Despite rosy economic reports, the housing market is still in turmoil, with home buyers facing a grim reality far from the media’s feel-good narrative. Real estate expert Michael Bordenaro sheds light on the shocking lies being fed to potential home buyers, revealing a market that remains stagnant and uncertain.
The Deceptive Affordability Illusion
While headlines tout the affordability of homes due to lower interest rates, Bordenaro unveils the truth: the market hasn’t budged significantly.
Temporary dips in mortgage rates offer little relief, especially for average earners. The notion that lower rates make homes suddenly more affordable is debunked, with affordability remaining out of reach for many.
Bordenaro challenges the validity of pending sales data as a metric for market recovery. Despite optimistic claims of a rebound in pending sales, raw data reveals a different story.
Pending home sales remain lackluster, with December showing a significant decline, signaling a market still at a standstill.
Market Realities vs. Media Hype
Contrary to media narratives, many cities across the country are experiencing year-over-year price declines in real estate. Bordenaro highlights cities where home prices have dropped, debunking the myth of a universally booming market.
He emphasizes the importance of scrutinizing year-over-year figures to gauge the true state of the market accurately.
Drawing parallels to the GameStop stock saga, Bordenaro proposes a radical idea: collective action to influence the housing market.
He suggests that if buyers coordinated to boycott the market temporarily, it could force inventory to pile up, driving prices down significantly. While a far-fetched notion, he argues that the GameStop example demonstrates the potential power of collective action.
Challenges in Transparency and Money Laundering
Amidst efforts to combat money laundering in real estate, Bordenaro questions the effectiveness of new regulations. He discusses the Biden administration’s push for greater transparency in real estate transactions to deter illegal activities.
However, he raises concerns about potential loopholes and unintended consequences of such measures.
Bordenaro shares cautionary tales of homeowners grappling with insurance-related challenges. He warns against discussing potential insurance claims with providers, as innocuous inquiries could end up on record and impact future transactions.
He underscores the importance of vigilance in navigating the complexities of homeowners insurance.
People in the comments had some interesting quotes to share: “‘That’s why they call it the American Dream, because you have to be asleep to believe it.’ ― George Carlin”
Others are commenting on the situation: “I remember years ago when one of the benefits to buying a home is that it was cheaper than renting now they’re both just as expensive which is extremely unfortunate”
Another commenter added some extra context: “The reason people are owing taxes who have never owed taxes before is because the payroll withholding laws have changed. If you don’t specifically tell your payroll department to override the automatic withholding, then you’re now withholding at 2 instead of, let’s say, 0. Which means you are having less withholding coming out of your check. The idea behind this is to put more cash into the economy to increase spending. Gotta love that government.”
Looking Ahead
As tax season approaches, Bordenaro forewarns single filers of potential surprises, with many facing unexpected tax bills for the first time. He encourages viewers to stay informed and proactive in navigating the evolving landscape of the housing market and financial systems.
In conclusion, Bordenaro’s insights offer a sobering reality check for prospective home buyers, urging them to look beyond the headlines and media hype. By confronting the hidden truths of the housing market, individuals can make more informed decisions amidst uncertainty and deception.
What do you think? Are you surprised by the revelations about the housing market presented in this video? How do you think the information shared in this video could impact your approach to buying or selling a home?
Do you believe there is a coordinated effort to mislead buyers and sellers in the housing market? What steps do you think individuals can take to protect themselves from potential deception in real estate transactions?
