Sitting Tight
Since the Great Recession, significantly fewer homeowners have been selling their homes, and the higher mortgage rate environment has further slowed the number of sales. The slow pace of home sales has contributed to more homeowners remaining in their homes long-term.
The days are getting longer. The temperatures are rising. Memorial Day, the unofficial start to Summer, is only two weeks away. Soon, everyone will be flocking to the water to cool off. From the community pool to the crashing waves at the beach, crowds will escape the heat and enjoy splashing around. Yet, many will forget to reapply sunscreen. It is not until arriving home and gazing in the mirror that most people realize they have a lobster red sunburn from head to toe. For weeks and even years, that sunburn becomes a compelling reminder to reapply sunscreen.
Similarly, homeowners nationwide watched the housing market take a severe pounding during the Great Recession as home values plunged and everyone’s equity vanished in the blink of an eye. So many lost their homes to foreclosures or short sales. Nearly everyone was either personally stung by the correction or knew of somebody who was. As a direct result, fewer homeowners sell their homes each year, and the high mortgage rate environment has exacerbated the issue further.
Excerpt taken from an article by Steven Thomas.
