hello and welcome so should you buy a house just because rates are really low the rates
are historic low and that is a fact we're being told you can buy a bigger better house because
rates are so low or can you isn't that a lie we're being told can we really buy a bigger better house
but wait a minute the last time i checked the same old shack was selling for a million dollars
so how can we buy a bigger better house so why am i being told that i can buy a bigger better house
just because rates are low because the prices are also historic high in fact the prices have
gone much higher than the reduction of rates and that's what i mean by a live folks this is a big
fat lie mark my words we're not being told the full story the full story is different
that the media and the realtors are not telling you in reality my cash is able to afford less
house the same house that used to sell for 500 000 is now selling for over a million dollars
same score for the same location same everything so how is it better for me also the rates have
been low since president trump became president that's been a long time ago so what now what's
different now the reality is folks that the rates have gone down only a few percentage
but guess how much the prices have gone up of each house up to 40 percent that's a lot of percent
compared to one or two percent of the rates have gone down that makes a huge difference
in the overall process of buying a house a house is a big investment folks a long-term commitment
30 years for some people it's longer than marriage
i don't mean to i don't mean to say that but you know what i'm saying right longer than marriage
possibly for some people so it's a long commitment is what i'm saying so you might say well but
my monthly payments are low and you'd be right you're not wrong your monthly payments are lower
but there's a trap folks this is a trap because their payments are low but inflation is high and
so are the house prices so are you really getting any benefit you see what i'm saying
is there any benefit just because the rates are low and i think not i'll give you some examples
in this video that will help you understand what i'm saying better see until the wages come down
there's no substantial benefit of rates being low until inflation comes down until the price prices
go back to correction go back to the norm it's not the norm right now if you compare 2008 versus
2022 the prices are very similar folks there is some similarities in terms of pricing only
see if wages don't come down people still have buying power as i mentioned in my other video
and if that continues why would the prices come down so should you buy just because rates are
low is that the argument folks is that the argument you're telling yourself because if
you are you probably have fomo versus really a real factual basis on buying a house right now
i will show you pictures of realtors who are who are clearly telling you these lies
remember they're not telling you the full picture they're not telling you the house prices are 40
higher all they're telling you the rates are low and that to me is a lie
withholding information from me and not giving me a full picture to me is a lie folks and you
tell me if i'm wrong okay you're throwing me in a trap right you're not telling me the full picture
that i'm overpaying for a house by 40 percent so i don't want to just present problems to you guys
okay i want to present solutions therefore in the end of this video i'm going to share with you some
tips that if you are to buy a house in this in this economy right now in this market
then what should you do what should be your best move so stick around till the end
by the way if you're seeing some value in my content if i'm solving your problems if i'm
answering your questions please show me some love and click a subscribe and like to my channel so
i can make more content like this for you guys so if that interests you stick around for more
so welcome back folks hola como estas que nichiva niha salam namaste
kev harlaq to all my friends all over the world thank you for joining so today's
topic is the rates are low should i buy now folks the feds have told us right they've
been telling us that you know the inflation is transitionary is transitioning but guess what
that's also a lie feathers are lying to us now jerome powell janet yellen have stopped
using the word transitionary if you look at their last meeting from december 17th of fomc meeting
federal reserve meeting where jerome powell clearly stated that he may not be as aggressively
increased in the interest rate so the speculation is the interest rates may not even go up as high
as they talked about before they're scared folks the rates have been have been low since trump
became president and they continue to do so because there's pressure from the white house
the federal reserve has two priorities folks guess what they are guess what the two priorities are
established by the white house number one is keep the prices under control right which is inflation
number two increase employment which is harder the good thing is in this economy the wages are high
because the demand of worker is high folks and if you look at my video called the great resignation
i'll put a link here in great resignation i'm talking about why people don't want to go to work
if you can't pay me a high enough salary for my work why should i go to work when i can sit
at home collect my check from ppp thank you very much have a nice day i don't need you
and i present to you this argument folks because it's very valid to what's happening
and it's connected to the housing market and the prices because people have buying power
the wages used to be sixty two thousand dollars median for government salary right now sixty nine
thousand dollars there is a shift in wages now the wages historically have not kept up with
the housing prices in the market and inflation so wages are still behind but that's a separate topic
the reason i'm telling you this is wages play a factor inflation wages rates all
play a factor into this don't let the realtors or anyone else tell you brokers tell you just
because rates are low you should buy the house that's a lie folks that's not the full picture
the feds are also telling us that the inflation is six percent if you look at the term shadow
stats on google you can google it or somewhere shadow stats tells you that that's not the truth
inflation is way over eight percent right now how do we know that if you look at the past three
months of inflation and you aggregate it for the whole year the next projection of the year
it's easily over eight percent that's historic high in the past 20 or so years i don't exactly
how long okay it's concerning so overall the house prices are almost 20 high 20 nationwide
in some areas there's still opportunities like pittsburgh is going down virginia is pretty stable
uh but arizona is going up right taxes is pretty stable right now dallas tx especially
um but the prices are are escalating and pretty much all across u.s rates were low in 2019 right
what happened right nobody bought the house because the media wasn't beating the drum
that oh my god there's a shortage of houses that oh by the way the shortage is not all houses
the shortage is specifically in the single family market the builders are not able to build as fast
as they could for the 3.4 million houses they're behind on that is true but again the media is not
telling you the full picture they're not telling you that oh by the way there are other older
houses you could buy you could move to suburbs and buy there you could move to urban areas and
buy there they're not telling you that because you know most people are princesses they want to
live in the biggest barest metro areas and i can't blame them for that all i'm saying is there's
opportunities other places still in this market people are moving away from the cities because now
they can work from home that's a trend in most metro areas right right and the more flexible
people are to move away from the big cities the metro areas like arizona new york city l.a
those areas the more there's opportunity in the market so i just did a video called should you buy
a house now wait and this video got like over 60 000 views over 700 comments but the comments that
really struck me hard was the same tune and same drum that realtors have been beating for centuries
is that by now or else you know by now or you will never have this house again and that's the
biggest lie we're being told folks i looked long and hard in the history of us has there ever been
a time where people are not able to find any housing and i could not find any evidence so
i i don't understand i don't understand that somehow there won't be any houses to buy
that's like saying there won't be any toilet paper remember what happened to toilet paper
i don't have any toilet paper we need toilet paper to live our lives otherwise something
will happen but nothing happened everybody has to order paper and everybody will have houses
i promise you that and i feel like i didn't do a good enough job i could have explained it better
i could have given more examples which is what i'm about to do now let's give you more examples
so let's consider a few factors let's do a couple of scenarios together where i can give
you some examples which will make it easier for you and your buying decision so we understand
is this the right time is this the best time to buy the property you want to buy the house of
your dreams right so let's take a scenario let's start with the scenario right let's say you bought
a house for 400 000 which is the median average price nationally in the u.s right you bought a
house for 400 000 right you got a killer interest rate three percent your monthly payment is 1900
you know p i plus tax or whatever right now you start to do even something better than
most people do you try to rent this place you say well i'm gonna rent this house
for i don't know 2100 or something right rent this house let's make some money so now you're
like a superstar you're an investor but you know the price you're buying it is high you
know that already right so what happens let's say a few years from now the house prices tank
let's say it doesn't go down 40 let's just say only 20 only 20 right so price is down 20 what
happens then your house is worth 320 000 right now the picture doesn't look as good does it
so now you're at 320 000 and you need to sell the house because your daughter's wedding is coming
up or you have some medical bills to pay are you moving from a job to another job some other
state like what do you do how do you get rid of this house because guess what you have no equity
right no equity you have no equity you lost all the money you put in so that's
the worst case scenario that could happen so you must know that now let's flip this
on its head and let's do a better scenario okay so let's say you bought the same house for 400 000
and you decided to live in it yourself you said okay fine i'm just going to camp out rates are low
you bought at a high price now the house doesn't go down as much let's say it goes down around 10
or whatever right let's say it went to 350. you lost 50 000 big deal right but guess what happens
you're staying in the house you don't have to move for a job you have to sell your house for any
reason you're okay still okay right but guess what happens even in this scenario right you're still
behind because you lost some equity guess how long will it take you to recover that equity in your
house that you bought at the price at right it's going to take you 10 to 12 years why do i say that
because if you look at if you look at 2008 that's exactly what happened the market went down in 2008
and started to come up in 2018 and 20. 12 to 15 years sometimes maybe even longer this time who
knows right we don't know that but again that's something realtors and brokers won't tell you
because they want to put the money in their pockets now let's do a third scenario
a little bit better right you bought the house as 400 900 as your monthly payment but guess what the
prices keep going higher let's say everybody's wrong and the prices go from 400 to 450 in 2023
you're still paying 1900 a month now you've gained 50 000 equity well guess what you killed
it you're a genius you're an investor you're a superstar because you have bought the house
at the right price knowing that it was high but it's going to go higher now you come out on top
and that's where you need to be folks and that's my message to you from this video if you can take
one thing aways you want to buy at a price where you can build some equity okay build some equity
in the property right there's some padding so if you put down any payment in the house that
stays there and all hopefully gives you better return so you want to be in that third scenario
that third bracket the third column is where you need to be okay does that make sense okay
great so the question is this folks you want to ask yourself this question not just the rates
are low but is this the peak of the market right and i think in my speculation i can't predict i
don't do predictions okay i'm not peter schiff or whatever i think that the prices are close to the
peak not too far from it so it's your decision to decide do you want to buy now close to the peak or
at the peak or do you want to wait till the peak goes away and you know for sure it's leveling off
you know you at least want to know it's leveling off or coming down and i'll put the graph up here
so you can see in some states what's happening in pittsburgh pennsylvania it's already coming down
but so is not the case in virginia or maybe even arizona now virginia may not go down as much as
pittsburgh does because of the metro area and the economy and everything else but that's for you to
decide do you want to buy at the peak or close to the peak i personally would not touch that i look
at how it's a long-term game as an investment i don't want to lose any money i don't like losing
money i've never lost money in real estate and that's why i play the real estate game and not as
much as the stocks game if you've seen my video stocks versus real estate i do a 75 25 split
between real estate and stocks that is why i do that folks house is one of your biggest investment
it can give you the biggest gains it can give you a few hundred thousand dollars like that so
for that reason for that reason i suggest this may not be the best time to buy a house folks that's
what i think now if rates go up and prices don't come down that's very possible that's very very
likely actually rates will go up and prices won't come down because guess what inflation is high
wages are high house prices are high so i mean keep an eye on those three factors wages inflation
and rates keep keep an eye on those three factors they're the ones that will determine the market
let me also share real world example with you guys that recently i got an email from a guy
who bought a house because it was such a high price at a price he could not afford because
the rates were low and i'm gonna like mask some of the names in the email but i can show you the
email the email basically reads that i'm in financial trouble and mr ak can you give me a
loan for this this is a real world example folks and this can happen to you so please be aware
i know some people left me a comment in my last video that you should put down two three four
percent five percent this could happen to you if you put 35 percent folks if you can only put five
percent on a house that means you can't really afford that house so please be mindful of that and
this is an example of what could happen in this market because this guy bought this house and now
he's in financial trouble you know what happens if the prices go down he will be in deep deep trouble
and he's asking me for help so those of you who are desperate to buy a house right now and
you must have a house you've made offers your offers have been rejected you are the biggest
cash cow for these people for the realtors for the brokers and for the sellers because
sellers are in on this folks sellers are the ones price gouging they want the biggest baddest price
let's have some bidding wars going on right sellers are doing that right we know that
so before you buy just consider these factors before you buy consider these factors folks okay
the market you're buying it why you're buying are you just buying because rates are low that's
a good reason to buy a house okay it has to be more than that are you buying new or used
are you buying at the peak as i mentioned right are you buying at the peak or or close to the
peak if you buy the peak at the market tanks you are responsible for this not me so don't tell me
i didn't warn you okay i'm not trying to play fear factor i have nothing to gain from this
i just tell you this because i just want you to decide where the peak is i can't tell you that
i were you i would not look in the metro city areas okay i would go and look in the suburbs
and the urban areas i would also not look for new construction or a brand new house because you know
that turnkey prices are always the highest i would look for a house that needs a little bit of work
so you can create some equity so even if the house price drop you still have some padding in there
to play with right you need some padding some room some equity remember we talked about this
right so you need that so i hope i was helpful in this i'm trying to help i'm trying to make
sure i can give you whatever i read from my experience and then you know clear out any of the
the cobwebs they're putting in your in your head any of the fomos you guys have
you can filter that out i hope you know what you're getting here if you do like the video
please like and subscribe click this smash the like button show some love to our boy aka
uh to make me happy and make my dog happy because he needs you know he needs to be happy i do want
to answer a couple of questions i had someone today uh the atlanta market i will look into that
at the atlanta market i don't know exactly which city you're in uh but uh i've also had somebody
who commented paul harris that he really likes my contents up paul appreciate you paul harris
thank you for coming to our channel um i will let you know if i come up with a course or something
i do want to i want to create a roadmap of fundamentals of real estate so you guys can
understand how market is impacted by certain factors like wages inflation rates and all that
if you have a better understanding folks you can do everything and anything you want your house can
make you wealthy please understand that i hope i was able to answer some of your questions if
i missed anybody i'll catch you in the next video it's hard at time folks so i want to wish you all
happy holidays merry christmas um and i want to wish you all the best of luck in 2022 which is
only a few days away it's hard to believe uh i definitely crushed a lot of my goals not enough
but but plenty of goals but the channel is growing we have over 6 000 followers on instagram we have
over almost close to 3 900 subscribers on youtube and growing 2500 on facebook i think 5000 on
linkedin i think people can see the difference in what i'm presenting and the reason and the agenda
behind it is really to help the outsider folks people who don't have the information people are
being brainwashed by the media you know people are being brainwashed by the realtors and don't get me
wrong i'm not against the realtors there's some wonderful realtors and they've been on my channel
jamie cook is one of them josh warner is one of them and i can't thank you guys enough because
i mean my youtube is just blowing up i get so many different messages and some people
are asking me to mentor them so i i'm humbled folks that you guys have that much confidence
in me i don't have that much confidence in myself i don't know if i can even be a good mentor or not
but if i can help it anyway i'm here to answer some questions but in the end i also want to
share with you guys a book that i would recommend you reading anybody who wants to be an investor
you know even buying a house or whatever or buying stocks whatever you want to do check this book out
it's called your money mentality it's by uh ted oakley ted oakley was a former partner
at one of the investing hedge fund firms a very knowledgeable guy but this book is really about
your mentality your mindset you know the risk and losses and gains and about your personality right
uh not every investment is for every personality folks so i would highly recommend this book
it's also available in audible right folks so the knowledge is the new currency and if you
learn from these people you will you will come you know come out on top because you will have access
to other people's experience that they've already lived through and those of you like to read can
buy the hard copy those of you like to listen like myself but i'm in the gym working out you know you
know i i listen to these books it's been very very helpful for me every time i commute i'm listening
to books folks so audible is one of my favorite apps and audible if you're hearing this maybe you
can sponsor me someday but anyway well thank you for joining until next time have a great day you