Why the Housing Market Won’t Crash Anytime Soon

All right here we go Everybody asks when's the market gonna crash Winter price is gonna go up Winter price is gonna go down Guess what Supply and demand It's always supply and demand right Here's the thing Interest rates were two and three percent for long enough that everybody who owns property Was able to refinance their mortgages into these 2 or 3 percent interest rates They like their payments Sometimes they like their payments more than they like the house So are they gonna sell the house More often than not they don't right I even have some divorce situations that are not selling the house Every other market Condition in the past has says oh they're getting divorced let's sell the house let's split the proceeds right Some of them still are but if they have a two percent interest rate they're actually trying to buy each other out So they're like hey I'll trade you this property for that property for this property so that I can end up with this house with a two percent interest rate right Makes sense So supply and demand the supply is low because The interest rates are so low on these houses and they can afford them and they're afraid that hey if I sell this one to buy that bigger one or even sell this big one to buy that smaller one I'm gonna have to pay 6 percent 7 percent in interest and when I've got this 2 or 3 percent interest rate right Rental rates went up Nobody wants to sell their house and then become a renter right That's why you're looking to become a buyer That's why you're wanting to be a homeowner You're tired of it Every year interest or rental rates go up rental rates go up right So who's selling If there's a death in the family they might sell Divorce If they're getting divorced they're probably gonna sell but sometimes they might not even sell like we talked about Destitute So destitute means that they lost their job they're out of money their income is severely harnessed or hindered they can't get a job in that area they gotta move to somewhere else they're destitute They can't hold onto the house right These people are falling behind on their mortgages they got notice of defaults and guess who's coming in for the rescue These guys me other guys right The cash buyers right But I'm the guy You should call not the cash buyer so that we can put it on the market and get it out there and make it make sense for you to make the most money So Destitute death divorce right Displacement so you got orders going somewhere else but hey I'll tell you right now if you're active duty and you got orders out of here keep that house rent it out You'll you'll thank me later right And it so the supply is just super low right The amount of houses that are for sale are super low The demand is kinda low but what's gonna make it to where the demand is high And the supply is high right Let's talk about destitute real quick So destitute would be most likely a mass wave of unemployment I don't think anybody's predicting that that's gonna happen but if it does right then you have all these people who can't afford their house and they can't even afford to rent it out because who else is unemployed The would-be renters right So now who else would be the buyer Oh the would-be renters So who's left The billionaires Right So the billionaires are going to scoop up the houses at a low price and that's going to drive the price down right Because they don't have competition because of unemployment So unemployment could be a really really bad thing right And if you're out there hoping for a wave of mass unemployment in the United States like I've got really strong words for you that I probably shouldn't say in a video