Comments by "worn down" (@worndown8280) on "Michael Bordenaro" channel.

Boomers own 40% of all single family homes. As they start to die, the oldest Boomers are 74 this year, the market will be flooded with over expensive homes that no one can afford and the market will correct. The question is do Boomers understand this and check out of the housing market early and spend that wealth or move in with their children or care facilities. But long term home prices have peaked. We are Japan in 1989. They are giving away homes there now, 8 million empty homes.
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I live in East Tennessee, for Tn its dependent on two things. First how much more people from the outside the state are going to keep coming here. That increases demand. That depends on how much they can sell their place for, generally, from where they are coming from. I think thats starting to ebb. The 2nd is the local economy. I am starting to see cracks but nothing super serious yet. But if the local economy goes here, prices will fall hard. Moreso rents and then land lords will be forced to sell rental homes increasing supply. Not a real answer but no one has a crystal ball. I seen some of those homes they are throwing together out there. Makes sure you get an inspection though. But until either one of those happens around Nashville I would expect a flat market. People just cant afford to buy if prices go hire.
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@alansewell7810 they didn't really. Most pensions were vested in 5 to ten years. Then the lo ger you worked for the company the larger your pension got. But at that time in American, outside two moments, the dustbowl and WWII, Americans were largely sedentary in their living locations. Before WWII only 16% of American workers had pensions. I get what you are trying to emote though. A lot of changes happened between WWII and the end of the cold war. Electoral choices made inflation all but certain dooming most pensions. Heck I have 3 pensions a 401k and an ira along with individual investments on my own. As soon as my pensions are available to me at 55 I'm taking lump sum payments.
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Feds going to have to raise rates a lot more. With the revisions to the GDP you can see how cooked the Federal governments fake inflation data is.
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Wait until the government cant get people/banks/companies to buy all the treasuries for the massive deficit spending it does. Then things will just nose dive. Dont look at job openings. Look at the labor participation rate. We never got back up to where we were before covid. Lies, damn lies and statistics.
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Its just a gully that's all. Just nerves. lol
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jingle mail.
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@mg-by7uu maybe, but massive inflation is not hyperinflation. Which was my point. People like to use that word a lot. And most of them dont understand it. The ugly truth is we dont have enough workers for all those companies. People dont grasp the massive change in demographics. For every 2 boomers leaving the workforce we only have one zoomer coming into replace them. So for a lack of a better word, we need a little creative destruction. This is the Feds plan, they have said as much. I hope they stick to it. God help us all if they dont. Which they probably wont, but hey let me be naive and happy a little bit ok.
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Cheap money plus a momentary demand spike, the two largest generations in American history, the boomers and the millennials, being in the housing market at the same time, this was bound to happen. As the boomers start to exit in mass, about 30% of them already have, real estate prices will begin a very long decline. There is only 1 zoomer for every 2 boomers. There just wont be enough demand. Not at least until Gen Alpha hits the stage, but that is about 25 years from now. And we dont know the size of their cohort yet.
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The average American home has 2.6 people living in it. How do you come to a ratio that would have it at about 1.3?
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The ugly truth is the "greatest generation", silent generation, and boomers over promised, over spent, and under saved for said promises. Come the 2030s, thats less that 6 years away, everything is going to break when SSI gets cut, right now it makes up 20% of federal spending. It will be cut by 22% in the early 2030s, if not sooner. If you cant do math that is about a 5% drop in federal spending just from SSI cuts. Other areas will need cutting as well. Because of that the economy will go into a permanent depression, Federal government spending is currently 40% of GDP, overnight until the US debt burden forces either massive inflationary printing or default. There are no other options anymore.
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 @danman1287 Few people understand that. They think demand will just increase or stay the same. They dont understand thats its in the process of collapsing for good.
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If even half of what of the stories of what this young guy did with the investment money is true he needs to be executed. Men like this do far worse social, business and economical damage than a guy with a gun robbing a liquor store or even the most successful bank robber. He needs the big sleep. And then they need to look at his primary backer, his parents.
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Homeless lost their income, because of drug use, alcohol use, child support and mental illness. If it was just "loss of income" over 3/4s of all homeless wouldnt be men. It would be closer to equal. Homelessness really exploded around the same time that Congress made it difficult for people seeking pain management for their long term pain issues from getting medical treatment. So people who cant get prescription meds for pain management they go to something like heroin. And for those who dont understand why a person would do this, well you never been in that amount of pain.
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student loans restarting, property taxes and home owner insurance going up up up. The real question is how hard the commercial real estate market implosion hurt home mortgage lending. Yea skys the limit for real estate. At this point any government intervention to increase capital to individuals would only increase inflation forcing the Federal Reserve to raise rates even higher. Right now the best thing would be for the government to cut spending and force a light recession and rebalance. But they will hit the pedal Velma and Louise style and go right over that cliff. Still wont help housing.
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if you got rid of prop 13 the California economy would implode. It would lose its status as the worlds 5th top economy in the world. Folks dont really understand how real estate prices there allow for fake wealth to make everything run. Pull that plug and overnight it all stops.
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@hvaball150 you dont understand. Most Californians are only wealthy on paper because of the value of their home. Reduce that overnight and they can afford nothing. they have nothing left to leverage. This would implode the local school systems overnight. And the debt would absolutely make CalPERs implode as well. Go ahead and do it. Watch what happens. California has locked itself into this situation.
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@SAMSON12321 price fixing never solved anything. Tax regulations on the other hand greatly favor investing in real estate. Adjust the tax laws and the rest will resolve.
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40% increase in millionaires in 3 years. Thats due to massive inflation. A million dollars aint what it use to be.
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Well when their social security gets cut down a bit they will be forced to move in with their kids. If they had kids. The ones who dont are in trouble.
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paying for boomer pensions of course. Spare no expense!
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@snupi_nut Then they go live with their families and get taken care of by them spreading the "you're f'ed" to everyone. Contagion spreads.
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One has to wonder if it is the realtor or the owner who is making those choices. A good realtor would avoid a person who wouldnt be reasonable.
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Real estate is at an all time high now. And it is only due to demography. Boomers own 44% of all single family homes. That is because their age cohort is so large. As they die those properties will be sold off. You look at home price inflation and income stagnation and all of them are due to the boomers age cohort size. And then when the Millennials got into the market it super overheated in 2008 because demand and prices got to high. Not as the Millennials are fully into family creation, the ones who are going to anyways, demand has largely peaked. At the same time the next two generations, the Zoomers and Gen Alpha are each not even half as large as the boomers. So as the boomers die it will take at least two generations of demand to make up that difference. Real estate will only go down from here. You only have to look at the demographics. So the solution to this problem is just time. Time will fix this, as it does most things, if they are left alone.
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@joeswanson733 It will, over the next two decades and forever after. Until women decided to have at least 2.1 children each. Otherwise the population will still keep declining. Its the same reason why even a decade ago, the most expensive city on the planet was Tokyo, but now its not even in the top 10, I dont even know if its in the top 20. People do not understand how fast this change happens. Its literally like a teeter totter. You just a little far out and slam down it goes. In this case thats the price. This says nothing about the millennial family creation levels which are far lower than even the lowest estimates made.
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Your neighborhood seems to have a very bad cat problem. Is this typical of beach communities in Florida?
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@77jaycube69 ARMs and Flippers. Bank of America giving reverse ARM loans to illegals didnt help. After two to three years they just skipped back to Mexico with their buckets of cash they saved paying a 200 buck mortgage. My neighbors across the street from where I lived then did this in 2004. Hardest working people. Two brothers and a sister.
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Adventure West Why refinance an asset that is worth only half of what you bought it for? For most people it made financial sense to just walk away from it, considering some people but zero down. And thats what many did. Adding to jay cube's snowball effect.
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Gold is cool till Brandon takes a page out of FDRs book and says you cant own it. And they give you 20 bucks an oz again. You can always not turn it in but then you are a criminal.
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Robin Hood didnt steal from the rich to give to the poor. He stole from Prince John, Prince John was the government. Ironically, Prince John had to squeeze the people of England for as much money as he could to pay for King Richard's wars in the Holy Land. So John gets the bad name.
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apparently from what we have heard from Twitter and Facebook, tech employees have already been working for the Feds.
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If rates drop that means the economy died. I dont think people really understand that. They just want that cheap cheap money again. Like damn addicts.
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@MichaelBordenaro the worst part of it is all the capital misallocation because of this politicking. Think about how much more we could get done, cleaner, if that capital went where it was needed.
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Stopped at Popeyes on the way to drop my oldest at Camp Legeune, cost me 38 bucks for the both of us, Just regular 5 piece chicken strips meals. Crazy.
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@WelcomeIncorporated oh I am very well aware of the tax laws re rental properties. I own two. But it's one thing to but at the top of the market with an arm that is about to adjust higher 200% or more that already owning it out right. Irrespective of the tax law.
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37% of the economy is Federal spending. Just Federal. This wont end well.
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@MichaelBordenaro While that is the case for some, for most its a case of classism. Since the boomers we have pushed the young to college and now we have an utter lack of blue collar workers, the workers that keep civilization running. But we have battalions of HR Karen's who add little to nothing, and lets be honest probably cost the companies money, to the bottom line of companies, along with senior executive of toilet paper type jobs. This will change as margins tighten and profits implode. People will have to retool or take lower paying jobs, and in some cases it will be both. But I do like your content. The price for those apartment was insane. Considering what the average wage is in that area.
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You have a very small core of smart flippers who make profit and add value to markets. Most flippers are apes. They just mimic the good flippers because they see what they think of as an easy way to make money. They are vultures at best. They caused the last crash. I think they will have a heavy hand in this one as well considering the fraud rate in most mortgages.
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California will need every penny it can get if its going to pass its reparations of $360k to each Black resident.
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