Thursday, June 11, 2020 / by Vanessa Saunders
Federal Reserve Chairman Jerome Powell Zoom-meets at his desk prior to issuing the June 10, 2020 economic report.
From Vanessa Saunders, MBA, MIMC , Broker Owner, Global Property Systems Real Estate.
If you a home owner, you are an investor too. Home ownership is one of the most widely-held forms of economic investment. And guess what, investors? You're in luck. Real estate is poised to lead the way in the process of recovering from the 2020 economic down-turn.
Yesterday, Federal Reserve Chair Jerome Powell announced that the Fed plans to keep mortgage rates near historic lows for the foreseeable future - several years at least. He also revealed the US Federal Reserve intends to continue purchasing mortgage-backed securities. Both are good news for people who own homes, and for people who will be purchasing a home from them in the next few years.
Economists agree. Ivy Zelman of Zelman & Associates said recently, “Housing will fare better than expected during this severe downturn.”
CNBC concurred. Diana Olick, a CNBC economic advisor said, "“Mortgage demand from home buyers shows unexpectedly strong and quick recovery…The quick recovery has surprised most forecasters.”
Robert Dietz, Chief Economist and Senior Vice President for Economics and Housing Policy of the National Association of Home Builders (NAHB) says:
“Overall, the data lend evidence to the NAHB forecast that housing will be a leading sector in an eventual economic recovery.”
Like politics, one could also say that "All real estate is local." With so much going on today, especially in the wake of a worldwide pandemic, one known factor is the bright spark the housing market can play in local and national recovery. Buying and selling a home goes well beyond personal growth and satisfaction – it supports our economy as a whole.
Global Property Systems says:
The recent unexpectedly positive unemployment report released June 6 was a pleasant surprise, and perhaps another clue that recovery is coming sooner than we think. Whatever the outcome, real estate will be a significant driver. And we will have you real estate investors to thank for it.
If you are considering buying or selling a home in the future and have questions about the Hudson Valley real estate market, contact us at Global Property Systems.
Search all seven Mid-Hudson Valley counties (Rockland, Dutchess, Orange, Putnam, Sullivan, Ulster and Westchester) for homes on the market by using our free search site at www.gpshouse.com.