Is it because the Southeast cooled because it was overheated during the boom. Now, a combination of high prices, high interest rates, new construction, and waning migration have made the market more balanced—or even slow in some cities.
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by SingleDad37405
35 comments
Cause Biden built jobs there… and Trump is gutting stuff like IRA
Market fueled by debt and speculation. Rates rose, credit tightened. Now you’re seeing that pressure work it’s way into the housing market. We’re still 18-24 months from a price bottom in this interest rate cycle.
Maybe the laws regarding abortion and other medical concerns that should not be the business of government are driving people to move out of those areas? I mean, the local laws in the Southeastern states have objectively become far more controlling of their citizenry, so if you’re someone who would prefer to have certain rights and you only have to move to a new state to do it, that’s a pretty powerful motivator, I would imagine.
Too many face eating eating leopards on the loose in those areas?
– Income hasn’t kept pace with cost of living
– WFH opportunities drying up
– particularly in FLA, insurance rates are unobtainable
Just going on a limb and guessing people aren’t particularly attracted to moving to states working on rolling back 50 years of progress on women’s rights, abortion, inclusion, and science.
Insurance is pulling out. Most people there honestly have no idea of the impending apocalypse cuz FEMA is over and Republican states don’t actually care about natural disasters impacts on Plebs soooo the insurance companies are like Hell nah we not footing the bill for all that in areas prone to natural disasters. Hence the beginning of the knockdown effect of widespread insurance exodus from those states.
Al Gore did warn of ManBearPig
Oversupply of housing starts in the low interest rate environment (2021, 2022) are coming online now, high insurance costs in FL, reduced inflow from remote workers as it falls out of favor, high interest rates. Other areas don’t have the same oversupply.
The southern wave up was just remote workers and second homes. Now that urban working stiffs have to grind again (thanks Elon and all you bastards) those homes and assets mean less when you have no time.
People flocked to the sun belt during covid, prices jumped, now they’re finding an equillibrium. Everyone who was planning on moving south did all at once becsuse the lockdowns were lesser. There were tons of stories of people who could have retired, but were hanging on for a few more years, selling their newly inflated houses during covid and heading down early.
The south is building more housing, due to more permissible zoning codes, therefore less scarcity and “buyers have less power.”
You don’t know how many answers that question has.
As someone who lives in the upstate of south carolina i can tell you its far from cool.
Inflated prices combined with less high paying job opportunities in the South (especially with the decrease in remote work). The South was only really desirable because of its cheap cost of living, so if you take that away it becomes less desirable.
Republicans are ruining that part of the country.
So housing in the “old confederacy” is cooling?
The primary reason is that they have more permissive zoning and building laws and so have built way more housing stock over the last decade. It’s not explained by people leaving because most of the cool housing markets have also seen continued influx of people into the Sunbelt.
Low wages. No $. High prices.
Kansas City and St Louis are red hot housing markets?!
What’s going on there?
Because it’s mostly a giant shithole that is getting wrecked by climate change.
Climate change?!?!?!? Abortions?!?!?!
You think this is the answer? Fucking hell get out of your echo chambers …..
The south is LCOL… Or was. And pay reflected that. $150k household was killing it here in 2019.
COVID happened… People moved here with fat stacks from CA and TX… Over fucking paid… Locals… Over paid due to 2% interest rates… Houses went from $100/ft to $175-$200/ft.
The surge of buyers is gone and the market of people that can buy a $400-500k house has bought… 7% interest is driving up payments on started homes and no one wants a 1200 ft house for $200k.
I’m an engineer… I want a house… The house I want was $200k…. It’s now $425k…. I’m not capable of buying….
Also read…. Why is the electric care market crashing?…. Lack of interest at current pricing and early adopters have them.
Because you can’t get home insurance for the house you buy.
That region is full of Trumpers, Mosquitos and Humidity.
Republicans are destroying personal liberties, and those are all red states. If you polarize your whole state, you’re reducing the number of people want to live there.
The laws in those states are atrocious when it comes to personal rights–workplace safety, minimum wage, voter rights, quality of education. I’d also love to see how the porn ban map correlates to this.
In addition, I can’t speak for others, but I’m not buying a house in hurricane country when everyone at FEMA has been laid off by the Slumlord Millionaire.
Pick any objective measure of human well being. Any one you want. Infant mortality, whatever. It’s going to be the worst in the US in that region. Not because of resources or opportunity, because of culture and politics.
The COVID/WFH mass migration is over and people who recently moved south from more developed areas of the country have had a few years to live with reality there.
The negative effect of anti abortion action on healthcare and healthcare professionals is now being felt along with the reduction in educational freedoms and some general political backwardness. The dearth of good, in-person fulltime employment opportunities doesn’t help now that WFH turned into Return to Office.
The lack of diversity, easily accessible cultural experiences, and interesting restaurant options in many places has helped kill the draw of warmer weather winters. Not everyone thinks something like waiting in line for gas and food at Buc-ees, after church, and before the shooting range, is the best life they can live.
Many transplants now realize that much of the south is more of “a nice place to visit but I wouldn’t want to live there” location than they assumed before they moved there and they are telling their people back home where they originally came from.
slowly, VERY slowly, Americans are learning about climate change
Albuquerque resident here.
Apparently we’re the sole bright spot in the Southwest?
For people saying that its because people are leaving republican states, just know that the southeast is among the fastest growing regions. The main reason for this is due to low housing regulation which allows building large amounts of homes thus keeping prices low.
The sunbelt region was hot just after Covid in 2021- 2023, now demand is drying up and there is more housing than demand for housing so prices come down
You mean when you openly hate your people and the professionals in the state, that they just leave? Like whaaaaaa?
Lmao.
Slow? Prices are dropping massively here in the south. I’m watching my house and all the others all over my metro here in the southeast drop like rocks. Anything not perfectly pristine with price reductions sits and rots.
Party is over. Lasted longer than anyone could have anticipated including the Fed. Now comes the hangover and it’s gonna be a multi-decade _doozy._
Or the Fed bails it all out and we pay $30 for a 20oz Coke by 2030.
Because everyone is the SE has basically been told they’re fucked if a hurricane/tornado wipes out their communities. Why would you want to live in an area where your government doesn’t give a shit about you either?
<insert political thing you personally dislike>
Can say for all SE but Florida condos have been getting wrecked due to rising taxes, HOAs, and special assessments.
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