U.S. existing home sales drop to near 30-year low
PBS NewsHourJAN 2024
The Spin
Narrative A
With average mortgage rates considerably higher than they were two years ago and a chronic lack of inventory, the housing industry in the US shows little sign of improving. It's even worse for first-time home buyers, who historically account for up to 40% of the sales, as they have no home equity to finance their investment. This situation looks dire.
Narrative B
While the demand-supply imbalance will carry into 2024, things are set to ease up ahead in the US real estate market. Mortgage rates were already slipping by December, when they hit a six-month low of 6.61%. Meanwhile, new listings are witnessing a revival, too, which could help buyers over time.