Shopping for into the costly Seattle housing market has been a daunting proposition for a few years, however, when mortgage rates of interest have been down within the 2% to three% vary, an individual might take a deep breath and boldly leap into debt. Not a lot as we speak.
The COVID-19 pandemic drove up inflation to scary ranges and the Federal Reserve responded by jacking up rates of interest effectively previous 7%. Consequently, fewer dwelling patrons might afford to purchase and fewer sellers have been motivated to promote, understanding they’d be taking up that prime curiosity burden on their subsequent dwelling.
Proper now, the Seattle-area market is operating chilly. The variety of homes with “on the market” indicators within the yard has taken a significant dip, at the same time as costs proceed to rise. The median single-family dwelling in King County bought for $885,500 in November, a rise of seven% from a 12 months earlier, whereas new listings have been down by 11% in the identical time interval.
There could also be some shiny information as we hit the darkest days of the 12 months, although. The Fed appears to have concluded that inflation is in test, so rates of interest have been allowed to say no somewhat. If that downward pattern continues, maybe the housing market will rev up once more by the point summer time rolls round.
For now, although, don’t rely on discovering a set of recent home keys in your stocking this Christmas.
See extra of David Horsey’s cartoons at: st.news/davidhorsey
View different syndicated cartoonists at: st.news/cartoons
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