What could be driving home prices up? Logan Mohtashami explains
Today’s HousingWire Daily episode features an interview with HousingWire Lead Analyst Logan Mohtashami. In this episode, Mohtashami discusses his recent article that focuses on rapid home-price growth in the 2020 housing market and delves into factors that he believes could be driving home prices up.
For some background on the story and how COVID-19 has impacted the housing market, here’s a snippet of the article:
Demand for housing was strong in early 2020, before the COVID-19 crisis hit. Mandated shut-down measures and the fear of what COVID would do to our economy temporarily immobilized the housing market, evinced by nine weeks of declines in the weekly purchase applications data on a year-over-year basis. Then it was as if the Housing Demographic God exerted her chronokinetic powers to snap demand back to pre-COVID levels of growth. The frozen market thawed and resumed its steady pace of growth, even making up for lost time.
Instead of a housing crash, as many others predicted would be the lasting consequence of shut-down policies and massive job losses across the nation, the opposite happened as the 2020 U.S. housing market has been the most out-performing economic sector in the world.
However, we now have another issue to worry about — that home prices will accelerate too quickly, unrestrained by an increase in mortgage rates.
HousingWire Daily examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.
HousingWire articles covered in this episode:
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