With all the headlines and buzz in the media, some consumers believe the market is in a housing bubble. As the housing market shifts, concerns creep in that this could be a repeat of what took place in 2008. But there’s concrete data to show why this is nothing like the last time. >>There’s a Shortage of Homes on the Market Today, Not a Surplus For historical context, there were too many homes for sale during the housing crisis (many of which were short sales and foreclosures), and that caused prices to tumble. Today, supply is growing, but there’s still a shortage of inventory available. >>Mortgage Standards Were Much More Relaxed During the Crash Running up to 2006, banks were creating artificial demand by lowering lending standards and making it easy for just about anyone to qualify for a home loan or refinance their current home. Today, things are different, and purchasers face much higher standards from mortgage companies. >>The Foreclosure Volume is Nothing Like It Was During The Crash Foreclosure activity has been on the way down since the crash because buyers today are more qualified and less likely to default on their loans. Bottom Line If you’re worried we’re making the same mistakes that led to the housing crash, the graphs above should help alleviate your concerns. Concrete data and expert insights clearly show why this is nothing like the last time. . #realestate #homeownership #homebuying #realestategoals (at Fairfield County, Connecticut) https://www.instagram.com/p/CgxecqevZTh/?igshid=NGJjMDIxMWI=
