A lack of inventory and high demand are preventing a crash in the U.S. housing market this year.
Those are the conclusions reached by Fannie Mae economists, who predicted that home prices would decline at a slower
Rate Later This Year Than Previously Predicted. There is a marked improvement from February, when
The Government-Backed Mortgage Giant Predicted That Home Prices Would Decline By 4.2% This Year,
Followed By Another 2.3% In 2023 Because The Inflation Rate Would Rise To 1.8%, A Significant Improvement From
February, When Prices Were Predicted To Decline By 4.2% This Year And 2.3% The Following Year.
A lack of homes available for sale in the current housing market continues to fuel current market dynamics, a trend
That Has Not Improved During The Spring Homebuying Season. Mortgage rates have risen over 7% for the first
Time In Nearly Two Decades As A Result Of The Federal Reserve's 15-Month Interest-Rate Hike Campaign. However,
Home Prices Have Remained Relatively Flat. A Shortage Of Available Homes Has Contributed To This Situation At Least In Part.
The 30-year fixed mortgage rate is currently hovering around 6.71%, significantly higher than 5.7% one year
Ago And The 3.9% Average Pre-Pandemic.