Your Money Minute Odd Things Happening In Housing 5/5/25
May 5, 2025
The housing market is witnessing some surprising trends. Used homes are unexpectedly costing more than new constructions this spring. This peculiar shift raises questions about builders' challenges and buyers' hesitations. Economic uncertainty is playing a significant role in these pricing dynamics.
AI Snips
Chapters
Transcript
Episode notes
Used Homes Surpass New Prices
- Used homes became more expensive than new homes at the start of the spring buying season in March.
- This is unusual as new construction typically carries a price premium over existing homes.
Existing Home Market Still Tight
- The existing home market remains overpriced and tight despite more supply.
- Buyers are actively looking but reluctant to buy, reflecting nervousness about jobs and economy.
Builders Cut Prices; Buyers Hesitate
- Builders are lowering prices and offering more affordable homes to sell inventory.
- Buyers are hesitant due to economic uncertainty and job fears, pausing purchases during spring.