An Analysis of the Housing Cycle

[Terrel L. Shields]

This video analyzes the sequence of the residential housing cycle.

 

[Terrel L. Shields]

 

[Fernando]

It comes down to supply and demand.
Silicon Valley appears to being doing well with many high paying jobs and not enough new housing to meet the demand.
To qualify to buy average home in San Jose, an annual income of $370,000 is needed. Common when two in a household make that much.

 

[Surf Cat]

This video analyzes the sequence of the residential housing cycle.

I'm surprised the video did not touch on in the employment section, the undocumented worker. Undocumented workers are huge in construction. With the mass deportations, would that not affect the employment / construction phase?

 

[J Grant]

I'm surprised the video did not touch on in the employment section, the undocumented worker. Undocumented workers are huge in construction. With the mass deportations, would that not affect the employment / construction phase?

The idea was illegals were taking jobs from Americans. Now all the "real Americans" can line up and take the construction jobs. Right?

Filling constrcion crews imo has little affect on a husing market cycle. It is about affordability relative to income, the economy in general, prices, and the effect on prices of taxes and insurance, etc, and supply and demand - all of which can be further affected by interest rates.

There is demand in m area of FL but the prices rose so fast and high they had to come down. I am seeing price declines in certain markets, and some are stable, but I am also seeing more concerns and my first short sale in ages. The job market is precarious with AI, and firing a bunch of government workers did not help. Consumer prices are higher than ever, so the combo is one of uncertainty. Interest rates might be lower soon, which might result in a busy spate, but I don't see a hot market - more of a lukewarm one. Carrying costs are simply too high, and wages are stagnant.

 

[Surf Cat]

The idea was illegals were taking jobs from Americans. Now all the "real Americans" can line up and take the construction jobs. Right?

I was commenting on the content of the video. Did you watch the video? The video goes through the residential construction cycle. The video does mention tariffs but fails to mention the nature of the workforce in construction.

I don't know about Florida, but here in California, undocumented workers have been in the Building Trades for decades.

Filling constrcion crews imo has little affect on a husing market cycle.

I disagree. If contractors cannot get cheap labor, construction costs will go up.

 

[Dublin ohio]

The idea was illegals were taking jobs from Americans. Now all the "real Americans" can line up and take the construction jobs. Right?

You mean the jobs they had for decades before the illegals undercut their wages?

 

[Fernando]

I visited my restaurant tenants (all immigrant operators) in my building last week. A large variety of food but first time I noticed that all the workers in each unit appear to be Latinos.
Don't know how small restaurants now can operated without them.

 

[Terrel L. Shields]

If contractors cannot get cheap labor, construction costs will go up.

Or their insane 30% plus mark ups will have to cut their prices. Sale prices go up, sales go down. Too many people cannot buy a house at these prices even with 2% financing.

 

[Fernando]

Or their insane 30% plus mark ups will have to cut their prices. Sale prices go up, sales go down. Too many people cannot buy a house at these prices even with 2% financing.

If can't afford 2% financing, they shouldn't be entitled to buy a house.