Fast-forward to today, and the Fed’s ongoing inflation fight has once again spurred a mortgage rate shock. This spike in mortgage rates, which are up from 3.22% to 6.48% over the past 12 months, has pushed the U.S. housing market into a full-blown housing correction.

On one hand, 6% mortgage rates are hardly historically abnormal. On the other hand, that 3.22-percentage-point jump in mortgage rates over the past year has delivered an affordability shock that’s similar to the one dealt in 1981 when mortgage rates climbed 4.9 percentage points to 18%.

See, it’…….

Fast-forward to today, and the Fed’s ongoing inflation fight has once again spurred a mortgage rate shock. This spike in mortgage rates, which are up from 3.22% to 6.48% over the past 12 months, has pushed the U.S. housing market into a full-blown housing correction.

On one hand, 6% mortgage rates are hardly historically abnormal. On the other hand, that 3.22-percentage-point jump in mortgage rates over the past year has delivered an affordability shock that’s similar to the one dealt in 1981 when mortgage rates climbed 4.9 percentage points to 18%.

See, it’…….

Mortgage rates are still twice what they were a year ago, but home prices have been falling since June, and that’s finally making consumers feel better about what had been an overheated, highly competitive housing market.

A monthly housing sentiment index from Fannie Mae showed sentiment improving from November to December. The index is still lower than it was a year ago and just slightly off its record low set in October and November.

The share of respondents saying now is a good time to buy a home was still low, at just 21%, but it was up from 16% in October. The share saying …….

Fast-forward to today, and the Fed’s ongoing inflation fight has once again spurred a mortgage rate shock. This spike in mortgage rates, which are up from 3.22% to 6.48% over the past 12 months, has pushed the U.S. housing market into a full-blown housing correction.

On one hand, 6% mortgage rates are hardly historically abnormal. On the other hand, that 3.22-percentage-point jump in mortgage rates over the past year has delivered an affordability shock that’s similar to the one dealt in 1981 when mortgage rates climbed 4.9 percentage points to 18%.

See, it’…….

Fast-forward to today, and the Fed’s ongoing inflation fight has once again spurred a mortgage rate shock. This spike in mortgage rates, which are up from 3.22% to 6.48% over the past 12 months, has pushed the U.S. housing market into a full-blown housing correction.

On one hand, 6% mortgage rates are hardly historically abnormal. On the other hand, that 3.22-percentage-point jump in mortgage rates over the past year has delivered an affordability shock that’s similar to the one dealt in 1981 when mortgage rates climbed 4.9 percentage points to 18%.

See, it’…….

Introduction: Barratt warns of ‘marked slowdown’ in housing market

Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.

The UK housing market has seen a “marked slowdown” in the last six months, according to housebuilder Barratt this morning.

The UK’s largest housebuilder has told the City that demand in the first half of 2023 is likely to be hit by rising mortgage rates and the cost of living squeeze, which will “undoubtedly impact t…….

Fast-forward to today, and the Fed’s ongoing inflation fight has once again spurred a mortgage rate shock. This spike in mortgage rates, which are up from 3.22% to 6.48% over the past 12 months, has pushed the U.S. housing market into a full-blown housing correction.

On one hand, 6% mortgage rates are hardly historically abnormal. On the other hand, that 3.22-percentage-point jump in mortgage rates over the past year has delivered an affordability shock that’s similar to the one dealt in 1981 when mortgage rates climbed 4.9 percentage points to 18%.

See, it’…….

Introduction: Barratt warns of ‘marked slowdown’ in housing market

Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.

The UK housing market has seen a “marked slowdown” in the last six months, according to housebuilder Barratt this morning.

The UK’s largest housebuilder has told the City that demand in the first half of 2023 is likely to be hit by rising mortgage rates and the cost of living squeeze, which will “undoubtedly impact t…….

Mortgage rates are still twice what they were a year ago, but home prices have been falling since June, and that’s finally making consumers feel better about what had been an overheated, highly competitive housing market.

A monthly housing sentiment index from Fannie Mae showed sentiment improving from November to December. The index is still lower than it was a year ago and just slightly off its record low set in October and November.

The share of respondents saying now is a good time to buy a home was still low, at just 21%, but it was up from 16% in October. The share saying …….

Fast-forward to today, and the Fed’s ongoing inflation fight has once again spurred a mortgage rate shock. This spike in mortgage rates, which are up from 3.22% to 6.48% over the past 12 months, has pushed the U.S. housing market into a full-blown housing correction.

On one hand, 6% mortgage rates are hardly historically abnormal. On the other hand, that 3.22-percentage-point jump in mortgage rates over the past year has delivered an affordability shock that’s similar to the one dealt in 1981 when mortgage rates climbed 4.9 percentage points to 18%.

See, it’…….