How a 'house recession' affects buyers, sellers and Homeowners.
By The Exchange Team
Only months ago, the housing market was in overdrive, with rising prices, cheap mortgage rates, and high demand.
Existing home sales in July were down 5.9% from June and down more than 20% from a year earlier.
Moreover, the industry has seen layoffs and weaker job growth, homebuilder mood has turned negative, and purchasers are cancelling contracts due to rising interest rates.
In a recent report, Lawrence Yun, chief economist for the National Association of Realtors, said the housing market is in a recession.
However, it's a different story for homeowners, buyers, and sellers right now.
Yun: "It's not recession for Home prices" , "Inventory is tight and prices continue to grow, with 40% of properties selling for full list price."
However, there are indications that the market is beginning to tilt in favour of buyers.