Statistically a 1% drop in rates has the same affect as a price reduction in homes of 10%

Описание: Audery, Kevin and Nadia discuss the fact that so far the CPI has been relatively flat employment is slower at adding jobs.
The talk about the fact that builders are building smaller homes so as to have a price point more buyers can afford, builders are 5.5 % below 2019.
It is projected that purchases will be up 14% this year and appreciation is expected to be up 4% across the country for 2026, Rates are expected to be 6% which means that 5.5 million more people will qualify to purchase a home. Statistically a 1% drop in rates has the same affect as a price reduction in homes of 10%. As rates come down it will also have the affect of adding more inventory.
Nadia Evangelou is the Senior Economist and Director of Real Estate Research at the National Association of REALTORS®, where she leads some of the industry’s most influential housing market analysis. Her research examines how economic, demographic, and industry conditions shape both the residential and commercial real estate markets. Nadia oversees NAR’s proprietary housing data, including the monthly existing and pending home sales indices, housing affordability measures, and quarterly local market reports. She also directs policy research, leading projects on how federal,
state, and local policies impact real estate activity across the country.
Her expertise is widely recognized, with insights frequently featured by major media outlets. In 2022, Nadia was honored as one of HousingWire’s Rising Stars for her leadership and contributions to the field. She holds a master’s degree in Applied Economics from Johns Hopkins University, along with advanced degrees in International European Economics and Public
Administration