Also available on the Compass YouTube channel:

youtu.be/CoEIFFgNOCQ?...

Maryland is just playing catch up!

Interesting that LA is less affordable than SF in your set. Is that because LA renters have significantly lower income?

Some millennial will thank you for the infill opportunity.

If you’d like to read more detail, I authored this Report in May:

www.housingwire.com/articles/una...

In specific, you keep referencing data from several years ago.

Wall Street funds are in fact net sellers of homes right now.

So to the extent that they deserve blame for home price increases during the free money era, they deserve credit now for dropping prices in the towns where prices are down

The result is that we support existing home owners and their prices. To the detriment of those who don’t yet own.

I’m of the view that blaming Wall Street for the crisis is myopic and naive, when really we should be blaming “Americans.”

But those policies: eg zoning laws, low taxes, environmental laws, foreclosure prevention all exist for “good” reasons.

We don’t want to kick grandma out of her house because of high taxes.
We don’t want to build on every square inch of land…

Because we’re so favorable to owners, real estate has been a great investment in that time.

Wall Street is a tiny tiny portion of the investor class. That money was what pulled us out of the GFC finally!

There are lots of policy changes we should make to fix the crisis.

Look, you’re not alone in seeking blame for our affordability crisis and there’s no more ready-made-villain than “Wall Street Landlord.”

But in fact we have 60 years with every law, tax, policy in the US inflating home prices to help homeowners, to the detriment of those who do not yet own.

Furthermore, investors are an important and valuable part of the housing economy.

Most renters are not in a position to buy. They *need* rental homes to rent!

It is a misinterpretation to assume that if an investor buys a house that means a homeowner cannot.

Investors is not the same a “Wall St”

Only 4% of all investor purchases are firms with more that 1000 homes.

96% of investor purchases are people who own 1-4 homes. Otherwise known as “Americans”.

www.housingwire.com/articles/no-...

My guess is you’ll barely notice it. We’ve been anticipating the Silver Tsunami for at least a decade. Boomers are still net buyers of real estate. They don’t want to sell ever. At some point the grandkids will get a house or two.

I assume you shared that bc you think that “Wall Street” is keeping prices artificially high?

Alas, nope. Wall Street owns a tiny fraction of the homes. Like 1%. In fact the towns like Tampa and Phoenix where those companies invested the most money are the markets where prices have dropped the most

7/7 Some buyers are waiting for lower rates and lower prices. The data says they may get one or the other but both may be elusive.

This week's video:

youtu.be/r_kNzYC7J0Y?...

6/7 We see it in the price reductions too.

41.5% of the homes have taken a price cut from the original list price. That level isn't increasing.

5/7 This "downside stickiness" psychology is a key reason for price stability.
This week, the median price of new pending contracts ticked up to $397,500, coming in almost 2% above the same week last year.

4/7 But here's the interesting part:

Even with limited supply, newly pending sales were up almost 5% from last year this week. We counted 77,000 sales contracts started this week.
More transactions are getting done in states with more available inventory.