The housing markets took another hit as mortgages have reached two-decade highs. In response, house prices are falling.
The far-left Washington Post reports that mortgage rates are at 20-year highs.
Mortgage rates topped 7 percent this week, the highest level in 20 years — and the latest sign that the Federal Reserve’s aggressive moves to slow the broader economy are hitting the housing market hard already.
The average rate for a 30-year fixed mortgage, the most popular home-loan product, reached 7.08 percent, according to data released Thursday by Freddie Mac. The last time mortgage rates climbed so high was April 2002, and they are slated to keep climbing as the Fedmoves swiftly to tame a red-hot housing market,a key step in lowering rent costs and ultimately quelling inflation in the broader economy.
The increased mortgage rates are driving down house prices as demand decreases because fewer people can afford new homes. TGP reported on this earlier in the week. Across the country, but especially in the West home prices are dropping as those who want to sell their homes have to decrease their sales price to compete.
BIDEN ECONOMY: Home Values Across the Country Dropping Rapidly – Especially on the West Coast
The Biden economy is a mess. The markets are down a record amount in 2022. Inflation is at the highest rate in 40 years. Americans are getting killed in their savings and their home prices.
This is a disaster.