Commentary Despite all the fanfare and cheerleading you hear in the MSFM, the recent bounce in equity prices has just been a rather pedestrian bear market rally. Bull markets are not engendered by a faltering global economy, very high rates of inflation, and the most hawkish global central bank tightening cycle in history. In spite…
Powell’s ‘Put’: Out of Money and Time
The Start of the 2022 Housing Crash
Empty homes have started to pile up across the country. Inventory is surging, along with price cuts in cities least expected. Counties where there has been a large influx of buyers—such as in Tampa, Fla.; Dallas, Tex.; and Phoenix, Ariz.—are now seeing a large influx in inventory. The housing market is in bubble territory due…
Australian House Values Continue Falling While Rental Market Continue Trending Down
Australia’s rental market remains tight as the residential property market continues trending downwards. Rental vacancies in the CBDs of Sydney and Melbourne fell to 2 percent and 3.4 percent, respectively, in response to the return of international arrivals, according to SQM Research (pdf). Meanwhile, the rental vacancies of other capital cities edged slightly higher but…
Home Sales Drop 6 Percent in July as ‘Housing Recession’ Hits, Says NAR
Existing U.S. home sales have dropped 5.9 percent in July, the sixth consecutive month of decline, according to the National Association of Realtors (NAR), which admitted a “housing recession.” At a seasonally adjusted annual rate of 4.81 million, home sales are down 25.9 percent since January and 20.2 percent from a year ago. “The ongoing…
‘Severe’ Housing Slump Possible With 15 Percent Price Drop: Fitch
The likelihood of a severe downturn in the U.S. housing market has risen, according to an August 17 report from credit reporting agency Fitch Ratings. “However, our ratings-case scenario provides for a more moderate pullback that includes a mid-single-digit decline in housing activity in 2023, and further pressure in 2024,” said Fitch, after it recently affirmed a…
Five Options to Consider When a Real Estate Agent Violates the Rules
Dear Monty: Can a real estate agent from the brokerage agency of the seller outbid your offer without it being considered a conflict of interest in New Jersey? Monty’s Answer: There is limited information in your question, so it is impossible to advise you on your situation. There must be a lot more known about…
Mortgage Demand Slumps to a 22-Year Low as Economic Downturn Sidelines Homebuyers, Says MBA
Total mortgage application volume fell 2.3 percent from the previous week, with demand standing at its lowest level in 22 years, after a similar low last month, according to the Mortgage Bankers Association’s seasonally adjusted index for the week ended Aug. 12. “Mortgage application activity was lower last week, with overall applications declining over 2 percent, to their…
US Home-Purchase Cancellations in July Soar as Buyers Pull Back
New data on home-purchase agreements in the United States for July showed an increasing numbers of buyers canceling housing deals, as higher interest rates tanked the market, according to Redfin. Many buyers are continuing to pull away from the housing market amid rising borrowing costs since rates went up in the first quarter of 2022….
The Pro and Cons of Real Estate Investing: What You Need To Know
The outlook for the stock market and much of the economy remains uncertain. That being the case, many investors are looking for alternative spots to grow their portfolios. One of the best choices for a number of reasons is real estate. This exciting field offers benefits both obvious and less well-known that make it an…
Are Tiny Homes the Answer to Escalating US Home Prices?
Mary Kate Taliafarro, along with her husband and three children, have been living in a 350-square-foot “tiny house” in Ulster County, New York, since March 2021. Last year, they decided to ride the real estate wave and sell their large, two-story home in the Hudson Valley and live in the tiny home while having a…
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