Economists at Bank of America warned this week that the US housing market is “stuck and we are not convinced it will become unstuck” until 2026 — or later.
And mortgage rates may not fall much — even if the Federal Reserve finally delivers long-delayed interest rate cuts.
There isn’t a magic fix,” Michael Gapen, head of US economics at Bank of America, told CNN in a phone interview.
However, Bank of America expects housing starts — which is a measure of newly constructed homes — to remain flat for the coming years.
Divide between haves and have-notsThe forecast for a “stuck” housing market cuts both ways.
Persons:
unstuck, —, Michael Gapen, “ It’s, ”, ‘, Dave Liniger, ” Liniger, Liniger, “ Don’t
Organizations:
New, New York CNN, Bank of America, Federal Reserve, CNN, ”, ” Bank of America, Gallup
Locations:
New York, America