Submitted by ccseater2 t3_1263kff in newjersey

Family of 4 renting in N. Plainfield. We make about 150k together and everything in the area is now at least 450k? I don't get it. Economy in shambles and the days of borrowing money is over. I am just astounded.

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MotorboatingSofaB t1_je7eqg5 wrote

Everything has gone up including home prices. Everyone that tried buying last year and couldn’t are still sitting on cash. It will take a good realtor and luck to find anything decent

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MotorboatingSofaB t1_je7fzrg wrote

Will prices drop, maybe but for now the market will be much of the same. There was some fact that >80% of homeowners have a rate under 4%. Many of those people are now “stuck” in their homes because it would cost so much more to leave.

My advice, find a town you like and try to get into the local facebook boards. Post what you’re looking for home wise and see if someone is willingly to make an off market sale. Saves them a ton of cash too

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Longtermthrowaway5 t1_je7h9dj wrote

But the economy isn't in shambles. That might be why you find the prices to be so surprising.

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TimSPC t1_je7julm wrote

Because there are fewer houses than people who want to buy one.

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Educational_Paint987 t1_je7md2z wrote

And no covid, no wars, no trump to blame...and yet nobody is saying the obvious.

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Practical_Argument50 t1_je7pr4d wrote

Uh this doesn’t make any sense. Try to buy a piece of land and build a house yourself and see what it costs. It will probably be close to what houses are going for. To remodel a current cape cod to a colonial (add a level) costs over $250k that’s just to put a addition on the house.

BTW they aren’t making any more land

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Hrekires t1_je7tz06 wrote

We're not building more low/mid-ranged houses, and people who bought or refinanced in 2020-21 with a 2% interest rate mortgage would have to be crazy or desperate to sell, so the market is constrained.

Typically late spring and early summer will see more houses on the market with parents looking to move between school years, so you may also have slightly better luck then.

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Educational_Paint987 t1_je869wz wrote

And thats your contribution to this conversation? If the inflation was caused by supply and demand factors then the interest rates hikes would have reversed it by now.

Instead, they caused a spiral of secondary effects that resulted in bank failure and more government spending.

Last time I checked, government had a big say on fiscal policy and taxation and Biden hasnt changed any of it since he took office. Instead he is begging yet again for increased debt ceiling.

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Ecstatic-Passage-113 t1_je9ae3z wrote

Bought a condo for 200k. Did a little work to it.

Before the work was done people were offering me 300k for the same condo

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Bright-Ad-8298 t1_je9mk20 wrote

Record low housing inventory and the economy is great? Record breaking low unemployment. A few head line layoffs with mostly over seas headcount isn’t going to do much. A quick Zillow search shows many many houses in cnj well under 450k for sale. Might just need to adjust your expectations. I’m not saying it’s easy or fun to house hunt right now! You need to talk to a realtor and get real and then with some patience you can make it happen.

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D00TZpop t1_je9nhsw wrote

Yea you need to move south of 195 if you are trying to get sort of value

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lost_in_life_34 t1_je9pi57 wrote

the closer you are to NYC the denser it is and no room to build any new housing other than apartments which many people are against. lots of people leaving NYC because of the schools and dozens of other reasons and bidding up prices

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