Eviction Moratorium Could Protect Millions Of Texans But Foreshadows ‘Rough’ 2021 For Housing Market. Lisa Cook, professor of economics and international relations at Michigan State University in East Lansing, says one key to the economic recovery is the ability of schools to teach students in physical settings. They do impact the way the markets look at things so it'll be interesting to get through that.". Lower-income households are bearing the brunt of the temporary furloughs we’re experiencing. “The ‘slower recovery’ industries consist of leisure and hospitality, retail trade, and other services. As of November 20, 2020, the U.S. housing market is incredibly strong. Many need more space to turn into that extra home office or even a classroom or work area for the kids. It … At this point, our baseline projection assumes continuation of a divided government, which will likely result in modest tweaks to economic policy. Many of those will become permanent.”, Adds Anderson: “We’re coming out of Depression-level unemployment and a dislocation of the workforce that we haven’t seen since well before the Great Recession. Sellers are happy right now, but buyers may have an issue. Business leaders, meanwhile, are somewhat bullish on a national economic recovery. appeared first on The Motley Fool Canada. This runs into the problem of low inventory. I'm updating this article as we enter 2021 and beyond. On the housing front, the longer the pandemic continues, the more precarious the market will become. Part of the faster growth in those sectors stems from their greater initial job losses in the pandemic. Also, 83 percent of CEOs surveyed want to lock in the sustainability and climate change gains they’ve made as a result of the crisis.”. At the end of 2017, I published this post on why we should start worrying about the housing market again. The forecasts for seasonally adjusted home prices and pending sales are more optimistic than previous forecasts because sales and prices have stayed strong through the summer months amid increasingly short inventory and … I think it’s still going to be a mixed bag for many businesses, because this is a highly idiosyncratic economy right now. “That’s actually a bright spot in what has been a dismal year for Michigan. CEOs are resilient and remain optimistic as they continue to rise to meet the challenges and opportunities resulting from the pandemic and ongoing economic uncertainty,” says Paul Knopp, chairman and CEO of KPMG in the U.S. “They’re accelerating the digital transformation of their businesses, but also see a multitude of risks apart from the pandemic — with talent risk becoming front and center in the current environment.”, According to Dye, an untold story of the future economy of Michigan is the 2020 Census. “We expect a full economic recovery in Oakland County to take multiple years because of the depth of the initial recession,” says Gabriel Ehrlich, director of RSQE. Between February and April, Michigan lost more than 1.3 million payroll jobs due to the pandemic, but Michael McWilliams, an economist at the University of Michigan in Ann Arbor, says the jobs picture has improved every month since then. “A vaccine would be a big positive,” Dye says. Other things being equal, the economic recovery will proceed faster if consumers are able to keep spending money, and state and local governments have the funds they need to maintain services as well as their own payrolls.”, Daniil Manaenkov, another U-M economist, says, “Short of the election yielding federal single-party control, I don’t anticipate dramatic shifts in federal policy. Spring is the time of year where everything traditionally comes back to life, and the real estate market is no different. More from The Active Times: — Robert Dye, chief economist, Comerica Bank. The Accuracy of the Trend Prediction for Michigan is 78%. But we have another whole group of demographics that are saying, 'Hey, if working from home is something that is now an option permanently, even when we get past COVID in the way that we know it now, but I can work from home three days a week moving forward, it now opens up homes in different areas where you don't have to worry about the commute," Schneider said. At the end of the second quarter, there were 1.7 million homes, or 3.2% of all mortgaged properties, in negative equity. According to statista.com, the demand for single family homes and multi family housing units has continued growing steadily over recent years.In 2019, about 43 million rental properties were occupied by renters. Housing Market Crash 2021: The housing reports are comprehensive assessments and predictions of US Housing markets drawing insight from NAR, CAR, Corelogic, Wall Street Journal, Freddie Mac, tradingeconomics, statista, and more industry sources. “We’ve had several rounds of fiscal stimulus,” Dye says. They're comfortable; they've done the home improvements and they're good. As it stands, around 70 percent of GDP is consumer spending, according to economists, and one more package of tax credits and other economic benefits may be needed. Prospects for a strong economy in 2020 were dashed in the first quarter when the coronavirus became more than just China’s problem on the evening news. Pre-COVID, the jobless rate was at a 50-year low of 3.5 percent. “My hope is that we get through the election, get another stimulus package passed, and next year we see ongoing economic recovery for Michigan and the U.S. Overall economic activity, however, remains “well below” pre-pandemic levels, and the outlook for the economy is “extraordinarily uncertain.”, Robert Dye, chief economist at Comerica Bank, which has its Michigan headquarters in Detroit, agrees with the Fed chairman about a coronavirus remedy. We believe those industries will gradually recover, but it will take longer than for other sectors of the economy,” he says. In September, the Federal Reserve Board voted to keep its benchmark interest rate unchanged, at a range of 0 to 0.25 percentage points — a level it expects to maintain until at least 2023 in order to help the economy add jobs for as long as possible. “U.S. Check out the latest US stats, and discover when you … Fair Market Rents (FMRs) are used to determine payment standard amounts for the Housing Choice Voucher program, to determine initial renewal rents for some expiring project-based Section 8 contracts, to determine initial rents for housing assistance payment (HAP) contracts in the Moderate Rehabilitation Single Room Occupancy program (Mod Rehab), rent … “Interestingly, the CEOs surveyed see climate change as the greatest threat to their organization’s growth, aside from the global health risk.