While “many of things are at issue” in the housing market right now, “uncertainty” is the “biggest” issue of everything, “Shark Tank” investor Barbara Corcoran told Fox News Thursday.
“There's a lot of uncertainty, and uncertainty is bad for the business,” Corcoran Group Matriarch said while appearing on “America's Newsroom.”
“Uncertainty puts people to pause, but this is a problem. American home suppliers stock up on lumber because their seven million homes are short and they fear tariffs. A lot of things are at issue, but the biggest tenant that's wrong is people are uncertain. They don't know what to expect next, and people who are uncertain don't move forward.”
The cocktail in question has created a hostile market for future home buyers, including shortages, high prices and uncertainty to meet demand, plus stagnant wages.
However, new data shows some faint hope of hope as housing costs have increased by 4.2% on an unadjusted basis from a year ago, which is the first monthly increase since December 2021.
Still, the real estate mogul says many Americans don't feel much more comfortable with the change.
“They're still up. A lot of people are excited about housing prices falling, but that's under a quarter of the percent, and that doesn't provide people with a lot of relief,” she said.
“The real problem is, of course, the interest rates that are hindering people. But more than two-thirds of Americans have a 4% interest rate. Why do you sell your home? Why do you move? You have [a] 4%. It's really holding the blanket,” she added.
