The U.S. housing market continued to show signs of decline as mortgage applications and sales of existing homes fell while properties are taking longer to get sold.
Mortgage applications for new home purchases dropped by 11 percent in April 2023 compared to March, according to a Mortgage Bankers Association May 19 press release. “Since the brief pick-up in new home sales in January when mortgage rates dipped, the pace of new home sales has declined for the three consecutive months,” said Joel Kan, MBA’s vice president and deputy chief economist.
Declining mortgage demand comes as the Conference Board’s Leading Economic Index (LEI) fell for the thirteenth consecutive month in April, signaling that the country is potentially headed toward a recession or may already be in one….