WHY NO ONE IS SELLING THEIR HOUSES- It is the mtg rates.

I want to revisit a blog post from a month ago which outlines why someone might not sell their house due to rates.

See link below:

https://www.biggerpockets.com/...

Today rates stand at about 5.4% for a 30 year note.

91% of homeowners have an interest rate under 5%

This is reducing mobility.  So in order to buy something you need someone to sell.

Who and when are people selling?

• When someone dies
• When someone has to move
• when someone loses their job and is about to be foreclosed
• when someone has too many repairs and they simply can't pay the bills
• when someone wants to take their gains on their house and become a renter

There are not many people selling Multis, why is this?

Multifamily investors sell because:

• They can 1031 into a better property
• They can 1031 into a BIGGER property so less locations to manage
• They are simply sick of being a landlord
• Their rents are below market and someone is willing to pay them a lot more then the rent ratio they get now.
• *****THEY ARE AFRAID THEY WILL NOT BE ABLE TO COLLECT RENTS FOR SOME REASON***

Rates are a big deal and the FED created a mess and now that we have inflation they are trying to simply stop the housing market.