America’s Last Stand at Affordable Housing As the need for affordable housing grows, mobile home communities can be a solution.
remain on more stable footing for pricing and affordability.
CONSUMER PAIN POINTS Whether talking about mid-sized markets or Sun Belt states, it’s not all sunshine for potential renters and homeowners in 2023. There are at least five areas of concern for the average Jack who rents or Jill who owns: NO. 1 HIGHER INTEREST RATES: In December 2021, a buyer could expect a 3.1% interest rate on a 30-year fixed mortgage. In December 2022, that same buyer is looking at a 6.33% rate for the same terms. A top concern for many buyers is inflation, and additional interest does not help. Affordability is also a major concern for buyers. The average monthly mortgage payment (assuming a 20% down payment) has increased by 107% since 2019.
by Neil Timmins I f you read articles, listened to podcasts, or attended confer- ences about real estate in 2022, you likely heard a lot about the “Sun Belt markets” and “sunshine states” as the hottest places to buy and sell last year. The U.S. Sun Belt is a moniker for states in the Southwest and Southeast. Phoenix, Raleigh, Austin, Jacksonville, Charlotte, Nashville, and Tampa were all Sun Belt cities Quicken Loans predicted to be among the “18 Hottest Housing Markets in the U.S.” last year. The trend toward warmer markets will continue in 2023, according to
PWC, who list their top five cities in 2023 as Nashville, Dallas/Fort Worth, Atlanta, Austin, and Tampa/St. Petersburg. The national housing and economic correspondent for USA Today, Swapna Venugopal Ramaswamy, proposes that mid-sized markets will reign in 2023 due to low inventory and rising interest rates. Danielle Hale, the chief economist for Realtor.com, states that because mid-sized markets like Grand Rapids-City of Wyoming, Michigan, and Louisville, Kentucky, “did not overheat during the [COVID- 19] pandemic housing frenzy,” they
NO. 2 INFLATION OUTPACING WAGES: A growing number of
households are “priced out of the for-sale market” according to a 2023
18 :: INVESTOR REVIEW :: MAR-APR 2023
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