BBVA: U.S. Housing Market Activity Slowed in 2nd Half 2018
16 January 2019 - 6:04PM
Dow Jones News
By Stephen Nakrosis
A shortage of both new and existing homes for sale is driving
home prices, and the existing supply of homes is expected to stay
low, BBVA Research said Wednesday.
Although the second half of 2018 saw housing market activity
slow, price appreciation remained solid, rising 5.1%
year-over-year, the BBVA report said. Demographic trends will
continue to support housing demand.
"The attractiveness of large coastal areas will remain," BBVA
said, adding "the lack of affordable housing will drive some
residents to smaller metropolitan areas away from the coasts."
Apartments will remain in high demand in desirable areas, the
report said, and higher interest rates will keep some from selling
their homes and relocating.
Small metropolitan regions and rural areas will continue to
struggle to find residents, it said.
BBVA is an international financial company based in Spain. Its
BBVA Compass subsidiary operates banks across the southern area of
the U.S.
Write to Stephen Nakrosis at stephen.nakrosis@wsj.com
(END) Dow Jones Newswires
January 16, 2019 12:49 ET (17:49 GMT)
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