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Originally Posted by Robnlaura
bunch of new articles coming out that indicate a cooling off in many markets more inventory buyer pools shrinking building costs starting to drop.. motley fool has an article about a pending housing crash.. who knows really we are hoping for a drop in prices I’m seeing a lot more inventory of new homes. The old stuff not even interested in way overpriced.. it’s a waiting game and with this new surge who knows what’s gonna happen.
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Um ya, I don’t see the reduction you are waiting for. Demand for housing is increasing, but the inventory just isn’t there. Maybe a flattening of prices? The country had 3.8 million fewer housing units than it needed at the end of 2020.
With that in mind, there may be a decrease in demand at some point? Higher prices will decrease the pool of eligible buyers, but the market demand will continue to stimulate supply. Credit rules haven’t eased much leading to some kind of financial collapse, but they might ease because of the homeless situation brewing after the renter moratorium fold. A market equilibrium just might come, but it’s still a fair time away. There won’t be a housing collapse like the one in 08 that was linked to bad loan behavior and the banks.