Pain is deepening across the US real estate industry. Two of the biggest players — Blackstone Inc. and Wells Fargo & Co. — took steps this week to contend with weaker demand as the industry faces a rapidly cooling property market, rising interest rates and waning investor appetite.
Mortgage rates in the US rose for a fifth straight week, threatening to freeze more would-be buyers out of the market for homes.
Mortgage rates in the US surged to the highest since June, turning up the pressure in a housing market where demand has fallen sharply from its pandemic-era peak.
Investors — from small-time flippers to Wall Street-backed landlords — helped propel US home prices to record levels during the pandemic boom. But now, they’re pulling back as recession risks mount, in a move that could accelerate the market’s slowdown.
Some of the largest US landlords have pulled back on purchases of single-family rental homes, as rising financing costs and high home prices push property funds to ease away from the shifting housing market.
The US housing market saw a rise in the percentage of deals cancelled in June as rising mortgage rates made homes more expensive, pushing some buyers to walk away from deals.
There’s more money than ever betting that apartment rents are heading to new heights.
Wall Street is inventing a new kind of suburban living that’s easier to afford, but where the financial benefits of homeownership go to Wall Street firms.