Loading summary
Transcript2 lines
- [00:00]
A
Did you know Microsoft has officially ended Support for Windows 10? Upgrade to Windows 11 with an LG Gram laptop? Voted PCMag's Reader's Choice top laptop brand for 2025. Thin and ultra lightweight, the LG Gram keeps you productive anywhere, and Windows 11 gives you access to free security updates and ongoing feature upgrades. Visit LGUSA.com iHeart for great seasonal savings on LG Gram laptops with Windows 11 PC Mag Reader's Choice Used with permission. All rights reserved.
- [00:30]
B
This is Scott Becker with the Becker Business and the Becker Private Equity Podcast. Today's discussion is the condo market is tanking. We try each day to do is to bring you one to two business or market insight episodes, plus also an interview with a brilliant business leader. Sometimes are more brilliant than others, but largely great. Great guest. Today's discussions the condo market is tanking and this is actually fascinating. There's a lot of reasons for this, but condos are moving in the wrong direction. They had the worst year overall in more than a decade. It's moving in the wrong direction. Home prices continue to move a little bit in the right direction, but condo prices are moving in the wrong direction and condo sales are moving in the wrong direction. So this is driven by a bunch of different reasons. You've got a situation where homeowners associations, a little like communists, keep on raising the dues and when the more that you raise the dues, the more that it makes it harder for units and buildings. They have value because there's such an anchor of cost around the property. That's HOA dues going up. You've also got a situation where insurance is also going up for condos in a lot of different markets for a lot of different reasons. Part of this is driven by in Miami, where the condo buildings collapsed a few years ago, but it's also happening a lot of other places as well. So insurance going up, hoa dues going up, too much supply. Some urban centers where there are a lot of condos are becoming less popular for buyers because of problems with some of the urban centers. Finally, you've got a younger generation that's doing more renting than ever before versus pushing into the American dream of homeownership, and that's also impacting condo sales. How do I know that condo sales and price are really going in the wrong direction? We had recently bought another condo, and whenever we do buy anything, it seems like that's the purest single you could get. It's probably time to sell that asset class. We bought a new condo. It means Condo says are going the wrong direction. This article in the Wall Street Journal on it this morning really helped reaffirm that we obviously bought at the wrong time. In any event, fascinating to see this this discussion. There's a long article in the Wall Street Journal in any event, for the Becker business, the Becker Private Equity Podcast. Please do us a favor, subscribe and follow the podcast. Follow us on LinkedIn. Thank you for listening to Scott Becker and the Becker Business and the Becker Private Equity Podcast. Thank you very, very.