U.S. Homeownership rate falls to five decade low

Household formation numbers suggest that if the decline [in ownership] is real, it is more likely due to a large increase in the number of renter households than any real decline in the number of homeowner households,” said Ralph McLaughlin, chief economist at real estate website Trulia.

Down the road, renters will likely look to become buyers, spurring a housing market that already appears constrained by rising prices and limited inventories.
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....
 
On the upside, folks with great credit, aka 'me', can buy and finance houses/ condos for cheap and rent them out to the schmucks who can't get credit.
 
Right said:
On the upside, folks with great credit, aka 'me', can buy and finance houses/ condos for cheap and rent them out to the schmucks who can't get credit.
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I was in the rental business for a decade but got out of it. It can be a major PIA.
 
cawacko said:
I don't think this is a bad thing. Government pushing to increase ownership levels, especially among poorer communities, is what brought us the Great Recession.

Home ownership is an admiral goal but that doesn't make it the right decision for everyone.


http://blogs.wsj.com/economics/2016/07/28/u-s-homeownership-rate-falls-to-five-decade-low/
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That's a complete and total crock of bullshit Wacko. The Government may have supported home ownership but they were hardly responsible for banks predatory lending practices to unqualified people nor did they wrap their bad business decisions in complex financial instruments like credit default swaps and in fact if the Bush administration had done it's job and enforced existing SEC regulatory laws through inspection, audits and enforcements that were currently on the book the whole fiasco could have been avoided....but yea...it's the governments fault.

:thanksobama:
 
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Mott the Hoople said:
That's a complete and total crock of bullshit Wacko. The Government may have supported home ownership but they were hardly responsible for banks predatory lending practices to unqualified people nor did they wrap their bad business decisions in complex financial instruments like credit default swapsb
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Agree..unless he was talking about a different 'Great Recession'.


And someone owns these homes, so the premise is misleading.
 
cawacko said:
I don't think this is a bad thing. Government pushing to increase ownership levels, especially among poorer communities, is what brought us the Great Recession.

Home ownership is an admiral goal but that doesn't make it the right decision for everyone.


http://blogs.wsj.com/economics/2016/07/28/u-s-homeownership-rate-falls-to-five-decade-low/
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or maybe it's because the cost are astronomically high because the 2008 crises gutted the housing construction industry and supply can't keep up with demand?

Fortunately I live in the State with the second lowest real estate pricing in the nation. I'm about to close on a brand new 1650 sq. ft. condo. It has a two car garage, a very large deck, hard wood floors (not laminates), granite counter tops, oak cabinetry, wood crown trim moulding, tiled bathroom floors and walls, stainless steel appliances, etc, etc....for $100/sq.ft....IN DUBLIN!!!! The average price in Ohio is $85/sq. ft.

I'd be paying around $300/sq.ft. for something comparable in the Bay area. The national average is $125.
 
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Mott the Hoople said:
That's a complete and total crock of bullshit Wacko. The Government may have supported home ownership but they were hardly responsible for banks predatory lending practices to unqualified people nor did they wrap their bad business decisions in complex financial instruments like credit default swaps and in fact if the Bush administration had done it's job and enforced existing SEC regulatory laws through inspection, audits and enforcements that were currently on the book the whole fiasco could have been avoided....but yea...it's the governments fault.

:thanksobama:
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Obama?

The government creates policy to increase homeownership and to pressure/ force more lending to "higher risk" groups and then it's the bankers fault when they do? I'm sure the gov't appreciates you standing up for them.
 
Right said:
On the upside, folks with great credit, aka 'me', can buy and finance houses/ condos for cheap and rent them out to the schmucks who can't get credit.
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You should come up here to Columbus area to invest...the market is seriously undervalued here and is in the process of taking off.
 
Mott the Hoople said:
or maybe it's because the cost are astronomically high because the 2008 crises gutted the housing construction industry and supply can't keep up with demand?

Fortunately I live in the State with the second lowest real estate pricing in the nation. I'm about to close on a brand new 1650 sq. ft. condo. It has a two car garage, a very large deck, hard wood floors (not laminates), granite counter tops, oak cabinetry, wood crown trim moulding, tiled bathroom floors and walls, stainless steel appliances, etc, etc....for $100/sq.ft....IN DUBLIN!!!! The average price in Ohio is $85/sq. ft.

I'd be paying around $300/sq.ft. for something comparable in the Bay area. The national average is $125.
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Supply doesn't keep up with demand in many areas because cities and NIMBYS don't want to allow building. I see it everyday here in the Bay Area. Then people complained minorities are getting priced out. Doesn't take a rocket scientist to understand simple laws of supply and demand.
 
cawacko said:
Obama?

The government creates policy to increase homeownership and to pressure/ force more lending to "higher risk" groups and then it's the bankers fault when they do? I'm sure the gov't appreciates you standing up for them.
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You're listening to too many right wing radio programs.

The Government didn't force them to pull the trigger on those loans. Particularly the predatory ones with introductory teaser or no interest rates knowing there was a high risk of default but took the gamble because they believed that #1. The housing market would continue to grow and #2 bad loans could be bundled and sold as worthless bonds who were bought by other bankers taking the same damned gamble and it blew up in their face. You're just being an apologist for investment bankers criminal actions. The only thing the government is really guilty of is not putting all the rat bastards responsible in prison. Do you even have the foggiest notion how many lives around the world these screwballs destroyed?

It didn't stop them from getting their precious bonuses either.
 
cawacko said:
Supply doesn't keep up with demand in many areas because cities and NIMBYS don't want to allow building. I see it everyday here in the Bay Area. Then people complained minorities are getting priced out. Doesn't take a rocket scientist to understand simple laws of supply and demand.
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Dude...come on...you're living in the highest housing cost region of the nation. The cost of housing there is more than double the national average. The rest of the nation doesn't have California's insane laws either.
 
Mott the Hoople said:
Dude...come on...you're living in the highest housing cost region of the nation. The cost of housing there is more than double the national average. The rest of the nation doesn't have California's insane laws either.
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You were arguing the industry is gutted and can't build enough. Developers didn't go anywhere and there is plenty of capital available
 
Mott the Hoople said:
You're listening to too many right wing radio programs.

The Government didn't force them to pull the trigger on those loans. Particularly the predatory ones with introductory teaser or no interest rates knowing there was a high risk of default but took the gamble because they believed that #1. The housing market would continue to grow and #2 bad loans could be bundled and sold as worthless bonds who were bought by other bankers taking the same damned gamble and it blew up in their face. You're just being an apologist for investment bankers criminal actions. The only thing the government is really guilty of is not putting all the rat bastards responsible in prison. Do you even have the foggiest notion how many lives around the world these screwballs destroyed?

It didn't stop them from getting their precious bonuses either.
Click to expand...

You're giving me the Krugman response. What did the gov't think was going to happen when they mandate lenders lend to those who are higher risk and then have Frannie and Freddie as back stops to buy most of the loans?
 
Mott the Hoople said:
That's a complete and total crock of bullshit Wacko. The Government may have supported home ownership but they were hardly responsible for banks predatory lending practices to unqualified people nor did they wrap their bad business decisions in complex financial instruments like credit default swaps and in fact if the Bush administration had done it's job and enforced existing SEC regulatory laws through inspection, audits and enforcements that were currently on the book the whole fiasco could have been avoided....but yea...it's the governments fault.

:thanksobama:
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You might want to reread your entire post and then rethink your "it's the governments fault" snark. Unless of course you think President Bush wasn't "the government"

The government is the only way something like this could have happened. You are creating strawman arguments. The government plans the seeds in the form of the CRA. They provided the nutrient rich soil with gobblement backed loans through Fannie and Freddie. They provided the necessary rain through threats of litigation by their ACORN thugs and holding up bank mergers if loan quotas weren't met. And lastly artificially low interest rates were the fertilizer.

Your response was hilarious and an epic example of your monumental stupidity.
 
Mott the Hoople said:
You should come up here to Columbus area to invest...the market is seriously undervalued here and is in the process of taking off.
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Zero chance of that. Real Estate investments, at least for small fry like me, should ALWAYS be local. I can always judge the local market better than anywhere else, and I can pay visits to renters who are a day late on payments.
 
Man you guys can rationalize anything. If they say it on right wing TV it's gotta be true. Oh by all means.... Wall Street and Investment bankers had nothing to do with the credit default swap crises. It's that damned Obama's fault and Freddie and Fannie.

I mean come on...you guys can believe what you want but don't insult my intelligence.
 
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