The US housing market is going through some rough times in 2023, and it has differing opinions on the future of the market.
In the past years, the US housing market has experienced some significant growth during these periods, with record-low mortgage rates and high demand pushing the prices of homes high.
However, there are concerns about the market, as experts are saying that the US housing market might crash soon.
In this article, we will take a critical look at the factors that may contribute to a potential crash in the future.
Will the Housing Market Crash?
Inflation is on the rise, and there is fear that a recession may come soon. However, a lot of real estate professionals do not believe that the housing market is closing up or poses a threat to the faltering economy.In the past, housing led to one of the worst financial crises in history, with lots of small mortgages closing up and lots of new houses being vacant. This led to many Americans going bankrupt due to the housing crisis.
Although there have been no bigger crises in America like the era of the Great Depression that took place in 1929, leaving many homeless, the housing market witnessed a significant crash during the Great Recession of 2007.
At the moment, real estate professionals believe that the housing market will not crash or spike into a recession, which they believe will help shape the economy.
The mortgage sector, on the other hand, has taken actions against loans that were increased or those implemented to have many defaulters. To address this, only purchasers with consistent, verifiable income may now qualify for mortgages.
Read more: https://www.investingport.com/when-will-the-housing-market-crash/