real-estate-market3.43 min read
Home Price Reductions Hit 18-Month Peak Amid Rate Hikes
1 year ago•Source: Yahoo Finance
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3.665 min•1 year ago
"Unlocking the Housing Market: The Cost of Upgrading to a Nicer Home"
Despite higher mortgage rates, the Spring housing market is still hot due to a lack of supply, with homeowners unable to afford to move to nicer homes. The cost of upgrading to a more expensive home has increased significantly, with the average homeowner seeing a 132% rise in monthly payments. Lower rates could ease the burden, but the fundamental mismatch between supply and demand continues to put pressure on both inventory and affordability. The U.S. now has a record-high 550 "million-dollar" cities, reflecting the ongoing rise in home values.
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"Navigating the Looming Housing Affordability Crisis"
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"CEO Howard Lutnick Predicts $1 Trillion Defaults in Commercial Real Estate Market by 2024"
Originally Published 2 years ago — by New York Post
Cantor Fitzgerald CEO Howard Lutnick warns of a "generational shift" in the real estate market, predicting a potential $700 billion to $1 trillion in defaults in loan sales by the end of 2024 and throughout 2025. Lutnick attributes this to high interest rates leading to commercial loans being "wiped out," and foresees a significant impact on real estate equity rates. He also cautions that people are "overly optimistic" about the Federal Reserve and future rate hikes, suggesting that rates will likely remain steady rather than experiencing drastic cuts.
"Warning: US Real Estate Faces Record Debt and Generational Change by 2024"
Originally Published 2 years ago — by Fox Business
Cantor Fitzgerald CEO Howard Lutnick warns of a "very ugly" real estate market in the next 18 months to two years, predicting a "generational" shift and massive defaults of $700 billion to $1 trillion in loans. He anticipates commercial loan defaults due to high rates, leading to a significant impact on real estate equity. Lutnick also cautions that people are "overly optimistic" about the Federal Reserve and future rate hikes, suggesting that rates will likely remain steady.
Mortgage Demand Surges Despite Rising Interest Rates
Originally Published 2 years ago — by WOLF STREET
Despite a slight increase in mortgage applications to purchase a home, the housing market remains frozen as sellers are reluctant to sell at current high prices and buyers are waiting for lower mortgage rates. Refinancing applications also remain near historic lows, with mortgage rates rising to 6.81%. The frenzy to lock in low mortgage rates has now shifted to a wait-and-see approach, contributing to a significant decline in home sales and a stagnant market.