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Now -- you look around and you see stocks going down as much as this you have to ask and look at different asset categories.
Maybe this isn't time to buy a house -- fuel prices are way way down.
And interest rates -- gone all that much yet so should you buy a house right now Tampa Florida.
Minister Tony and also all of them -- real estate restructuring revolution -- Stephen my stuff he's back with -- after a long absent some -- we have -- I've been around them.
All right obvious question.
If I ask any real estate person I gotta tell yes you -- -- them behind it right now prices low.
Interest rates what state is low for very long but I might buy it and you say.
I say there's still some more downside Stewart because when you look.
What's in the mortgage foreclosure pipeline may be over four million homes and then you have.
All eleven to thirteen and a half million people on the war now there's overlap between those two categories.
But for sure there's a few more million.
The -- beyond what we have now.
So I think there's something like when you -- in the on the books inventory which is three point 67 million.
Plus the four million foreclosure pipeline plus some more.
Additional defaults -- probably have ten million homes really.
In the pipeline.
And that supply and demand means there's going to be some downward -- to -- us in a time when you've got may be ten million homes on the supply.
Noticing them -- no never have seen that before and don't forget -- having.
Less than five million homes trade a year that includes of course the non distressed regular -- so what's gonna take time.
And there's more down side.
But but prices keep going we might actually see interest rates start to -- up.
So then it kind of outweighs -- -- doesn't it.
Well you yeah you're right and I think this debt downgrade outlook complicates the picture enormously -- because if treasury starts to pay more for debt that's gonna drive mortgage rates up but there's -- -- -- dynamic tracing.
Because the question is then.
If mortgage rates go -- that may push more people out of the market and drive prices down further so I agree with you that if you have to buy a home.
Like let's say you don't own one now -- you have a new child and you need a bigger home and you have to worry about those rates if it's more optional for you.
The increasing rates may also drive prices down more maybe -- cash -- -- -- -- Why not right to get a one year at least ran for review and waited out and then get a -- look I don't think the housing is gonna go walked any time soon so I don't think there's a lot of -- other than the rates the way but still Stephen and I -- you believe in this and it and everybody knows that does -- states local.
So like you Agilent is certain markets may mean at the markets were Stewart bought a house.
And it's still Bailey hit a nice but -- it was somebody truly happy to plot under very close.
-- you can break a great point -- in fact for example say Diego went off if this bridge.
Washington of course is doing great because of the federal government.
And there's one or two other markets.
That haven't gone down a lot so it is regional it's not a one national market and you do have to look.
At the Case Shiller Index for those different -- coming out this witness gonna get -- -- I think across the border go down again I'll hold Stephen much of what a pleasure to have you back on the show but very good information we appreciate it thank you Stephen.
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