Have the events of 2020 caused you to consider moving somewhere else? If so, you are definitely not alone. The COVID-19 pandemic, a historic economic downturn and extremely violent riots in major cities all across America are fueling a sudden surge in interest in rural and suburban properties. This represents a major shift, because prior to 2020 we had seen a tremendous boom in real estate prices in large cities such as New York, San Francisco and Seattle. Now a lot of those buyers have become very motivated sellers, but there just isn’t a lot of demand for tremendously overpriced homes in core urban areas that are currently being torn to pieces by rioters. (Read More...)
Housing Prices
The Next U.S. Housing Crisis Has Arrived: Existing Home Sales Post Their Biggest Decline In 4 Years
Things just continue to get even worse for the U.S. housing industry. New homes sales have been absolutely plummeting, homebuilder stocks have lost over a third of their value, and existing home sales just posted their biggest decline since 2014. For years, we had been witnessing a real estate boom in the United States, but now that has officially ended. It is starting to feel like 2008 all over again, and many of those that work in the industry are really starting to freak out. The Federal Reserve has been aggressively raising interest rates, and it is having the exact same effect on the housing industry that it did just before the last recession. (Read More...)
Housing Crash?: U.S. Existing Home Sales Fall By The Most In Six Years
We just got more evidence that a major economic slowdown is underway here in the United States. Existing home sales were down a whopping 7.1 percent during the month of February, and this represented the biggest decline that we have seen in six years. This is yet another sign that we are in the early stages of a new crisis that is eerily reminiscent of what happened back in 2008. The truth is that most U.S. consumers are tapped out, and when you are tapped out it is really hard to get a mortgage. Banks aren’t really fond of lending money to people that can’t pay it back, and in recent years housing prices in many areas have risen to levels that are beyond the reach of most middle class families. (Read More...)