Published February 22, 2022

Keep Calm And Buy/Sell In Today's Wild And Crazy Market

Written by Shanna Day Team

Keep Calm And Buy/Sell In Today's Wild And Crazy Market header image.

A recent survey revealed that many consumers believe there’s a housing bubble beginning to form, and I can see why… Something has to give, right? The market is unprecedented, crazy, and wild.

However, this market is VERY different than it was during the housing crash 15 years ago.

One of the most obvious differences is the number of homeowners that were facing foreclosure after the housing bubble burst.

The Federal Reserve issued a report showing the number of consumers with a new foreclosure notice, and this graph displays those numbers during the crash compared to today.

There’s no doubt the 2020 and 2021 numbers are impacted by the forbearance program.

However, there are fewer than 800,000 homeowners remaining in that program and most will be able to work out repayment plans with the banks.

Unlike the bubble in 2008, there are true market factors driving up pricing - namely supply and demand. Until housing supply in Phoenix reaches about 15,000+ homes on the market (currrenly at around 4,000-5,000) prices will still continue to rise. Interest rates are expected to influence housing prices by decreasing demand for new mortgages, but not enough to slow down rising prices in 2022.

#poweredbyplace #kw #azrealtor #kellerwilliamsrealtyeastvalley