Monday, September 4, 2023 / by Richard Eimers
If you're following the news, you might be wondering how the housing market could be impacted by a recession. Understanding historical data and trends can provide valuable insights into what might happen in such situations.
A recession is a significant and prolonged economic decline, typically characterized by two consecutive quarters of negative gross domestic product (GDP) growth. It's important to note that recessions don't usually occur out of nowhere; they can often be predicted by tracking various economic indicators such as payrolls, industrial production, and retail sales, among others. The National Bureau of Economic Research plays a crucial role in identifying and defining recessions.
During a recession, the economy experiences several challenges. One of the most noticeable impacts is a rise in unemployment rates, leading to a decrease in people's disposable income. This reduction in income causes individuals to curtail their spending, which, in turn, affects businesses ...
Tuesday, August 29, 2023 / by Richard Eimers
Mortgage rates kept climbing in the last week. Buyers in this real estate market notice these affordability changes, and so we can see in the data fewer home purchase offers, slightly climbing unsold inventory, and slightly more price reductions for the homes that are on the market.
Rising rates makes more inventory. So how much inventory will we add this fall? As of now, these slowing signals are subtle. If mortgage rates jump to say 8%, that’s when we’d see big changes in inventory and home prices.
Every week Altos Research tracks every home for sale in the country. We analyze all the pricing, supply and demand, and all the changes in that data and we make it available to you before you see it in the traditional channels. If you aren’t using Altos market reports with your clients, your buyers and sellers, now might be the time to step up. Go to altosresearch.com and book a free consult with our team. Because everyone is worried about what’s happening right n ...