Existing Home Sales Update: REAL Median Home Price Growth At -1.17% YoY, REAL Wage Growth At -3.0% YoY, REAL 30yr Mortgage Rate At -0.5254% (How Bad Is US Inflation??)

Confounded Interest ^ | 11/19/2022 | Anthony B. Sanders

[Kaiser8408a]

The US housing market is slowing, to be sure. Yesterday’s existing home sales (EHS) report revealed that US EHS were down -28.43% YoY and the median price of EHS slowed to 6.6% YoY.

But that is just the surface of the EHS report for October. Once I removed inflation (CPI YoY) from the numbers, we are left with REAL median price of EHS growth of -1.17% and REAL average hourly earnings YoY of -3.0% YoY. The REAL 30-year mortgage rate is -5.25%. That reveals how horrible inflation is in the US.

It is important to note that EHS numbers are lower in October than they were before Covid stimulypto (my name for the massive spending spree by Congress and massive injection of monetary stimulus by The Fed. Even the REAL 30-year mortgage rate is negative at -0.5254%.

On a side note, how come fraudulent former Stanford student Elizabeth Holmes gets 11 years in prison for her Theranos scam, but Sam Bankman-Fried only gets a House hearing with Maxine “Dirty” Waters as Chair by losing a far greater amount? Could the fact that SBF and his co-founders at FTX contributed $300,351 to nine members of the House Financial Services Committee, according to Federal Election Commission records?

I guess Elizabeth Holmes did not make the requisite pay-offs.

[Kaiser8408a]

I thought this was interesting. Inflation Joe and The Fed (really one entity) have screwed the economy and markets up incredibly with their gluttony for money and power. And the rest of us eat a shite sandwich. And we are supposed to say "Thank you."

[Bernard]

When the price of housing in the counties surrounding DC drop like the rest of the country in the real world, that will be a silver lining to this cloud.

[FreedomPoster]

That was one yardstick I had for real, true Trump success.

Didn’t happen.

[entropy12]

Wrong! FED is guilty of keeping interest rates TOO LOW for too long, which always creates a bubble. Every bubble eventually gets pricked. That is what is happening now.

[willfulknowledge]

The “real” mtg rate is irrelevant. The fact remains that we are paying far more for a mtg than 2 years ago