Housing View – February 25, 2022

On cross-country:

On the US:    

  • Dysfunctional policies have broken America’s housing supply chain – Brookings
  • Is There a Way Out of America’s Impossible Housing Mess? The first step, according to economist Jenny Schuetz, is recognizing there is more than one housing crisis. – Slate
  • The Housing Boom’s Mortgage Rate Threat Is Worse Than It Seems. Soaring borrowing costs might hurt demand, but they’re not helping supply either. – Bloomberg
  • Mortgage Rates Close In on 4%, Making Home Affordability Tougher. Average rate of 30-year fixed loan climbs to highest since May 2019 – Wall Street Journal
  • Mortgage Rates Will Rain on This House Party. Housing indicators suggests strong demand and tight supply, but higher mortgage rates are likely to start showing in the data – Wall Street Journal
  • Rents Have Soared Across the Country, But Home Prices Grew Even Faster – Harvard Joint Center for Housing Studies
  • January Existing Home Sales: Defying Conventional Wisdom – Zillow
  • U.S. existing home sales accelerate; investors elbowing out first-time buyers – Reuters
  • Wall Street Is Buying Starter Homes to Quietly Become America’s Landlord. Private equity money is pouring into the Phoenix real estate market, turning first-time homebuyers into renters. – Bloomberg
  • The Next Affordable City Is Already Too Expensive. In Spokane, Wash., home prices jumped 60 percent in the past two years. The increase is fueled by buyers fleeing the boom in cities like Austin. Who will have to flee next? – New York Times
  • Housing: What Fed rate hikes mean for the real estate and rental markets – Yahoo Finance
  • Share of all homes bought by investors – Axios
  • First-time homebuyers are getting squeezed out by investors – NPR 
  • Online Real Estate Isn’t Worth the Chance. Even as the housing market booms in the U.S., dreams of online real-estate riches have faded in the stock market – Wall Street Journal
  • America’s housing boom is also a backlog – Axios
  • Waters Calls on Regulators and Industry to Hold Appraisers Accountable and Announces Plans for Legislation – US House Committee on Financial Services
  • Commercial Real Estate Is Seen as an Inflation Hedge, but That Isn’t Always the Case. With inflation running its hottest in four decades, some investors are starting to question the strength of real estate’s defenses against higher prices – Wall Street Journal
  • Addressing the Housing Affordability Crisis as COVID-19’s Impact Continues – St. Louis Fed

On China

  • China’s Real-Estate Balancing Act. China’s government has emphasized that policies to address financial vulnerabilities and structural problems should not impede economic growth. But, when it comes to the real-estate sector, that will not be an easy balance to strike – and getting it wrong could have economy-wide repercussions. – Project Syndicate
  • China Broadens Real Estate Lending Support to Bigger Cities. PBOC urged banks to accelerate property loans in Shanghai. Major banks in Guangzhou cut mortgage rates for homebuyers – Bloomberg
  • Is There an Industrial Land Discount in China? A Public Finance Perspective. Local Chinese governments face a trade-off between supplying residential or industrial land, and this work reveals the importance of taxes and revenue streams over time in shaping those choices. – University of Chicago
  • Heze Is First Chinese City to Cut Mortgage Down Payments, Local Media Reports. Major banks in Heze cut mortgage down payment ratio to 20%. More smaller cities may follow suit, research analyst says – Bloomberg
  • Banks in nearly 90 Chinese cities cut mortgage rates – Reuters
  • HSBC takes charge on Chinese real estate and warns of wealth slowdown. Outlook blemishes otherwise buoyant fourth-quarter earnings as profit doubles and targets boosted – FT

On other countries:  

  • [Australia] House prices and rents surge in regional Australia amid influx of arrivals from cities. Locals say they are being priced out as NAB reports 24 of the 25 largest regions have had double-digit housing growth – The Guardian
  • [Colombia] Assessing the impact of recent Venezuelan immigration on housing rents in Colombia – Spatial Economic Analysis
  • [Cyprus] Recent developments in housing markets and related policy challenges – Central Bank of Cyprus
  • [India] Deepak Parekh Says India’s Real Estate Showing Uptrend Amid Global Jitters – Bloomberg
  • [Ireland] Will the price of Irish houses just keep on rising? Cliff Taylor: key policy challenge is to provide a supply of homes at more affordable prices – The Irish Times
  • [New Zealand] New Zealand’s homeless have been moved off the streets, but the crisis endures – The Guardian
  • [Norway] Norway: boosting productivity and workforce participation while improving housing affordability will help maintain high living standards, says OECD – OECD
  • [Spain] Effectiveness and supply effects of high-coverage rent control policies – Barcelona Institute of Economics
  • [Taiwan] Long- and short-term price behaviors in presale housing markets in Taiwan – Economic Analysis and Policy
  • [Turkey] Turkish builder touts land sales as inflation slows house deals – Reuters
  • [United Kingdom] London housing market boosted by end of COVID rules, Rightmove says – Reuters
  • [United Kingdom] The Guardian view on unaffordable homes: building injustice into the economy – The Guardian

Posted by at 5:00 AM

Labels: Global Housing Watch


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