US Pending Home Sales Stall in April

The video discusses the stagnation in pending home sales from March to April, influenced by high mortgage rates and limited housing inventory. Skyler Olson, Zillow's chief economist, explains the dual impact of demand and supply issues on the housing market. The discussion highlights the sensitivity of existing homeowners to rising mortgage rates and the challenges faced by first-time home buyers due to affordability issues. The video also explores potential future trends in the housing market, considering economic factors and personal circumstances that drive housing decisions.

What were the main factors contributing to the stagnation of pending home sales in April?

• High mortgage rates and limited inventory

• Increased housing supply

• Lower mortgage rates

• Decreased demand for homes

How did mortgage rate changes in early 2023 affect pending home sales?

• Sales remained constant throughout the period

• Sales decreased in February and increased in March

• Sales increased in March and decreased in January

• Sales increased in January and February, then decreased in March

What is a major concern if mortgage rates continue to rise?

• Stabilization of housing prices

• Higher affordability for first-time buyers

• Increased housing supply

• A significant pullback in market volumes

Why might first-time homebuyers face challenges in the current market?

• They are pushed forward by high demand

• They have access to low mortgage rates

• They benefit from increased housing supply

• They lack the low rates that existing homeowners have

What factors could help normalize the housing market despite high mortgage rates?

• Stable economic conditions

• Decreased demand for homes

• Lower mortgage rates and life events

• Increased housing supply