Big Chill: U.S. Homebuying Cooldown Is Intensifying
Declining home sales mean for a recession but home prices are saying something different.
According to the OC Register, “While the Federal Reserve attempts to reduce inflation, rising construction and land costs, supply chain disruptions and the labor shortage are contributing to the growing gap between housing demand and supply,” he said.
In the short term, Fish said, controlling inflation will be an important step toward improving the housing market and broader economy. But there are structural issues that need to be addressed for a successful economy in the long-term, Fish said, like developing land-use policies that are aligned with federal and local governments, developing more housing, and investing in technologies that will help lower the cost of construction to make development more attractive.
