The United States housing market is just another sector of the economy that is suffering from coronavirus lockdowns and President Joe Biden’s policies. One expert predicts the most constricted housing market since 2006.
“The U.S. housing market is at the beginning stages of the most significant contraction in activity since 2006,” Len Kiefer, an economist with Freddie Mac, said in aKiefer said this has not shown up in data yet but will surface over the summer.reported[Kiefer] added that during the coronavirus pandemic, mortgage applications also dramatically fell, but they picked back up shortly after. That situation is unlikely in the current state of the U.S. economy.
It largely boils down to the Federal Reserve raising interest rates to tame soaring inflation. As consumer prices surge, the Fed has deployed more aggressive monetary policy, lifting the benchmark interest rate to 0.5 percentage points last month in its first double-sized rate hike and is set for a series of similar-sized increases this year.
That, in turn, has subsequently priced out potential homebuyers, as higher home prices and escalating mortgage rates reduce buyer affordability. And with the U.S. economy predicted to enter a recession in the next year, and inflation at a forty-year high, American homeownership is likely to get harder.reported that the National Association of Realtors has said housing affordability fell a record 29 percent over the last year, which is the largest decline on record.
“Consumers’ expectations that their personal financial situations will worsen over the next year reached an all-time high in [a] May survey,” Doug Duncan, senior vice president and chief economist at Fannie Mae, said in a
More Biden economy bad news.
Like I would believe anything out is Fannie Mae’s mouth.
New housing starts a plummeting, recession around the corner
Brandon is setting all kinds of records.
insurrectioncriminal VoteBlueToSaveDemocracy
Thanks biden. ...or was this Putin again.🤣
Biden’s America
You know it had to bust at some point
With interest rates continuing to rise will burst the housing bubble in start ups
difference is back 2006 most of the single family housing stock wasn't owned by one or two monolithic hedge funds.
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