High mortgage rates pricing people out of homeownership and holding market back

  • 📰 News4SA
  • ⏱ Reading Time:
  • 57 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 26%
  • Publisher: 63%

Belgique Nouvelles Nouvelles

Belgique Dernières Nouvelles,Belgique Actualités

The U.S. housing market is still trying to recover to pre-pandemic levels of sales after stumbling with the increase in mortgage rates.

The U.S. housing market is still trying to recover from its post-pandemic slump when mortgage rates spiked and sent many would-be buyers to the sidelines with climbing asking prices and expensive mortgage payments.

What happens moving forward with mortgage rates will be key to the housing market’s recovery. Slight shifts in rates in 2024 have prompted“Despite just a modest drop in rates, consumers clearly have responded as purchase demand has noticeably improved. The responsiveness of prospective homebuyers to even small changes in rates illustrates that affordability headwinds persist,” Freddie Mac chief economist Sam Khater said in a release.

Most economists are projecting mortgage rates to fall somewhere in line with 5% to 6% over the next two years. That would be significant improvement from the current situation facing buyers but would still be far above the COVID-era rates beneath 3% and even higher than what was available for most of the 2010s, potentially leaving the housing market and buyers in a tough position.

Small dips in rates have spurred activity in 2024 that could grow if 30-year mortgage rates get to 6% or below. TD Bank projects rates will start to moderate more meaningfully by the middle of next year, falling to around 5.8% by the end of 2025 and settling around 5.5% in 2026.

Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 251. in BE
 

Merci pour votre commentaire. Votre commentaire sera publié après examen.

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

3 High-Risk High-Reward Stocks to Buy for 2025Stocks Analysis by The Tokenist (Timothy Fries) covering: MicroStrategy Incorporated, Stratasys Ltd, UiPath Inc. Read The Tokenist (Timothy Fries)'s latest article on Investing.com
La source: Investingcom - 🏆 450. / 53 Lire la suite »