‘Neither normal nor sustainable.’ South Florida home prices finally fall, but key issue remains
Housing prices fell again last month in
Miami-Dade’s median sale price dwindled to
The price decreases in
“Prices never go up forever,” said
In August,
The
The pandemic-induced dramatic shift in the white-collar workplace from office buildings to homes allowing technology, finance, legal professionals and others to work remotely from anywhere during the pandemic has sharply worsened a housing-affordability crisis in
Natives and longtime residents in
For now,
Total housing sale transactions did increase from July to August across the region.
On Wednesday, the
Johnson thinks part of the Fed’s inflation-fighting strategy to keep raising interest rates is to limit consumer buying power. One element of the Fed’s thinking, he said, is that as mortgage rates go up fewer people will borrow against the equity in their homes via home equity lines of credit.
“The Fed is aware that we have the availability of credit being driven by the size of equities in our home and the Fed is worried about building bigger lines of credit,” Johnson said. “Many of us worry that this is creating another form of money supply that the Fed doesn’t have control over.”
Meanwhile,
Francilus fears the
“We can have growth,” he said, of the housing market. “But if we’re pricing out the very people who make this town what it is, then what’s the cost? We’re losing our essence, if the people who make this town can’t afford to live here.”
“That’s a particular constraint we are dealing with now, because house prices are so high and we’re seeing such enormous rates of house price appreciation over the pandemic,” Perry said. “It makes it even more difficult for the first-time home buyer to enter the market, because they need a mortgage to buy a home and qualifying for that mortgage is even more difficult than it was a year ago.”
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