But not house prices. These continue to rise as fewer sellers are putting their homes on the market. So even though there are fewer buyers in the market who can bear the higher cost associated with higher interest rates, the lack on inventory still provides sellers with a competitive market price.
A number of industries, furniture sales and home improvement stores for example, depend on the turnover of housing. Let’s hope the Fed doesn’t drag out the anti-inflationary methods more than necessary. A 16% drop in the volume of home sales will take a toll not only on lenders, title folks, realtors but all the other services associated with new home purchases.
Home Economics 