Currently Reading

Improving Economy Could Spark Higher Home Prices, Bidding Wars

Advertisement

Improving Economy Could Spark Higher Home Prices, Bidding Wars


June 8, 2020
Couple bought home for sale
By WavebreakMediaMicro

Furloughed employees are returning to work as cities and states reopen, creating an economic lift that is already sparking activity in the housing market. The unemployment rate fell to 13.3 percent in May compared to April's 14.7 percent, beating economists’ expectations for the recovery. Realtor.com says that economists now think this extra boost could not only rekindle the housing market, but also raise housing prices and ignite bidding wars. But they also warn that there are still rough times ahead as only 10 percent of the jobs lost have been recovered thus far, and white-collar layoffs may continue in the coming months. 

An improving economy is turning up the heat on the summer housing market.

The unemployment rate fell to 13.3% in May as more cities and states reopened and many furloughed employees were called back to work, the U.S. Bureau of Labor Statistics announced on Friday. While unemployment is still high, it's less than April's rate of 14.7% and well under the predictions of many economists.

“There are signs that the better-than-expected jobs situation is already having a positive effect on the housing market. We’re seeing more home buyers in the market than we did this time last year," says realtor.com® Chief Economist Danielle Hale. "It’s shaping up to be a hotter-than-expected summer in the housing market."

Read More
 

Related Stories

Market Data + Trends

Case-Shiller: September Home Prices Break 6-Year High

Realtor.com warns that prospective homebuyers may not find a better deal in the future as home prices continue their climb. According to the S…

Economics

As Mortgage Rates Lower, Millions of Americans Can Save Big

With mortgage rates down to a new low, a record 19.4 million Americans could save hundreds per month. The average interest rate for Freddie Mac’s…

Market Data + Trends

Mortgage Demand Increases for First Time This Month

After a brief pause for the presidential election, mortgage applications are now back to booming. For the week, mortgage applications to purchase…

Advertisement
Advertisement

More in Category




Advertisement
Advertisement

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.