FALLing house prices

[Feruk]

Originally posted by ercchry
i just want to sell one

But I thought housing was such a great investment? I won't trash talk too much, but for years you've been saying how great buying properties is. So far you've been right on half-cycle. We'll see full-cycle I suppose.

[BigMass]

people that own their place to live in will be fine. People that rent their units will be fine. The only ones that will struggle are those that need or want to sell. Sales are struggling because ATM there is a tug of war going on. Buyers don't want to pay tulip mania prices anymore due to uncertainty, and sellers don't want to lower their prices. Sellers that purchased for 400k 4-5 years ago still want to get 600k for their junk. Hope you find a greater fool to buy into the Ponzi. Even if prices fall %20 it's still over priced.

[7thgenvic]

Originally posted by BigMass
people that own their place to live in will be fine. People that rent their units will be fine. The only ones that will struggle are those that need or want to sell. Sales are struggling because ATM there is a tug of war going on. Buyers don't want to pay tulip mania prices anymore due to uncertainty, and sellers don't want to lower their prices. Sellers that purchased for 400k 4-5 years ago still want to get 600k for their junk. Hope you find a greater fool to buy into the Ponzi. Even if prices fall %20 it's still over priced.

It's so funny that you say that. The absolute dog **S**ht of houses that were even 390ish 2 years ago are still listing for 470 or higher. Sorry to say this, but some realtor's and Calgarians need to pull their head out of their asses. The condo market is more of a joke. Condos sold for 340 2 years ago asking 490 this year.... UGHH

[BigMass]

Originally posted by 7thgenvic


It's so funny that you say that. The absolute dog **S**ht of houses that were even 390ish 2 years ago are still listing for 470 or higher. Sorry to say this, but some realtor's and Calgarians need to pull their head out of their asses. The condo market is more of a joke. Condos sold for 340 2 years ago asking 490 this year.... UGHH

what's funny is how they're predicting at worse a %10 correction. WHAT? That would barely take us back to where prices were only 12 months ago! LOLOLOLOLOL. Fuck ---- that -----shiiiiiiiiit

[sputnik]

http://business.financialpost.com/20...ing-economist/

[sputnik]

http://calgaryherald.com/business/re..._lsa=e442-5649

[BigMass]

Originally posted by sputnik
http://calgaryherald.com/business/re..._lsa=e442-5649

I think it's the seller's fault on this one. Lower your price and buyers will come back. People are done paying tulip mania prices for dumps. If you bought your place for 400k last year, it's not worth 500k now. If anything it should be worth LESS than what you paid for because the market and economy were far hotter one year ago than today. The delusions are still in full effect, who will blink first?

[rage2]

The DOM market numbers will be interesting in the next quarter. Surprising that it's only 2.5% difference right now. The slowdown has just begun, only going to get worse.

[killramos]

Originally posted by BigMass


who will blink first?

Its only a game of chicken if at least one of the parties is at risk of crashing?

Buyers? Nope

Sellers?

While many in Calgary are over levereged i doubt that there are THAT many in the city who need to sell their home now and risk bankruptcy, particularly when you consider that there are TONS of option available to people before that would happen.

Things will go down slowly and steadily. I doubt we see a sharp plunge.

[BigMass]

Originally posted by rage2
The DOM market numbers will be interesting in the next quarter. Surprising that it's only 2.5% difference right now. The slowdown has just begun, only going to get worse.

DOM is worthless because listings get refreshed almost weekly to reset the DOM number. There are places that I've seen listed for the past 2 years that have like 10 DOM because they just got refreshed.

[rage2]

Originally posted by BigMass
DOM is worthless because listings get refreshed almost weekly to reset the DOM number. There are places that I've seen listed for the past 2 years that have like 10 DOM because they just got refreshed.

Ahh, didn't know that. Thanks.

[jdmXSI]

Last week we listed my grandma's old place in bowness that is located on the river (non-flood zone) for $399,900. There has been around 6-7 viewings since and 2 offers so far, 1 for $325k and the other for $330k... kind feel like all the kijiji bargain hunters are coming out of the wood work and lowballing the shit out of people thinking they're desperate haha.

[icky2unk]

Originally posted by jdmXSI
Last week we listed my grandma's old place in bowness that is located on the river (non-flood zone) for $399,900. There has been around 6-7 viewings since and 2 offers so far, 1 for $325k and the other for $330k... kind feel like all the kijiji bargain hunters are coming out of the wood work and lowballing the shit out of people thinking they're desperate haha.

The reality is some people will be desperate or have less time to wait.

[BigMass]

Originally posted by jdmXSI
Last week we listed my grandma's old place in bowness that is located on the river (non-flood zone) for $399,900. There has been around 6-7 viewings since and 2 offers so far, 1 for $325k and the other for $330k... kind feel like all the kijiji bargain hunters are coming out of the wood work and lowballing the shit out of people thinking they're desperate haha.

or maybe your grandma's place isn't worth anywhere near 400 bills

[7thgenvic]

Originally posted by BigMass


or maybe your grandma's place isn't worth anywhere near 400 bills

Probably the better of the argument.

There are definitely motivated sellers. A friend just purchased his place over the weekend. List was 680, offered 615, purchased for 620....

[BigMass]

when I make an offer it's always at what I feel is market value. To me, the asking price is completely irrelevant. People can ask what they want, and recently I'm finding more and more people are still in lala land wanting record prices for their homes. I'm willing to bet that the majority of active listings are still asking record prices compared to previous sold comps.

[jdmXSI]

Originally posted by BigMass


or maybe your grandma's place isn't worth anywhere near 400 bills

It seems fair for the comparables around. There are 2 near by, one sold for 419k last year and has a basement (listed for 439k fwiw). The other is a condemned home because of mold, that was just reduced to 300k.

[89coupe]

Originally posted by jdmXSI
Last week we listed my grandma's old place in bowness that is located on the river (non-flood zone) for $399,900. There has been around 6-7 viewings since and 2 offers so far, 1 for $325k and the other for $330k... kind feel like all the kijiji bargain hunters are coming out of the wood work and lowballing the shit out of people thinking they're desperate haha.

What is market value for homes in the area? Any comparables selling? You can't use sales that happened a year ago. You need to look at stuff that has sold in the last three months.

[-relk-]

Originally posted by sputnik
http://calgaryherald.com/business/re..._lsa=e442-5649

More like buyers have been AWOL for the past 2 years, and are now just smartening up.

[01RedDX]

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