The housing market is red hot. How long can it last?

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In recent months, the national and Southern California housing markets have been red hot. Bidding wars are common. Homes fly off the market in days. But just how long can this continue? khouriandrew reports:

Federal Reserve policy has helped drive mortgage interest rates into the recently unheard of 2% range at the same time people are spending more time at home and realize they could use more space.For some, the pandemic simply accelerated decisions planned for the near future. And unemployment is still high, which will hinder home-buying dreams for others.both in their late 20s. Next year, the couple, who met as college freshmen, would get serious about owning a home for the first time.

“It’s roughly double the one bedroom’s square footage,” Fleck said. “It’s one of our favorite parts about living here.”Although the pandemic accelerated purchases, there are plenty of people who didn’t buy who probably want to, said Danielle Hale, chief economist at listing website Realtor.com. “We have this huge wave of young people who are at ages where historically they thought about getting into the housing market as a homeowner,” Hale said.

 

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