Aside from what you are paying for groceries and gasoline, have you looked at mortgage rates and home sales right now?<\/p>\n
On Monday, One America News<\/a> reported the following:<\/p>\n Sales of new U.S. single-family homes fell more than expected in October, likely as higher mortgage rates reduced affordability, but the housing segment remains supported by a persistent shortage of previously owned properties on the market.<\/strong><\/p>\n New home sales dropped 5.6% to a seasonally adjusted annual rate of 679,000 units last month, the Commerce Department said on Monday. September\u2019s sales pace was revised lower to 719,000 units from the previously reported 759,000 units.<\/strong><\/p>\n Economists polled by Reuters had forecast new home sales, which account for a small share of U.S. home sales, would fall to a rate of 723,000 units.<\/strong><\/p>\n New home sales are counted at the signing of a contract, making them a leading indicator of the housing market. They, however, can be volatile on a month-to-month basis. Sales increased 17.7% on a year-on-year basis in October.<\/strong><\/p>\n The stock of previously owned houses on the market is nearly 50% below it\u2019s pre-pandemic level, according to the National Association of Realtors, which last week reported that home resales plunged to more than a 13-year low in October. Most homeowners have mortgage rates under 3%, making many reluctant to sell, boosting demand for new construction.<\/strong><\/p>\n According to The Mortgage Reports<\/a>, the mortgage interest rate in 2021 was 2.96 percent. In 2022, it was 5.34 percent. The current mortgage rate, according to Nerd Wallet<\/a> is about 7.5 percent. That is a significant increase. Interest rates were artificially kept low for a number of years. That was not sustainable. However, the rate of increase (the Federal Reserve’s attempt to curb inflation) has hurt real estate sales. At one point many years ago because of a job change, we were forced to take out a mortgage at 8.5 percent (giving up a mortgage of 4 percent). If you are sitting on a 3 or 4 percent mortgage right now, the last thing you want to do is move and take out a 7.5 percent mortgage. Bidenomics has hurt Americans across the board. We need a new President with a new approach to the economy.<\/p>\n","protected":false},"excerpt":{"rendered":" Aside from what you are paying for groceries and gasoline, have you looked at mortgage rates and home sales right now? On Monday, One America News reported the following: Sales of new U.S. single-family homes fell more than expected in … Continue reading