{"id":1923605,"date":"2023-05-03T15:11:29","date_gmt":"2023-05-03T19:11:29","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/housing-market-stalls-as-interest-rates-remain-high-inventory-falls\/"},"modified":"2023-05-03T15:14:05","modified_gmt":"2023-05-03T19:14:05","slug":"housing-market-stalls-as-interest-rates-remain-high-inventory-falls","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/housing-market-stalls-as-interest-rates-remain-high-inventory-falls\/","title":{"rendered":"High interest rates and low inventory cause housing market to stall."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fhousing-market-stalls-as-interest-rates-remain-high-inventory-falls%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1923605&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Is America&#8217;s Housing Market in Trouble?<\/h2>\n<p><span style=\"font-weight: 400\">Recent data shows America\u2019s residential housing market is in trouble. The <\/span><a href=\"https:\/\/www.economist.com\/finance-and-economics\/2023\/03\/01\/americas-property-market-suggests-recession-is-on-the-way\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Economist<\/span><\/a><span style=\"font-weight: 400\"> believes that the situation in the U.S. housing market suggests that a recession is on the way. Many other economists believe the housing market is already in a <\/span><a href=\"https:\/\/thehill.com\/business\/housing\/3764226-economists-a-us-housing-recession-has-already-arrived\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">recession.<\/span><\/a><\/p>\n<h3>What the Data Shows<\/h3>\n<ul>\n<li><span style=\"font-weight: 400\">U.S. home prices were down in March \u201c3.3% compared to last year, selling for a median price of $400,698. On average, the number of homes sold was down 19.5% year over year.\u201d<\/span><\/li>\n<li><span style=\"font-weight: 400\">The number of homes for sale was up 7.1% year-over-year and the number of newly listed homes was down 22.5%.<\/span><\/li>\n<li><span style=\"font-weight: 400\">Houses are staying on the market longer \u2014 44 days for homes sold in March \u2014 up 23 days year-over-year.<\/span><\/li>\n<li><span style=\"font-weight: 400\">Privately-owned housing units authorized by \u201cbuilding permits in March were at a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/report-home-prices-are-up-nearly-25-since-this-time-last-year\/\" title=\"Report: Home Prices Are Up Nearly 25% Since This Time Last Year\">seasonally adjusted annual rate<\/a> of 1,413,000. This is 8.8 percent below the revised February rate of 1,550,000 and is 24.8 percent below the March 2022 rate of 1,879,000.\u201d<\/span><\/li>\n<li><span style=\"font-weight: 400\">Privately-owned housing starts in March were at a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/housing-market-stalls-as-interest-rates-remain-high-inventory-falls\/\" title=\"High interest rates and low inventory cause housing market to stall.\">seasonally adjusted \u201cannual rate<\/a> of 1,420,000 \u2026 17.2 percent below the March 2022 rate of 1,716,000.\u201d<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">A housing market collapse similar to the Great Recession is not likely. The majority of mortgages are fixed rate and are locked in at 5% interest or below, and the credit of <\/span><a href=\"https:\/\/www.bankrate.com\/real-estate\/is-the-housing-market-about-to-crash\/#crash\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">homeowners<\/span><\/a><span style=\"font-weight: 400\"> is much stronger than that of homeowners in 2008.<\/span><\/p>\n<h3>Foreclosure Activity and Homebuyer Remorse<\/h3>\n<ul>\n<li><span style=\"font-weight: 400\">In January 2023, there were a \u201ctotal of 31,557 U.S. properties with <\/span><a href=\"https:\/\/www.attomdata.com\/news\/market-trends\/foreclosures\/attom-january-2023-u-s-foreclosure-market-report\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">foreclosure<\/span><\/a><span style=\"font-weight: 400\"> filings \u2013 default notices, scheduled auctions or bank repossessions \u2013 up 36 percent from a year ago.\u201d<\/span><\/li>\n<li><span style=\"font-weight: 400\">Approximately 65,000 home purchase agreements fell through in December 2022.<\/span><\/li>\n<\/ul>\n<h3>A Tale of Two Housing Markets<\/h3>\n<ul>\n<li><span style=\"font-weight: 400\">Cities like Phoenix, Seattle, San Jose, and San Francisco all saw home prices decline by double digits in 2022.<\/span><\/li>\n<li><span style=\"font-weight: 400\">The top five areas with the largest price increases in 2022 were Florida (15.2%), North Carolina (13.4%), South Carolina (12.9%), Hawaii (12.8%), and Maine (12.2%).<\/span><\/li>\n<\/ul>\n<h3>The Impact of the Biden Administration Rule<\/h3>\n<ul>\n<li><span style=\"font-weight: 400\">A new Biden administration rule will force people with good credit and a large down payment for a home to subsidize the mortgage and fees paid by people with poor credit and a low down payment.<\/span><\/li>\n<li><span style=\"font-weight: 400\">State treasurers and finance officials from 27 states urged the Biden administration to rescind the rule, which took effect on May 1.<\/span><\/li>\n<\/ul>\n<h3>What&#8217;s Next for the Housing Market?<\/h3>\n<p><span style=\"font-weight: 400\">It will depend on several factors, including what the Federal Reserve does with interest rates during its May meeting. But, if we continue to see a mass migration of Americans fleeing blue states such as California, New York, and Illinois, we will see a tale of two housing markets \u2013 collapsing markets in states people leave and white-hot markets in the states to which people move.<\/span><\/p>\n<p><em>Jim Nelles is a Navy veteran and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/why-we-cant-go-green-without-nuclear-energy\/\" title=\"Why We Can\u2019t Go Green Without Nuclear Energy\">supply chain consultant based<\/a> in Chicago. His articles have appeared in The Washington Examiner, Newsweek, Foxnews.com, and The Daily Wire. He has served as a chief procurement officer, chief supply chain officer, and chief operations officer for multiple companies.<\/em><\/p>\n<p><em>The views expressed in this piece are those of the author and do not necessarily represent those of The Daily Wire.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Recent data shows America\u2019s residential housing market is in trouble. The Economist believes that the situation in the U.S. housing market suggests that a recession is on the way. Many other economists believe the housing market is already in a recession. According to Redfin.com, U.S. home prices were down in March \u201c3.3% compared to last<\/p>\n","protected":false},"author":1881,"featured_media":1923606,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[541],"tags":[4344,23912,4545,6009,20719],"class_list":["post-1923605","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-daily-wire","tag-housing","tag-inventory","tag-market","tag-rates","tag-stall"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1923605","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1881"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1923605"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1923605\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1923606"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1923605"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1923605"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1923605"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}