Macroeconomic prediction 2022

Historical Fed interest rate in last 20 years

When housing market is going to cool down?

It’s a hard game! Even top 50 macro economists might come up with 40 different responses and only one of v then will be right. Housing market might start to cool off when interest rate reaches ~1% which might happen in early 2023. It might completely stabilizes when interest rate reaches >2% which might happen in late 2024 to early 2025.

When should then I buy a house

Ideal time should be 2025 Winter or 2026 Spring. But that’s not how life works. Semi optimal solution would be mid 2023. Rates would be ~1.2% and people with 750+ credit score might get mortgage loan at 3.5–3.8%. However, that wouldn’t stop Wall Street to stop investing in housing which means market will still be warm. Retail purchaser might slow down purchasing investment home and that’s why the condo/townhome properties might go down.

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Pint Salt

Pint Salt

I love to solve problems and move on