Will high mortgage rates tank the housing market?

Morgan Stanley’s US housing strategist James Egan forecasted a mere 3% home price decline in 2023. Is he missing an extra zero? The Fed benchmark rates have risen in 41 years — taking 30-year mortgage rates up with them. Everywhere you look, there are headlines like “US home sales drop for 7th straight month, house…

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The battle against inflation gets another win as August rent prices fall

In the August inflation report, there were a few major categories that kept inflation stubbornly high: Food and housing costs. Housing costs — which include rent — are a large portion of the inflation index (~1/3) and are a major reason why inflation is still so high. So it’s a good thing that rent prices…

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The housing market takes a sharp turn

What can’t the Simpsons predict? In Fed Chair Jerome Powell’s views, the housing market will likely experience a “correction” — seeing it as a “good thing.” But economists believe that the housing market is already in a “deep recession.” Remember the good days? When interest rates were near zero — everyone rushed to purchase or…

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America’s housing shortage is getting better, and also worse

The U.S. has been dealing with a housing shortage that drove up home and rental prices. But recent data shows rising rates are impacting home sales — a sign the housing market is cooling. Per Realtor’s July housing report, the national inventory of active listings rose 30.7% compared to the previous year — the highest…

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