Housing Bubble Getting Ready to Pop

The sudden increase in mortgage rates has markets jolting from coast to coast, leaving the looming housing bubble nearing a pop.

According to Bloomberg, the pandemic housing boom is careening to a halt as the fastest-rising mortgage rates in at least half a century upend affordability for homebuyers, catching many sellers wrong-footed with prices that are too high. It’s an astonishing turnaround. Just a few months ago, house hunters felt pushed to make offers within days, waive inspections and bid way above asking. Now they can sleep on it and maybe even shop for a better deal.

It doesn’t mean real estate is heading for a crash on the order of 2008. But when a market reaches these heights, even a drop toward normalcy will feel steep. And of course, a recession could make everything worse.

Read More

BUILDER.MEDIA TERMS OF VIEWING POLICY!
This website, digital publication, and all of its contents are the copyright protected legal intellectual property of Builder Media. None of the protected content of this publication may be copied, shared, forwarded, reposted, reformatted or in any way utilized for any purpose without the written permission of the Publisher, under penalty of suit as provided by U.S and International laws governing copyright.