Investing megathread extravaganza

[DaFace]

A place to talk about investing stuff.

[SupDock]

Originally Posted by Rain Man

I'd think that's a different question than overall economic stuff and is kind of independent. We may have thoughts about real estate trends overall, but buying versus building merely seems like matter of taste and existing inventory.

I find it interesting that people have such different preferences on homes, by the way. I live in a 100+ year old house, and my wife and I love it. It's got nice features and there are no surprises since it's survived for 100+ years. But I know other people who strongly prefer new construction and wouldn't even consider a house like ours.

I appreciate that feedback. I am in a really unique market where there really are no old homes, and homes are being built at a very very rapid pace. Maybe it's not that unique, but inventory doesn't last long, and hasn't for the last 18 months.

The market in my area is what it troubling me. The prices keep going up and I have some worry that I will get priced out of the market. If I found a resale I like I would not hesitate to buy

I am more curious what your thoughts were on the current economic situation and its effect on home buying and building. Certainly low rates encourage buying, but people may be feeling economically insecure.

[Rain Man]

Originally Posted by SupDock

I appreciate that feedback. I am in a really unique market where there really are no old homes, and homes are being built at a very very rapid pace. Maybe it's not that unique, but inventory doesn't lasted long, and hasn't for the last 18 months.

The market in my area is what it troubling me. The prices keep going up and I have some worry that I will get priced out of the market. If I found a resale I like I would not hesitate to buy

I am more curious what your thoughts were on the current economic situation and its effect on home buying and building. Certainly low rates encourage buying, but people may be feeling economically insecure.

If you're confident that your job is secure, times like these are the best times to buy. Lower rates, people's hoarding instincts up, and probably fewer people going to open houses? That seems like a recipe for a good deal. And in the long run, I think it's good from a wealth perspective to diversify your assets with home equity as well as traditional savings.

There's a house a few blocks away from mine that's intriguing, and I think it's underpriced. It's also got a guest house, which is the really intriguing part, because I could legitimately make it two rentals. It's too expensive for a cash purchase, which I'd prefer, but it's tempting nonetheless. It's been on the market for a while, so I'm curious if I could throw a lowball offer out there.

[Rain Man]

Also, I've preached this before, but if your market has any developments or zoning that allows mother-in-law apartments in new construction, or if you can buy an existing home with a mother-in-law apartment, jump on one of those. Having an onsite apartment means you'll always have a good tenant (bad ones won't want to be next to you), and it gives you an income stream that goes up each year while the cost of the mortgage stays the same. I've got one, and it prints money for me with very little work or hassle.

[Buehler445]

Originally Posted by SupDock

I appreciate that feedback. I am in a really unique market where there really are no old homes, and homes are being built at a very very rapid pace. Maybe it's not that unique, but inventory doesn't last long, and hasn't for the last 18 months.

The market in my area is what it troubling me. The prices keep going up and I have some worry that I will get priced out of the market. If I found a resale I like I would not hesitate to buy

I am more curious what your thoughts were on the current economic situation and its effect on home buying and building. Certainly low rates encourage buying, but people may be feeling economically insecure.

If you could provide 20% equity I'd say do it in a heartbeat, but the risk you face if the economic conditions slow down in your area, the value of your house will decrease and you will have negative equity in your house. If you had some equity, you could handle a little uncertainty, but banks get hella jumpy at negative equity loans.

[SupDock]

Originally Posted by Rain Man

If you're confident that your job is secure, times like these are the best times to buy. Lower rates, people's hoarding instincts up, and probably fewer people going to open houses? That seems like a recipe for a good deal. And in the long run, I think it's good from a wealth perspective to diversify your assets with home equity as well as traditional savings.

There's a house a few blocks away from mine that's intriguing, and I think it's underpriced. It's also got a guest house, which is the really intriguing part, because I could legitimately make it two rentals. It's too expensive for a cash purchase, which I'd prefer, but it's tempting nonetheless. It's been on the market for a while, so I'm curious if I could throw a lowball offer out there.

Exactly the feedback I was looking for. Thank you

[SupDock]

Originally Posted by Buehler445

If you could provide 20% equity I'd say do it in a heartbeat, but the risk you face if the economic conditions slow down in your area, the value of your house will decrease and you will have negative equity in your house. If you had some equity, you could handle a little uncertainty, but banks get hella jumpy at negative equity loans.

I understand

What options would they have if I was making payments?

What does jumpy mean?

I'm a first-time home buyer and working on paying down educational loans, and would rather not put a significant amount down

[Strongside]

Pro tip: buy inverse ETFs on Friday, sell them on Monday at open.

The markets tank on bad news, which is constantly building up over the weekend, every weekend. (SH, DWT, etc.)

I feel dirty profiting on the world’s sadness, but it’s easier than short selling and I’ll take whatever I can get right now.

[Rain Man]

Originally Posted by Strongside

Pro tip: buy inverse ETFs on Friday, sell them on Monday at open.

The markets tank on bad news, which is constantly building up over the weekend, every weekend. (SH, DWT, etc.)

I feel dirty profiting on the world’s sadness, but it’s easier than short selling and I’ll take whatever I can get right now.

What's an inverse ETF?

[lewdog]

Originally Posted by Rain Man

What's an inverse ETF?

SDOW

thank me later

[scho63]

If I tried to explain what a ****ing disaster today was at Amazon with all the cancelled orders due to inability of sites to deliver on time and a complete mess for getting things ready, you wouldn't believe a company this size could be this ****ing backwards.

They could be selling 2-3 times more across most major markets.

[ChiliConCarnage]

back down 10% before open. That 2018 bottoms been holding but we'll break through at some point. I may buy some here today though

edit:. hold on, we moved reserves to 0? whoa, well, **** me

[KCUnited]

Originally Posted by SupDock

I appreciate that feedback. I am in a really unique market where there really are no old homes, and homes are being built at a very very rapid pace. Maybe it's not that unique, but inventory doesn't last long, and hasn't for the last 18 months.

The market in my area is what it troubling me. The prices keep going up and I have some worry that I will get priced out of the market. If I found a resale I like I would not hesitate to buy

I am more curious what your thoughts were on the current economic situation and its effect on home buying and building. Certainly low rates encourage buying, but people may be feeling economically insecure.

I'm currently going through the closing process on a new construction home. I'm putting 28% down and the home appraised for 30K over our purchase price and my b-hole is still puckered thinking about the potential of the home value cratering in the wake of this virus.

That said, there were 3 separate open houses near me (Chicago) yesterday that appeared very active. One in the condo building next to me and 2 in the building across the streets. Have a co-worker who just sold their condo to a cash buyer over the weekend as well. I've been following the market in my zip code and average days active to contract are still very low. So despite social distancing orders and economic fears, people still seem to be turning out for home purchases here.

Of note, I've owned a 100 yr old bungalow that I loved for its charm and craftsmanship, but I get the biggest smile thinking about the custom built, never farted in, floor to ceiling walk-in, dual rainfall, 8-jet, unicorn of showers waiting for me in our new home.

[lewdog]

Circuit breaker tripped in 5 seconds this morning.

[O.city]

We gonna get negative interest rates?

[Hammock Parties]