So when’s the housing bubble bursting?




 












 










louwii
9h ago • Edited 5h ago





Key things from the article:

- estimates suggest the bulk of the empty inventory is in the $800,000 to $1.2 million range in the neighbourhood of 790 to 870 square feet
- Developers have been focused on building units for investors because they made up about half of all buyers in the years 2021 to 2023. Last year, this fell to 26 per cent and in the first quarter of 2025, investors made up just seven per cent of buyers, according to Rennie Intelligence
- People looking for a place to actually live, meanwhile, are turning to older condos in the resale market with bigger floor plans or new projects that are low-rises.


The hilarious part: the industry suggests a few things to make it "easier" to buy condos... for investors.
- expanding GST rebates to all new homebuyers, rather than just first-time buyers
- allowing residential rental properties to be held in RRSPs and adjusting federal foreign buyer rules, as well as the provincial foreign buyer tax, to permit investment in newly built homes

Since a few people in the comments are mentioning lowering prices, here's what the developers have to say:

Another way to move stuck inventory is, of course, to reduce prices. McMullin said developers are already offering widespread price cuts and incentives.
All in all, it looks like the developers put themselves in this situation. They chose to target investors instead of first time home buyers. The market changed, and now they're unhappy because their target is gone. Oh well. It's not like they made a crap ton of money in the last 10 years...

EDIT: This brings an interesting question on the table though. We still need a lot of new housing. If developers don't want to build anymore due to a lack of investors and and smaller potential gains, they will stop building. How do we solve that?
 
How GM Built A Neighborhood For Autoworkers
Pontiac’s Forgotten History

In 1919, General Motors took an unprecedented step — building an entire neighborhood for its auto workers right here in Pontiac, Michigan.
The result was the GM Modern Housing District, a community of more than 250 homes that changed how working-class families lived, and helped define the American dream.

this episode of Pontiac Pulse, Realtor Chris Hubel explores the history, architecture, and legacy of this remarkable neighborhood.


 








 
Man this market is crazy. I am trying to sell my house because well home ownership just is overrated to me. I like movement and my kids are in college now so I can move again. Sure as sugar is sweet though I can't sell without paying some funky ass realtors like 40k. For what??? I keep cancelling but if you all know any good way to sell without paying realtor fees and now a days closing cost put me on.
 
I can see these coming to Las Vegas, Utah and Arizona real soon….

Company Promises Paradise Anywhere With Human Made Lagoons
October 18, 2025

Crystal Lagoons is a tech company that promises coastal living anywhere in the country with human-made lagoons.

 
Man this market is crazy. I am trying to sell my house because well home ownership just is overrated to me. I like movement and my kids are in college now so I can move again. Sure as sugar is sweet though I can't sell without paying some funky ass realtors like 40k. For what??? I keep cancelling but if you all know any good way to sell without paying realtor fees and now a days closing cost put me on.
You can sell it yourself. You are going to need a trusted attorney well versed on real estate law on your though.
Reach out to @jagu
 


Homebuyers are calling off deals at a record pace:

15.1% of home purchases were canceled in August, the highest rate for this month on record dating back to 2017.

This comes as ~56,000 pending US home sales fell out of contract.

By comparison, 14.3% and 11.4% were canceled in 2024 and 2021.

There are now ~500,000 more sellers than buyers in the market, giving buyers greater leverage to negotiate as they have more options.

More home price cuts may be coming.
 
Man this market is crazy. I am trying to sell my house because well home ownership just is overrated to me. I like movement and my kids are in college now so I can move again. Sure as sugar is sweet though I can't sell without paying some funky ass realtors like 40k. For what??? I keep cancelling but if you all know any good way to sell without paying realtor fees and now a days closing cost put me on.
Well, you try to sell it on own but you’re going to need some good marketing. Advertise it in high traffic media like Zillow. Unfortunately you will have to offer to pay the buyer’s realtor some commission otherwise no realtor will bring any lookers to your house. You should also contact a local real estate attorney to help you through the process. As A to Dah K said this is my field but I’m in GA. Get the house ready and clean. Offer the buyer’s realtor a 2.5-3% commission and you’ll most probably sell it quick.
It’s difficult to get buyers without a realtor unless you know a friend or relative who wants to buy it. Otherwise it’s going to be a bunch of low balling investors.
 
Well, you try to sell it on own but you’re going to need some good marketing. Advertise it in high traffic media like Zillow. Unfortunately you will have to offer to pay the buyer’s realtor some commission otherwise no realtor will bring any lookers to your house. You should also contact a local real estate attorney to help you through the process. As A to Dah K said this is my field but I’m in GA. Get the house ready and clean. Offer the buyer’s realtor a 2.5-3% commission and you’ll most probably sell it quick.
It’s difficult to get buyers without a realtor unless you know a friend or relative who wants to buy it. Otherwise it’s going to be a bunch of low balling investors.
Bet thanks, I will do that. I guess spending 12k is better than 14k. What about buyer concessions? I am in middle TN and market is up and down and yeah, investors with their oh, I need to make money too nonsense. I am just like not my issue what you need to do but the game is the game. Thanks for responding.
 
Bet thanks, I will do that. I guess spending 12k is better than 14k. What about buyer concessions? I am in middle TN and market is up and down and yeah, investors with their oh, I need to make money too nonsense. I am just like not my issue what you need to do but the game is the game. Thanks for responding.
Everything is negotiable but the house has to be very desirable for people to buy it without concessions. Start with no concessions but provide a one year warranty.
 
Man this market is crazy. I am trying to sell my house because well home ownership just is overrated to me. I like movement and my kids are in college now so I can move again. Sure as sugar is sweet though I can't sell without paying some funky ass realtors like 40k. For what??? I keep cancelling but if you all know any good way to sell without paying realtor fees and now a days closing cost put me on.

Open door
You will get less than selling it through zillow
But apparently it’s quick and painless
 
Nah, they are on that bs. They are offering literally 90k less than my house would sell for on the open market. Imma just either do a flat fee mls ad and pay buyer agent or suck it up and get an agent. It is stupid how bad the market is here in TN right now.
 




Just a few years ago, housing markets in the warm, sunny parts of the US looked, well … warm and sunny. In the halcyon days of 2021 and 2022, cities like Austin, Tampa, Phoenix, and Atlanta attracted swarms of movers. Home listings reliably drew multiple offers above the asking price, and buyers plunked down all-cash offers to fast-track their purchases.

Flash forward to today, and the big "winners" of the work-from-home reshuffle — metros that drew hordes of footloose workers and disaffected coastal dwellers — have turned into losers. Fewer people are moving to so-called Zoomtowns. Home listings are piling up on the market. Prices are dropping. The anxiety has shifted from buyers trying to elbow their way in to sellers just trying to offload their properties. A new report by the real estate analytics firm Parcl Labs, shared exclusively with Business Insider, shows that home sellers in the lower half of the US, also known as the Sun Belt, are the most desperate in the country.

Housing markets in the Midwest and Northeast, on the other hand, are going strong. Inventory in those parts of the country remains tight, and prices are up. Homes are selling at a brisker pace than in the rest of the US. These cities didn't garner much attention during the pandemic (how many glowing headlines did you see about Buffalo, Cleveland, Milwaukee, or Detroit?), but sellers there have quietly held onto their bargaining power. By practically any measure, the country's real estate leaderboard has flipped.

"We are in a two-tiered housing market," Mike Simonsen, the chief economist at the brokerage firm Compass and the cofounder of Altos Research, tells me. "It's really stark."

At first glance, this might seem like a simple tale of supply: Builders flocked to the Sun Belt and put lots of shovels in the ground, setting the stage for an inevitable drop in prices when all those new houses hit the market. Sure, that's part of it. But this is also a story about even bigger shifts in the labor market, migration trends, and affordability — why people are (or aren't) moving, and where they're choosing to put down stakes. The Sun Belt isn't drawing movers like it used to, while the Midwest and Northeast are holding onto more people than they did during those peak pandemic years. Even more troubling, many Americans aren't moving at all. They're stuck in place, scared to quit their jobs or trade their cheap mortgage rates for more expensive ones. With no signs of a reversal on the horizon, the new housing-market winners could stay on top for years to come.
 
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