US New-Home Sales Fall More Than Forecast to
Two-Year Low
https://www.bloomberg.com/news/articles/2022-07-26/us-new-home-sales-fall-more-than-forecast-to-two-year-low
https://www.bloomberg.com/news/articles/2022-07-26/us-new-home-sales-fall-more-than-forecast-to-two-year-low
Housing Affordability Crisis Increases Odds of
Recession
https://www.bloomberg.com/news/articles/2022-07-27/housing-market-prices-could-play-big-role-in-a-recession
https://www.bloomberg.com/news/articles/2022-07-27/housing-market-prices-could-play-big-role-in-a-recession
Boise’s Housing Market Boomed Early in the Pandemic. Now It Is Cooling Fast.
https://www.wsj.com/articles/boise-housing-market-cooling-down-zoomtowns-11658931254
https://www.wsj.com/articles/boise-housing-market-cooling-down-zoomtowns-11658931254
America’s Housing Crisis
https://www.theatlantic.com/newsletters/archive/2022/07/building-house-expensive-market-inflation-nimby/670596/
https://www.theatlantic.com/newsletters/archive/2022/07/building-house-expensive-market-inflation-nimby/670596/
https://thehill.com/opinion/finance/3572084-is-a-recession-inevitable/
The housing market may prove to be the ultimate wildcard in this economic cycle. The once red-hot housing market is finally starting to cool and, so far, despite rising mortgage rates and easing demand, the odds favor a soft landing in the real estate sector.
But if interest rates were to surge more than expected and if financial conditions were to deteriorate suddenly, the potential for a sharper downturn in real estate activity cannot be ruled out. Investors have an unusually large exposure to the housing market, and any rush to the exit may trigger a sharp home price correction that affects household and financial sector balance sheets and generates real economic pain.