WHAT'S GOING ON IN THE HOUSING MARKET CURRENTLY?
⇣ FREE HOUSE HUNTING LINK BELOW ⇣
Today's housing market.
The US housing market has certainly been a wild ride lately, thanks to what seems like countless upheavals. Over the last 12 months, starting with mortgage rate increases precipitated by the US Federal Reserve raising its base rate, volatility has been high indeed. Let’s look at the current state of the housing market and where it might be going in the immediate future.
The Yo-Yo Effect
In the early weeks of 2023, there seemed to be some light at the end of the tunnel. Home lending rates, which had reached a massive high of more than 7 percent, declined slightly to just under 6 percent, and an uptick in market activity led many to believe that the worst of the worst was past us. Yet this optimism was short-lived when the Fed raised rates again in early February, driving the price of lending up yet again.
This frustrated home buyers and sellers alike; borrowers were unable to afford, or even qualify for, the loans necessary to purchase homes on the market, while sellers found the number of buyers willing to pay top dollar for their properties declining significantly once again. The brief respite from doom and gloom soon saw real estate professionals predicting more on the way, with two dozen housing market researchers predicting home prices were set to decline through the rest of the year.
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