Buyer beware: Stock market warning flags
Mark your calendar. The next U.S. recession will begin in 2020, a survey says.
More than half of the 105 real estate experts and economists in the quarterly survey by housing data provider Zillow and research firm Pulsenomics LLC point to “monetary policy as the likeliest cause.”
Fed officials have signalled at least three rate increases this year. A year ago. a geopolitical crisis was seen as the most likely cause of the next recession by survey panelists.
In the meantime, the housing market is expected to see stronger price appreciation than forecast a year ago with home values rising 5.5 per cent to a median of US$220,800 in 2018, according to Zillow and Pulsenomics. Last year, forecasts called for a 3.7 per cent gain.
A separate Fannie Mae survey forecasts home prices will rise 3.9 per cent over the next 12 months.