Why I believe that there will NOT be a housing crash / bubble!

[Jennylynn Caldona]

Why there will NOT be a housing crash again like 2008 in King County Washington.

1. There are new government systems in place that prevent banks from lending money to people who do not qualify. (They used to give loans to anyone before 2008)

2. Governments promises the interest rates will still be low for couple more years, which make people want to buy houses. (They look at the monthly payment not the amount of the loan.)

3. 2020 to 2021 builders will still not be able to build enough houses for the demand because of the borders being blocked and shipments being delayed.

4. Only low income households and the super rich will be tremendously affected by covid. There is still plenty of equity in their homes to sell with profit and they can move somewhere cheaper.

5. Only few brave souls will want to sell their house because of the uncertain covid times, which keeps the inventory low despite the high demand. Which drives the prices of the homes up.

6. Our government prefers people to stay in their homes despite not being able to make payments (forebearance laws), which delays foreclosures for a long while. (Ive seen houses being occupied by former owners or tenants for years and years before being finally auctioned off.)

7. 2022 to late 2023 there might be a 12% dip in the market but it will recover. This is when tired landlord’s rental homes will be up for sale because tenants finally have left. Again they have plenty of equity in the home to sell it.

8. King County is a wonderful place to live and work remotely.