US Housing Market
Unprecedented Moves
Mortgage Demand has declined to its lowest level in nearly 3 decades
30y mortgage rate settling into range, evidenced by pace of year/year change (orange) easing sharply … still doesn’t take bite out of 7.35%, which is highest since 2000
Where is this all heading?
How to stay for FREE in a top NYC hotel this weekend!
#travel tips
https://babylonbee.com/news/genius-frugal-family-poses-as-illegal-immigrants-to-get-free-hotel-oom-in-nyc
We have friends, two young cybersecurity professionals, making very high salaries.
They are engaged and have been looking for a house for two years.
Once the interest rate went up to 7%, they stopped looking.
As they explained to me, "If we buy a house with a 30-year loan, the jump in the rate of interest from 3% to 7% adds another million dollars to our loan. We can't afford that."
Now...they are the 1% that make good money. What about all those making less?
House purchases drives significant economic growth because of all the appliance purchases, painter, electrician, plumber, roofer, and other tradesmen who depend on it.
Fed raises the interest rate above 7% to monetize the debt, and average people suffer horribly.
Inflation is a silent killer.
As here.