Fishkind Conversations: Why Is The Housing Market Ho-Hum In A Booming Economy?
Housing affordability is becoming an increasing problem across the nation and particularly here in Central Florida. Economic analyst Dr. Hank Fishkind notes how odd this is, given that the country is enjoying the longest economic expansion in U.S. history with very low interest rates and strong gains in employment.
Those circumstances normally would have triggered a boom in home construction and home sales, but that has not happened.
Although mortgage rates are extraordinarily low, touching 3.77% last week with steady job growth for a decade, home sales are down 2.2% this year and have been essentially flat since 2014. New home sales have followed a similar trajectory. And residential construction has not even recovered to its annual average based on data back to 1960.
Fishkind tells 90.7’s Nicole Darden Creston what’s causing the odd behavior of housing markets, especially across Central Florida.
Click the Play Audio button to hear their conversation.