The housing market may be in a slowdown but home prices remain high. Two-thirds of Americans are expecting it to crash, according to one report.
The fears are understandable, but unlikely, the report added. Home prices have already begun to fall in some cities, “but a drop in home prices isn’t necessarily a crash,” said Holden Lewis, home and mortgages expert at NerdWallet. But those declines also came after double-digit percentage increases in house prices during the pandemic.
The biggest three reasons given were because of a worsening economy, due to higher mortgage rates, and because of high home prices.
I don’t think 2/3 of Americans understand the difference between a correction and a crash
There’s no way the housing market crashes if the wage growth remains on an upward trajectory and employment remains high.