Homebuilders Feel the Squeeze of Tight Housing Market
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It's a vicious cycle that's causing extra pain for millennials. They can't crack the housing market because of high prices that reflect a nationwide housing shortage. But home builders can't build homes because materials and loans cost more.
Shares of leading US homebuilders have plummeted since an industrywide peak in July, according to a Financial Times analysis, when rising mortgage rates convinced existing homeowners to sit tight and spurred prospective homeowners to opt for newly built homes instead. Now, inflation and demand have caught up to put the pinch on that corner of the housing market as well.
Source Fool.com
