AM
 
23,561 posts, read 18,707,417 times
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Quote:
Originally Posted by newenglandgal123 View Post
I'm real curious about that as well. It just doesn't seem realistic that everyone one of them is making $200K + a year. I'm guessing the debt ratio is up the wazoo for many. I know one example of a recently sold home that I shared the other day in Duxbury, the folks only put like $20K down on an $800K house! I wouldn't want those payments, not to mention the PMI.

This along with a softening economy, could mean a large increase in foreclosures on the horizon.
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Old 11-29-2023, 09:37 AM
 
Location: North of Boston
3,689 posts, read 7,429,804 times
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Quote:
Originally Posted by BostonMike7 View Post
I just want to peek into the finances a bit and see how folks paying $4.5-5K mortgages on $850K "starter homes" are getting by.

Is that so hard to figure out? Let's say you have an engineer and a nurse, both a few years out of school, that's probably a combined income of over $250,000 per year. They can pretty easily afford a $5000 per month housing payment.
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Old 11-29-2023, 09:43 AM
 
23,561 posts, read 18,707,417 times
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Quote:
Originally Posted by gf2020 View Post
Is that so hard to figure out? Let's say you have an engineer and a nurse, both a few years out of school, that's probably a combined income of over $250,000 per year. They can pretty easily afford a $5000 per month housing payment.

That comes to 24% of income on PMI alone. That's without taxes, insurance, or other homeowner costs. Kind of a little more than "comfortable" there. I've personally never had that much of my income go towards housing.


And while there certainly are a lot of high earners in the Boston area, $250K is still way above the norm for a household. I get that there's low inventory and the top <10% have been driving the market, but what about when that inventory starts to go up again?
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Old 11-29-2023, 09:44 AM
 
1,540 posts, read 1,125,040 times
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Quote:
Originally Posted by msRB311 View Post
Mortgage rates are up, the economy is different now. I still can't wrap my head around WHY people were so willing to overspend on a home the last two years...but they did.
Real estate propaganda very strong. Talk to any realtor and you'll get the latest reason why now is a good time to buy.
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Old 11-29-2023, 09:46 AM
 
1,540 posts, read 1,125,040 times
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Quote:
Originally Posted by massnative71 View Post
That comes to 24% of income on PMI alone. That's without taxes, insurance, or other homeowner costs. Kind of a little more than "comfortable" there. I've personally never had that much of my income go towards housing.
When did you first buy a house?
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Old 11-29-2023, 09:48 AM
 
16,395 posts, read 8,187,139 times
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Default re

Quote:
Originally Posted by massnative71 View Post
"This time of year" 2021, houses were selling in a single weekend for 20% over asking price.
yes...but that is over. It's not 2021 anymore
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