Forward Guidance
Ivy Zelman: Housing Market Downturn Isn't Over
Aug 15, 2023
Ivy Zelman, founder and CEO of Zelman & Associates, shares her outlook on the U.S. housing market. Topics discussed include the resilience of the housing market, comparing the 2020 housing boom to the early 2000s boom, commercial real estate, housing's impact on banking, forecasts for single-family housing, supply of housing, outlook on homebuilding industry, negative outlook on home improvement industry, market for mortgage-backed securities, and the Fed's support with free money.
59:43
Episode guests
AI Summary
Highlights
AI Chapters
Episode notes
Podcast summary created with Snipd AI
Quick takeaways
- Despite a decrease in transactions, the US housing market remains resilient with a shortage of supply and multiple bids in desirable locations.
- The recent housing market's resistance to sharp price declines can be attributed to a robust economy, adjustments in builder inventories, wealth transfer, and relocation trends during the pandemic.
Deep dives
US housing market resilient with supply shortage
The US housing market has remained surprisingly resilient despite a decrease in overall transactions, particularly in the existing home market. The shortage of supply in the existing home market has resulted in multiple bids in desirable locations. Existing homeowners are disincentivized to sell due to low mortgage rates obtained in the past, leading to a lack of supply. In contrast, the new home market has been performing well, gaining market share and benefiting from ample supply. The COVID-19 pandemic has also fueled the demand for new homes as people seek relocation or better job opportunities.
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
