Home prices

Home prices are rising rapidly. In just the past two years home equity has increased $6 trillion dollars. Home values have increased by 30% over the past two years. The widely followed S&P CoreLogic 20-City Home Price Index was up 19.1% compared with January of last year — a blistering pace, especially considering that the growth was on top of the 11%-plus growth rate reported for January 2021. The shortage of houses is adding to the problem as will the Fed raising interest rates. Back in the early 2000's some people would forgo their 401K contributions to save money for a down payment on a house. Home values were increasing faster than salaries and each year it became more difficult to buy. This all ended in 2006 when loans could be obtained with no money down and no income requirement called NINA (no income, no assets) loans. No discrimination here. Everyone qualified. This of course all came tumbling down when the housing market collapsed with the first downturn in the economy and the poor especially Blacks suffered the biggest loses. This is less likely in today's market because banks now require some financial stability before offering a loan, the way things were before 2000.