As suspected the March consumer price index came in hotter than expected which should be no surprise to anyone buying groceries, going out to eat, or traveling, everything is considerably more expensive and there continues to be insatiable demand. What…
When I was writing this article rates were hovering right around 7%. At the same time economists are predicting a sharp decline in mortgage rates and a booming 2024 real estate market. On the other hand, the chart above shows…
What does the recent CPI fall mean for mortgage rates and real estate prices? A broad slowdown in inflation continued in October, likely ending the Federal Reserve’s historic interest rate increases. The slowdown came below most median estimates…
In the past recessions, especially in 2008, just prior to the crash we saw a big pull back in luxury purchases. This was an early indicator of huge drops in real estate prices. Currently we are seeing a resounding change…
Earlier in the year most economists and myself predicted a recession by now, but the cards have changed with most now predicting the opposite, a soft landing. What is a soft landing? Is a soft or hard landing better for…
Interesting times we are in. Consumers keep spending big on services like travel and eating out, but on the flip side Home Depot just reported its first drop since the pandemic. On the other hand Target tops earnings estimates. …
Although the spring real estate market has slowed drastically from the pandemic days, the bottom has not fallen out. Quite the opposite has occurred, in suburban markets and sunbelt cities, real estate keeps charging higher. A good example is…
Inflation continues to stick around with core CPI running near record highs. This will keep the federal reserve on a likely path to hike rates once again in May. What does this mean for interest rates and real estate? What…
Purchasing power from paychecks fell 2.9% for middle-income households in 2022 compared with 2021, while rising 1.5% for the bottom fifth of households and 1.1% for the top, according to the Congressional Budget Office study. Furthermore, nearly 40 percent of…
The market currently has a fixation on interest rates. Essentially whatever interest rates do the market reacts accordingly. For example if rates rise, sales fall and vice versa. Are rates really the driver of the slow down in real…