Bluebid Buzz: August 24
The Bluebid Buzz is a regular summary of housing market news and data driving our decision-making at Bluebid Homes.
Disclaimer: Views expressed here are my own and not the views of my coworkers or anyone else. I am not a financial advisor, investment advisor, or housing expert. I’m just a guy who cares deeply about saving the American Dream of homeownership.
Here's the buzz for the week of August 24, 2023…
Buyers continue to struggle with low inventory and high prices, mortgage rates are at their highest levels in 21 years, demand for mortgages hit a 28-year low, and new construction sales have outpaced existing home sales in a big way.
Axios tells a tale of two housing markets, as new construction home sales climbed 32% annually in July and existing home sales fell 17%.
Yahoo Finance further explains how builders have been cashing in on the shortage of previously owned homes on the market.
ABC News says buyers are on the fence and struggling with a lack of inventory and housing affordability, as mortgage rates climbed to their highest levels in 21 years last week.
Mortgage demand has hit a 28-year low, according to CNBC.
While we don't want to see America become a nation of renters, the supply shortage would be even worse without the strongest apartment construction boom seen since the 1970's - as reported by RentCafe.
Boston.com compares today's housing market to the 1980s - when mortgage rates hit 18.63% and remained in double digits for most of the decade. This market will ultimately rebound, just as that one did. If activity at Bluebid Homes - where quality listings are piling up - is any indication, buyers will be handsomely rewarded for their patience as the market turns.
Have a great week.