Great-2023 Recession just hit HOME DEPOT (Housing Market is Next)
Home Depot just released a brutal earnings report. Their worst since 2009. A signal that the 2023 Recession is getting worse. Watch for the Housing Market to get hit next.
Home Depot reported a 9% YoY decline in net earnings as homeowners pinched pennies because of the bad economy. A driving force behind Home Depot’s lower earnings was likely a big decline home sales.
Access Exclusive Data by Joining as CHANNEL MEMBER ($5/Month):
With the National Association of Realtors reporting that Existing Home Sales dropped back to 4.3 Million in April 2023. The lowest level since the 2008 crash. Such low sales mean that fewer homeowners need to do renovations or buy appliances at Home Depot.
Ultimately I fear this situation will get worse in coming quarters. As Mortgage Rates have now gone back up to 6.8%. Making it impossible for most Americans to afford a home. Especially in Housing Markets like New Jersey, Dallas, and Nashville, where the monthly payments have exploded.
One Housing Market where home prices and payments have come down is Austin, TX. Prices are down anywhere from 10-20% depending on the source. And some listings are showing 30% declines in just a year. Prices in Austin have come down so quickly because inventory has grown due to forced selling from corporate tech layoffs.
I believe Austin’s housing market is a signal to what to expect from the rest of America’s Housing Market when the recession turns worse and the unemployment rate increases. Something which is being predicted by these concerning earnings reports from Home Depot and Target.
—
REVENTURE APP:
JOIN as a CHANNEL MEMBER ($5/Month):
DISCLAIMER: This video content is intended only for informational, educational, and entertainment purposes. Neither Reventure Consulting or Nicholas Gerli are registered financial advisors. Your use of Reventure Consulting’s YouTube channel and your reliance on any information on the channel is solely at your own risk. Moreover, the use of the Internet (including, but not limited to, YouTube, E-Mail, and Instagram) for communications with Reventure Consulting does not establish a formal business relationship.
Image(s) and/or Footage used under license from Shutterstock.com.
Additional stock footage provided by Envato Elements.
The Home Price declines in AUSTIN, TX are getting epic. 6:32
Once other parts of America start feeling the same type of layoff/unemployment situation, their housing markets will follow suit.
Home Depot is lying their ass off,
Skyrocketing profits and prices since 2020
Now they have jack up prices so high the working class and poor people can't buy anything .
These douchebags contractors are only building high income housing for the wealthy people.
Home Depot should be investigated for tax evasion and fraud.
Home Depot still paying slavery wages and no benefits
While the douchebags CEOs are making over $42 millions per year plus bonuses and stock options.
great video! may want to redit the video…. email address of the person you got that chart from is showing
50% of HD's income comes from DIY home upgrades. Home upgrades are driven by wives. The marriage rate has dropped to the lowest level it has ever been and will continue to drop through the recession. Mortgage payments on underwater properties will make it difficult to have spare money or get a home equity loan for a remodel.
Been 3 years.. still hearing about and upcoming housing market crash lol
If you buy now going into a recession and your home value drops right afterwards, it will always go back up again eventually over time…at which point, yoy can always refinance…but this is still based on a lot of "ifs", so don't take that risk unless you can carry it for awhile if it doesn't get better.
Curious… what % of buyers in the last few years purchased with an adjustable? I heard it was very small. Thinking that if they have to refi soon they will be SOL.
Target is starting to get their ass's handed to them now. Remember they used analytics for years to predict people shopping patterns.
Recession is most likely the result of an external factor. For the first time in decades, the United States is losing its clout as a federal reserve currency. They don't have any more economies to use to control inflation, and less money is being spent on stock and oil trading than in the past. They all lend support to the idea that a new multilateral world order is in the works.
What? Home Depot forcing customers to a cashier for them for free is not helping, or you just talking about the sell of product compare to other years and not counting the saving that Home depot is getting from getting the customers to work for free?
We are heading into a depression by 2025 when people can no longer pay the credit cards they are currently living on.
It’s a depression now. Atlas Shrugged 😖‼️
You cannot cut your way out of recession you've got to invest your way out of recession, the Conservative party are in the dark ages on policy they've got to think again. My primary concern is how to maximize my savings/retirement fund of about £170k which has been sitting duck since forever with zero to no gains>>
I see 2-3yrs recession. Fed will raise interests in Sept 2022 if inflation doesn't peak. Inflation is producing a slew of problems throughout the world, including food shortages, diesel and heating fuel shortages, and housing prices and financial market crash. This global collapse might end up being a part of us for a very long time. With inflation currently at about 9%, my primary concern is how to maximize my savings/retirement fund of about $300k which has been sitting duck since forever with zero to no gains.
Market is down still, I've been looking up strategies and apparently both bull and bear market condition provides equal avenue to accrue massive gains, and a news article particularly mentioned a 54 year old that made $180k in 5weeks, how do I learn these strategies, my portfolio has been stagnant for months.
Does this mean avoid CD’s and put all my money into Apple’s savings acct
.All these bank crisis and recession are all the signs of 2008 market crash 2.0, so my question is do I still save in the US dollar or is it okay to move all emergency and savings to precious metals?
I have two friends out of work that cannot get jobs this is real. Unless they work for low wages.
This is a great video, I learn alot watching your videos and it has been helpful to me. Building a steady income is quite difficult for newbies.. Thanks to Mrs Luciana cruz for improving my portfolio.
keep up with the good videos
If he keeps saying it, eventually he’ll be right
Home Depot, I was there buying stuff. I took forever to buy my stuffs. Almost everything locked . It is so frustrating. I hate it so much.
For 2023, it’s hard to nail down specific predictions for the housing market is because it’s not yet clear how quickly or how much the Federal Reserve can bring down inflation and borrowing costs without tanking buyer demand for everything from homes to cars.
Your news is ALWAYS refreshing. thank you for your insight.
What Nick’s not telling you is LOWES beat estimates. They lowered guidance due to lumber deflation. Lumber DOES NOT track the HPI
I am not buying anything big from HD unless they significantly lower the prices, especially the lumber prices.
I'm not buying a home until prices drop 90%. When it's $50,000 for a single family home in a good area that's when it will make sense to buy.
I agreed that family with children are tend to buy house, for the sake of the children. And couple of single that doesn’t have children are more financially stable and tend to rent rather than buy. Due to high cost of everything even rising children it’s costly. Future generations will be less for sure.
We are in north of NJ here housing market is still very strong .
It will be interesting to see what happens as the dollar printing press get turned on again. Along with high interest rates it will be interesting.
Just hold on to your 💰💰💰💰💰💰💰💰💰💰💰💰don’t make the investors to be comfortable with your offers! Soon enough they are going to spill out all those inventory that they collected over the pandemic; since investors thinking they can just collected all those inventory and flips the next day! Dude, be happy and hold on to your 💰 💰💰💰💰💰💰💰don’t over offers over30k if I were you👍🏼🤦🏻♀️🤣😆😂🍸🍸🍸🍸
Family is not the mian reason for someone to buy a house, a big one but not the biggest. Houses are also investments, as evidenced by the gentlemen's email.
In terms of demographic change this is largely due to people simply not being able to afford a family; even with both parents working full time it is possible to simply not see ends meet.
As for the market as a whole, its crash cannot be pointed to just one thing, or even a few things. Low wages, lack of community, poor regulation, the fed, overworked employees, overpaid employers, large equity firms buying housing stock, renter protections weighing, this list frankly goes on forever. The first step would NEED to be a wage hike across the country, otherwise no one will be able to afford to live anymore.
I don't see that in my market houses are on the market about two weeks and they sell over asking
Mortgage rates in the 1980s and 1990s used to be 30 % so 6% is still real low
Former CFO of Home Depot is not the CEO of UPS and has a seat on the Atlanta federial reserve board.
Thanks!
Why does comparison to last year make sense? Last year was an oddity. It had to come down. However, predicting doom seems stretching way too far.
American culture is the worst it's ever been. Brothers,don't risk getting a woman pregnant. It won't end well for you.
Not all recessions have been preceded by an inversion yield curve. "The first two recession, which began in 1953 and 1957, were not preceded by yield curve inversions". Also not all inversion yield curves have been followed by a recession.
I seen that 😮 stocks were at a negative post.
You're missing a whole segment of thought. First sellers (like myself) are staying put because the replacement house will be higher in insurance costs and taxes. The interest rate is something I can absorb but the Insurance and taxes have been steadily increasing in my house bought almost a decade ago and looking at those escrows makes me cringe. I don't want to buy a house that is even more expensive and has those costs soaring. Next, I want to downsize but am finding that the cost per SF is actually higher for a smaller home and therefore that would not be a fiscally responsible move. I will keep my existing home off the market until this situation corrects. I've been doing this well over 40 years and this too shall pass.
I don't know what you are talking about. Property prices here in Chicago have not heard of this supposed crash we're having in property.
Awesome