US consumers are seeing home buying conditions at their worst in a generation as mortgage rates soar in response to the Federal Reserve’s aggressive tightening cycle.
Source: It’s the Worst Time to Buy a Home in a Generation for Americans, US Survey Shows – Bloomberg
Hmmmm … bought our first home right at the peak at the left edge of this chart. Assumed two loans with a combined interest rate over 11%. Seems a lot of people don’t know or forgot about those days.
Also, I think people are misreading this chart – the black line at bottom is the index of buying conditions – it was worse in the early 1980s than it is today. The blue area/red line, which is prominent, is a survey / poll result – people believe it’s a bad time to buy a house – which is a reflection not only of high interest rates but of media reports tell us that now is a bad time to buy a house!