What Happens To The Real Estate Market When All The Boomers... Die? | How Money Works

What Happens To The Real Estate Market When All The Boomers... Die?

Sign up for my FREE newsletter! - https://www.compoundeddaily.com/Support me on Patreon - https://www.patreon.com/HowMoneyWorks-----My Other Channel: @HowHistoryWorks Edited By: Andrew GonzalesMusic Courtesy of: Epidemic SoundSelect Footage Courtesy of: Getty ImagesFor sponsorship inquiries, please contact [email protected] up for my newsletter https://compoundeddaily.com 👈All materials in these videos are for educational purposes only and fall within the guidelines of fair use. No copyright infringement intended. This video does not provide investment or financial advice of any kind.#finance #realestate #business ------It doesn’t mean anything to be Working class or middle class anymore… The only thing that matters is if you own a home or if you don’t.The home you live in now statistically makes more money than you do and the last hope that a lot of young people have to catch up is getting a house gifted to them by a relative... Which begs the question. What happens to the real estate market when all the boomers… die? There is an old saying that the best time to start investing was 30 years ago, the second-best time is right now. But that conventional wisdom might not hold up in today’s market. Buying a home at the right time could set you and family up for financial security for the rest of your life. The only thing is, the right time was when you were still in school and if you try to buy a home now you will be taking on record high interest rates, record high prices AND record low availability all at the same time… People sell homes for two reasons, because they want to and because they HAVE to. Nobody who already has a home WANTS to sell it because most Americans have been able to lock in record low interest rates. If they sell their house and buy another one, they will get a new mortgage at interest rates which will TRIPPLE their payments on a home of the same value. According to data from the national association of realtors, eighty-seven percent [87%] of new home purchases are made using a mortgage, and the average down payment of a first home buyer is only seven percent [7%]. This means higher mortgage rates are worth avoiding at all costs. A report by the wall street journal found that even when homeowners moved interstate, they would hold on to their homes and rent them out and then rent another house to live in… Everybody that wants to sell their home is waiting for interest rates to fall. Everybody who wants to buy a home is also waiting for interest rates to fall. And everybody who is stuck renting is being forced to compete with people who already own a home but don’t want to sell it because they have locked in a sweet interest rate. The players in the real estate market are in a Mexican standoff, but the renters are stuck fighting with a Banana. The only hope for people who just want to buy a home is to get it off someone who NEEDS to sell. According to another report published by the national association of realtors the average home seller in America was SIXTY!! [60] years old!So it’s time to learn How Money Works to find out why you probably won’t benefit as much as you are hoping from the boomers passing down their homes…

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