Change is in the Air

A bear market, increasing interest rates and high housing prices creates a total contrast in our housing market from the more recent trends we had been seeing. With the Federal Government raising the interest rates along with the recent switch to a bear market consumers are left with little choice than to push back on the very high prices on homes. During the pandemic, while some areas like NYC saw huge drops in home prices and rents, other areas of our country like the Princeton, NJ saw a drastic increase in home values. The upward trend often felt dizzying. Now, with the interest rates pricing some buyers out of the market due to a need for higher down payments and equally higher monthly mortgage rates. As we are clearly in a bear market today with a promise from the Feds for even higher interest rates on our horizon, the only question left is how long will this trend last?

For more information please see the news article below, which I referenced for this blog.