All articles tagged with #house prices
U.S. house price growth slowed significantly in March, with prices rising just 0.1% compared to 1.2% in February, as higher mortgage rates dampened demand. Despite this, year-over-year prices increased by 6.7%, and low housing inventory continues to support price appreciation. Existing home sales fell in March, but prices remain elevated due to limited supply.
Experts suggest that now could be a good time to buy property in the UK as the Bank of England is likely done hiking interest rates and mortgage rates are expected to see small downward movements. Higher mortgage rates have led to a decline in house prices, making it a favorable time for buyers to negotiate on price. However, transactions have fallen by 23% this year, indicating a slowdown in the property market. The rental market is expected to remain tight, with rents continuing to rise due to factors such as high mortgage rates and affordability pressures.
Despite the highest interest rates in years, American house prices are not falling due to peculiarities in the mortgage market. The efficacy of egg-freezing in giving women more control over childbearing is questioned due to limited data. Isabel Crook, an anthropologist who embraced China's communist transformation, is remembered for her work.
UK house prices have fallen for the fifth consecutive month, indicating a downward trend in the housing market.
Institutional homebuyers like Yieldstreet, American Homes 4 Rent, and Invitation Homes have paused their purchasing activities in the 2023 housing market due to high interest rates and stabilized house prices. Yieldstreet has not made any purchases this year and is actually selling homes, while American Homes 4 Rent is a net seller. Invitation Homes has sold more homes than it has acquired but is expected to resume buying in the third quarter. These institutional buyers are waiting for stabilization in the debt markets and increased supply of resale homes to spur another surge in homebuying.
UK house prices have declined after three months of growth, according to a report by Halifax. The average price of a home fell by 0.1% in September, following a 1.6% increase in August. The annual rate of growth slowed to 7.3% from 7.7% in August. The decline is attributed to a reduction in demand as the government's stamp duty holiday comes to an end.
The IMF has warned of "disorderly" house price corrections in Europe as central banks increase interest rates further. The Fund said that a downward correction is already underway in some European housing markets, but this decline could accelerate. Mortgage payments might go up as well, as central banks increase interest rates in efforts to reduce inflation levels. The IMF expects headline inflation to average 5.3% in the euro zone this year and 2.9% next year — above the European Central Bank's target of 2%.
Sweden's Ministry of Finance predicts a deeper than expected GDP contraction of 1% in 2023 due to a challenging economic environment, worsened by high inflation rates, eroding real wages, and plummeting house prices. The European Commission also predicts negative GDP growth for Sweden in 2023. While inflation rates are starting to cool, Swedish households are unlikely to get much reprieve from the figures, and real wages are lagging behind. Danish Bank recently revised its estimate of a 20% drop in real house prices to a 25% drop, leaving prices still only halfway to the bottom.