On The Market What Happens When Rates Drop?
9 snips
Dec 30, 2024 
Logan Mohtashami, a renowned housing market analyst, shares his insights on the current state of the housing market. He discusses how increasing inventory and falling mortgage rates could signal a healthier market. However, he warns that this positive trend might reverse, complicating affordability for homebuyers. Logan also challenges the belief that lower rates always lead to rising home prices, emphasizing the importance of labor market conditions in predicting mortgage rates. Tune in for an eye-opening look at the future of home buying!
AI Snips
Chapters
Transcript
Episode notes
Baby Pivot Housing Market
- The current housing market is in a "baby pivot" stage, with new home sales growing but existing sales stagnant.
- This market is confusing because home sales are low, but prices haven't crashed as in 2007.
Importance of Home Sales Volume
- Existing home sales volume is crucial because it reflects market health and impacts related industries.
- Low sales mean fewer transactions, impacting jobs, wages, and overall economic activity.
Housing Inventory Update
- Growing inventory is a positive sign for 2024, offering buyers more choices.
- However, even with growth, inventory hasn't reached 2019 levels, which were already low.