Without checking the numbers 7% is pretty close to a normal interest rate over the last hundred years.

The big issue is that prices jumped up on insanely low 3% money. At 7% the prices make much less sense but there is no obvious path to force sales. It's going to be really weird for a few years and very fascinating

Here's the last 50 years https://www.valuepenguin.com/mortgages/historical-mortgage-rates

People in general should not get home equity loans. It's a path to wealth destruction

If you are 10 years in you have a good rate keep paying off your loan, 20 years and you will be mortgage free which is a great thing

One should never apply Modigliani Miller or any variation to one's own housing without a deep understanding of what one is doing. And arguably not even then

That's a good explanation. I also think people must just not be aware of it. I mean it's literally in the middle of all the parks next to the fan in the middle of the city. The location just kicks butt

I have no freaking clue the location is amazing for the price and nobody looks. Okay prices have gone up a lot but they are still cheap for the location

There's going to be a weird stall, not clear how much it will affect the spring Market but it's definitely there. Basically a huge amount of sellers are trapped by 3% mortgages. It's just not going to make any sense to sell out of those for a lot of people

And the building recession is already hitting tract housing so people are dialing back hard on supply

Rent will keep going up. First of all the prices on everything have gone up, it's much much more expensive to do building up keep now than it was 2 years ago. Inflation effects everything. Taxes have gone way up and those get passed through to tenants. Labor costs have gone way up. Etc etc

On the other side there's a huge shortage of housing as people keep moving here.

Supply is going up and that helps but all it's doing is keeping rent from rising even faster than it otherwise would

City is actually getting a lot more open on that I'm amazed. They are looking to change the zoning

What you can do is tell your city counselor you want to see it happen. Planning department wants it city council just has to approve it

This is such an amazing change in perspective from the city that my mind is boggled. Their old attitude was that they hated to see buildings built on empty lots in the museum district and fan and they have done 180° turn. It's amazing if we all keep pushing it will happen

Very good advice saved me writing it

250k ex lot is very easy to do. 250k with lot is doable in fact almost easy in the right situation but it has to be value engineered.

You should know that two buildings will cost much more than one building to end up with the same square footage

It is calming down thank god. I've actually gotten a little obsessed with designing 600 ft houses lately we should go to dinner you and your SO might find the whole thing pretty interesting

I'm trying to get the numbers to work out at 50k without soft costs

Containers will put the cost through the roof. Lots don't seem to be going much below 35k lately on south side. Cava has bought up a lot of them which is pushing the price

Totally agree though I still can't figure out whether Woodstock is Woodstock or woodhaven.

Randolph-maymont has gone up a lot but it's still way underpriced. I haven't looked at City stadium for a while but maybe that too

We have a huge structural shortage of rentals in Richmond. 5% is what I've always heard as the functionally zero vacancy number. 2% is just absurd.

A lot of stuff is getting built but it's getting filled up as fast as people build it.

We need to make it legal to build more housing. Not just the big five plus ones but the fourplexes sixplexes and duplexes and adus that people actually want to live in

depends what's connected and how fast they got it up. I heard the boom, it was pretty late, the people connected might have been sleeping.

Any other explosion would make news, transformers blowing up don't.

I have never lived in a place where so many transformers have blown up as an aside. I wonder if dominion bought a bunch at Big johns used car and transformer dealership.

Savannah is more fun, though I like living in Richmond better. But no doubt we should copy Savannah in a lot of ways.

But I meant crime wise etc. Richmond is more liberal to my mind

what performative nonsense. The uproar about calling a beer after Rams is just such bs.

heard it. I assume a transformer blew

Honestly that's great thinking. Buy a house when it makes sense for you. Don't worry about the market as a whole, worry about your own finances and the houses you are looking at

Richmond will be reasonably similar to Savannah, if that's helpful.

Don't worry about it. You will encounter neither racism nor dangerous crime unless you go out of your way to find it.

no, you found an economist.. not kidding.

oh my god why does reddit hate math so much

https://www.dw.com/en/fixing-germanys-housing-crisis-is-neither-quick-nor-easy/a-59515908

no, not fine. Read up on how long people wait to get housing. Or look at the great american success stories in New York City and San Francisco, which are known for being cheap easy places to get rentals thanks to 80 years of regulation... oh wait a minute.

Basically this is entirely wrong. Google it. Or read Paul krugman, a left economist, on why it's idiotic

a fair point. A chunk of concrete then

It was an asshole in a car, not gunshots. I hope he hit a tree.

His exhaust sounds like people manually unloading plywood from a truck onto a stack