Welcome to today’s Real Estate news! In the ever-evolving housing market, experts are weighing in on whether a crash is imminent. Despite rising mortgage rates and affordability challenges, there is consensus among industry professionals that a housing market crash is unlikely. While home prices continue to rise, the supply of available homes remains tight, leading to a more modest correction rather than a collapse. Homeowners’ strong personal balance sheets and low mortgage rates contribute to the overall stability of the market. Economists predict a period of flat housing price performance as high mortgage rates and demand from household formation balance each other out. With no risky subprime mortgages or an oversupply of homes, the housing market is expected to remain resilient. Meanwhile, in California, the housing shortage continues to worsen, resulting in rising housing costs and increased poverty levels. The state’s legislature is engaged in a heated battle over how to address this crisis, with conflicting views on construction constraints and local land use controls. Recent skirmishes in the state Senate committee shed light on the ongoing struggles faced in finding solutions. A new report reveals that California’s housing construction rate has fallen behind other states, exacerbating the shortage. Despite efforts by Governor Gavin Newsom and the legislature, the housing supply remains insufficient to meet demand. It is clear that bold and comprehensive solutions are needed to tackle this pressing issue. Dive deeper into these stories by clicking the links below.
Is The Housing Market Going To Crash? | Bankrate
Despite rising mortgage rates and affordability challenges, experts agree that a housing market crash is unlikely. While home prices continue to climb, the supply of homes for sale remains tight, leading to a modest correction rather than a collapse. Homeowners’ strong personal balance sheets and low mortgage rates contribute to the stability of the market. Economists predict a period of flat housing price performance as high mortgage rates and demand from household formation balance each other out. With no risky subprime mortgages or oversupply of homes, the housing market is expected to remain resilient.
CA housing shortage keeps growing while politicians feud | Opinion
The housing shortage in California continues to worsen as demand outpaces construction, leading to rising housing costs and increased poverty levels. The state’s legislature is engaged in an ongoing battle over how to address the housing crisis, with conflicting views on removing constraints on construction and defending local land use controls. Recent skirmishes in the state Senate committee highlight the struggles faced in finding solutions. A new report by Getac reveals that California’s housing construction rate between 2010 and 2020 was subpar compared to other states, further exacerbating the shortage. Despite efforts by Governor Gavin Newsom and the legislature, the housing supply remains insufficient to meet demand. To tackle this issue, bold and comprehensive solutions are needed.