UT Tyler hosts economic summit examining East Texas housing market
TYLER, Texas (KLTV) - The University of Texas at Tyler Hibbs Institute for Business and Economic Research held a networking lunch and presentation covering the latest trends and outlook on the East Texas housing market.
Dr. Luis Torres, senior business economist for the San Antonio Branch of the Federal Reserve Bank of Dallas, is the featured presenter.
“The housing market is definitely slowing down,” Torres said. Torres said the market is slowing down because of higher mortgage rates.
During the beginning of the pandemic, UT Tyler’s Manuel Reyes said the housing market was hot.
“For several months we saw that the interest rates were so low and so many buyers were trying to get into the market and buy a new, either a new house or a new investment,” Reyes said. “People basically took advantage of those historical low mortgage rates,” Reyes said.
Now, according to Freddie Mac, the mortgage average this week is about 5.5%, close to twice the rate from the year before, although it is down from June.
Torres said rising interest and mortgage rates affect those looking to buy a house.
“It’s a major contributor to affordability to when you try to buy a house. And definitely buying a house is becoming more expensive right now than it was before,” Torres said.
“Now that interest rates are going up gradually, we see less buyers in the market,” Reyes said.
UT Tyler plans to host this event twice a year to address the housing market status in East Texas.
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