2/ The Fed had been on an unprecedented hiking cycle
Taking rates from near 0% to 5.5% in just 1.5 years
Ensuring tight monetary policy in the process pic.twitter.com/s8OvQS8I6C
— Bravos Research (@bravosresearch) April 21, 2025
4/ During the recent hiking cycle, 30-year mortgage rates broke out a key downtrend line
It rose from 2.65% to a high of around 8%
And is still around 7% pic.twitter.com/1g9NxfttRw
— Bravos Research (@bravosresearch) April 21, 2025
6/ Mortgage demand also plummeted
As high borrowing costs caused demand destruction pic.twitter.com/wGactFo2RU
— Bravos Research (@bravosresearch) April 21, 2025
99% of the time if a house is on the market for over a month and not getting any showings, it’s a price issue
No, you don’t need a new agent
No, better photos won’t fix it
No, it’s not the staging
No, painting something won’t help
Yes, drop your price
— Amy Nixon (@texasrunnerDFW) April 21, 2025
Cash purchases for houses absolutely collapse.
Remember the last time this happened? pic.twitter.com/GoVZktLSfs
— Darth Powell (@VladTheInflator) April 22, 2025
Trump ends FHA COVID-era mortgage assistance
Five years of COVID-era relief for federally-insured mortgages has helped millions of American homeowners retain their properties, while artificially inflating home prices and leading to the potential for Bubble 2.0, insist some experts who are hailing a decision from President Donald Trump’s administration, announced Tuesday, to end one program in September.
The move comes after President Joe Biden, days before leaving office, instructed the Dept. of Housing and Urban Development (HUD) to make the relief efforts permanent.
Critics of the Federal Housing Administration (FHA) COVID relief policy, which allows the agency to front payments on behalf of troubled borrowers, say it’s keeping unqualified borrowers in their homes without making a payment for two to three years, and delaying scarce inventory from going on the market.