Dr. Raven Molloy, Senior Economist for the Federal Reserve Board of Governors discusses Long-Term Vacant Housing in the United States, as part of the REALTOR® University Speaker Series.
Dr. Molly shares her personal analysis of the long-term vacant housing and the resulting affect it can have on the health of the housing market.
Why is this important to homeowners and homebuyers?
A home is one of the largest financial purchases and investments many of us will have.
Staying abreast of long-term vacancy rates in general, and in specific markets, helps forecast the direction of housing both nationally and locally.
Because long-term vacancy rates can negatively effect home prices for an extended period of time, it can be beneficial to consider vacancy rates when choosing to purchase a home, or stay in a home.
Furthermore, since long-term vacant housing can affect the housing market, it can also affect the mortgage industry which is directly tied to housing.
So, when you are thinking about buying a home, take a look at the long-term vacancy rate, which may help you make a decisions about the direction of home prices and mortgage rates, and estimate the property from an investment perspective.