Home Builder Buyer Traffic just hit early-2008 Levels.📉
I'm not sure people have fully grasped how bad this Housing Recession/Crash is. pic.twitter.com/M4QTuwO9Yx
— Nick Gerli (@nickgerli1) November 16, 2022
Many of these same stubborn sellers existed in 2007-08. Thinking that it was only a "mild" Housing Correction.
Then Lehman Brothers happened. The Unemployment Rate Spiked. Foreclosures Surged.
And the minor Housing Correction turned into a 5-year Crash.
— Nick Gerli (@nickgerli1) November 16, 2022
History says: buckle up for a long and protracted Housing Downturn.
Unlikely things will get better for Housing Market in 2023, even with an incoming Fed Pivot.
— Nick Gerli (@nickgerli1) November 16, 2022
Oct 2007, when FED pivoted, is when price declines on US real estate really started to accelerate… the price declines continued for another 4.5 years AFTER the pivot… this time the housing bubble is worse than 2007 and interest rates are higher…
Housing Collapse Continues
“Existing-home sales fell again in October as reduced affordability pushes buyers out of the market. The outlook for housing is unfavorable.” ~ Robert Hughes
Home Prices Could Plunge 20% Amid Risks of ‘Severe’ Correction, Dallas Fed Says
U.S. home prices could tumble as much as 20% as the highest mortgage rates in two decades threaten to trigger a “severe” price correction, according to research from the Federal Reserve Bank of Dallas.
US Existing Home Sales Are Crashing At Their Fastest Pace ‘Since Lehman’
The first glimpse of October’s housing market (after September’s slump) is not a pretty one as US existing home sales in October collapsed 5.9% MoM (slightly better than the 6.6% expected). That is the 9th straight monthly decline in sales.