The Five Most Googled Housing Market Questions

“Will the housing market collapse?”

I don’t believe the housing market will collapse. Not this year, at least. Right now, we have a housing market that has a lot of demand but very little supply. Although supply is down by more than 20% compared to last year, demand remains high. When there are more buyers than homes, the only thing that can happen is that housing prices rise and people begin to compete for them.


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When will the real estate market collapse?

“I can see the housing market spiraling out of control in a few scenarios.” If people begin to speculate on homes, assuming that home prices will constantly rise, and they begin to acquire homes solely to sell them, this can become a serious problem, leading to a housing bubble and eventual crash. Investor activity has increased recently. It’s been rising, and it’s currently at 18 percent, with room to go higher. If investor activity really picks up and people start buying houses solely to speculate on them, I’d consider it a warning sign that the housing market is about to fall.”

What is the current state of the housing market?

“What we discussed is one of the reasons why prices are so high. Demand is outstripping supply. On the supply side, one explanation for the low supply is that we just haven’t constructed enough homes in this country to meet the demand. The millennial generation is the largest. We’re getting married and creating our own families. Unfortunately, we did not develop nearly enough dwellings in the previous decade. There were fewer homes built in the 2010s than in any other decade dating back to the 1960s, so there’s a lot of demand from millennials and little, if any, supply.”

Is the real estate market slowing?

“And, given how the housing market is weakening, price growth will be lower than it was in 2020, when it peaked.” This is due to the fact that mortgage rates are rising. When mortgage rates rise, it becomes more expensive to borrow money to buy a property, which might lead demand to fall. Because there are still so many individuals out there who want a home & [there are] not really enough homes for sale, we haven’t seen demand calm enough for prices to start dropping down.”


When will the real estate market improve?

“If the Fed keeps raising interest rates, demand will be limited because home ownership will become more expensive, but the housing market would not recover.” Simply said, implies that fewer people can afford to buy… who can afford to borrow to purchase a home. The only way to improve the housing market and make it more affordable for everyone is to develop more… it is the only solution. If I were you, I would contact my local lawmakers and tell them that I want additional homes developed in my neighborhood. It might take some time.






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