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The Top 5 Reasons a Housing Market Crash Is Not a Given

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Real estate prices have never been higher, and there are no signs of them slowing down soon.

While the stock market and other asset classes, such as precious metals, have collapsed, housing market prices keep defying gravity.

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Hence why many are asking the question: will the housing market crash?

5 Reasons There Won’t be a Housing Market Crash

1. Stockpiles Have Dropped to Historic Lows

Like any commodity, such as oil, house buyers bid up prices because of a lack of available products.

2. Builders are Unable to Meet Demand Quickly Enough

According to McBride, price increases are primarily due to increased demand and a supply shortage.

3. Near-Historic Low Mortgage Rates are Still In Place

By the end of 2022, the Mortgage Bankers Association predicts rates to rise to 4%. Refinancing would be affected, but not home purchases.

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