Housing Slump

[NitroZ7]

I don’t know how many people here read Seeking Alpha but here is an interesting piece written about the residential housing market.


Another U.S.-Wide Housing Slump Is Coming
https://seekingalpha.com/article/433...lump-is-coming

[apenland01]

I think there may be a hit, but not as hard as some people think. As with the stock market, there's just too much stimulus to keep things propped up. I keep hearing about how people lost their jobs and won't pay their rent. Not sure that's the case once all the stimulus money makes it's way into the unemployed folks hands. I'll be watching though....

[Bassmaster96]

It just amazes me how many people live check to check. This whole thing is showing that.

[Bsktball55]

I'm not sure I agree with this article. It's saying that people will sell their houses in order to raise money. From what I have seen, almost every single mortgage company has put out notices about leniancy on paying your mortgage if you aren't able to due to Corona. Many are allowing you to skip payments and then either add them onto the end of your mortgage or increase your payment to make it up. Really seems like the mortgage companies are willing to work with people. With that being the case, houses are going to be the last thing that people look to sell in order to bring in some cash. Now if this thing goes long term, things could change, but they are talking about people getting back to work here in the next couple weeks. Obviously some people may have lost their jobs, but I believe most people will go right back to working and hardly skip a beat.

[Bassin08]

I think if we don’t have a run-up in interest rates, the housing market will hold it’s current price levels. There are many people who live on a how much a month payment mentality. If interest rates rise, new home sales will stall creating a glut of inventory and that will trickle down to a sparse number of existing home availability.