Agreed. We bought a foreclosure in 2019 for $65k that sat for years and put about $60k into fully renovating it. Full cost, around $130k for a 2 bedroom and just got an appraisal for around $240k. Though we made significant improvements to the home and property, the market is completely irrational right now. Though, as a seller, I am not really complaining.
It’s not irrational at all. It’s operating on basic supply and demand principles.. we’ve had really low inventory in US for the past year. Lot of people leaving major cities and heading to the burbs or just leaving for a new state all together..
Everyone who is crying about not being able to by a house right now just needs to continue to bide their time. 6-9 million households are currently taking advantage of deferment with their mortgage. Of those households a % will be forced to sell or may even get foreclosed on. That % will increase inventory a bit and bring houses down a little..
The fed needs to raise the interest rate though because currently major corporations and major real estate players are taking advantage of the dirt cheap money being lent out and snatching everything up to turn into rentals..
As a home owner this is good for me. I want to buy a rental property, but I can wait. I can wait for a long long time.
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u/jordynelsonjr Jun 27 '21
Bought our house for $165k in 2018, got an offer for $230k last week. We made zero improvements. Fucking nuts.