67% of Americans say a housing market crash is imminent in the next three years.
With all the talk in the media lately about shifts in the housing market, it makes sense why so many people feel this way. But there’s good news. Current data shows today’s market is nothing like it was before the housing crash in 2008.
Back Then, Mortgage Standards Were Less Strict
During the lead-up to the housing crisis, it was much easier to get a home loan than it is today. Banks were creating artificial demand by lowering lending standards and making it easy for just about anyone to qualify for a home loan or refinance an existing one.
As a result, lending institutions took on much greater risk in both the person and the mortgage products offered. That led to mass defaults, foreclosures, and falling prices. Today, things are different, and purchasers face much higher standards from mortgage companies.
Fast forward to 2023. Most homeowners have equity and there is still a historically low supply. So the fears of a crash appear to be unfounded. At Sparrow House Buyers, we’re still looking to purchase Oklahoma City homes. We feel insanely confident about the OKC market and the housing market in general.