Such an interesting article. But, compared to what we experienced in the Great Recession, even a 1.5 million housing starts pace is pretty phenomenal. Is it really a Collapse?
https://www.zerohedge.com/personal-finance/us-housing-starts-permits-collapse-may
Hi David, Interesting article! I guess its one of those things where we have a few choices from here on out. A) It could be the case that we are seeing the slowdown due to the macroeconomic environment, B) This is simply a reversion to the mean from the explosive growth of the previous few years. As you question, is it really a collapse? I guess only time will tell, but I am interested on your thoughts as to where this might end up say 6-8 months from now
@Easmond_Tsewole If we end up with a 10% 30 year mortgage rate in 6~8 months, then the entire single family housing market will be in the complete tank and people who are wanting to buy a home that do not cash to buy one will not have any option available to them besides renting.
I think you bring up a good point, David. Do do we determine what is considered a collapse? Is a collapse always defined in comparison to previous historical events or more so in comparison with our now normalized economic status (which is far different than prior to/during the recession)?
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