On The Market

153: HousingWire CEO: This Inventory Shortage Could Last Decades w/Clayton Collins

Oct 27, 2023

Clayton Collins, HousingWire CEO, discusses the long-term housing market outlook, predicting an ongoing inventory shortage that could last decades. He examines the challenges of inventory shortages and high mortgage rates, explores real estate markets with potential price cuts, and highlights the potential for innovation in the industry.

40:10

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Episode guests

Clayton Collins

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Quick takeaways

The housing market is suffering from an inventory shortage that is expected to last for decades, making it difficult for buyers to find affordable homes.

The increase in mortgage interest rates has added challenges to the housing market, but if rates begin to fall, it could lead to more inventory and stimulate demand.

Deep dives

Inventory constraints and low supply in the housing market

The current housing market is facing an inventory crisis, with an under supply of homes compared to the high demand. This has created an unhealthy dynamic where home prices are holding high, making it difficult for first-time homebuyers and repeat buyers to find affordable homes. Despite the pressure from mortgage interest rates reaching 20-year highs, home prices have continued to rise due to the lack of supply. While there has been an increase in inventory in recent months, it is still significantly lower than pre-COVID levels. The market is expected to operate in a lower inventory and supply constraint environment for the foreseeable future.

Introduction

2min

Analyzing Recent Changes in the Housing Market with Clayton Collins from Housing Wire Media

2min

Ads for Deal Machine, Iraq Loans, and Fundrise's Private Credit Strategy

3min

Comprehensive Coverage of the Housing Economy and the Role of Altos Research

4min

Challenges in the Housing Market: Inventory Shortages and High Interest Rates

29min

The Potential for Innovation in Real Estate

4min

Another housing market “frenzy” is much more likely than many of us thought. With the traditionally slow fall/winter season upon us and housing inventory gradually inching up, home buyers could get a much-deserved break. But this won’t last for long. The long-term outlook on the housing market isn’t looking good for buyers, and many Americans will be forced to rent as a result.

So, what could cause the next home buying “frenzy”? We’ve got Clayton Collins, HousingWire CEO, on the show to give his take. HousingWire has been acquiring data and research companies as fast as possible, trying to build the most perfect picture of the housing market available. And right now, it looks great for sellers but not buyers.

With inventory still in the gutter and mortgage rates at a twenty-year high, homeowners will only consider selling once rates have dropped. But won’t lower rates flood the market with eager home buyers all over again? We’ll get Clayton’s opinion on what could fix the inventory shortage, when mortgage rates could drop, real estate markets with the best chances of price cuts, and what to watch out for in 2024.

In This Episode We Cover:

America’s underbuilding problem and how this could create an inventory shortage that lasts decades

Whether or not rising housing inventory is a sign of a coming crash

The real estate markets most likely to see price cuts in the coming months/years

What has caused mortgage rates to stay so high for so long (and what will happen when they fall)

The housing market “frenzy” that could restart once THIS happens

Multifamily mayhem and big problems in today’s rental market

And So Much More!

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