Is it me or are real estate prices going wacko again

[Thump553]

From the description, OP must be looking in MA. Boston was one of the few areas that didn't really get wacked in the 2008 crash, and MA in general is a whole lot higher than the surrounding states.

If you are willing to commute from CT-especially if you are in the Springfield area-you can easily buy the house you described for roughly half the price, even in the tonier suburbs. Or buy in NH or VT.

 

[dullard]

Anyone else noticing this? Or are things just crazy in my area?

It isn't just you. Home prices have been on a tear for a while. Here is the last year's worth of data:
http://www.realtor.org/sites/defaul...ehs-05-21/ehs-04-2015-overview-2015-05-21.pdf

The mean selling price of a house in the US is up 8.9% over last year (to $219,400 in April 2015 from $201,500 in April 2014). The year-over-year price rises have been in the ~10% range for quite some time.

Median selling prices are still ~5% lower than than the peak of the housing bubble nearly 10 years ago. At this pace, we'll reach that peak very shortly and possibly surpass it by next year if nothing major happens.

That said, do note that prices are always vary significantly from region to region. The northeast, for example, has had some of the lowest price rises recently. But maybe your specific part of the northeast is an exception.

Don't fret too much though, if prices are gong up in your area, that means you get to sell your existing home for more too.

 

[Anubis]

From the description, OP must be looking in MA. Boston was one of the few areas that didn't really get wacked in the 2008 crash, and MA in general is a whole lot higher than the surrounding states.

If you are willing to commute from CT-especially if you are in the Springfield area-you can easily buy the house you described for roughly half the price, even in the tonier suburbs. Or buy in NH or VT.

he said he was 55 miles from Boston

55 miles west of Boston puts you out past Worchester. I wouldn't even consider Boston as close

55miles north you are in NH and 55 miles south and you are in Fall River

easier way of thinking of it is outside or 495

actually im pretty sure he lives in NH as I sent him Secret Santa stuff last year or the year before

 

[dullard]

I don't see 10% YOY rise in home prices

Maybe not in Long Island, but 10% YOY rises have been happening in many areas of the country for several years in a row now.

 

[Ns1]

midwest aint that bad bro.

I'd believe you except for that time I spent a week in a ohio and the high was zero degrees.

 

[Anubis]

I'd believe you except for that time I spent a week in a ohio and the high was zero degrees.

last winter it was 0 degrees for weeks in like 75% of the country

 

[TheSlamma]

midwest aint that bad bro. I used to live in Silverlake on Waverly drive in CA and my house and neighborhood here in indiana looks and is almost the same. Well exept having the plot where the Labianca Manson murder happened next door though I found that to add charm to the place.

We almost moved back to NYC last year but said fuck it and bought a lake house and and a couple rentals for cash flow.

Midwest still has ample stock to keep prices low.



Foreign money is once again flooding into socal so all these prices will keep rising. Chinese and Russians are coming in droves to the US and England because they can afford it.

Whats interesting is the Russians are spending like crazy to get away. A friend sold his CT home sight unseen for a million over asking.

I lived in MI and OH and yeah it is that bad. Fvck those winters and those back woods rustic "when will the plant reopen" morons. Don't miss it EVER.

The only dreams people have in places like Massillon is for their kids to grow up and be NFL players. It's like career lottery players.

 

[Anubis]

Fvck those winters

Location: Denver, CO

ummmm

 

[evident]

my neighborhood is extremely hot right now, which benefits us since we're putting it on the market in a week or so

 

[BurnItDwn]

Prices near me are still about 30% below their peak 2009 prices.

 

[Ns1]

last winter it was 0 degrees for weeks in like 75% of the country

I can tell you one place where it wasn't. :biggrin:

 

[Anubis]

I can tell you one place where it wasn't. :biggrin:

Hawaii does not count
also I like the cold

 

[rednas]

in most of the country the prices are not crazy. If you avoid most of the large cities on the east and west coasts the prices are much more reasonable and less likely to go crazy. If you really want cheap just move to Detroit.

 

[Belegost]

ummmm

Denver winter is not the same as midwest plains winter.

 

[Art&Science]

Prices are going up, yes. I paid roughly 200K for my house in 2012; it's worth about 450K now. I have a realtor I work with who has been asking me to let him list it for $500K.

 

[Anubis]

Denver winter is not the same as midwest plains winter.

he said ohio
I picked a random town - that's basically the same damn weather

https://weatherspark.com/averages/30040/Denver-Colorado-United-States

https://weatherspark.com/averages/29610/Akron-Ohio-United-States

 

[jlee]

Prices have been pretty stable in Phoenix since the crash...slow increase, but not huge. If houses double in value soon, I might sell and move.

 

[PricklyPete]

he said ohio
I picked a random town - that's basically the same damn weather

https://weatherspark.com/averages/30040/Denver-Colorado-United-States

https://weatherspark.com/averages/29610/Akron-Ohio-United-States

But it isn't for three reasons:

1) sunshine - Denver almost always has it and this high up, it will turn a 35 degree day into something that feels like ~55 degrees (combined with low humidity).
2) The low humidity makes the hot and cold temperatures MUCH more bearable. The cold is not bone chilling, and the heat does not become a 4 alarm swamp fest.
3) the weather variability makes it much more bearable. You will certainly have cold days in Denver...but it rarely lasts more than a few days...and then you get a break. I was up at 8-9k feet mtn biking last year in December with shorts/t-shirt.

I spent over 2 years in St. Louis (more bearable than Ohio), and I would take Denver weather over St. Louis everyday of the year.

 

[brianmanahan]

I lived in MI and OH and yeah it is that bad. Fvck those winters and those back woods rustic "when will the plant reopen" morons. Don't miss it EVER.

The only dreams people have in places like Massillon is for their kids to grow up and be NFL players. It's like career lottery players.

thats a broad generalization that isn't true for anyone i have met from massillon, but hey if it keeps enough people out of ohio so i can still buy a house for 50$k then i am all for it :awe:

 

[Rage187]

Built a house in early 2014 for $250k, same house is worth $350 today. 1 year, $100k.

Good thing too, as I pulled a chunk of money out of retirement to pay 10% down. I ended up paying an extra $15k in tax penalties. But I won. I'm also in the process of going 100% solar. That will cost me about $10k after all the incentives. I'll be tacking on another $50k when I sell it.

 

[xeemzor]

thats a broad generalization that isn't true for anyone i have met from massillon, but hey if it keeps enough people out of ohio so i can still buy a house for 50$k then i am all for it :awe:

The Cleveland/NW Ohio area is the best pace to live if you are trying to maximize your salary vs cost of living. One of my friends rents a 2 bedroom apartment in Lakewood for $700/month and makes silicon valley money. That same place in Chicago would be $1400/month and $3k/month in the valley.

The quality of life isn't too terrible as long as you are living in the Tremont/Parma/Lakewood area. East Cleveland, however, is a hellhole that should be avoided like the plague.

 

[kaerflog]

Prices are going up, yes. I paid roughly 200K for my house in 2012; it's worth about 450K now. I have a realtor I work with who has been asking me to let him list it for $500K.

Man 2011 and 2012 was the time to buy.
I let a friend borrow money to buy a house in a good neighborhood in 2011 for $220. Its worth at least $350++ now. I
I finally bought one in 2013 for a decent deal but I should have bought at least 2 or 3 back in those days.

 

[JulesMaximus]

Our house is back up to the mid $550k value. At the height of the housing market before the bubble burst it was worth maybe low $600k.

 

[Sho'Nuff]

OP is in a suburb of a major city. $500k is the price for a 4br 2100sf here too. 3000sf is upwards of $750k. Especially areas with good schools. It has been normal for years now. It may have dropped very slightly during the last recession but prices have stabilized again.

Is a town 55 miles away from a major city considered a subburb? Commute is 1.5 hours minimum, taking into account traffic. Ugh.

After much debate I think my wife and I are going to stay put. Similar homes in my hood are selling for ~$600k on average. We bought ours for $415K and put ~$100k in renos/needed maintenance into it over the last 5 years. That means we are likely still way on the plus side of the ball.

 

[MrDudeMan]

Yeaaaah goodluck with that.

I can throw a baseball from my window, go through the neighbors first side window and have it go back out the neighbors OTHER side window.

That's how close we are. It sucks balls. I just dont get how one can live in the middle of nowhere (to get that much amount of land for that decent of a price) and still somehow get to work to pay it. Commuting in city is bad enough.

I live 4 miles from the northern part of Colorado Springs on 5.25 acres and my commute is about 10 minutes. It can be done, but it's not easy to find. There's 11 unoccupied acres bordering my lot that I'd like to buy if they'll sell it, but the owners are old farts who refuse to let go. They live in Ohio and never even use it. They didn't know for 3 years that it burned in the fires.

My house was worth $250k a few years ago, but it was totally busted and needed to be renovated. Someone bought it and flipped it to me for 500k. The land is a significant piece of that value, but the house is definitely nice. 3 bed/3 bath, 3100 sq ft finished + 800 sq. ft. garage. In other parts of CO Springs, my house would probably be worth 350k or so. The delta is the property.

My rental in Plano, TX was $235k in November 2014 and I could sell it now without an agent in a few days for $270k. I know because I've had multiple cash offers from people walking by. I would jump on that, but rent went up accordingly and I'd rather ride it out for a while. My rental in Nolensville, TN is in a much more normal area where prices aren't insane. The rent has stayed pretty flat and the value hasn't gone up much.