Why a Growing Number of Americans Are Worried About a 2023 Housing Crash
The potential for a 2023 recession has Americans increasingly concerned that a housing crash could be just around the corner, but housing experts and economists are more optimistic. In a recent survey of 1,500 American voters by Redfield and Wilton Strategies, 58% of respondents said they are "very" or "fairly" concerned that the housing market could crash during the next year.
Around 23% of respondents were only "slightly" concerned, while 11% were not concerned at all about the risk of a crash, and 8% didn't know how to feel, Newsweek reports. Though prices are expected to fall at the close of 2023, economists say the housing market won't face a price drop nearly as dramatic as the one that occurred more than a decade ago during the financial crisis.
Millennials were significantly more concerned than older Generation Xers and Boomers. Just over a third (34 percent) of respondents aged between 25 and 34 years old were very concerned about a possible housing crash. Only 20 percent of those aged between 55 and 64 were very concerned, and 27 percent of those aged over 65.
Some 44 percent of respondents said it was 'harder' or 'much harder' for young people today to get on the housing ladder in comparison to their parents' generation. Just over half (51 percent) replied that this was due to stagnant wages.