Over the past few years, rising interest rates have maintained a vice lock on home sales, and the hold continues to stay.
What’s Going On: Inflationary pressures continue to persist which gives interest rates no “off-ramp”, so the near future is quite unclear at the current time.
What You Can Do: As a prospective home buyer, it’s important to consider your options and maintain a long-term mindset. As you can see in the chart shown in the video, history has shown that interest rates will come back down and opportunities will arise in the housing market.
As someone considering selling their home, now could be an opportune time because as interest rates lower, so too will the value of your home.
- US Home Sales play a huge role in the strength of the US economy
- There is a direct relationship between interest rates and home sales. (See Chart)
- As interest rates cool down and go sideways or lower, home sales will pick up. Inflationary pressures have been sticky and are damaging the economy.
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