This Is Why Housing Prices Aren’t Dropping!

Learn why the housing market isn't improving - sellers aren't lowering prices! Find out more in this video on the current state of the housing market.

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[TheSterlingArcher]

The seller is insulted? GOOD! Most sellers had their home appreciate 45% over the past 5 years doing nothing. It costs a buyer $3000/mo mortgage to buy a median home. I could care less what sellers think in this market.

[Renee-bb]

The fact that there is already an excessive amount of demand awaiting its absorption, despite how everyone is frightened and calling the crash, is another reason why it is less likely to occur that way. 2008 saw no one, at least not the broad public, making this forecast, as I'll explain below. The ownership rate was noted to have peaked in 2004 in the other comment. Having previously peaked in the second quarter of 2020, we are currently at the median level. Between 2008 and 2012, it dropped by 3%, and by the second quarter of 2020, it had dropped from 68 to 65.

[nicolasbenson]

Because so many people overpaid for homes even while loan rates were low, I believe there will be a housing catastrophe because these people are in debt. If housing costs continue to drop and, for whatever reason, they can no longer afford the property and it goes into foreclosure, they have no equity since, even if they try to sell, they will not make any money. I believe that many individuals will experience this, especially given the impending mass layoffs and rapidly rising living expenses.

[Helen_white]

The problem is that in order to have "permanent roof" with amenities like electricity, gas and water, either the tenant or the owner must somehow pay insurance and property taxes. As a result, a lot of people live in tents, at least in California, where I presently dwell. Not a single mortgage, tax, rent, or insurance. It amazes me how many folks I meet who tell me they live in their cars. This place is insane!

[itsomni]

Zillow needs a comment section. I’d love to let sellers (and out of state buyers) know how delusional they are.

[brettoberry]

Don't apologize for making an honest offer backed by data. THAT is not lowballing, that is making a "shrewd" offer. 450 was a good offer.

[kortyEdna]

I’m in Ohio and the housing market here over the last 7-8 years is unlike anything I’ve ever seen. Homes that were bought for $130K in 2015 are now being sold for $590k. I’m talking about tiny, disgusting, poorly built 950 square foot shit boxes in quiet mediocre neighbourhoods. Then you’ve got Better, average sized homes in nicer neighbourhoods that were $300K+ 10 years ago selling for $750k+ now. Wild times.

[kendraelledge]

Just had the same thing happen. My husband and I made an offer 10% below list because of the comps that had sold on the street in the last year and both of those homes were actually more move in ready. The person was super offended, so we have moved on. I wish them the best with selling their house, but I don’t want to overpay.

[MikeCrawch]

Yeap, that is 100% fact! Agent will think about the commission before you!
I dumped my agent real quick as soon as I found that out.
Now I have a new agent that is putting my interest first and doesn’t push me to rush the purchase at all.
If anybody else is dealing with the same situation, just ditch that agent and find a new agent.

[Ultrajamz]

Sellers need to have their houses sit unsold for a while before they break. Patience.

[macjrc]

Also if the client had NOT trusted his gut and made a full price offer and it was accepted right away- he would spend the next 30 years second guessing his own and the agents advice. Make an offer -all they can say is no and you can come back with another offer. Shame on that agent too for not backing his clients play.

[LisaB-mx]

Thanks for the video! I live in the Phx area/east valley and these overpriced homes are not selling but prices stay high and sellers stay firm. It is stagnant.

[Cakebattered]

As long as institutional buyers are still overpaying with cash, sellers have zero reason to lower prices for families and individuals.

[TheMrdanielguzman]

It’s gonna be almost impossible to sustain these prices…

[Stefffennnnn]

There's a home in my subdivision for $430k and most homes around me are $320k. Pre pandemic they were like $240k. I've been passing by it for months and I wish MLS didn't control everything and there was something open where people can comment on the listing. I'd grill that seller.

[desiv]

Yeah, if that home is really overpriced, best to not worry about it.
When we were first looking in this area, we saw a house that a bit over our budget, but we (with our realtor) put in a lower offer at the top of our range...
They said no way, they would not accept anything lower than what they were asking...
We asked our realtor and she said she was pretty sure his asking price was too high...
So we kept looking. Two weeks later (or so), we found our current house that was a bank owned property that just had a price drop and was under our range. We offered, they accepted and we've been here 16 years. Love this house...
The other one, I know it didn't sell for at least another six months when I stopped checking up on it (I was just wondering). Apparently that owner was just really stubborn. "I know what I've got" type of thing...
If it's not meant to be, it's not meant to be. Just keep looking....

[katydid]

Being insulted is immature. When I sold in 2021 I got lowball offers. I expected them. You either accept it or you don’t. It’s a financial transaction. Can’t get all feels about it.

[John-voiv]

Seller and agent being insulted for an offer 5k-10k below listing price when house listed at almost half million, need to wake up to a changing reality.

[mellomallowy]

Last year I was helping a friend buy a house. There were a few I was interested in but passed on because my inner Bob the Builder was too interested. These homes had serious issues. Last week I was feeling the itch to own again and jumped onto the apps to see several of those homes on the market again with "amazing new renovations" for 100k more than I had seen them last year.

Immediately thought of you and your recent video on this subject. Sir thank you for your work, you help so many of us!❤ these companies and sellers think they're giving us gold, more like a gold leaf covered turd in some cases.

[ahealthyyouwithdoctornew]

I saw a house listed on August 15th that was purhased in June 2023. They're list price is $20K less than what they paid last year! People have severely overpaid for homes and it's starting to show!